A fatal crash, production problems and now a recall.
Tesla is starting the second quarter in a defensive crouch:
Last week, the company revealed that Autopilot, its semi autonomous feature, was engaged during a recent fatal crash in California — its second confirmed Autopilot-related fatality in the U.S.
Tesla is struggling to meet its production goals for the Model 3, its first-ever mass-market car. Today, CEO Elon Musk reportedly said the company is producing 2,000 Model 3s a week — 500 short of his goal, which has been adjusted twice.
Last week, Tesla voluntarily recalled 123,000 of its Model S luxury sedans to fix a power-steering issue. That is a lot of cars — close to half of all the vehicles the company has produced.
Tesla stock is down about 36 percent since its September 2017 peak.
By the company’s own admission, this is a critical time for Tesla. The electric vehicle movement the company arguably popularized is seeing momentum from new and existing players, while self-driving competitors like Alphabet’s Waymo strike deals with automakers to develop vehicles that could rival Tesla’s own offerings. As both an automaker and a self-driving tech company, Tesla still has a lot to prove. Read full story