Automotive
Tesla recently reversed its decision to lay off nearly 500 members of its Supercharging team, a move that surprised many in the electric vehicle industry. Among those rehired is Max de Zegher, who held a prominent role as the director of charging for North America. His return, along with others from the dismissed team, signals a shift in Tesla’s strategy regarding its charging network.
The abrupt dissolution of the team led by CEO Elon Musk raised eyebrows, particularly considering the significance of Tesla’s Superchargers to its overall business model. These charging stations have not only been crucial for Tesla owners but have also become an industry standard, with Tesla persuading competitors to adopt its plugs and partnering with major manufacturers to open its network to their customers.
Following criticism of the layoffs, Musk pledged to invest “well over” $500 million into expanding Tesla’s network this year. Additionally, he announced plans to focus more on improving the uptime and efficiency of existing charging locations rather than rapidly adding new ones.
Acknowledging the challenges posed by the internal restructuring, Tesla’s official charging account on a social media platform owned by Musk thanked site hosts and suppliers for their patience. De Zegher, one of the rehired employees, reposted the message, indicating a positive outlook on Tesla’s charging network development.
Musk’s decision to reverse the layoffs is not unprecedented. In the past, he has retreated from impulsive cost-cutting measures, such as in 2019 when he initially announced the closure of Tesla stores only to backtrack and raise vehicle prices due to logistical challenges.
This reversal echoes a similar situation at Twitter in 2022, where Musk, after laying off a significant portion of the workforce, later requested some employees to return. Tesla’s Supercharger network, which began in 2012, has grown substantially, with over 6,200 stations and 57,000 connectors worldwide, underscoring its importance within the company’s ecosystem.
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