Oppenheimer, like other big name firms including Goldman Sachs and UBS, sees Tesla needing to raise money soon, something Musk has repeatedly said the company will not do. The electric-car maker's shares fell as much as 2.3 percent in early trading Tuesday.
CEO Elon Musk reportedly delivered the statement to Tesla employees via email after previously notifying the employees that production was shut down for a short time due to a possibly unrelated small factory fire.
Musk thanked departing staff for their service, saying the company was "making this hard decision now so that we never have to do this again"; he also promised Tesla would "continue to flatten" its management structure.
It remains unclear if the two events are linked, but Musk claimed in his Sunday email that there "there are a long list of organizations that want Tesla to die".
The Tesla CEO's messages to employees come days after some 3,000 Tesla employees were dismissed, representing almost a tenth of the entire workforce. "Please be on the alert for anything that's not in the best interests of our company".More news: Thomas Markle: Meghan Said 'We'll Have to Call Him H'
Musk can not afford for Tesla to fail.
The automaker is ramping up efforts to meet its goal of producing 5,000 Model 3s, the company's attempt to offer a more affordable vehicle that would allow it to break into the broader consumer market.
To speed up auto production, Musk said Tesla is now testing an unconventional alternative, raising a giant tent structure on the Fremont grounds and building a new factory line inside from warehouse scrap. Smoldering in an air filter in the welding area of Tesla's body line was extinguished in a matter of seconds, she said.
The layoffs, Musk said, were part of a "difficult but necessary" reorganization targeting mostly salaried employees, not workers on the production line, adding that the cuts would "not affect our ability to reach Model 3 production targets in the coming months".
The tweet was in response to a question that referenced short sellers being concerned about Tesla's recent manufacturing expansion. Musk described the sabotage as "extensive and damaging". "Then there are the oil & gas companies, the wealthiest industry in the world - they don't love the idea of Tesla advancing the progress of solar power & electric cars", Musk said.