Connect with us

News

Lordstown relieves CEO and CFO of duties after financial woes, shares slide 16%

Credit: Lordstown Motors

Published

on

Lordstown Motors (NASDAQ: RIDE) announced earlier today that it had relieved CEO Steve Burns and CFO Julio Rodriguez from their duties while appointing Becky Roof to Interim CFO and Angela Strand to Executive Chairwoman. The announcement comes just a week after Lordstown announced that it was struggling financially, with estimates that there wasn’t enough cash to last another 12 months.

News of the changes in Lordstown’s management caused shares to slide over 17%.

“Lordstown Motors Corp. a leader in electric light-duty trucks focused on the commercial fleet market, today announced several changes to its executive management team as the Company begins to transition from the R&D and early production phase to the commercial production phase of its business,” the automaker said in a statement today. “To that end, Lordstown Motors Lead Independent Director Angela Strand has been appointed Executive Chairwoman of the Company, and will oversee the organization’s transition until a permanent CEO is identified, and Becky Roof, will serve as Interim Chief Financial Officer. Steve Burns has resigned as Chief Executive Officer and from the Company’s Board of Directors, and Chief Financial Officer Julio Rodriguez has also resigned. All changes are effective immediately and the Company has engaged an executive search firm to identify a permanent CEO and CFO.”

Last week, Lordstown revealed it was struggling with cash flow, and the company cited that there was “substantial doubt” that it would be able to continue operating over the course of the next twelve months.

Elon Musk shares update on SNL appearance, says everyone is being friendly

Advertisement

Companies often struggle financially early on, especially automakers, unless they have significant financial backing. Tesla experienced significant financial struggles in its early days, and Elon Musk has told the story of splitting the rest of his money between the automaker and SpaceX, so both companies would have a chance. Tesla was on the verge of closing its doors before investors called and offered to throw more money in. Four years later, Tesla would release the Model S after significant engineering efforts, and it eventually became the catalyst to Tesla’s momentum in the sector.

Lordstown said in the press release that it remains committed to “delivering on our production and commercialization objectives, holding ourselves to the highest standards of operation and performance and creating value for shareholders,” new Executive Chairwoman Angela Strand said.

The company is also planning to host “Lordstown Week” from June 21st to the 25th, an event that will host investors, partners, customers, and analysts, to show firsthand how the production teams plan to prepare the Ohio-located plant for the beginning of production of the Endurance electric pickup truck. The Endurance is scheduled to begin mass production in September.

At the time of writing, Lordstown stock was trading at $9.40, down 17.57%.

Disclosure: Joey Klender is not a Lordstown Motors shareholder. He does hold TSLA Stock.

Advertisement

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

Advertisement
Comments

Elon Musk

Elon Musk’s xAI just posted the nerdiest job opening of all time

Anime fans, rejoice.

Published

on

Credit: xAI/X

Elon Musk’s artificial intelligence startup, xAI, just posted what could very well be the nerdiest job opening of all time. As can be seen in the Careers section of xAI’s official website, the AI startup and Grok creator is seeking a Fullstack Engineer for its “Waifus” project.

Anime fans, rejoice.

xAI’s Companions take the internet by storm

Earlier this week, xAI launched its Companions feature for its SuperGrok users, but the company eventually opened access to the new feature to all Grok iOS app users. xAI has released two companions so far: Ani, an overly attached anime goth girl seemingly inspired by the character Misa Amane from Death Note, and Rudi, a talking red panda that becomes more and more unhinged if he gets toggled to “Bad Rudi.” A third companion that looks like a male anime character is also listed as coming soon.

Ani, in particular, has become a massive hit online. Her natural, playful, and flirtatious interactions have proven popular among users across the globe, so much so that there is now fan art of the character being shared by users on social media. This has inspired the joke that Elon Musk, who has openly admitted on X in the past that he is fond of the Death Note anime, had created an actual “waifu” through xAI.

More companions coming

Based on xAI’s job opening, it appears that the company is looking to release even more companions for its users. Ani and Rudi/Bad Rudi may just be the start, especially considering xAI’s growing ambition and raw computing power. 

Advertisement

As per the job listing, engineers hired for the role will help build fast, scalable, and low-latency avatar experiences for Grok. The AI startup noted that the work will involve real-time media processing, performance optimization, and feature development across various platforms. Applicants are also expected to be highly proficient in Python, with bonus points for experience in Rust, WebSocket, and WebRTC protocols.

Fullstack Engineers for xAI’s Waifu project are expected to receive a salary of $180,000 to $440,000, plus equity, comprehensive medical, vision, and dental coverage, access to a 401(k) retirement plan, short & long-term disability insurance, life insurance, and various other discounts and perks.

Continue Reading

News

Tesla launches in India with Model Y, showing pricing will be biggest challenge

Tesla finally got its Model Y launched in India, but it will surely come at a price for consumers.

Published

on

Credit: Narendra Modi | X

Tesla has officially launched in India following years of delays, as it brought its Model Y to the market for the first time on Tuesday.

However, the launch showed that pricing is going to be its biggest challenge. The all-electric Model Y is priced significantly higher than in other major markets in which Tesla operates.

On Tuesday, Tesla’s Model Y went up for sale for 59,89,000 rupees for the Rear-Wheel Drive configuration, while the Long Range Rear-Wheel Drive was priced at 67,89,000.

This equates to $69,686 for the RWD and $78,994 for the Long Range RWD, a substantial markup compared to what these cars sell for in the United States.

Deliveries are currently scheduled for the third quarter, and it will be interesting to see how many units they can sell in the market at this price point.

The price includes tariffs and additional fees that are applied by the Indian government, which has aimed to work with foreign automakers to come to terms on lower duties that increase vehicle cost.

Tesla Model Y seen testing under wraps in India ahead of launch

There is a chance that these duties will be removed, which would create a more stable and affordable pricing model for Tesla in the future. President Trump and Indian Prime Minister Narendra Modi continue to iron out those details.

Maharashtra Chief Minister Devendra Fadnavis said to reporters outside the company’s new outlet in the region (via Reuters):

“In the future, we wish to see R&D and manufacturing done in India, and I am sure at an appropriate stage, Tesla will think about it.”

It appears to be eerily similar to the same “game of chicken” Tesla played with Indian government officials for the past few years. Tesla has always wanted to enter India, but was unable to do so due to these import duties.

India wanted Tesla to commit to building a Gigafactory in the country, but Tesla wanted to test demand first.

It seems this could be that demand test, and the duties are going to have a significant impact on what demand will actually be.

Continue Reading

Elon Musk

Tesla ups Robotaxi fare price to another comical figure with service area expansion

Tesla upped its fare price for a Robotaxi ride from $4.20 to, you guessed it, $6.90.

Published

on

Credit: Tesla

Tesla has upped its fare price for the Robotaxi platform in Austin for the first time since its launch on June 22. The increase came on the same day that Tesla expanded its Service Area for the Robotaxi ride-hailing service, offering rides to a broader portion of the city.

The price is up from $4.20, a figure that many Tesla fans will find amusing, considering CEO Elon Musk has used that number, as well as ’69,’ as a light-hearted attempt at comedy over the past several years.

Musk confirmed yesterday that Tesla would up the price per ride from that $4.20 point to $6.90. Are we really surprised that is what the company decided on, as the expansion of the Service Area also took effect on Monday?

The Service Area expansion was also somewhat of a joke too, especially considering the shape of the new region where the driverless service can travel.

I wrote yesterday about how it might be funny, but in reality, it is more of a message to competitors that Tesla can expand in Austin wherever it wants at any time.

Tesla’s Robotaxi expansion wasn’t a joke, it was a warning to competitors

It was only a matter of time before the Robotaxi platform would subject riders to a higher, flat fee for a ride. This is primarily due to two reasons: the size of the access program is increasing, and, more importantly, the service area is expanding in size.

Tesla has already surpassed Waymo in Austin in terms of its service area, which is roughly five square miles larger. Waymo launched driverless rides to the public back in March, while Tesla’s just became available to a small group in June. Tesla has already expanded it, allowing new members to hail a ride from a driverless Model Y nearly every day.

The Robotaxi app is also becoming more robust as Tesla is adding new features with updates. It has already been updated on two occasions, with the most recent improvements being rolled out yesterday.

Tesla updates Robotaxi app with several big changes, including wider service area

Continue Reading

Trending