When financial analyst Toni Sacconaghi of Sanford C. Bernstein asked Tesla CEO Elon Musk about the money-losing electric car company’s capital requirements going forward (Tesla has burned through – cue Dr. Evil – one billion dollars in three of the last four quarters) Musk replied: “Boring, bonehead questions are not cool. Next?”
Fo sheer effrontery, this tops even The Chimp’s I am the Decider!
Neither man gives a damn about the damage – human or financial – imposed on others. Nor that others are made to pay for it all. They don’t even give lip service to pretending anything they do bothers them in the least. All that matters is a Great Dream – whether it’s “regime change” in some resource-rich country which hasn’t attacked us (a war crime, once upon a time) or this equally demented business of manufacturing electric cars that almost no one would freely buy absent the subsidies and mandates.
Raise your hand, ask a reasonable question – and it’s dismissed as “boring” and “boneheaded.”
Sacconaghi was also lectured by Musk to not “make a federal case” out of Tesla failing to achieve the ludicrous 25 percent gross profit margin on sales of the Model 3 it claimed it would make. A reasonable question, given most legitimate car manufacturers – those whose cars sell on their economic merits, without needing taxpayer-financed propping-up via subsidies and mandates – earn about 4 percent or so.
“That’s something that we’ll solve like within three months to six months later,” Musk said. The Electric Car: Is a... Check Amazon for Pricing.
The sun will come out, tomorrow…
The guy is a crony capitalist Rasputin. He bewitches and seduces. Whatever the ersatz Iron Man says is taken as holy writ, not to be questioned.
Another analyst, Joe Spak of RBC Capital Markets, had the audacity to ask Elon a question relating to the true cost of the Model 3 – production of which is also nothing close to what Elon promised, but never mind that.
“Boring. Next,” came the reply.
With good reason. Move way from that one as quickly as possible.
Musk likes to tout the “estimated” $35,000 base price of the Model 3 – about half the price (but not the actual cost) of the Model S. The touting is critical. Musk knows – even if he won’t admit – that the electric car is a non-starter as a mass-market car unless the price (if not the cost – more on that in a moment) comes down to a number that the mass market can deal with.
Given that most people – most families – have an annual income of $60,000 or less, a car that costs $40,000 or more is not going to work economically, regardless of its “carbon footprint” or how quickly it can accelerate to 60 MPH. Even if it didn’t take 9-10 times as long to recharge vs. refuel (and even then, only a partial – 80 percent – charge due to load imposed by the “fast” charger) and wasn’t range-gimped vs. a regular car.