Challenged by critics who wanted to take away some of his corporate power, Tesla CEO Elon Musk told shareholders today that he will break through the 5,ooo-a-week barrier for Model 3 production by the end of June.
Musk also said he will ramp up production to 10,o00 Model 3s a week over the next year, attempting to deliver the kind of news Tesla shareholders have sought about the carmaker's first mass-market electric vehicle.
Why it matters: Musk was speaking after shareholders voted down a dissident move to take away his dual title as chairman. The promise of steadily rising production seems likely to mollify investors who have driven down the company's share price.
- After falling 1.9% during trading hours, Tesla's share price rose by 1.1% after hours as Musk spoke.
- When a shareholder asked whether he should believe Musk's production forecasts given his record for being late, Musk joked, "I do have an issue with time. I have a condition. My brother used to say when we were catching the bus for school, he would lie about the time."
- He said, "This is something I am trying to get better at. I am a naturally optimistic person. ... I am trying to recalibrate these estimates." He noted that his technologies eventually are launched, if not on the announced time line.
In the last question from the audience, a shareholder asked why the Model 3 has been delivered so late. "We were overconfident about automated production."
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