Tesla is a “losing enterprise” that won’t last, Bob Lutz, former vice chairman of General Motors, told CNBC on Friday.
“The company, folks, is going out of business. At this rate they’ll never get to 2019,” the well-known Tesla skeptic said in an interview with “Power Lunch.”
Among the issues facing the electric-car maker are fixed costs that are out of control, an inefficient manufacturing operation and no dealership network, Lutz said.
Plus, there’s nothing about Tesla that can’t be easily duplicated by other automobile companies, he argued.
“There is no secret sauce in Tesla. They use the same lithium-ion batteries as everybody else.”