Tesla skeptics can be overly negative. I get it. Some of their doubt about the company is driven by the overbearing nature of Tesla fans. Tesla fandom can be spectacularly obnoxious. Yet, the skeptics must admit. Tesla is scaling rapidly?
The chart above highlights Tesla’s 3rd quarter vehicle deliveries from 2012 to 2021. This is not just vehicle delivery “growth.” This is the very definition of vehicle delivery “scaling.” Growth is linear. Scaling is exponential. Tesla global vehicle deliveries are growing exponentially. In an environment where global automotive companies are struggling with supply chain issues like microchip availability, the impact on Tesla seems to be much less thus far.
Not only has Tesla developed a core competence in electric vehicle development, but the company seems to be mastering manufacturing operations as well. A few years ago, Elon Musk said, "It's relatively easy to make a prototype, but extremely difficult to mass manufacture a vehicle reliably at scale. Even for rocket science, it's probably a factor of 10 harder to design a manufacturing system for a rocket than to design the rocket. For cars it's maybe 100 times harder to design the manufacturing system than the car itself."
It seems Musk continues to work hard on the design and implementation of its manufacturing system. This is as important to the continued growth of Tesla as the company’s vehicle engineering capability.
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TaaSMaster, LLC is not a registered investment advisor or broker/dealer. All investment opinions expressed by TaaSMaster, LLC are from personal research and experience of the owner of the site and are intended as educational material. Although best efforts are made to ensure that all information is accurate and up to date, occasionally unintended errors may occur.