Tesla to lay off workers, Elon Musk becomes CEO

Some major changes are coming down the road at Tesla Motors. According to San Jose Mercury News, the producer of the high-performance electric Tesla Roadster is running low on cash. With less than 50 cars costing $109,000 each delivered, Tesla will begin laying off employees.

Tesla’s chief investor Elon Musk will take over as CEO replacing Ze’ev Drori who will take the seat as vice chairman. Tesla is expected lay off at least half of its total 200 workers.

Musk said that Tesla will have to delay its next sports sedan Model S model that was originally scheduled for 2010. Last month Tesla made headlines when it announced a $250 million Silicon Valley plant to produce the new Whitestar sedan that it will unveil next year. The electric-car maker will also close its suburban Detroit operations.


Source: Automotive News (Subscription Required)