News
Faraday Future’s fate questioned after Chinese backer sells Silicon Valley land amid cash crunch
One of Faraday Future’s financial backers, LeEco, the electric vehicle company run by Chinese billionaire Jia Yueting, is selling 49-acre plot of land located in Silicon Valley after purchasing it from Yahoo for $250 million less than a year ago. The parcel is reportedly being sold to Chinese developer Genzon Group for $260 million amid a “big company disease” and cash crunch, according to Reuters.
News of the pending sale is a far departure from the initial plans Jia had for the parcel of land last year. Speaking at a gala event at the Palace of Fine Arts in San Francisco, Jia told his audience that the land in Silicon Valley would be used to build the US headquarters for LeEco. “This property will be an EcoCity that houses 12,000 employees,” he claimed at the time.
Jia made his money by building Leshi Internet Information & Technology in 2004. Known as the “Netflix of China,” it was the first company in China to stream television content directly to subscribers. It quickly expanded to producing and selling a wide range of electronic devices from smartphones to televisions.
Things went well for Jia until he became obsessed with the idea of building electric cars. Not only is Jia the head and principal financial backer of LeEco, a Chinese electric car company, he is also the force behind Faraday Future, and an investor in Lucid Motors, formerly known as Atieva. In China, LeEco has introduced its LeSee electric sedan, which is designed to compete with the Tesla Model S.
But the various car companies have faced significant headwinds of late. Work on the Faraday Future factory in North Las Vegas was halted last fall after money owed to the primary contractor went unpaid for several months. Dan Schwarz, the treasurer of the state of Nevada, made a trip to China to investigate Jia’s finances and told the press upon his return that the company didn’t have any money.
Since then, Faraday Future’s plans for a 3-million-square-foot factory have been scaled back to a 650,000 square foot facility which the company says will be completed this fall. The company still claims that production will start “sometime in 2018.”
Shortly after his appearance in California, Jia publicly confessed in a letter to shareholders that the finances of his companies were out of control. The letter said, “No company has had such an experience, a simultaneous time in ice and fire,” he said. “We blindly sped ahead, and our cash demand ballooned. We got over-extended in our global strategy. At the same time, our capital and resources were in fact limited,”
In January, Jia secured an additional $2.2 billion from property developer Sunac China Holdings. But that money is not to be used for Jia’s car making endeavors and is intended instead to keep his core entertainment business units alive and functioning says Reuters.
The number of LeEco employees in the US has been slashed from 1,000 a year ago to about 500 or fewer today. LeEco declined to confirm how many people are still on the payroll.
The sale of the parcel of land in Silicon Valley will help put some cash back into the company as it looks to ride out the cash crunch. Whether any or all of its electric car manufacturing plans will ever come to fruition is unknown. Shares of Jia’s core business, Leshi Internet Information & Technology Corp Beijing, have declined in value by 25% since the first of the year.
Elon Musk
Elon Musk estimates Tesla Semi could reach Europe next year
“We’ve got the Tesla Semi coming out, the heavy truck, and that’ll be going to Europe hopefully next year,” Musk said.
Tesla is preparing to expand its all-electric Semi truck program to Europe, with CEO Elon Musk indicating that the Class 8 vehicle could arrive in the region 2027.
Musk shared his update during an interview about Giga Berlin with plant manager André Thierig, which was posted on X by the official Tesla Manufacturing account.
“We’ve got the Tesla Semi coming out, the heavy truck, and that’ll be going to Europe hopefully next year,” he said.
Tesla has already begun limited production and customer deployments of the Tesla Semi in the United States, with the company working to scale output through the Semi factory near Giga Nevada. Considering Musk’s comments, it appears that a European rollout would be the next phase of the vehicle’s expansion beyond North America.
Musk’s use of the word “hopefully” leaves room for flexibility, but the remark signals that Europe is next in Tesla’s commercial expansion plans.
Musk has consistently argued that electrification should extend beyond passenger vehicles. During the same interview, he reiterated his view that “all ground transport should be electric,” adding that ships, and eventually aircraft, would follow.
The Semi plays a central role in that strategy. Heavy-duty freight remains one of the most emissions-intensive segments of road transport, and European regulators have increasingly pushed for lower-emission commercial fleets.
Tesla recently refreshed the Semi lineup on its official website, listing two variants: Standard and Long Range. The Standard trim offers up to 325 miles of range with an energy consumption rating of 1.7 kWh per mile, while the Long Range version provides up to 500 miles, which should be more than ample for European routes.
Elon Musk
Tesla Cybercab coming next to Giga Berlin, Optimus possibly after
“From a next major product standpoint, I think most likely is the Tesla Cybercab,” Musk said.
Tesla could add the Cybercab and Optimus humanoid robot to the production lineup at Giga Berlin, as per recent comments from CEO Elon Musk.
During a recent interview with Giga Berlin plant manager André Thierig, Musk identified the Cybercab as the most likely next major product for the German factory, with Optimus potentially following after.
“From a next major product standpoint, I think most likely is the Tesla Cybercab,” Musk said. He added that there are also “possibilities of Tesla Optimus” being produced in the facility.
Tesla has already begun production of the Cybercab in Giga Texas, with volume production expected to ramp this year. Based on Musk’s comments, it appears that if conditions align in Europe, Giga Berlin could eventually join that effort.
The CEO’s comments about Optimus coming to Gigafactory Berlin are quite unsurprising too considering that Musk has mentioned in the past that the humanoid robot will likely be Tesla’s highest volume product in the long run.
Giga Berlin will likely be able to produce mass volumes of Optimus, as the Model S and Model X lines being converted to an Optimus line in the Fremont Factory are already expected to produce 1 million units of the humanoid robot annually.
Apart from his comments about the Cybercab and Optimus, Elon Musk also confirmed that Giga Berlin has started ramping battery cell production and will continue expanding Model Y output, particularly as supervised Full Self-Driving (FSD) gains regulatory approvals in Europe.
Taken together, the remarks suggest Berlin’s role could evolve beyond vehicle assembly into a broader multi-product manufacturing hub, not just a regional Model Y plant.
Energy
Tesla Powerwall distribution expands in Australia
Inventory is expected to arrive in late February and official sales are expected to start mid-March 2026.
Supply Partners Group has secured a distribution agreement for the Tesla Powerwall in Australia, with inventory expected to arrive in late February and official sales beginning in mid-March 2026.
Under the new agreement, Supply Partners will distribute Tesla Powerwall units and related accessories across its national footprint, as noted in an ecogeneration report. The company said the addition strengthens its position as a distributor focused on premium, established brands.
“We are proud to officially welcome Tesla Powerwall into the Supply Partners portfolio,” Lliam Ricketts, Co-Founder and Director of Innovation at Supply Partners Group, stated.
“Tesla sets a high bar, and we’ve worked hard to earn the opportunity to represent a brand that customers actively ask for. This partnership reflects the strength of our logistics, technical services and customer experience, and it’s a win for installers who want premium options they can trust.”
Supply Partners noted that initial Tesla Powerwall stock will be warehoused locally before full commercial rollout in March. The distributor stated that the timing aligns with renewed growth momentum for the Powerwall, supported by competitive installer pricing, consumer rebates, and continued product and software updates.
“Powerwall is already a category-defining product, and what’s ahead makes it even more compelling,” Ricketts stated. “As pricing sharpens and capability expands, we see a clear runway for installers to confidently spec Powerwall for premium residential installs, backed by Supply Partners’ national distribution footprint and service model.”
Supply Partners noted that a joint go-to-market launch is planned, including Tesla-led training for its sales and technical teams to support installers during the home battery system’s domestic rollout.
Elon Musk estimates Tesla Semi could reach Europe next year
Tesla Cybercab coming next to Giga Berlin, Optimus possibly after
