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Chapter 195 Potential money loser

If someone told Suri.

He said that the waiter who was serving him the plate at this moment would become the founder of the world's largest restaurant group, a billionaire, and the richest man in the world in the future.

Suri would probably take it as a joke and laugh it off, instead of hugging the waiter and letting the waiter make him rich.

When to say what to say.

At least based on Tesla's current performance, Suri's statement that he wants to use its platform to build an electric supercar seems reasonable and reasonable to Elon Musk, and there is nothing wrong with it.

Strictly speaking, the Roadster model currently on sale is an electric sports car.

Although neither the brand nor the performance can be said to be "super", looking around the world, the technology is already considered to be the first-class level.

Under the premise of spending money at all costs, Tesla's existing talent team is indeed capable of integrating a super sports car, which may compress the acceleration time to 100 kilometers to less than three seconds.

Since Suri also spent a lot of money to buy Lanai Island, Musk is naturally regarded as the kind of super rich who likes to enjoy themselves.

It’s not surprising at all that he wants to build his own supercar brand.

After thinking about it for a moment, Musk told him:

"If you plan to acquire the whole, then whatever decision you make is none of my business. But if you are preparing to raise funds, the idea of ​​building an electric supercar may be a little different from our positioning. The plan of me and the company executives, They are all about constantly lowering manufacturing costs and creating electric vehicles that are comparable to or even better than fuel vehicles. That is, cars that meet daily travel needs and are not so expensive, like Toyota, but a little cooler."

Suri's disguise is quite deceptive.

In order not to be taken as a scapegoat, he would go crazy to describe Tesla's development prospects in front of Musk.

Once you really say it.

Wouldn't it be better to reveal that you really want to invest in it and personally give Musk the opportunity to raise the price?

So at this time, Su Rui shook his head and said:

"The global automobile market is close to saturation. Others can run thousands of kilometers with a full tank of gas. Why buy expensive electric cars? And if you want to mass-produce ordinary cars, the initial investment cost is much higher than developing a supercar. I spent 5,000 You can produce a supercar with US$10,000, but to realize the mass production of electric vehicles you are talking about, US$2 billion may not be enough.”

Musk really wants to say that the Roadster electric sports car has begun mass production, but with sales of hundreds of units a year, it is a bit embarrassing to mention it.

So he just spread his hands to express his helplessness and said to Su Rui:

"It's a little difficult in the short term, but the technical level of battery production has been improving. As long as we manufacture it in large quantities, the cost will soon come down. This is a relatively long-term goal."

Suri finished ordering her meal first.

Then he took his time and said to Musk:

"I originally wanted to invest US$100 million or US$200 million, but the R\u0026D costs are so high, and it is very likely that the money will be burned out before mass production begins. This means that I will continue to raise funds, which will continue to dilute the shares I hold. , when it really succeeds, the US$100 million raised will probably only account for about 5% of the shares?"

After saying this first, Su Rui smiled and added:

"You should understand that from the perspective of investors, the risk of financing Tesla is too high. If the follow-up funds cannot keep up, the capital chain will break immediately, and Silicon Valley venture capital institutions have the least confidence. They only You want projects that are already mature and will bring in revenue quickly.”

How could Elon Musk not know that Tesla's situation is very dangerous? Unlike Internet companies in Silicon Valley, Tesla involves physical manufacturing, and it is difficult to attract potential investors.

Product technology, output, revenue, financial status, etc. are all clear at a glance and clearly displayed in front of investors.

When he discovered that even a young man like Suri could see that Tesla’s future was difficult.

Musk suddenly felt a chill and felt that if he continued to hold Tesla, the future would be difficult.

Although Musk estimates that it will cost less than US$2 billion to achieve mass production and build a super factory.

But including R\u0026D, marketing, etc., US$1 billion may not be enough.

Just like when he sold the payment software PayPal, Musk thought at this moment that Suri had already bid $220 million, so he might as well just walk away and make a total profit of more than $100 million, which was enough to satisfy him. .

The reason why he felt this way was also due to Su Rui's quiet guidance.

Suri said that his shareholding will be diluted with continued financing, and the same is true for Musk, the major shareholder. Taking into account the time and energy costs invested, etc., Tesla looks like it has no future. look.

Judging from the current situation.

Suri just told the truth, everything seemed very natural.

Elon Musk is usually talkative, but he couldn't answer Suri's question at this time. He thought about it for a while and then said:

"Even if it only accounts for 5% of the shares, it may be valuable. When the research results come out, I believe we can continue to find new funds. The scale of the automobile market is extremely large. Even if only one in 10 people choose to buy an electric car, It will also be a market with an annual output value of hundreds of billions of dollars, and it is worth waiting patiently and incubating it seriously."

Suri was not able to read minds and couldn't figure out Musk's thoughts, so he tried in a joking tone:

"How about you package it and sell it to me? I've already made a great offer. Maybe when I develop an electric supercar, I can give you one for free."

"$220 million? It's very exciting. But I think it's worth more. If you really want to build an electric supercar, you may be able to cooperate in other ways. For example, Tesla provides technology and R\u0026D teams, and you It’s in your better interest to be responsible for funding.”

"."

Suri felt outnumbered and quickly shook his head and replied:

"But this is your credit, not my brand. It doesn't look cool enough. There is still a long time tonight. Please talk about Tesla's current strategic plan first. You may find some bright spots and consider financing. According to The implementation of your plan is not completely non-negotiable. My investment model is relatively flexible and I can always find a way of cooperation that satisfies both of us."

Just like Musk said.

The automobile industry is huge, and Tesla's prospects are quite good if the potential benefits are worth exploring.

The only problem is how to mass-produce an electric car that has a chance to sell well, which is limited by financial issues.

If it is sold for about US$200 million, even if you contact traditional car companies, you will still have a chance to reach cooperation at this price, so Musk is not in a hurry for a while.

In his eyes, Tesla is a potential money-losing product, but he can sell it or not.

in addition.

Capital markets are picking up, and Musk doesn't want to make hasty, wrong decisions.

During meal.

We talked about Tesla’s strategic planning, which is nothing more than developing a high-end sedan and finding ways to mass-produce it.

Based on the Roadster electric sports car, the company has accumulated some experience, and the research and development of the Model S prototype is in progress.

On the surface, Suri didn't pay much attention to mass-produced electric cars, but he actually listened very carefully. When the mutton was served, he asked Musk while eating:

"It's interesting. I can see that you have put a lot of thought into it. Most goods in the world have a price. What conditions do I have to offer before you agree to sell Tesla to me? In exchange, when the time comes, How about taking you to participate in the financing of Netflix Entertainment? It is also a cool company and has the opportunity to let you make guest appearances and try to be a star."

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