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Re:

Elon Musk on Tesla’s Cybertruck: “We Dug Our Own Grave”

Musk’s Cybertruck remark was about manufacturing difficulty. Tesla later reported ramp-related cost and margin pressure, but not a standalone profit or loss for the truck.
From TheFinanceBase Team3 min to read
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Elon Musk’s “we dug our own grave” remark was a warning about the difficulty of mass-producing the Cybertruck, not a declaration that Tesla had proved it was commercially doomed. Subsequent company filings did report that higher Cybertruck costs weighed on automotive costs and that the truck’s production ramp contributed to lower automotive gross margin in 2024 than in 2023. Those disclosures provide business context, but not a standalone measure of the truck’s profitability or demand.

What Musk meant by “we dug our own grave”

The Associated Press reported that Musk made the remark during Tesla’s third-quarter conference call in October 2023, while discussing the challenge of mass-producing the Cybertruck. AP’s wording is “we dug our own grave with Cybertruck”—without “the.” The title’s version adds the article, but the underlying point is the manufacturing challenge AP described.

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The original call transcript is not available here to verify the full exchange independently. The quote should therefore be understood as AP’s report of Musk’s words, not as a transcript-checked quotation with its surrounding context established.

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What Tesla later disclosed about Cybertruck costs

In its 2024 Form 10-K, Tesla said higher Cybertruck costs partially offset decreases in automotive cost of sales. The company also said the Cybertruck ramp contributed to lower total automotive gross margin in 2024 compared with 2023. These statements connect the production ramp with pressure on the company’s reported automotive costs and margin.

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They do not disclose a Cybertruck-specific profit or loss figure, nor do they establish how many trucks Tesla produced or delivered. Automotive gross margin is a company-level measure, and Tesla’s explanation is not enough to isolate the truck’s standalone financial performance or infer customer demand. The filing is useful as evidence that ramping the vehicle had a cost impact; it does not prove that the product was commercially doomed.

How the recalls differ from the manufacturing warning

Production costs and safety recalls are separate issues. Musk’s 2023 remark concerned mass-production difficulty; the recalls below concern particular vehicle components, production periods, and remedies. Eligibility depends on the vehicle identification number (VIN), not simply the Cybertruck name or model year.

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Issue Vehicles or production period described Remedy or owner action
Cantrail adhesive joint Certain 2024 and 2025 Cybertrucks manufactured November 13, 2023 through February 27, 2025. Tesla says the joint may delaminate, potentially allowing a stainless-steel panel to separate and create a road hazard. Tesla says it will replace the assembly at no charge. Its recall-specific guidance says affected vehicles may continue to be driven while awaiting service; owners should check their VIN and current instructions at Tesla’s cantrail recall page.
Drive inverter Certain model-year 2024 vehicles produced November 6, 2023 through July 30, 2024. Tesla says a fault may cause loss of propulsion. Tesla says affected inverters will be replaced at no charge. Owners should check their VIN and follow Tesla’s current service instructions.
Backup-camera display Certain 2024 Cybertrucks with the cited camera-feed issue. Tesla says software release 2024.32.5.2 or later corrected the condition and was distributed over the air. This is a historical version reference, not a claim about every vehicle today; owners can check the VIN and software details on Tesla’s camera-update page.
Accelerator pedal The AP reported that NHTSA’s recall population was 3,878 model-year 2024 Cybertrucks, involving vehicles made November 13, 2023 through April 4, 2024. This is one recall population reported by AP, not a production total or a count of all Cybertruck recalls. Check the vehicle’s VIN with Tesla or NHTSA for current recall status.

For any vehicle, use the manufacturer’s current VIN check and service guidance rather than assuming a recall applies—or does not apply—based only on model year or production dates. Recall records can change, and the remedy depends on the specific issue and vehicle.

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How to read the quote alongside the later evidence

The remark and the later filing speak to different evidence at different times: AP reported a manufacturing warning in October 2023, while Tesla’s filing described cost and margin effects for fiscal year 2024. Read together, they support a limited conclusion: bringing the Cybertruck into production was difficult and its ramp had a cost impact Tesla reported. They do not, by themselves, establish sales performance, total losses, or the truck’s long-term commercial outcome.

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