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Tesla may be underpromising on its 2021 vehicle delivery guidance: insider

Credit: teslaphotographer/Instagram

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Tesla may not have provided a specific number for its 2021 vehicle delivery guidance, but it appears that the electric car maker is, at least internally, aiming for new records this year. 

Back in the Q4 FY 2020 earnings call, Elon Musk remarked that Tesla would likely be able to “maintain a growth rate in excess of 50% per year for many years to come.” Musk added that he believes Tesla will track “a fair bit above 50%” for 2021, though he also noted that he does not want to commit to a specific number. 

One of Tesla’s Giga Press machines installed at the Fremont Factory. (Credit: Gabeincal/YouTube)

A recent rumor from an individual reportedly familiar with the electric car maker’s plans has now suggested that Tesla might be sandbagging its 2021 estimates. Tesla investor Sawyer Merritt, who shared the rumor on Twitter, confirmed with Teslarati that the information came from an insider familiar with the electric car maker’s sales strategy this year. 

According to the insider, Tesla is internally looking to deliver 1 million vehicles in 2021, which should effectively double its already-record-breaking numbers in 2020. This is notably higher than the estimates shared by Elon Musk during the fourth-quarter earnings call. However, it should be noted that Tesla bulls have already been speculating that the company was intentionally sandbagging its 2021 delivery estimates, especially considering the recent developments in facilities like Gigafactory Shanghai and the Fremont Factory. 

Tesla is currently in the process of refining the operations of its Giga Presses in the Fremont Factory. The machines, which manufacture the megacast for the Model Y’s rear underbody, can increase the company’s numbers at the Fremont Factory by making the all-electric crossover’s production simpler. In Shanghai, Tesla is also still only in the first months of the Model Y’s ramp. Tesla is aiming to start operations in Gigafactory Berlin, and perhaps even Giga Texas as well. 

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While the recent rumors about Tesla’s internal targets are exciting, the fact that Tesla is sharing conservative estimates for its 2021 delivery guidance is quite admirable, if not a step away from Elon Musk’s typically optimistic targets. Such a thing would be quite beneficial for the electric car maker to a point, after all, especially since Elon Musk’s overly-aggressive timetables have resulted in the company struggling to meet its publicly-stated goals in the past. 

That being said, with all of Tesla’s vehicle production facilities producing EVs this year, the idea of the electric car maker delivering 1 million cars for 2021 does not sound too farfetched at all. 

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Don’t hesitate to contact us for news tips. Just send a message to tips@teslarati.com to give us a heads up.

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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xAI’s Grok approved for Pentagon classified systems: report

Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations. 

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Credit: xAI

Elon Musk’s xAI has signed an agreement with the United States Department of Defense (DoD) to allow Grok to be used in classified military systems.

Previously, Anthropic’s Claude had been the only AI system approved for the most sensitive military work, but a dispute over usage safeguards has reportedly prompted the Pentagon to broaden its options, as noted in a report from Axios.

Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations. 

The publication reported that xAI agreed to the Pentagon’s requirement that its technology be usable for “all lawful purposes,” a standard Anthropic has reportedly resisted due to alleged ethical restrictions tied to mass surveillance and autonomous weapons use.

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Defense Secretary Pete Hegseth is scheduled to meet with Anthropic CEO Dario Amodei in what sources expect to be a tense meeting, with the publication hinting that the Pentagon could designate Anthropic a “supply chain risk” if the company does not lift its safeguards. 

Axios stated that replacing Claude fully might be technically challenging even if xAI or other alternative AI systems take its place. That being said, other AI systems are already in use by the DoD. 

Grok already operates in the Pentagon’s unclassified systems alongside Google’s Gemini and OpenAI’s ChatGPT. Google is reportedly close to an agreement that will result in Gemini being used for classified use, while OpenAI’s progress toward classified deployment is described as slower but still feasible. 

The publication noted that the Pentagon continues talks with several AI companies as it prepares for potential changes in classified AI sourcing.

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Elon Musk denies Starlink’s price cuts are due to Amazon Kuiper

“This has nothing to do with Kuiper, we’re just trying to make Starlink more affordable to a broader audience,” Musk wrote in a post on X.

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Credit: Starlink

Elon Musk has pushed back on claims that Starlink’s recent price reductions are tied to Amazon’s Kuiper project.

In a post on X, Musk responded directly to a report suggesting that Starlink was cutting prices and offering free hardware to partners ahead of a planned IPO and increased competition from Kuiper.

“This has nothing to do with Kuiper, we’re just trying to make Starlink more affordable to a broader audience,” Musk wrote in a post on X. “The lower the cost, the more Starlink can be used by people who don’t have much money, especially in the developing world.”

The speculation originated from a post summarizing a report from The Information, which ran with the headline “SpaceX’s Starlink Makes Land Grab as Amazon Threat Looms.” The report stated that SpaceX is aggressively cutting prices and giving free hardware to distribution partners, which was interpreted as a reaction to Amazon’s Kuiper’s upcoming rollout and possible IPO.

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In a way, Musk’s comments could be quite accurate considering Starlink’s current scale. The constellation currently has more than 9,700 satellites in operation today, making it by far the largest satellite broadband network in operation. It has also managed to grow its user base to 10 million active customers across more than 150 countries worldwide. 

Amazon’s Kuiper, by comparison, has launched approximately 211 satellites to date, as per data from SatelliteMap.Space, some of which were launched by SpaceX’s Falcon 9 rocket. Starlink surpassed that number in early January 2020, during the early buildout of its first-generation network.

Lower pricing also aligns with Starlink’s broader expansion strategy. SpaceX continues to deploy satellites at a rapid pace using Falcon 9, and future launches aboard Starship are expected to significantly accelerate the constellation’s growth. A larger network improves capacity and global coverage, which can support a broader customer base.

In that context, price reductions can be viewed as a way to match expanding supply with growing demand. Musk’s companies have historically used aggressive pricing strategies to drive adoption at scale, particularly when vertical integration allows costs to decline over time.

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Tesla Giga Berlin makes a statement of solidarity amid IG Metall conflict

The display comes as tensions between Tesla and IG Metall continue to escalate.

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Creidt: Andre Thierig/X

Tesla Giga Berlin is sending a strong message of solidarity amid its ongoing legal dispute with German union IG Metall.

In a post on social media platform X, Giga Berlin plant manager André Thierig shared an image of the facility’s lobby covered with a large banner that reads: “Progress. Innovation. Success.” He added that the slogan reflects what the facility has stood for since Day One.

“Our lobby at Giga Berlin covered in a huge banner these days. Progress. Innovation. Success – this is what we stand for since we started production in 2022 and how we will go into our future!” Thierig wrote in his post on X. 

The display comes as tensions between Tesla and IG Metall continue to escalate.

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The dispute began after Tesla accused a union representative of secretly recording a works council meeting at Giga Berlin. Tesla stated that it filed a criminal complaint after the alleged incident. Police later confirmed they had seized a computer belonging to an IG Metall member as part of their investigation.

“What has happened today at Giga Berlin is truly beyond words! An external union representative from IG Metall attended a works council meeting. For unknown reasons he recorded the internal meeting and was caught in action! We obviously called police and filed a criminal complaint!” Thierig wrote on X at the time

IG Metall denied the accusation and characterized Tesla’s move as an election tactic ahead of upcoming works council elections. The union subsequently filed a defamation complaint against Thierig. Authorities later confirmed that an investigation had been opened in connection with the matter.

Giga Berlin began production in 2022 and has since become one of Tesla’s key European manufacturing hubs, producing the Model Y, the company’s best-selling vehicle. The facility has expanded capacity over the past years despite environmental protests, labor disputes, and regulatory scrutiny.

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