Elon Musk gave Rivian a bit of recommendation on easy methods to survive previous their reported forecasted chapter in roughly six quarters, and it contains shades of what Tesla was compelled to do to maintain its doorways open.
Earlier immediately, we reported that Musk had a bit of recommendation for Rivian whereas criticizing Lucid. In keeping with forecasts that Musk shared, Rivian will be capable of survive for roughly six extra quarters, or a few yr and a half, earlier than it is going to be compelled to shut its doorways on account of chapter.
Nonetheless, Musk believes Rivian is ready to save its firm and proceed together with growing EVs, beginning with the R2 platform that’s set to launch in early March and can be extra reasonably priced than the present R1 lineup.
Musk stated that Rivian should “lower prices massively” and that executives ought to decide to contributing to the manufacturing traces across the clock from right here on out, or they’ll don’t have any probability of surviving:
They should lower prices massively and the exec workforce must dwell within the manufacturing unit or they’ll die
— Elon Musk (@elonmusk) February 22, 2024
Musk did the identical factor throughout Tesla’s “manufacturing hell” part of the Mannequin 3 ramp, residing within the Fremont manufacturing unit in Northern California. He stated in different cases that he additionally lived in Gigafactory Nevada.
The Tesla CEO stated he didn’t wish to be vacationing and residing lavishly whereas staff have been dedicated to retaining the corporate afloat. He hoped it could encourage staff to provide it every little thing they’d.
He additionally stated in an interview with Bloomberg in 2018 that he didn’t need his scenario to be higher than the workers:
“The rationale I slept on the ground was not as a result of I couldn’t go throughout the highway and be at a lodge. It was as a result of I needed my circumstances to be worse than anybody else on the firm. At any time when they felt ache, I needed mine to be worse.”
Rivian could also be in a superb place shifting ahead because it has been in a position to trim its losses with each passing quarter. It additionally introduced it could trim its workforce in an effort to save cash, so it has already labored to perform considered one of Musk’s strategies.
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