Tesla
History
Inflection points
Tesla was founded in 2003 (San Carlos, California). Every turn Acquired identified: founding, leadership changes, strategic pivots, crises, cultural moments.
Events and financial outcomes
The first US auto IPO since Ford in 1956. Raised $226M. Stock widely considered overvalued — Tesla had shipped 1,000 Roadsters and had no clear path to profitability.
Event source: Acquired Tesla episode
| Measure | FY2009 · 2009-12-31 | FY2011 · 2011-12-31 | Change |
|---|---|---|---|
| Revenue | $112M | $204M | $92M |
| Operating margin | -46.4% | -123.1% | -76.8 pp |
| Net income | −$56M | −$254M | −$199M |
| Operating cash flow | −$81M | −$128M | −$47M |
| Capital expenditures | $12M | $184M | $172M |
Reporting periods outside the event year; changes also reflect other decisions, market conditions, and accounting.
Case question. Which revenue, cost, or capital decision could explain the outcome, and what evidence would separate its effect from changes in the market?
The story
Tesla was founded by Martin Eberhard and Marc Tarpenning in 2003, a month after GM killed the EV1. Elon Musk led the Series A in 2004 and became chairman, eventually taking over as CEO in 2008 during a near-bankruptcy crisis. The original strategy — Roadster → Model S → Model 3 — was explicit from the beginning. The Roadster ($100K+) proved the technology; the Model S ($70K-$90K) proved the market; the Model 3 ($35K-$50K) addressed volume. What made Tesla strategically distinct was the vertical integration required by necessity: no one made the battery packs, the motors, or the software stack Tesla needed at the quality and cost required, so Tesla built them itself.
Inflection points · grouped by decade
2000s
- 2003Founding
Tesla Motors founded — one month after GM kills the EV1
Eberhard and Tarpenning found Tesla after GM's EV1 program ends. The EV1 proved consumers wanted EVs; its cancellation proved incumbents would not build them at scale.
[Acquired Tesla episode]
- 2004Financing
Musk leads $7.5M Series A
Musk becomes chairman and largest shareholder. His active involvement in product decisions begins immediately. He will become CEO in 2008.
[Acquired Tesla episode]
- 2008Crisis
Near-bankruptcy — Musk takes over as CEO
Tesla is days from bankruptcy during the 2008 financial crisis. Musk contributes his last personal funds. The Roadster has engineering problems; he fires the CEO and takes over.
[Acquired Tesla episode]
- 2008Product
Roadster ships — first production Tesla
$100K+. 0-60 in 3.9 seconds. 200+ mile range. Proves that electric vehicles can exceed internal-combustion performance. The 2,500 Roadsters sold funded the Model S development.
[Acquired Tesla episode]
2010s
- 2016Strategic shift
SolarCity acquisition + Tesla Energy
$2.6B acquisition of SolarCity (Musk's cousin's company). Creates Tesla Energy: solar panels + Powerwall batteries + vehicles as an integrated energy system. Controversial related-party transaction.
[Acquired Tesla episode]
- 2017Product
Model 3 launches — $35K mass-market EV
400,000 reservations on first day. 'Production hell' follows: Musk later says they automated too much too fast. The Model 3 eventually becomes the best-selling car in the world by revenue.
[Acquired Tesla episode]
2020s
- 2021-11Strategic shift
Supercharger access begins for other EV brands
Tesla begins offering Supercharger access to non-Tesla vehicles in selected locations in November 2021; opening the charging connector as NACS follows in November 2022.
[Tesla FY2024 Form 10-K, Supercharger Network]
- The filing dates non-Tesla access to November 2021 and the opening of the NACS connector to November 2022.[Tesla FY2024 Form 10-K]