Elon Musk advises electric vehicle manufacturing rivals Rivian and Lucid for their path to bankruptcy if they continue with their strategies that focus on burning billions of their funds. Musk talks like he’s in a “been there, done that” situation, as Tesla has previously gone down the same path, but the company prevailed during these trying times.
Elon Musk warns Rivian, Lucid on their way to bankruptcy
(Photo: JERRY LAMPEN/AFP via Getty Images)
Elon Musk, co-founder and CEO of U.S. electric vehicle maker Tesla Motors, poses with a Tesla during a visit to Amsterdam on January 31, 2014.
A To display by the owners of Tesla Silicon Valley focused on an event that spoke about the progress and progression of electric vehicles, especially those from the clean energy company. He opened a platform for owners of all-electric vehicles to get information and information about their Tesla cars and brought them to a community in the area.
However, one of the main highlights here is Elon Musk’s arrival at the event, where the CEO talked about a lot of things regarding the electric vehicle industry in the country. At one point, the top billionaire answered a question about Lucid and Rivian, two of his top competitors who are focused on an electric-only business, regarding their strategies that could lead to bankruptcy.
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Musk Said These Two Things Rivian and Lucid Change
Musk also addressed these discussions on Twitter regarding what he had previously said about Lucid and Rivian for their lead which could possibly lead to their losses. The CEO of Tesla said that if the company does not change and cut their opex and their cogs in a “dramatic” execution, EV companies won’t survive an imminent threat of losing their money.
If they drastically reduce their operating expenses and cogs, they have a chance, but that hasn’t happened yet.
— Elon Musk (@elonmusk) June 14, 2022
Tesla, Rivian and Lucid Electric Vehicle Competition
Musk is in a position where he can speak freely about the electric vehicle industry because he’s been CEO for nearly two decades now for a company that heavily borders on clean energy transportation. Tesla started in 2004, and it wasn’t until the late 2010s that the company gained traction for its EV versions, where the Model 3 gave the world a new take on electric cars.
There are many plans for the clean energy company’s career going forward, and a so-called “part 3 blueprint” by its tech CEO is already public knowledge. Here, there are many future projects and ventures the company will work on, and it will help establish its name as a common household title in the progression of electric mobility.
Rivian and Lucid are fortunate to begin their journeys at a time when electric vehicles are beginning to gain mainstream traction and there is a secure market for all of its businesses. Now, a piece of advice has come from one of the most renowned tech entrepreneurs in the industry, and it’s something he got for free, as a warning.
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Written by Isaiah Richard
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