Model 3 almost drove Tesla to bankruptcy

The problems faced by the electric car manufacturer Tesla in Model 3 were far worse than it seemed. According to Elon Musk, the company was only a few weeks away from bankruptcy in complete safety.

The production of Model 3 by Tesla has been more than difficult. The manufacturer of electric cars has again and again failed to meet its targets since the start of production in July 2017. 5,000 of the cars of average size per week should fend for themselves. But until 2018, there were only 200 to 1,000 vehicles instead. It was not until July that Tesla managed to exceed the 5,000 model 3 mark per week for the first time – and with a lot of effort. It would then take until September for this number to go from exception to rule. As Elon Musk now admitted in an interview, the situation would have been even more dramatic than it seemed to many foreigners.

Due to manufacturing problems, his business lost a lot of money. First of all, because of the long production of each car, Tesla suffered heavy losses. But additional investments, such as the construction of a second production line in an improvised tent, other badembly machines and German experts, would have resulted in expenses that no one had provided. "At the start of the production of Model 3, Tesla was facing a death threat," said Elon Musk in an interview with Axios production of HBO. "It was very painful."

Not a good time

Between the manufacturer of the electric car and the insolvency at that time would have been only "a number of weeks to a figure". If his engineers and employees only needed a little more time to tackle the problems, the builder would now be insolvent. At the time, Elon Musk himself was spending seven days a week at the Fremont factory – and, as previously announced, was leading and shouting against senior executives. Some people would have worked 120 hours a week.

When he thinks back to that time, he says, "It hurts my heart and mind." He did it because Tesla would not exist anymore. Yet, what his colleagues and himself have done in recent weeks would not have been healthy, "no one should work so hard."

Meanwhile, the 5,000 vehicles a week, as Elon Musk said a few weeks ago, but "not serious" and brought to Tesla for the first time the quarterly profit. At present, 6,000 or 6,500 models 3 could be produced per week, if necessary. But that was not necessary at the moment and would only mean stressful overtime for factory workers. As a result, Tesla should not be billing for the time any other clean projects, which have not been announced yet, but first, Tesla Semi, the Model Y, are marketing the new Roadster and Pick-up.

Despite the hectic history, overtime and stress, Tesla is, according to a recent Wall Street Journal report, one of Silicon Valley's most coveted employers. Between 2016 and 2017, no other company has received so many nominations through work platforms such as the handshake. Last year alone, more than half a million people applied for a job. This year it was even more.