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Rivian failed to pay $204M after bringing motors in-house, says supplier

Credit: Rivian

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One of Rivian’s former suppliers is currently suing the electric vehicle (EV) maker, claiming that it failed to pay a reimbursement clause for cancellations on a contract for electric motors.

Rivian last year moved to bring the production of its EV motors in-house, effectively cancelling a supply deal with Bosch after claiming the supplier had “reckless failures” in delivering the number of motors needed. Now, Bosch is claiming that Rivian refused to pay $204 million in reimbursements for the cancelled plans, leaving the company with significant stranded capital and a hole in revenue (via Automotive News).

Bosch sued Rivian in July for breaching the contract, and the automaker immediately followed up with a lawsuit of its own against the supplier. In its countersuit, Rivian blamed Bosch for production shortages and said that the company’s failure to deliver on the electric motors deal had resulted in a 30,000-unit drop in planned production output.

As part of the partnership, Bosch invested millions of dollars into tooling a factory in Germany, where it first produced the e-motors for Rivian. The company also built a 30,000-square-foot production line at its plant in South Carolina to help produce the units.

“Given these significant investments and that Rivian was an electric vehicle startup that had never manufactured vehicles before, Rivian contracted to reimburse Bosch for all its unamortized costs should Rivian cancel the program early,” Bosch said in the lawsuit.

Bosch was initially contracted to build 200,000 motors for Rivian this year, though the automaker officially cancelled the contract last September. In the suit, Bosch claims that Rivian had “secretly” been planning to replace the supply with its own Enduro e-motor system, despite having told Bosch that the two would be used in tandem.

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The company also says that Rivian’s production issues have been related to semiconductor shortages, rather than those of its e-motors.

“While Rivian’s choice to cut costs and develop a new product may be understandable, Rivian cannot simply ignore its contractual duties to reimburse Bosch,” the company adds.

Rivian and Bosch both declined to comment on the legal efforts in a statement to Automotive News affiliates at Crain’s Detroit Business.

Despite cancelling the order, Rivian has struggled with production of the motors in its own right, with the company earlier this month reducing its production guidance by 8,000 to 10,000 units to instead aim for between 47,000 and 49,000 this year. The automaker cited an increasingly difficult parts shortage that had been affecting its production of both its R1 and van units.

In August, Rivian alluded to a similar parts shortage that caused it to pause van production. It’s unclear if the two shortages are related, as in both cases, Rivian did not respond to Teslarati’s requests for comment or disclose what components were having supply issues.

Elon Musk responds to calls for Tesla to buy Rivian

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What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Starlink Mini 2 arrives with one feature for true off-grid connectivity

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Credit: SpaceX

SpaceX officially launched the Starlink Mini 2 on November 10, delivering the first portable Starlink terminal designed around independent power.

Invitation-only preorders for select U.S. customers are priced at $999 plus tax, a figure that includes a full year of Roam Unlimited service valued at roughly $2,100. A refundable $100 deposit reserves the kit, with the balance due at shipment, expected to begin in mid-December. Broader availability is listed as coming soon.

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The headline feature is the quick-swap 71 Wh battery. Clipped to the rear of the dish without tools, it delivers up to 4.5 hours of connectivity on a single charge.

The 490-gram pack includes its own USB-C port and LED indicators, so users can charge a spare separately and swap it in seconds while staying online. Starlink notes that the terminal can continue operating while the battery charges or run directly from a 60 W USB-C source. The retail box includes one battery, a 60 W USB-C charger, and a 3-meter cable.

Beyond power, the Mini 2 is thinner at 23.1 mm (versus 38.5 mm on the original Mini) while measuring 263 × 314 mm. With the battery and kickstand attached it weighs 1.6 kg.

Built-in Wi-Fi 6 expands coverage to up to 1,800 square feet, an IP67 rating protects against dust and water, and a standard 1/4-20 tripod thread plus physical power button round out the design. Field of view remains 110 degrees, and the unit retains support for mobile use.

For travelers, campers, and remote workers, the swappable battery removes the longstanding requirement for an external power bank or vehicle outlet that defined the first Mini. Spare packs sold separately further extend runtime, turning the compact terminal into a more self-contained solution.

While the bundled $999 invitation price sits well above the original Mini’s current $149 starting point, the included year of service and genuine untethered operation mark a clear step forward in portable satellite internet.

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SpaceX’s $24B Starbase supercomputer plan slipped past a key roadblock

SpaceX wants a Starbase tax break for a $24 billion gas plant and supercomputer campus.

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Concept rendering of SpaceX President Gwynne Shotwell overlooks the company’s Hawthorne, California headquarters as an American flag flies over the campus at sunset.

SpaceX is asking its own company town for a tax break on a $24 billion natural gas power plant and supercomputing facility at Starbase, Texas, and the land it picked sits just outside the reach of a data center moratorium that took effect in neighboring Brownsville last week.

A City of Starbase public hearing notice says SpaceX “proposes to construct, own, and operate a gas-fired power plant and super-compute facility” on roughly 444 acres between Boca Chica Boulevard and the Port of Brownsville. The $24 billion figure covers only the initial phases, and the notice leaves room for future expansions. The Starbase City Commission will consider a property tax abatement and a related economic development agreement at a 7 p.m. hearing on December 9. The notice does not disclose the size or length of the abatement, or how much computing capacity the site would hold.

The location has a history. Over the summer, SpaceX asked Brownsville to remove the tract from its city limits and offered $220 million for water and wastewater projects in return. Brownsville approved the move in August, and Starbase later annexed the land. Brownsville’s own 90-day pause on data center applications took effect last week, and had the tract stayed inside the city, the project likely would have needed a different home.

The power side is already in front of state regulators. SpaceX has applied to the Texas Commission on Environmental Quality for air permits covering 35 mobile gas turbines producing roughly 750 megawatts, according to Politico, which also noted that two of the three Starbase commissioners voting on the incentives are SpaceX executives.

Building its own plant lets SpaceX skip the Texas grid. Gov. Greg Abbott paused new data center grid connections in August pending an audit, but a facility that generates its own electricity does not need one. The air permit still has to clear the TCEQ, where Abbott also ordered a halt on data center permits.

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The bigger test arrives in January. Governor-elect Gina Hinojosa, who unseated Abbott last week, has said she will block data center approvals until the legislature passes new protections, and she has already asked state officials to hold off on any sale of Boca Chica State Park to SpaceX until she is sworn in. Tesla and SpaceX shares both fell the day after the election, and Musk’s first reaction on X was “Data centers in space looking pretty appealing right now.”

That line points to Starmind, SpaceX’s orbital compute constellation. Musk has said terrestrial compute will be “peanuts compared to orbital compute” and expects monthly orbital deployments to pass ground deployments around the end of 2028, as Teslarati reported. Until then, SpaceX still needs gigawatts on the ground. It ended the third quarter with 1.7 GW of nameplate compute, is targeting 2.5 to 3 GW by the end of this year and wants at least 10 GW more in 2027. Its existing Colossus sites around Memphis already run on gas turbines and face a lawsuit from residents over emissions.

Local reaction is split. The South Texas Environmental Justice Network has announced a protest, citing air quality, water use and energy bills, while some Brownsville residents told the Tribune they welcome the jobs. SpaceX did not respond to the Tribune’s questions about the project.

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Tesla extends Cybertruck production as Musk concedes ‘sentimentality’

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Credit: diagnosticdennis/Instagram and @smile__no via Tesla Owners of Santa Clarita Valley/X

Tesla CEO Elon Musk announced that the company will extend Cybertruck production slightly to handle its extensive order backlog.

On Wednesday, Musk announced that “In order to work through more of the Cybertruck order backlog, production will be extended through the end of summer 2027.”

Tesla has already attempted to simplify its last months of production for the Cybertruck by eliminating several trim levels and only offering the Cyberbeast, the most expensive trim that starts at $109,990. The other two trim levels, the Cybertruck All-Wheel-Drive and Premium All-Wheel-Drive have both been discontinued.

There has been plenty of backlash against Tesla’s decision to ax the Cybertruck, but the company’s forecast prioritizes Cybercab and autonomy. Factory space at Gigafactory Texas that is not necessary is now being set aside for the Cybercab as the company truly embraces its “transportation-as-a-service” model.

There is still a slim chance the Cybertruck survives. Last evening, Tesla upfitter Unplugged Performance offered to take the Cybertruck line off of Tesla’s hands and continue building it, along with a CyberSUV.

Nevertheless, Tesla seems to be ending the Cybertruck on its terms after what will be a three-and-a-half-year run. It still does not really feel quite real; I think many of us thought the Cybertruck would be around for years to come.

Musk added more detail, stating that while it was not the smartest move, “there must be some room in this world for sentimentality or what’s the point?”

Other EV pickups on the market have experienced a similar fate.

The Ford F-150 Lightning was axed by the Detroit company due to the continued losses the company took from sales. That truck was never profitable, and Ford is still taking a quarterly loss in its EV side. However, things are moving along as it has plans for a mass market EV pickup, which will likely gather some substantial demand if Ford can get it just right.

Perhaps another extension or even a total change of heart might come. Only Musk knows.

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