Tesla’s profitable Supercharger network is in limbo after Musk axed the entire team
Musk axed Tesla's profitable Supercharger team, casting uncertainty on network expansion.
Elon Musk's abrupt decision to axe the entire Supercharger team has left the future of Tesla's pioneering Supercharger network in limbo, despite the network's profitability and critical acclaim for transforming electric vehicle (EV) fast charging. At a time when over 25,000 charging ports operate in the U.S., supporting almost seamless coast-to-coast EV travel, and with more than 50,000 worldwide, the Supercharger network had been on an 'exponential path' of growth. Planned expansions and the implementation of the latest version 4 Supercharger hardware are now uncertain due to the sudden disbanding of the division responsible for these developments.
Before the layoffs, Tesla's Supercharger division had streamlined the production and installation process, driving down costs and facilitating rapid network growth, even as it prepared to support a new, more powerful charging standard. Industry insiders highlighted the efficiency and strategic placement of these chargers, making Tesla's network unparalleled in the EV industry. However, the removal of the dedicated team raises questions about ongoing projects and future sites, especially those in the planning stages or nearing completion, which are either stalled or at risk of abandonment. Without the Supercharger team, achieving the high targets set by Musk himself becomes significantly more challenging.
This situation unfolds amidst broader challenges for Tesla, including slowing sales and financial pressures leading to price cuts and layoffs across the company. The opening of the Supercharger network to other major automakers, adopting Tesla's proprietary plug design, signified a potential new revenue stream and broadened EV adoption. Yet, the current pause in network expansion and the ambiguity around its future complicate what was a strategic advantage for Tesla, raising concerns among EV owners, industry observers, and stakeholders about the reliability and growth of the most extensive fast-charging network worldwide.