- Volkswagen CEO Matthias Müller attacked Tesla CEO Elon Musk for making big announcements while his actual car business suffers.
- Tesla recently fired hundreds of workers as the company struggles to ramp up production for the Model 3.
Volkswagen CEO Matthias Müller attacked Tesla for burning through cash at an unprecedented rate and firing its workforce.
“If I am correctly informed, Tesla each quarter destroys millions of dollars in the three digits, and it willy-nilly fires its workers,” Muller said, as translated from German by the Daily Kanban. “Social responsibility? Please.”
Tesla has only turned a profit twice in its company history. Earlier this month, Tesla fired hundreds of workers as it struggles to ramp up production for the Model 3. The company only manufactured 260 vehicles in September when it had targeted 1,500 cars.
The mass firing followed September cuts Tesla made to its solar arm. The company fired dozens of employees out of its Northern California office at the time.
Muller seemed to attack Tesla CEO Elon Musk’s propensity for making big announcements while his core automotive business suffers. Per the Daily Kanban:
Now I really need to say a few words about Tesla: With all respect, there are some world champions of big announcements in this world — I don’t want to name names. There are companies that barely sell 80,000 cars a year. Then there are companies like Volkswagen that sell 11 million cars this year, and produce a profit of 13 or 14 billion euro. If I am correctly informed, Tesla each quarter destroys millions of dollars in the three digits, and it willy-nilly fires its workers. Social responsibility? Please. We should not not get carried away and compare apples with oranges.
The comments were made as Volkswagen looks to move past its emissions-cheating scandal. The German automaker paid regulators $US14.7 billion in a settlement.
Get the latest Tesla stock price here.
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