Elon Musk
@elonmusk · Sep 6, 2021
Production is hard. Production with positive cash flow is extremely hard.
Elon Musk
@elonmusk
Large incumbent carmakers sell their cars at low to zero true margin. Most of their profit is selling replacement parts to their fleet, of which 70% to 80% are past warranty.
Like razors & blades.
New car companies lack this advantage. Also lack sales & service infrastructure.
07:16 PM · September 6, 2021 · 0 views
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