After three months, Tesla steps down of the No. 1 spot in market value in the U.S.
Text by CEO North America Staff
Negative news can go a long way.
That has seemed to be the case for Tesla, who for three long months reigned the automaker market across the U.S., however, since past Monday, they have faced a notable market capitalization reduction by over 20%, as shares fell to 50.7 billion USD according to Bloomberg, putting General Motors, with 52.6 billion in revenue, once again ahead of the top-racers while Ford Motors is quietly waiting in position three.
It seems the market is punishing Tesla due to slow manufacturing and battery production, questionable acknowledgment of critical car components like seatbelts and little experience with volume production, as Axel Schmidt, managing director of automotive practice at Accenture, declared in an email recovered by The New York Times.
The constant surging problems for Tesla demand rapid answers from the car-company-giant, as last years remarkable run, which named Tesla as the most successful battery-powered producer for electric cars, will soon be overshadowed by the way they respond to urgent company needs, as well as seeing how good they can live up to the intense and fast-responding competition that is closing in quickly with companies like G.M., Ford Motors and Volvo at a rise, putting Tesla against the wall by announcing the Volvo hybrid models would be fully operating by 2019, contrasting to Tesla´s constant delays.
Tesla will start this Friday its new Model 3 car production series with a timeline presented by CEO Elon Musk despite already being late in several company schedules.