Tesla management said The recent layoffs — which gutted some departments by 20% and even hurt high performance — are largely due to poor financial performance, a source familiar with the matter told TechCrunch on Monday. The layoffs were announced to employees just one week before Tesla was scheduled to report its first-quarter earnings. The move comes as Tesla has seen its profit margin narrow over the past few quarters, as a result of an electric car price war that has been going on for at least a year. The company delivered a record 1.81 million vehicles in 2023. However,…
Author: ricardofrancois
An employee works on the tail of a Boeing 787 Dreamliner on the production line at the company's final assembly facility in North Charleston, South Carolina.Travis Dove | Bloomberg | Getty ImagesBoeing The company on Monday defended quality and safety tests conducted on its 787 Dreamliner and 777 jets, days after one of the company's engineers made allegations that the plane manufacturer took “shortcuts” to speed up production of the planes.Whistleblower Sam Salehpour said last week that assembling the Boeing 787 puts excessive stress on the plane's joints, which could shorten the life of some planes. Boeing denied the allegations,…
New York – US stocks fell on Monday after rising yields in the bond market due to the strength of the US economy increased pressure on Wall Street.The S&P 500 fell 1.2%, after last week's loss of 1.6%, which was the worst since October. The Dow Jones Industrial Average fell 0.7%, and the Nasdaq Composite Index fell 1.8%. Stocks rose strongly earlier in the day, with oil prices falling on hopes international efforts to calm rising tensions in the Middle East will help. But Treasury yields also rose after the latest report on the US economy, beating expectations. The economy…
Check out the companies making headlines in midday trading. Tesla – Shares fell 5.6% after an internal memo said the electric car maker plans to lay off more than 10% of its global workforce. “As we prepare the company for the next phase of growth, it is extremely important that we look at every aspect of the company to reduce costs and increase productivity,” CEO Elon Musk said in the memo. Tesla had approximately 141,000 employees as of December 2023. Shares of Goldman Sachs rose 2.9% after the investment bank beat Wall Street's first-quarter earnings expectations, posting a 28% jump…
Open Editor's Digest for freeRula Khalaf, editor of the Financial Times, selects her favorite stories in this weekly newsletter.The “golden age” of private credit may not have lasted long*. Activity in private credit heated up a lot in mid-2022, but this year some juice is back in the market for leveraged loans, also called broadly syndicated loans (BSL). There are some uh noteworthy trends driving this reversal but first we have to give some background information. These two markets – private credit and BSL – are seen as close competitors, if not substitutes. This is because they both offer variable…
Open Editor's Digest for freeRula Khalaf, editor of the Financial Times, selects her favorite stories in this weekly newsletter.A “strong” March retail sales report sparked a broad sell-off in U.S. government debt and rattled global currency markets on Monday, the latest sign that the world's largest economy may be too hot to justify cutting interest rates.US retail sales were much stronger than expected in March, as consumers continued spending despite uncertainty about the future path of interest rates.Data from the US Census Bureau published on Monday showed that retail sales, which include spending on food and gasoline, rose 0.7 percent…
After a pretrial period filled with juvenile tantrums, failed attempts to delay the proceedings, and brutal attacks on prosecutors, the chief justice, and New Yorkers in general, Donald Trump is about to face the men and women who will decide whether he is guilty of 34 crimes. Fillings crime.As his historic illicit funds trial begins in Manhattan on Monday, it may be expected that the former president will abandon these so far unsuccessful tactics. But don't bet on it.The opening act of the trial will likely involve the same kind of incivility and invective on the part of the defendant,…
A stationary bike is photographed inside a Peloton store in Manhattan, New York City, US, January 25, 2022. Carlo Allegri | ReutersPeloton The company said it quietly removed the free unlimited membership tier on its fitness app less than a year after its debut because the initiative failed to convert users into paid subscribers. Peloton has dropped the free option for new users, which was previously a key part of the company's growth strategy, over the past few weeks. People who signed up for the company's free unlimited membership before it was removed will continue to have access, Peloton said.New…
Elon Musk plans to charge new X users a small fee to enable publishing on the social network and reduce the bot problem. In response to an X account that posted about the changes on the X website, Musk said that charging a small fee to new accounts is “the only way” to stop the “bot attack.” “Current AI (and troll farms) can easily pass the 'Are you a robot' question,” Musk said, referring to tools like CAPTCHA. Unfortunately, charging a small fee for a new user's write access is the only way to curb the relentless onslaught of bots.…
Tesla It will lay off more than 10% of its global workforce, according to a memo sent by CEO Elon Musk to employees.The company's shares were down 4% Monday afternoon.“As we prepare the company for the next phase of growth, it is extremely important that we look at every aspect of the company to reduce costs and increase productivity,” Musk said in the memo obtained by CNBC.“As part of this effort, we conducted a comprehensive review of the organization and made the difficult decision to reduce our headcount by more than 10% globally,” the memo said.The memo was first reported…