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Rivian echoes Elon Musk, pushes engineers to return to in-person work

Credit: Rivian

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Rivian is reportedly asking its manufacturing engineering team to work in person either in Irvine, California, or Normal, Illinois.

As the COVID pandemic increasingly becomes a fleeting memory in the United States, more and more businesses are asking workers to return to work in person. Perhaps no one has been more vocal about this movement than Elon Musk, who quickly eliminated remote work at Twitter when he acquired the company. Now, according to a new report from the Wall Street Journal, Rivian is looking to do the same with its manufacturing engineering team.

According to the WSJ, Rivian is asking its manufacturing engineering team to relocate to its Normal, Illinois production facility or its Irvine, California headquarters as the company hopes to battle production snarls and cash flow issues. Insiders told the WSJ the automaker is looking to separate from employees unwilling to return to work, offering them severance and replacing them with in-person counterparts.

In a comment to Teslarati, Rivian noted, “In terms of ramping production, it’s helpful to have the manufacturing and engineering teams closer to our facilities in Normal as well as our headquarters in Irvine.” However, the automaker did not clarify when the policy would be implimented or the number of employees that could be affected.

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Rivian currently aims to produce 50,000 vehicles this year, including delivery vans that it will deliver to Amazon. However, achieving production numbers higher than that could be critical to helping the business’s profitability problem.

Currently, Rivian is on track to lose another $6 billion this year, after losing roughly $6.2 billion last year, but is still aiming to achieve profitability by the end of 2024. Rivian is sitting on approximately $12 billion in cash and cash equivalents and has recently acquired another $1.5 billion from the sale of bonds, which should just about last them until the end of 24′, but the expectation of profitability is profoundly critical.

Along with raising capital, Rivian is employing numerous cost-cutting measures, which only further emphasize the importance of its manufacturing engineering team being in person. Most recently, the company has released an all-new speaker system which has cut production costs by removing a pair of speakers and removing the need for a third-party supplier. Rivian has also pushed back its second generation of trucks, which is now set to launch in 2026, and gone through 2 rounds of layoffs.

Following these moves, Rivian’s stock has somewhat stabilized but remains significantly down from its IPO high in 2021.

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William is not a Rivian shareholder, nor has he purchased any Rivian bonds.

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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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Samsung nears Tesla AI chip ramp with early approval at TX factory

This marks a key step towards the tech giant’s production of Tesla’s next-generation AI5 chips in the United States.

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Image used with permission for Teslarati. (Credit: Tom Cross)

Samsung has received temporary approval to begin limited operations at its semiconductor plant in Taylor, Texas.

This marks a key step towards the tech giant’s production of Tesla’s next-generation AI5 chips in the United States.

Samsung clears early operations hurdle

As noted in a report from Korea JoongAng Daily, Samsung Electronics has secured temporary certificates of occupancy (TCOs) for a portion of its semiconductor facility in Taylor. This should allow the facility to start operations ahead of full completion later this year.

City officials confirmed that approximately 88,000 square feet of Samsung’s Fab 1 building has received temporary approval, with additional areas expected to follow. The overall timeline for permitting the remaining sections has not yet been finalized.

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Samsung’s Taylor facility is expected to manufacture Tesla’s AI5 chips once mass production begins in the second half of the year. The facility is also expected to produce Tesla’s upcoming AI6 chips. 

Tesla CEO Elon Musk recently stated that the design for AI5 is nearly complete, and the development of AI6 is already underway. Musk has previously outlined an aggressive roadmap targeting nine-month design cycles for successive generations of its AI chips.

Samsung’s U.S. expansion

Construction at the Taylor site remains on schedule. Reports indicate Samsung plans to begin testing extreme ultraviolet (EUV) lithography equipment next month, a critical step for producing advanced 2-nanometer semiconductors.

Samsung is expected to complete 6 million square feet of floor space at the site by the end of this year, with an additional 1 million square feet planned by 2028. The full campus spans more than 1,200 acres.

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Beyond Tesla, Samsung Foundry is also pursuing additional U.S. customers as demand for AI and high-performance computing chips accelerates. Company executives have stated that Samsung is looking to achieve more than 130% growth in 2-nanometer chip orders this year.

One of Samsung’s biggest rivals, TSMC, is also looking to expand its footprint in the United States, with reports suggesting that the company is considering expanding its Arizona facility to as many as 11 total plants. TSMC is also expected to produce Tesla’s AI5 chips. 

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Anti-Tesla union leader ditches X, urges use of Threads instead

Tesla Sweden and IF Metall have been engaged in a bitter dispute for over two years now. 

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UK Government, CC BY 2.0 , via Wikimedia Commons

Marie Nilsson, chair of Sweden’s IF Metall union and a prominent critic of Tesla, has left X and is urging audiences to follow the union on Meta’s Threads instead.

Tesla Sweden and IF Metall have been engaged in a bitter dispute for over two years now. 

Anti-Tesla union leader exits X

In a comment to Dagens Arbete (DA), Nilsson noted that her exit from X is not formally tied to IF Metall’s long-running labor dispute with Tesla Sweden. Still, she stated that her departure is affected by changes to the platform under Elon Musk’s leadership.

“We have stayed because many journalists pick up news there. But as more and more people have left X, we have felt that the standard has now been reached on that platform,” she said. 

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Jesper Pettersson, press officer at IF Metall, highlighted that the union’s departure from X is only indirectly linked to Tesla Sweden and Elon Musk. “Indirectly it does, since there is a lot of evidence that his ownership has caused the change in the platform to be so significant. 

“We have nevertheless assessed that the platform had value for reaching journalists, politicians and other opinion leaders. But it is a microscopic proportion of the public and our members who are there, and now that value has decreased,” Petterson added.

IF Metall sees Threads as an X alternative

After leaving X, IF Metall has begun using Threads, Meta’s alternative to the social media platform. The union described the move as experimental, noting that it is still evaluating how effective the platform will be for outreach and visibility.

Pettersson acknowledged that Meta also does not operate under Sweden’s collective bargaining model, but said the union sees little alternative if it wants to remain visible online.

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“In a perfect world, all large international companies would be supporters of the Swedish model when they come here. But unfortunately, the reality is not like that. If we are to be visible at all in this social media world, we have to play by the rules of the game. The alternative would be to become completely invisible, and that would not benefit our members,” he said. 

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Elon Musk confirms SpaceX is not developing a phone

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Photo: Boss Hunting.com.au

Despite many recent rumors and various reports, Elon Musk confirmed today that SpaceX is not developing a phone based on Starlink, not once, but twice.

Today’s report from Reuters cited people familiar with the matter and stated internal discussions have seen SpaceX executives mulling the idea of building a mobile device that would connect directly to the Starlink satellite constellation.

Musk did state in late January that SpaceX developing a phone was “not out of the question at some point.” However, He also said it would have to be a major difference from current phones, and would be optimized “purely for running max performance/watt neural nets.”

While Musk said it was not out of the question “at some point,” that does not mean it is currently a project SpaceX is working on. The CEO reaffirmed this point twice on X this afternoon.

Musk said, “Reuters lies relentlessly,” in one post. In the next, he explicitly stated, “We are not developing a phone.”

Musk has basically always maintained that SpaceX has too many things going on, denying that a phone would be in the realm of upcoming projects. There are too many things in the works for Musk’s space exploration company, most notably the recent merger with xAI.

SpaceX officially acquires xAI, merging rockets with AI expertise

A Starlink phone would be an excellent idea, especially considering that SpaceX operates 9,500 satellites, serving over 9 million users worldwide. 650 of those satellites are dedicated to the company’s direct-to-device initiative, which provides cellular coverage on a global scale.

Nevertheless, there is the potential that the Starlink phone eventually become a project SpaceX works on. However, it is not currently in the scope of what the company needs to develop, so things are more focused on that as of right now.

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