Tesla has fired its team running its electric vehicle charging business, causing concern about the future of one of the largest US charging networks that other carmakers plan to use as well. The layoffs were confirmed by Tesla employees on social media, with one employee stating that the entire charging organization has been let go. The Supercharger network has been a major selling point for Tesla vehicles, but until recently, it could only be used by Tesla vehicles, raising questions about the future of the network.
After an invitation from Elon Musk, other major automakers in the US committed to making their EVs compatible with Tesla’s charging technology, now known as the North American Charging Standard. This has led to major EV charging providers announcing plans to build chargers with NACS cables. The impact of the layoffs on the charging network and the work being done across the industry is uncertain, as the future direction of the network remains unclear.
Despite the layoffs, Tesla has stated that they still plan to grow the Supercharger network, albeit at a slower pace for new locations. The focus will be on improving uptime and expanding existing locations. Electrify America has reiterated its plans to have NACS chargers available next year, while General Motors has stated that its plans to transition to NACS remain unchanged. The industry is closely monitoring the changes to the Supercharger team and the potential impacts on charging infrastructure.
Some analysts believe that Tesla’s move to lay off its charging team shows that the company no longer sees charging as a competitive advantage. With the network now open to other automakers, it may not be to Tesla’s benefit to advance charging technology that also benefits their competitors. Tesla’s focus is shifting towards autonomous driving as their North Star, redirecting resources in that direction. The decision to remove the entire charging department may be a result of softer EV demand globally, prompting strategic changes to realign the company’s focus.
In response to the layoffs, industry experts are questioning the reasoning behind Tesla’s decision to remove the charging team. While the company is facing challenges related to EV demand, drastic measures such as removing the entire department are seen as surprising. The future of the charging network and the impact on the EV industry as a whole remain uncertain as Tesla navigates changes in their strategic direction. It is unclear how these changes will affect the growth and development of EV charging infrastructure in the US and beyond.
