Enlarge / Tesla's Shanghai factory in 2023. (credit: VCG/VCG via Getty Images)
Times are starting to get tough for Tesla. The electric vehicle automaker had been riding high, with quarter after quarter of successive growth and plenty of profits in the process. But lately, that success has mostly been due to a series of price cuts meant to tempt customers to buy into an aging lineup. This March, the company reported its first quarterly decline since 2020.
Now, it plans to lay off more than 10 percent of its workforce, according to an internal memo seen by Reuters.
"As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity," Tesla CEO Elon Musk told employees in the memo.