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Will they eventually reach a point where they can just run with the capital equipment they already have, and drop the CAPEX spending down?
by secabeen 8y ago
Will they eventually reach a point where they can just run with the capital equipment they already have, and drop the CAPEX spending down?
- JumpCrisscross 8y ago> Will they eventually reach a point where they can just run with the capital equipment they already have, and drop the CAPEX spending down? That's the plan. But you have to spend money to make money, particularly in the car business.
- rory096 8y agoTheir goal is 10k cars/week, so perhaps then. There's also (reported today) $5B planned for the factory in China, expected to be raised largely in-country but with some American/international investment. And, of course, some capex is always necessary to replace depreciating stock and support new models (pickup, new roadster, and truck all planned).
- radicalbyte 8y agoThey're talking about building a factory in Europe too, either in The Netherlands or in Germany.
- sunstone 8y agoThe thing about these new factories is that they will be using already developed technology and product so the risk is much lower for them than for the original model3 factory.