Deep Into 'Production Hell', Tesla Buys an Automated Machine Company
Tesla has purchased Perbix – a manufacturer of automated machines often used in the production of vehicles.
Perbix is a company that was already close to Tesla, serving as a supplier to the company for about three years, according to Bloomberg. The automaker refused to disclose details on the acquisition, but Perbix president James Dudley will receive about $10.5 million in Tesla stock as part of the deal.
SEE ALSO: Tesla’s Director of Battery Engineering is No Longer with the Company
Tesla has cited issues with its automated production line as part of the reason for production delays of its Model 3 sedan. The automaker planned to build 1,500 Model 3s by the end of September, but only produced about 260 examples of the $35,000 EV. It has since pushed back its production target of making about 5,000 Model 3s a week from December to March. In an earnings call with media, Tesla founder Elon Musk said the production ramp up for Model S and Model X was easier “because a lot less of it was automated, we could scale up labor hours and achieve a high level of production.”
“With Model 3, either the machine works, or it doesn’t, or it’s limping along and we get short quite severely on output,” he said.
[Source: Bloomberg]
Sam McEachern holds a diploma in journalism from St. Clair College in Windsor, Ontario, and has been covering the automotive industry for over 5 years. He conducts reviews and writes AutoGuide's news content. He's a die-hard motorsports fan with a passion for performance cars of all sorts.
More by Sam McEachern
Comments
Join the conversation