Capital Economy, Business and Finance
On Monday Elon Musk fired Tesla’s entire supercharging division. In a memo seen by The Information, Musk said axing the 500-strong group was part of the company’s “hard core” cost-cutting strategy. This caps a tough month for Tesla. The EV company had already lost two top executives, announced 14,000 layoffs and reported its largest decline in year-on-year revenues since 2012. In his only public statement, Musk wrote on X (formerly Twitter) that the expansion of its charging network would now grow “at a slower pace”. Mercedes and GM are watching Musk’s moves closely as they install charging ports that will allow their vehicles to use Tesla’s stations. They’ve also allied with five other manufacturers to create a rival supercharging network, Ionna. When one gull-wing door closes another opens: the fledgling network now has 500 new potential recruits.