ELON MUSK SHARES MAJOR DETAILS ON TESLA, REITERATES FOCUS AND CONFIDENCE

EV Channels Review

Elon Musk, in a recent Twitter Space, addressed significant concerns regarding Tesla's future amidst a potential recession, reiterating his confidence in the company's long-term dominance. Musk anticipates a recession comparable to 2009, which he believes will impact demand for discretionary items, including vehicles. He outlined Tesla's strategy to prioritize unit volume growth, even at the expense of margins, by adjusting prices downward. This approach is supported by Tesla's strong gross margins and potential for future revenue streams from software, particularly FSD. Musk also reaffirmed his prediction that Tesla will become the world's most valuable company within five years. He assured investors that he does not plan to sell additional stock for at least 18-24 months, aiming to ensure sufficient liquidity for potential market downturns. While acknowledging the "double whammy" effect of rising interest rates and a recession on both stock valuations and product affordability, Musk stressed Tesla's superior positioning to weather the storm compared to competitors. He also provided updates on a potential new Gigafactory, progress on the lithium refinery, and the expected timeline for FSD Beta v11. The review highlights Tesla's Model Y breaking sales records in Norway and a new battery development lab in Fremont.