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Rivian execs ‘need to live in the factory’ to survive
Feb
Elon Musk gave Rivian a bit of recommendation on tips on how 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 today, we reported that Musk had a bit of recommendation for Rivian whereas criticizing Lucid. In line with forecasts that Musk shared, Rivian will be capable of survive for roughly six extra quarters, or a few 12 months and a half, earlier than it will likely be compelled to shut its doorways attributable to chapter.
Nonetheless, Musk believes Rivian is ready to save its firm and proceed together with creating EVs, starting with the R2 platform that’s set to launch in early March and can be extra reasonably priced than the present R1 lineup.
Musk mentioned 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 haven’t any likelihood of surviving:
They should lower prices massively and the exec group must stay within the manufacturing facility or they’ll die
— Elon Musk (@elonmusk) February 22, 2024
Musk did the identical factor throughout Tesla’s “production hell” phase of the Model 3 ramp, residing within the Fremont manufacturing facility in Northern California. He mentioned in different situations that he additionally lived in Gigafactory Nevada.
The Tesla CEO mentioned he didn’t wish to be vacationing and residing lavishly whereas staff have been dedicated to holding the corporate afloat. He hoped it might encourage staff to present it the whole lot they’d.
He additionally mentioned in an interview with Bloomberg in 2018 that he didn’t need his state of affairs to be higher than the workers:
“The explanation I slept on the ground was not as a result of I couldn’t go throughout the highway and be at a resort. It was as a result of I wished my circumstances to be worse than anybody else on the firm. At any time when they felt ache, I wished mine to be worse.”
Rivian could also be in a great place shifting ahead because it has been in a position to trim its losses with each passing quarter. It additionally introduced it would trim its workforce in an effort to economize, so it has already labored to perform certainly one of Musk’s solutions.
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