[jacobkranz]

Regarding their seats, that line seems to have been going really well. EM said it hasn’t been a bottleneck and they can scale their seat production too very easily. If anything, I see that as a sign that their vertical integration is working, even with Munro & Associates going as far as staying that they were floored by the margins the model 3 was getting.

[hef19898]

It is all about complexity, there is no added value for a caraker to produce their own seats. It is eating up resources and management attention. Both of which would have been better put behind the production ramp and the technical side of an EV car.

There is a reason for the specialized nature of the car industry. Regardless, had Teslas aim been to revolutionize the way cars are built I agree with a newly concieved vertical integration being a good idea. But that was not the initial goal, was it? Mission creep was never a good thing.

That being said I personally hope that Tesla manages the turn around, it's just that I'm not so optimistic anymore.