Tesla CEO, Elon Musk, warns that competition from other electric vehicles poses an existential threat to the company. Due to this competition, Tesla stock dropped 12% on January 26th. What’s Musk’s next move?

What Is Tesla’s Biggest Competition?

Rather than reaching its intended 50% growth this year, Tesla increased their sales by only 36%…

Making this Tesla’s second quarter in a row where they have failed to hit their targets. 

January 26th was the company’s worst day in 21 months. The 12% loss in stocks represents an $80 billion loss in market value. 

SINCE THE YEAR’S START, TESLA’S MARKET CAPITALIZATION HAS FALLEN BY $210 BILLION. 

The cause of the losses and slowed growth? According to Elon Musk…

Tesla’s competition in China. 

BYD, backed by Warren Buffet, and other Chinese automobile makers have been giving Tesla a run for its money. 

Musk has been cutting prices for Tesla vehicles to fight back against competition…

All while working on the launch of a new, cheaper vehicle model.

Conclusion

In the face of his car company’s losses, Elon has been keeping himself busy with his collection of businesses.

Just days after Tesla hit their worst performance…

Musk tweeted that his company, Neuralink, had successfully implanted a computer chip in a human subject’s brain. 

Despite his ingenuity, will Musk be able to save Tesla from its threatening competition? 

Or will he lose out to other car manufacturers ahead of the curve?

Be Great,

GCTV Staff

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