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Ford reveals price tag of its incredible EV production ramp

Credit: Jim Farley | Twitter

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Ford CFO John Lawler has revealed that the automaker’s EV unit is on track to lose $3 billion this year as it pursues the industry’s most aggressive EV production ramp.

Ford has only recently claimed the spot of #2 EV maker in the United States, but with an incredible production ramp ahead, the company intends to hold its position. But along with this production growth is an equally massive price tag, which Ford CFO John Lawler has revealed this morning as part of a presentation on financial reporting. According to the executive, Ford’s EV unit is set to lose $3 billion this year but is still on track to achieve profitability by 2026.

Ford has the industry’s most aggressive EV production ramp, as it looks to achieve an annual run rate of 600,000 EVs globally by the end of this year and an annual run rate of 2 million units by 2026. Comparatively, the current EV market leader, Tesla, has famously aimed for a 50% YoY production growth, while Ford is now seeking roughly 10x the production they achieved just last year.

As previously revealed by Ford, the company aims to achieve an 8% pre-tax profit margin by the end of 2026, which will only be possible if the Blue Oval can achieve its astronomical 2 million run rate production target.

In defense of this unprofitability, Lawler argued on this morning’s financial call that the company’s “Model e” unit should be seen as a startup and will require this massive investment in order to succeed in the near future.

It should be noted that Ford did not touch on the profitability of the entire business. With the continuing success of its “Ford Blue” gas vehicle decision, it is still possible for the company to achieve overall profitability.

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This morning’s financial meeting aimed to explain how Ford plans to report its financial results. The CFO explained that, just as the business now operates in separate units, so will its financial reports. This means that each quarter, each business unit will report its earnings separately; this includes Ford’s gas-powered “Ford Blue” unit, its commercial “Ford Pro” unit, and the aforementioned “Model e” unit.

Ford will also be ditching the region-specific financial reporting, instead opting to report by the five global markets it operates in.

Ford is far from the only legacy automaker that expects the shift to electric vehicles to be costly and unprofitable. General Motors CEO Mary Barra has previously stated that the American auto group also aims for profitability in the 2026 timeframe. Meanwhile, European automakers, including VW Group, Stellantis, and Renault, also expect the massive production shift to affect profitability.

What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!

Will is an auto enthusiast, a gear head, and an EV enthusiast above all. From racing, to industry data, to the most advanced EV tech on earth, he now covers it at Teslarati.

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Elon Musk

SpaceX’s Anthropic deal has a catch, and Elon Musk just addressed it

Elon Musk says SpaceX’s Anthropic compute deal cuts both ways after Chamath floats higher prices.

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Elon Musk pushed back on Sunday against the idea that SpaceX’s compute contract with Anthropic is a one way bet, after venture capitalist Chamath Palihapitiya argued the company could use a termination clause to charge the AI lab far more.

“It works both ways, of course. If compute becomes plentiful and cheap, SpaceX revenue will drop. No crying in the casino for either party,” Musk wrote on X Sunday evening, replying to a clip of Palihapitiya’s comments shared by AI commentator Rohan Paul.

On the All-In podcast released Sunday, Palihapitiya said either side can walk away from the agreement on 90 days’ notice. If data center supply tightens, he argued, SpaceX could exercise that option and bring the contract back at two to three times the current price, and Anthropic would have little choice but to accept. He called it “the kingmaking move,” according to BigGo Finance.

The clause itself is not new. SpaceX disclosed in its IPO filings in May that Anthropic would pay $1.25 billion per month for dedicated capacity at its Colossus clusters through May 2029, nearly $45 billion in total, with both companies able to terminate on 90 days’ notice, as Teslarati reported at the time. SpaceX’s later compute deals with Google and Reflection AI carry similar exit terms.

What has changed is the political backdrop. Palihapitiya’s thesis rests on incoming Democratic governors pulling tax incentives for data centers and slowing new construction. In Texas, Gov.-elect Gina Hinojosa campaigned on a moratorium on new data center approvals, and Deutsche Bank analysts warned last week that SpaceX’s Texas compute capacity could face delays. SpaceX and Tesla shares both fell after the midterm results.

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A slowdown would favor companies that already own capacity. SpaceX acquired xAI in February and has been renting data centers to outside AI labs before the space is needed for Grok. At the Baron Investment Conference on Friday, Musk said SpaceX was “getting 50 billion a year for 35 billion dollar investments” and that it can bring a data center online in eight or nine months, compared to two and a half years for competitors. He also said SpaceX is tracking toward an annualized revenue rate above $100 billion in December, with a “best guess” of $500 billion by December 2027.

Musk’s reply points to the other side of the clause. Anthropic has signed large compute agreements with Amazon, Google and Microsoft, and if that capacity comes online faster than new construction slows, the AI lab would have its own leverage to renegotiate or leave. Musk has called Anthropic “obviously currently the leader in AI,” and it remains one of SpaceX’s largest compute customers.

SpaceX shares rose more than 2 percent in overnight trading late Sunday after closing Friday at $134.27, according to Stocktwits.

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Elon Musk spotlights the Starlink rescue that got through where no cell tower could

Elon Musk spotlighted how Starlink helped rescuers reach five people stranded in Kazakhstan’s snowy mountains.

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Elon Musk put a spotlight on a mountain rescue in eastern Kazakhstan on Sunday, writing “Starlink saves lives” in response to a post describing how SpaceX’s satellite internet helped five stranded people reach emergency crews.

The post from DogeDesigner, which had been viewed more than 500,000 times by Sunday afternoon, said the group’s SUV broke down about 15 kilometers from the village of Kystau Kurchum in an area with no usable mobile network. Starlink carried their call for help and kept them in contact with rescuers, who used the connection to locate them.

The rescue itself took place in October. Local outlet YK.kz reported on October 22 that Kazakhstan’s Ministry of Emergency Situations responded to the breakdown in the Kurchum district of East Kazakhstan region and noted that the group stayed in touch through Starlink. Rescuers covered roughly 100 kilometers in a Trekol, a low pressure tire vehicle built for snow and marshland, then escorted the disabled SUV back to Kystau Kurchum. Nobody needed medical attention.


Conditions in the region were rough at the time. Kazakh broadcaster Channel 7 identified the five as hunters caught in a snow trap and said satellite communication allowed rescuers to pinpoint where they were. A spokesperson for the East Kazakhstan emergency department said a storm warning was in effect and urged residents not to leave populated areas unless necessary. The same weather stranded seven utility workers repairing power lines in the nearby Kuygan rural district, according to Tengrinews.

Kazakhstan has been one of Starlink’s more notable markets in Central Asia. Teslarati reported in 2024 that Starlink was serving 1,731 of the country’s 1,879 schools, with the country’s Education Minister saying it had set a new standard for internet service in schools.

Rescue stories like this one have followed Starlink for years, usually in places where ground networks fail or never existed in the first place. Then Florida CFO Jimmy Patronis called Starlink a “game changer” for search and rescue crews during Hurricane Milton, and SpaceX and T-Mobile switched on Starlink Direct to Cell in North Carolina to push emergency alerts to phones after Hurricane Helene.

The next target is dead zones for people who do not carry a dish at all. SpaceX is building out Starlink Mobile and earlier this week selected Qualcomm to supply core infrastructure for a planned terrestrial 5G network in the United States, which it intends to pair with its next generation satellite constellation.

Sunday’s post is at least the third time Musk has written “Starlink saves lives” on X this week, following identical posts on November 5 and November 7.

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Elon Musk

SpaceX will perform Starship double catch attempt with Flight 15

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Credit: SpaceX

SpaceX plans to attempt what will be a defining moment in rocket reusability on Starship Flight 15.

As Elon Musk announced in a recent X post, SpaceX will attempt to catch both the Super Heavy Booster and the Starship upper stage during the upcoming orbital flight. If successful, it will mark the first time that all parts of an orbital rocket return to Earth intact, a breakthrough Musk has called essential to making life multiplanetary.

Previous flights have demonstrated the tower-catch technique with Super Heavy. SpaceX has successfully caught V1 boosters three times (on Flights 5, 7, and 8), with some even reflown. The Ship upper stage has never been caught.

Returning from orbital velocity after deploying payload makes it a significantly harder challenge due to higher energy, heat loads, and the need for precise belly-flop reentry, a flip maneuver, and a final landing burn to settle between the Mechazilla tower’s chopstick arms.

Flight 15, using Booster 22 and Ship 42 (both Block 3 vehicles), is targeted for no earlier than Friday, November 13, 2026, from Orbital Launch Pad 2 at Starbase, Texas. The 75-minute window opens at 4:45 p.m. CT, pending regulatory approval. After hot staging and separation, the booster is planned to return for a catch roughly 6 minutes and 35 seconds after liftoff.

The Ship will insert into a roughly 275 km orbit, deploy 26 advanced Starlink V3 satellites, complete about 14 orbits over more than 22 hours, and—if systems check out—perform a deorbit burn, reentry, flip, and landing burn for a tower catch at approximately T+22 hours 32 minutes.

SpaceX confirms Starship 15 launch window with massive ambitions

A simulation shown during SpaceX’s October earnings call depicted the Ship descending in a belly-flop attitude, flipping upright with a short engine burn, and being captured by the arms:

Contingency splashdown zones exist in the Gulf of Mexico (booster) and Pacific (Ship) if a catch is not viable. SpaceX has stressed rigorous health checks before committing the Ship to a return-to-launch-site trajectory.

Musk has described the odds of success on this first dual-catch attempt as “more likely than not,” noting a steady stream of additional flights is already scheduled if needed. Full recovery would enable rapid inspection, refurbishment, and reflight—slashing costs and supporting the high launch cadence required for Starlink expansion, lunar missions, and eventual Mars settlement.

As Musk put it, this is “the critical breakthrough needed to make life multiplanetary.”

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