Elon Musk is giving a piece of advice to EV manufacturing competitors Rivian and Lucid for their track towards bankruptcy if they continue their strategies that focus on burning billions of their funds. Musk speaks like he is in a "been there, done that" situation, as Tesla previously veered towards the same path, but the company prevailed during those trying times.
Elon Musk Warns Rivian, Lucid on their Path Towards Bankruptcy
A show by the Tesla Owners Silicon Valley focused on an event that talked about advancements and progression of electric vehicles, particularly those from the clean energy company. It opened a platform for all-electric vehicle owners to get insights and information regarding their Tesla cars and brought them to a community within the area.
However, one of the main highlights here is the arrival of Elon Musk at the event, where the CEO talked about many things regarding the EV industry in the country. At one point, the top billionaire answered a question regarding Lucid and Rivian, two of its top competitors that focus on an electric-only venture, regarding their strategies that may lead to bankruptcy.
Musk Said These Two Things that Rivian and Lucid to Change
Musk also addressed these talks on Twitter regarding what he previously said about Lucid and Rivian for their track that may eventually lead to their losses. The Tesla CEO said that if the company does not change and cut their opex and cogs in a "dramatic" execution, the EV companies will not survive an impending threat of losing their money.
If they cut their opex & cogs dramatically, then they have a chance, but that hasn’t happened yet
— Elon Musk (@elonmusk) June 14, 2022
Tesla, Rivian, and Lucid's EV Competition
Musk is in a position where he can freely talk about the EV industry as he has been CEO for almost two decades now for a company that heavily borders on clean energy transportation. Tesla started in 2004, and it was not until the late 2010s that the company gained traction for its EV releases, where the Model 3 gave the world a new view of electric cars.
There are many plans set for the clean energy company's career track in the future, and a so-called "Master Plan Part 3" by its tech CEO is already public knowledge. Here, there are many future projects and venture that 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 start their journeys during a time when electric vehicles are beginning to gain fame among the public and where there is a sure market for all its ventures. Now, a piece of advice came from one of the most renowned tech entrepreneurs in the industry, and it is something it got for free, as a warning.
This article is owned by TechTimes
Written by Isaiah Richard
