Ending Soon! Save 33% on All Access

Elon Musk Warns Tesla Workers They'll Be Sleeping on the Production Line to Build Its New Mass-Market EV The Tesla CEO said on the company's Q4 earnings call that building Tesla's next-generation EV, set to enter production in 2025, will require Tesla workers to live and sleep on the manufacturing line in Texas.

By Tom Carter

Key Takeaways

  • Elon Musk said Tesla engineers may have to sleep on the line to build the company's next-gen EV.
  • Tesla workers have previously said they slept on factory floors during production ramp-ups.
  • Tesla is working on a mass-market EV, which it expects to start producing in 2025.
Pool/Getty Images via Business Insider
Elon Musk told investors that Tesla's next-generation EV is set to enter production in 2025.

This article originally appeared on Business Insider.

Elon Musk warned Tesla workers to prepare for a challenging production ramp-up as he previewed plans to build a mass-market vehicle.

The Tesla CEO said on the company's Wednesday earnings call that building Tesla's next-generation EV, set to enter production in 2025, will require Tesla workers to live and sleep on the manufacturing line at the company's Texas factory.

"We really need the engineers to be living on the line. This is not sort of an off-the-shelf 'it-just-works' type of thing," Musk told investors.

"That will be a challenging production ramp," Musk said. "We'll be sleeping on the line, practically. Not practically, we will be."

It wouldn't be the first time Tesla workers have reportedly had to sleep on manufacturing lines to meet the company's production deadlines.

A former worker at Tesla's factory in Fremont, California, told The Verge that employees would sleep on the factory floor after 12-hour shifts. Musk has said he slept beneath his desk while spending "three years straight" basically living in Tesla's manufacturing facilities.

Musk said that Tesla's next-generation vehicle, which Reuters reported is a mass-market, affordable EV codenamed "Redwood," is set to enter production in the second half of 2025 at the company's Texas Gigafactory — though he admitted that he is often optimistic with timing, and could not yet predict how many of the vehicles Tesla would initially produce.

Tesla workers could face a heightened form of what Musk previously dubbed "production hell" during Tesla's 2017 Model 3 ramp-up.

"There's a lot of new technology, a tremendous amount of new revolutionary manufacturing technology here," Musk said.

"I am confident that once it gets going, it will be head and shoulders above any other manufacturing technology that exists anywhere in the world. It's next level," he added.

The billionaire has hinted for years that Tesla plans to release a cheaper EV expected to cost below $30,000.

It comes as the company is under increasing pressure from Chinese EV manufacturers prioritizing more affordable vehicles, with the Chinese EV manufacturer BYD recently overtaking the U.S. automaker as the world's largest producer of electric vehicles. But BYD does not yet sell its cars in the U.S.

Tesla did not immediately respond to a request for comment from Business Insider, made outside normal working hours.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business News

'Creators Left So Much Money on the Table': Kickstarter's CEO Reveals the Story Behind the Company's Biggest Changes in 15 Years

In an interview with Entrepreneur, Kickstarter CEO Everette Taylor explains the decision-making behind the changes, how he approaches leading Kickstarter, and his advice for future CEOs.

Business Ideas

87 Service Business Ideas to Start Today

Get started in this growing industry, with options that range from IT consulting to childcare.

Business Models

How to Become an AI-Centric Business (and Why It's Crucial for Long-Term Success)

Learn the essential steps to integrate AI at the core of your operations and stay competitive in an ever-evolving landscape.

Marketing

5 Steps to Preparing an Engaging Industry Presentation

You can make a great impression and generate interest with an exciting, informative presentation. Find out my five secrets to creating an industry presentation guaranteed to wow.