Tesla boss Elon Musk mentioned on Thursday excessive manufacturing and breakeven money move can be the “true test” for Rivian, a day after the electrical automobile maker’s blockbuster market debut.
“There have been hundreds of automotive startups, both electric and combustion, but Tesla is (the) only American carmaker to reach high volume production & positive cash flow in past 100 years,” Musk mentioned in a tweet.
“I hope they’re (Rivian) able to achieve high production and breakeven cash flow. That is the true test.”
Rivian raised about $12 billion (roughly Rs. 89,332 crore) on the planet’s largest preliminary public providing this yr and its market valuation hit greater than $100 billion (roughly Rs. 7,44,430 crore) as shares surged, making it the second most respected automaker within the United States after Tesla.
Rivian, which has simply began promoting its automobiles, was not instantly obtainable for touch upon Musk’s tweet.
Musk was responding to certainly one of his followers pointing that Tesla had been promoting its Roadster mannequin for over two years with plans to roll out Model S when it went public over a decade in the past.
Since the IPO, Tesla has ramped up manufacturing to ship about 500,000 vehicles yearly, with the corporate coming into the trillion-dollar market worth membership final month.
© Thomson Reuters 2021