Tesla Model X low first quarter sales due to “hubris”

Tesla Model X 3

Tesla saw sales below its forecast in the first quarter of the year due to “hubris.” The company, which releases its sales figures by the quarter, stated that it sold 12,420 Model S and 2,400 Model X vehicles in the first quarter. The sum is lower than the 16,000 figure that it had forecasted in February.

According to Tesla, the low delivery count for Q1 was blamed on the Model X, or more specifically – supplier parts shortages. The company also identified the root causes of the parts shortages, one of which includes “Tesla’s hubris in adding far too much new technology to the Model X in version 1.”

Secondly, it was caused by insufficient supplier capability validation and lastly, due to “Tesla not having broad enough internal capability to manufacture the parts in-house,” the company explained in a statement. The parts comprise of half a dozen out of more than 8,000 unique parts, which affected delivery of cars.

That said, soon after the supply shortages were taken care of, weekly production rate sprung to 750 units by the end of March. Tesla has assured that it is addressing all three root causes to ensure that no mistakes will be repeated with the new Model 3, which will begin production in late 2017.

Tesla however, has also reaffirmed that it is on track to deliver 80,000 to 90,000 new vehicles in 2016. Meanwhile, the company noted that its Q1 deliveries for 2016 were more than that of 2015 (up by 48% compared to the year before).

GALLERY: Tesla Model X

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Graham Chin

Having spent a number of years as a journalist for a local paper, a marketing executive for a popular German automotive brand and a copywriter, Graham, a true-blue Sarawakian, knew he had to take the leap back into the motoring scene - and so he did. To him, nothing’s better than cruising for hours along a scenic route, in a car that’s designed and built for that purpose.

 

Comments

  • Rinnegan on Apr 05, 2016 at 10:30 pm

    Since Proton is in a desperate need for a joint venture partner, maybe they can offer their facilities to manufacture Tesla cars, making use of the TPPA. This way, hopefully it will give Malaysia an edge in Full-Electric vehicles manufacturing. Any other opinions on this, gentlemen?

    Like or Dislike: Thumb up 2 Thumb down 3
    • Good but we should only support our local products and not worship foreigners

      Like or Dislike: Thumb up 4 Thumb down 2
    • Tesla plastic quality alredi like P1. Later if make Tesla here, pipu will blame P1 for giving low quality plastic. Then P1 hailat lorr.
      Somemore Tesla reliability was not so gud in hot environment (calif, texas, etc), so if come here becomes as unreliable then pipu say ini semua salah P1. Then P1 double hailat lorr.

      Like or Dislike: Thumb up 4 Thumb down 3
 

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