Tesla Subpoenaed By SEC Over Model 3 Production

Tesla Subpoenaed By SEC Over Model 3 Production

In the race to fully self-driving cars, Elon Musk is confident that Tesla's autonomous features will blow its competition out of the water. While the company admitted there would be challenges, it said "we now expect to achieve a production rate of 5,000 Model 3 vehicles per week by late Q1 2018".

Musk was most enthused about the upcoming pick-up truck. The company ultimately made only just 2,425 in the entire fourth quarter. They show what the posters claim are piles of scrapped parts such as sub-frames and plastic panels, built in a rush to hit quarterly production targets.

Tesla and Musk, its billionaire chief executive, have pushed back strongly against a Wall Street Journal report last week that the FBI was pursuing a deepening criminal investigation into Tesla.

"I don't want to sound overconfident", said Musk, "but I would be very surprised if any of the vehicle companies exceeded Tesla in self-driving, in getting to full self-driving". Messages were left Friday seeking comment from the SEC and the Justice Department.

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Despite tweeting about plans to take Tesla private and later scrapping the idea, Musk said Tesla "could execute better if we were private." Why?

Tesla repeatedly has missed its own production deadlines for the Model 3 sedan, and is being investigated by multiple government agencies for possibly misleading investors about its business. It's now ramping up output at the two-year-old Gigafactory in Nevada, which is dedicated to making batteries for the Model 3 but still losing money, he said. The original complaint was dismissed but was refiled in September.

"Also being public, particularly when everyone at the company's a shareholder, causes a lot of distraction when the share price moves around a lot", he said.

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