The outspoken co-founder of Tesla Motors Inc, Elon Musk said “there’s definitely not going to be a recall” of the company’s Model S despite three reported vehicle fires in the last six weeks.
Since the rumours of a possible recall began, Tesla’s share price has dramatically decreased a total of 22 percent since the company posted its third-quarter results nearly a week ago.
There is an estimated fire in one out of every 1,300 gas-powered cars on U.S. roads, compared to the Model S which is closer to one in 8,000 stated Musk. Emphasizing none of the drivers were injured. Musk claims that the media’s reaction to the fires as unwarranted, and uneccessary.
Because there will be no recall, Tesla will be saving massive sums of money, but what does it mean to consumers? Due to the lack of a recall, potential customers may see Tesla as a company who does not value the safety of its patrons. Regardless, Tesla still views their vehicle as the best, and would recall the Model S if they thought the car had a safety problem, which clearly they do not.