Musk: U.S.-China tensions ‘should be a concern for everyone’
Asked if he was concerned about “the growing belligerence” between the U.S. and China, Musk says that people should be concerned about tension between the two nations.
I think that should be a concern for everyone.
Musk believes China wants to take control of Taiwan – a country Tesla depends on for processors.
The official policy of China is that Taiwan should be integrated. One does not need to read between the lines…I think you should take their word seriously.
The Chinese economy and the rest of the global economy are like conjoined twins. It would be like trying to separate conjoined twins. That’s the severity of the situation. And it’s actually worse for a lot of other companies that it is for Tesla. I mean, I’m not sure where you’re going to get an iPhone, for example. There are some constraints on our ability to expand in China, and so we’re making as many cars as we can. It’s not a demand issue.
Musk to personally approve all Tesla hires
Musk tells Tesla employees in an email that he wants to personally approve every new hire at the company (which hires about 30,000 people per year). He says that he wants to get a better understanding of hiring at Tesla.
No one can join Tesla, even as a contractor, until you receive my email approval.
Musk’s SEC ‘muzzle’ appeal rejected
The 2nd U.S. Circuit Court of Appeals in Manhattan rejects Musk’s bid to modify or end his 2018 securities fraud settlement with the U.S. Securities and Exchange Commission that requires a Tesla lawyer to approve some of his tweets in advance. (SEC v Musk, 2nd U.S. Circuit Court of Appeals, No. 22-1291.). Musk argued that the SEC exploited his consent decree to conduct bad-faith, harassing investigations that violated his First Amendment free speech rights under the U.S. Constitution. His decree resolved an SEC lawsuit accusing him of defrauding investors with an Aug. 7, 2018, tweet that he had “funding secured” to take his electric car company private. (A San Francisco jury already found Musk not liable for investor losses over the tweet.)
In the appeal, Musk’s lawyers called the pre-approval mandate a “government-imposed muzzle” that amounted to an illegal prior restraint on his speech, but the court says the SEC had opened just two subsequent inquiries into Musk’s tweets, which “plausibly violated” the decree’s terms. The three-judge panel says that the SEC’s inquiries were “limited” and “appropriate,” and “have not made compliance with the consent decree ‘substantially more onerous'” for Musk, who chose to allow screening of his tweets and therefore has no right to revisit the matter “because he has now changed his mind.” Musk lawyer:
We will seek further review and continue to bring attention to the important issue of the government constraint on speech.
China orders Tesla recall
Chinese safety regulators order Tesla to recall 1.1 million vehicles because drivers aren’t able to select the regenerative braking system and there is a lack of warning when they press hard on the accelerator pedal. The State Administration for Market Regulation (a Chinese government organ) says these issues:
may increase the probability of mistakenly stepping on the accelerator pedal for a long time, which may increase the risk of collision and pose a safety hazard.
The recall involves imported Model S, X and 3 models as well as the Chinese-made Models Y and 3. The models were produced between January 12, 2019 and April 24, 2023, though it isn’t clear whether those dates apply only to the Chinese-made vehicles. Tesla will fix the problem with an online software update.
Tesla to ‘cooperate’ with Samsung in IT development
Musk meets for the first time with Jay Y. Lee, Executive Chairman of Samsung Electronics, during Lee’s visit to the United States, to discuss ways Tesla and Samsung can work together in future high-tech industries, such as semiconductors for autonomous vehicles.
Musk breaks ground at Tesla lithium refinery
Joined by Governor Abbott (R), Musk breaks ground at the site of the Tesla’s $375 million lithium refinery in Corpus Christi, Texas, after arriving in a Cybertruck with shovels strapped to the sides. Tesla says the facility will help it secure a domestic supply of lithium hydroxide, a key ingredient used to make its batteries. Musk says the availability of battery-grade lithium is a “fundamental chokepoint” for the electric vehicle industry and others. Tesla aims to produce enough battery-grade lithium at the refinery to manufacture one million vehicles per year, and to produce more lithium than the rest of North America’s refining capacity combined there.
Tesla promises it will use an “innovative” process, designed to consume less hazardous reagents, such as hydrochloric acid, and create “beneficial use opportunities” from byproducts, which they expect to be mostly sand and limestone. However, the company did not disclose the specific chemistry it would rely upon for processing. Musk:
There’s no toxic emissions or anything — you could live right in the middle of the refinery and not suffer any ill effects.
Abbott praises Musk as the greatest entrepreneur on Earth, saying:
Texas wants to be able to be self-reliant, not dependent upon any foreign hostile nation for what we need.
Increasing lithium refining capacity is critical to a sustainable energy economy—today, we're breaking ground on our in-house lithium refinery outside of Corpus Christi, TX.
This facility will also prioritize the elimination of a challenging refinery byproduct (sodium sulfate).… pic.twitter.com/mBnDBLNrW7
— Tesla (@Tesla) May 8, 2023
Tesla lawyers: Musk’s statements could be deepfakes
Tesla’s lawyers argue in court filings that some of Musk’s statements about the safety of their autopilot features cannot be trusted, because they could be deepfakes. This includes Musk, saying in a speech in 2016:
A Model S and Model X, at this point, can drive autonomously with greater safety than a person right now.
The lawyers say they don’t know whether Musk really made the statements or not:
At first glance it might seem unusual that Tesla could not admit or deny the authenticity of video and audio recordings purportedly contain statements by Mr. Musk…The reality is he, like many public figures, is the subject of many ‘deepfake’ videos and audio recordings that purport to show him saying and doing things he never actually said or did.
Judge Pennypacker says these arguments are “deeply troubling” and tentatively orders Musk to be interviewed under oath for three hours about whether he made the statements:
Their position is that because Mr. Musk is famous and might be more of a target for deepfakes, his public statements are immune. In other words, Mr. Musk, and others in his position, can simply say whatever they like in the public domain, then hide behind the potential for their recorded statements being a deep fake to avoid taking ownership of what they did actually say and do.
The filings are part of a lawsuit brought against Tesla in 2019, alleging that the autopilot feature was defective, resulting in the death of the car’s owner.
Musk to Yoon: South Korea could get Tesla Gigafactory
Musk meets South Korean President Yoon Suk-Yeol to discuss building a Tesla factory in South Korea. Yoon wants a Tesla factory there and is visiting the U.S. for six days, so Musk requested the Washington meeting. Citing its high-skilled workers and advanced industrial robots, Yoon said South Korea is a good place for a Tesla “Gigafactory” and Musk told him that the country is a top candidates for one. Yoon also said that if Tesla decides to invest there, he would actively support the company in regards to location, human resources and tax.
Tesla wins Autopilot crash case
After a three-week trial in the Los Angeles Superior Court, a California jury rules in Tesla’s favor in a lawsuit over a crash involving the company’s partially automated driving software. The jury finds that the company’s Autopilot feature did not fail when plaintiff Justine Hsu’s Model S swerved into a curb while the feature was turned on. The jury also found that the vehicle’s airbag performed safely and Tesla did not intentionally fail to disclose facts. Hsu, who had sought more than $3 million in damages, and was awarded none, broke down in tears outside the courtroom after the jury delivered its verdict. One of her attorneys expressed disappointment with the result. Tesla’s attorney declined to comment.
Tesla stock drops nearly 10% over continued price cuts
Tesla stock (TSLA) drops nearly 10%, nearly $50 billion in market capitalisation, after Musk says the electric vehicle manufacturer will keep cutting prices in a bid to drive up demand in a weak economy. Focusing on sales growth rather than immediate profit, Musk said:
We’ve taken a view that pushing for higher volumes and a larger fleet is the right choice here versus a lower volume and a higher margin.
With this drop, Tesla’s market capitalization ending below Meta Platforms’ for the first time since 2021.
Tesla cuts Model Y, Model 3 prices
Tesla cuts US prices for Model Y Long Range and Performance models by $3,000 each and the price of the Model 3 Rear-wheel Drive by $2,000 to $39,990, the sixth time it has lowered US prices this year. Tesla has cut prices of its base Model 3 by 11% so far this year and its base Model Y by 20% — moves that come as the United States, its largest market, prepares to introduce tougher standards that will limit EV tax credits.
Angry Tesla Shanghai workers take to social media over bonus cuts
Workers at Tesla’s Shanghai factory take to social media in an attempt to appeal to Musk after their supervisors informed them of upcoming cuts to their performance bonuses. The posts are appearing on Twitter as well as forums like Baidu Tieba, with some even containing appeals to Musk’s mother, Maye Musk. Two workers at the plant, where Tesla employs around 20,000, said they were informed by their supervisors over the weekend about a cut to their quarterly bonus payout, which is linked to the factory’s performance. The workers said Tesla supervisors mentioned a “safety incident” when they were asked about reasons for the cut.
Was alerted this weekend. Looking into it.
— Elon Musk (@elonmusk) April 17, 2023
Soros sells all Tesla holdings
Soros Fund Management, the family office of George Soros, sells its entire stake in Tesla. This includes stock as well as $35 million of convertible bonds. Soros bought the bonds in 2018 and the stock in 2022. When he purchased the latter, Tesla shares averaged $274, but at the time of sale they average just $173.
Marked down Tesla vehicles spark China price war
Tesla marks down its prices, causing a price war in China, by selling vehicles there for as much as 50% less than what they cost in Europe and the United States. The Tesla Model 3 sedan and the Model Y crossover are both manufactured at a plant just outside Shanghai. The massive markdown is forcing rival vehicle manufacturers to slash prices also, in an effort to maintain sales.
ARK sells $27m Tesla stock, buys Coinbase
ARK Investment Management’s Cathy Wood sells off $26.84 million of Tesla (TSLA) stock, at a closing price of $192.22, buying shares of Coinbase (COIN) instead. For a total of 139,642 TSLA shares, Wood’s firm sold 119,630 from its ARK Innovation ETF (ARKK) and 20,012 from the ARK Next Generation Internet ETF (ARKW).
ARK buys more Tesla stock
ARK buys 69,356 Tesla shares, adding to the 1.3 million shares the firm purchased in December and January. This latest purchase adds about $12.6 million to ARK’s holdings in the electric vehicle company, based on the stock’s (TSLA) current market value.
Musk announces Master Plan 3, says ‘the future is bright’
Musk announces the the third version of Tesla’s “master plan” on March 1. At the upcoming investor day to be held at its gigafactory in Texas, Tesla said it will share details about its next-generation vehicle platforms, which Musk has said would produce a vehicle about half the cost of Tesla’s current vehicle underpinings. Tesla also said it will discuss long-term expansion plans, capital allocation and other subjects. Master Plan, Part Deux was released in 2016 and Part 1 in 2006.
Master Plan 3, the path to a fully sustainable energy future for Earth will be presented on March 1. The future is bright!
Master Plan 3, the path to a fully sustainable energy future for Earth will be presented on March 1.
The future is bright! pic.twitter.com/11ug0LRlbD
— Elon Musk (@elonmusk) February 8, 2023
Musk found not guilty of Tesla tweet fraud
In less than two hours, nine jurors unanimously clear Musk of wrongdoing in a Tesla shareholder class action suit, taken over a tweet in which he said he had “funding secured” to take the electric carmaker private in August 2018. The proposed $72bn (£60bn) buyout never materialised. Sharholders claimed Musk had lied when he tweeted later in the day that “investor support is confirmed”. According to an economist hired by the shareholders, investor losses were calculated as high as $12bn. During the three-week trial, Musk, who took the stand for nearly nine hours, argued he thought he had a verbal commitment from Saudi Arabia’s sovereign wealth fund for the deal.
Musk tweets his thansk to the jurors:
Thank goodness, the wisdom of the people has prevailed!
I am deeply appreciative of the jury’s unanimous finding of innocence in the Tesla 420 take-private case.
— Elon Musk (@elonmusk) February 3, 2023
Tesla lost $140m on Bitcoin in 2022
According to SEC filings, Tesla lost $140m on its Bitcoin investments in 2022, losing $204m overall, although it gained back $64m through trading. The company holds $184m in Bitcoin, having offloaded most of its initial £1.5 billion purchase a few weeks after it was purchased in early 2021.
SEC probes Musk Tesla self-driving claims
US regulators are investigating Elon Musk’s role as part of an ongoing Securities and Exchange Commission probe of the company’s statements about its Autopilot driver-assistance system. SEC officials are weighing whether Musk may have inappropriately made forward-looking statements, although which statements have not been revealed.
An investigation by the agency’s enforcement unit doesn’t always lead to consequences, but can result in lawsuits, fines or other civil penalties for companies and executives.