Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[Pras]

Tesla should move out of Fremont. Long term moving to a business friendly low cost and low tax state will help.

honestly this gives Elon an excuse to do what he should have done anyway. Bay Area is one of the most expensive places. They also have a problem of plenty as many large corps are there.

 

[StarFoxisDown!]

They will cave. But Elon is smart so he will offer them an out where it looks like a happy compromise was reached. Some friction will remain but the cars will be coming off the production lines and California production line workers will be back to work.

I would have agreed with this view a couple weeks ago. But given how they've handled this process since, it's a 50/50 coin toss right now in terms of a deal being reached. There's legit concern on Elon/Tesla's part that even if they are allowed to start production, they could be shut down again when the number of cases naturally spikes some......even though thats what we all know will happen and it's unavoidable.

 

[BOBTHEJOCKEY]

I know this won't be popular here but I don't care.

At this point, re-opening in Northern CA is only a few weeks away as a worst case scenario. Pushing this opening isn't necessary for all the negative PR.

Yes, cases in that county are low, but that could also be due to the steps that have been taken. If the health officials feel a few more weeks is necessary, it won't make a bit of difference in Tesla's long term story. Maybe it's all the day traders on this forum that are pushing for it but as a long term holder I can wait a few more weeks.

I know even Elon wouldn't agree with me but sometimes patience is appropriate .... it's remarkable how far Tesla and Elon have come ... they can see a finish line and they are ahead by leaps and bounds ... no need to trip here. Long term is what is important.


Cheers to the longs ....

Any company doubling production is hurt extra from ANY delay. Climate change marches on and is a bigger threat than this virus. People are accustomed to social distancing now and will continue. Case in point, handshaking is dead for good. Let the people make their own choices. Tesla gained a lot of experience operating with Covid 19 at the Shanghai plant.

 

[SMAlset]

We've discussed this before but tesla moving out of California doesn't really have any bearing on teslas engineering and software development teams. Tesla will likely still have offices in the bay area, just not manufacturing. Its only the line workers that would be impacted.

he said Headquarters. Depending on how the factory is treated maybe then factory (with line workers).

 

[TheGrimSweeper]

he said Headquarters.

Very easy to classify another building as HQ and still keep an office here.

 

[PeterJA]

Now no chance of getting any incentives from TX.

No, Elon said Tesla will move to Texas or Nevada. Texas still has incentives to provide incentives.

Workers now know they have cloudy future will start to leave.

And go where in this economy? I would stick with Tesla and see if they will move me to Texas or Nevada.

 

[EVNow]

Tesla’s most powerful weapon may well be public opinion.

Polls show people overwhelmingly support lockdown - 75% vs 10%.

Majority of Americans support another two weeks of lockdown: poll

The poll, conducted April 28-29 among 1,099 respondents, found 50 percent strongly support at least another two weeks of social distancing measures, with another 25 percent saying they supported them. Six percent said they opposed continuing the measures, compared to 4 percent who were strongly opposed. A larger portion—14 percent—said they had no opinion.​

 

[StarFoxisDown!]

he said Headquarters.

And? Moving the HQ's out of state probably have some tax implications. Doesn't mean they won't continue to have offices in the bay area. Tech companies have offices in many states where they house engineering/software talent that can't move to their HQ's.

 

[CyberDutchie]

Very easy for them to still keep a presence in silicon valley for software engineers and autopilot team.

I doubt they would move the Palo Alto office but it may no longer be the HQ.

Anyway where is Gavin? Is he seriously willing to risk this for California? He never should have let local counties take control. It needed to be a statewide decision.

Having each individual county control this just creates chaos.

Yes, leaving a crisis of this magnitude to incompetent county officials is just plain irresponsible. Same can be said of the federal government too, leaving testing up to the states. Can’t believe that three months into the crisis, testing availability is still an issue, preventing the economy to open up.

 

[Zaxxon]

 

[Dan Detweiler]

Polls show people overwhelmingly support lockdown.

Polls where and by whom?

Dan

 

[jerry33]

If the next factory’s in Texas, what about the franchise law?

Even if Texas doesn't repeal the franchise dealer law before the factory is built, it will certainly put a lot of pressure on the legislators when they have a factory producing cars that their residents can't purchase. Also no Tesla employee is going to vote for the incumbents responsible for keeping that law. And because of the shutdown, the dealer association will have less bribe money to purchase legislators. Naturally the legislators that are also car dealers aren't going to change their stance, but they might not be around after the next election.

 

[MD70]

I hope they don’t completely wind down as it will make sense to keep some production in freemont for logistical reasons.

 

[AZRI11]

Hey, that's my photoshop!

Yes it is

 

[CyberDutchie]

Polls show people overwhelmingly support lockdown - 75% vs 10%.

Majority of Americans support another two weeks of lockdown: poll

The poll, conducted April 28-29 among 1,099 respondents, found 50 percent strongly support at least another two weeks of social distancing measures, with another 25 percent saying they supported them. Six percent said they opposed continuing the measures, compared to 4 percent who were strongly opposed. A larger portion—14 percent—said they had no opinion.​

First, social distancing is different then lockdown of all (non-essential) businesses. Second, poll conducted 11 days ago, so another two weeks is almost over.

 

[EVNow]

Polls where and by whom?

Dan

See my update. But that was 10 days back.

In general the polls have shown big support for lockdown in the last 2 months. The support may slowly evaporate over time or continue depending on what happens with states that are opening up.

 

[JRP3]

I'm expecting a weekend of rage tweeting with Elon in cuffs sometime next week, all time high to follow.

First part complete...

 

[Zaxxon]

I think everyone should probably relax. From a practical standpoint, any move of manufacturing out of California is years away by necessity. And Musk didn't actually say that manufacturing would move, just that retaining it depends on how things progress from here.

 

[ZOE5IVE]

Am I missing something here? Tesla should have the worst quarter this year but Elon shouldn't be concerned/worried about sales numbers. I understand the risk of the suppliers going bankrupt but Tesla's horrible sales number will be forgiven. It's short term and has nothing to do with demand. It's a pandemic and if people had the reserve money they would choose staying at home over working. At their reduced capacity they still should be able to develop for FSD... which is more important long term.

 

[Mike Smith]

Elon: 'If we even retain Fremont manufacturing activity at all, it will be dependen on how Tesla is treated in the future.'

Translation: 'We're starting production on Monday, and you better not try to stop us.'