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Tesla blames ‘hubris’ for Model X part delays. (2016)

“Given loss-making Tesla’s history of missed deadlines, this target needed to be met to earn the faith of consumers and investors alike

BBC News: technology (online)
5 April 2016

“Tesla Motors has revealed that supplies of its Model X electric car have been impacted by a shortage of parts meaning delays for some who have ordered them.

“… It was frank about the reasons for the delay: “The root causes of the parts shortages were: Tesla’s hubris in adding far too much technology to the Model X in version one, insufficient supplier capability validation and Tesla not having broad enough capability to manufacture the parts in-house.”

“(The issue) has raised doubts about how prepared Tesla will be to deliver its new Model 3 car which was announced to much fanfare last week.”

…. Stephanie Brinley, a senior analyst with research firm IHS, said that it was crucial that it gets production of the new vehicle right.

“Given its history of missed deadlines, this one needs to be met, to earn the faith of consumers and investors alike,” she said.

Last year Tesla posted a net loss of $889m (£620m) for 2015, partly because of the large sum it spent on research and development.

See the full article here: Tesla blames ‘hubris’

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  1. Matt Nixon says:

    I’ve been exchanging views on Twitter on this weird comment. Most of us think Tesla is trying to signal to its customers not that it is actually humbled by its cockup, but quite the opposite. One senior leader commented to me thus:

    “Musk’s ‘apology’ is just marketing. He sells cars to people who want to associate with audacious success, whatever the condition of their own lily liver. So claiming failure from hubris sends a signal to his followers – we are big, we are brave and, though we don’t screw up often, when we do it is because of over ambition not the imperfection of mere mortals.”

    I do hope this doesn’t signal the beginning of a mass misuse of the word to mean “I got caught out because I was a bit overambitious” There are shades of that in ex-Lehman CFO Erin Callan’s recent book plugging appearance on MSNBC…

    https://twitter.com/nixonm_2000/status/717117024309284864

    • Daedalus admin says:

      An interesting take! The Richard Branson approach? However, the business does appear to be running close to the wind and delivery delays won’t help (I wonder, for example, what they mean for cashflow projections?) We at the Trust also worry about the potential for misuse of the term hubris, but in a slightly different context. It’s all too easily thrown around as a very convenient epithet. We’re really only interested in the ‘pure’ sense, as a sustained change of personality.