News
Tesla Cybertruck lead engineer shares insights on deep integration and vehicle development
Tesla Cybertruck Lead Engineer Wes Morrill recently shared some insights on the electric vehicle maker’s deep integration and unique approach to car design in a recent post on social media platform X. As could be seen in the engineer’s post, it is Tesla’s intense attention to detail that ultimately makes the company’s vehicles as disruptive as they are today.
Anyone informed who looks at the Tesla Cybertruck would know that the vehicle is a symphony of automotive engineering. Tesla, however, took some time before it reached this point. As per Morrill in his post, Tesla in its early days utilized different teams with collaborative goals in vehicle design. Adopting this system allowed the company to make great cars, but the designs of the vehicles themselves were not optimal.
“A well known example – early days of Tesla there was a battery team and separately a vehicle structures team. Structures team designed their vehicle body to meet given requirements of strength, crashworthiness, torsional stiffness, etc. Likewise, the battery team designed their part to be self contained, it could survive durability, accidentally being dropped, being hit in a crash, etc.
Good analysis – this is what happens when teams work together to make the best product. https://t.co/XAXf70k3jc— Wes (@wmorrill3) September 14, 2024
“As a result, we ended up with was a super dense battery in a strong box like structure, which was then Installed into the vehicle which had a nice space for it to mate into. There were no issues with integration, everything fit together perfectly and met all product goals. It achieved one of the highest crash safety ratings measured at the time.
“But we had a box full of battery cells that was installed into another empty box shaped receptacle on the body. A box in a box. When you simplify it down that far it sounds obviously wrong. The two organizations had achieved their goals, worked together without friction, and the product met its overall goals. Yet the product ended up with a clear lack of optimization as a result of the organizational boundaries of the two teams working in isolation. Nothing was wrong, but it wasn’t optimal,” Morrill wrote.
The Cybertruck Lead Engineer noted that Tesla learned from these experiences, and the company adapted. This is how innovations such as the structural battery pack—which is now being simulated by electric car makers in China—came about. Morrill stated, however, that such changes may require large organizational changes, and there has to be a drive to make the best product regardless of ego.
Have you heard of Conway's Law? It's an interesting observation about the root cause of why large organizations usually make products worse.
In 1967 Melvin Conway wrote "Organizations which design systems are constrained to produce designs which are copies of the communication… pic.twitter.com/SetWd6OfTe— Wes (@wmorrill3) September 14, 2024
“Before the next product was designed, the battery team gave responsibility of the battery structures also to the vehicle structures team. On this iteration, we ended up with the structural battery, which is an integral part of the body and crash structure. Without it, the vehicle body will not work. It’s the literal floor for the vehicle. But the redundancy is gone and the design is more efficient as a result. This vehicle also achieved one of the highest crash safety ratings measured at the time.
“This is a super obvious example (in retrospect) and solved with a fairly large organizational change but you can also see this happen in small technical decisions and doesn’t require structural change to fix. Someone just needs to question if there is a better solution in a team open to criticism. This mindset to work together to make the best product regardless of ego is where you end up with the most innovative products.
“Some smaller examples have been seen when inspecting Cybertruck design. The chassis air suspension which is used to pressurize the battery pack to prevent water ingress. The subwoofer which utilizes the air volume of the body side instead of making the enclosure larger. Centralized zonal vehicle controllers instead of many small distributed controllers. Doors which use the exterior surface as a crash intrusion beam. The pedestrian warning system used as a horn. The list goes on. The excitement and motivation by everyone involved to work across boundaries and actively break down Conway’s Law is one of the many reasons I love working at Tesla,” Morrill wrote.
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Elon Musk
Tesla CEO Elon Musk reminds everyone about Roadster’s true meaning
Tesla CEO Elon Musk took to his social media platform X on Sunday to remind everyone that the Roadster’s true meaning is not about company growth or adding dollars to shareholders’ pockets. Sometimes, you just do things because you can.
Following the Roadster’s epic unveiling event last Thursday, skeptics and critics of the company or the project itself came out to say that the vehicle is a pointless project because it is not geared toward growing the company, delivering supreme margins for profitability, nor does it contribute to the big picture of Artificial/Super Intelligence.
But that’s just the thing: Roadster is not meant to be some shareholder dream; it’s meant to be a vehicle that people buy just because it is something awesome, unique, and the first of its kind.
Tesla Roadster: Three configs, one can fly, 0-60 in 0.8 seconds
Musk had to remind those who are skeptical about the Roadster’s importance to the company mission that while it is not a major contributor to Tesla’s long-term goals, it is something that is being built just because it can be:
“Optimus and Cybercab will be the vast majority of Tesla’s value. The only things that will scale to incredible size (K2 and beyond) economically are super intelligence, robots, solar power, and mass to space. And, of course, if you have the first two, the rest will follow. But Roadster is super cool, so we’re doing it anyway.”
Musk has said on many occasions that Optimus would be the project that would make up the vast majority of Tesla’s value in the coming years.
Robotics will be a major focus of Tesla over the coming years, especially as Musk believes Optimus will enable work to be optional for humans and will enable what he calls “High Universal Income.”
Optimus and Cybercab will be the vast majority of Tesla’s value.
The only things that will scale to incredible size (K2 and beyond) economically are super intelligence, robots, solar power and mass to space.
And, of course, if you have the first two, the rest will follow.
But Roadster is super cool, so we’re doing it anyway.
— Elon Musk (@elonmusk) October 18, 2026
Cybercab will be a passive income opportunity for owners, Musk and Tesla have said for a very long time, as a fleet of self-driving vehicles will operate within a ride-hailing Robotaxi service that won’t require a human driver to be present.
Tesla investors are more than enthusiastic about the company’s future projects, at least from a general consensus perspective. However, it is important to note that the Roadster is a fun and cool project that pushes the boundaries of what people thought was possible for an automobile.
What we saw last week was the first true example of a flying car, and despite the backlash about how it might not contribute to Tesla’s grand ambitions, it’s okay to have fun sometimes, too.
Investor's Corner
SpaceX’s biggest earnings test yet lands Tuesday, and Tesla shareholders should be watching
SpaceX reports earnings Tuesday as Wall Street watches AI spending, Starlink growth and Tesla merger
SpaceX reports third quarter results after the market closes Tuesday, with a webcast at 4:30 p.m. ET streamed on X, and Tesla follows a day later. Bloomberg consensus, cited by Pepperstone, calls for revenue of $12.89 billion, adjusted EBITDA of $6.62 billion and adjusted EPS near $0.15. That would be about 65% growth from the second quarter and SpaceX’s first profitable quarter since its IPO. Analysts expect roughly $6.4 billion from AI and $4.9 billion from Starlink, which is projected to reach 14.3 million consumer subscribers. Capital spending is forecast at $19.6 billion, leaving free cash flow near negative $11.6 billion.
The numbers matter because SpaceX has spent months trying to win over a skeptical market. It priced its record IPO at $135, spiked to $225.64, then sank near $105 in early August. Friday’s close of $146.03 sits about 28% below the June high. The Q2 report beat on revenue at $7.8 billion and put Starlink at 12 million subscribers, but $18.4 billion of capex hurt the stock. Since then SpaceX reached orbit on Starship Flight 14 with 26 Starlink V3 satellites, agreed to buy 800 MHz spectrum for about $8 billion as part of its Starlink Mobile push, and signed a fourth compute hosting deal in four months worth roughly $13 billion a year from December. Management is targeting more than 2 gigawatts of compute by year end and a $100 billion annualized revenue run rate. Evercore ISI, which raised its target to $275, said the quarter may be judged more on those targets than the reported figures
All of this sits under the Tesla merger question. Barclays analyst Dan Levy expects an all stock deal in which SpaceX buys Tesla at a premium, using reference values of $2.1 trillion and $1.5 trillion, and said an announcement would need to come by late October or early November to be voted on at Tesla’s December 6 annual meeting. Barclays estimates Musk would hold about 37% of the combined company and 56% of the votes. Musk said in July that combining companies cannot be discussed on an earnings call, but an investor question asking when SpaceX will merge with Tesla is sitting on SpaceX’s Q&A platform, and Teslarati has tracked how the Roadster demo revived the talk.
If a deal happens, Tuesday’s result would effectively set the price Tesla holders would receive. Their shares would convert into SpaceX stock, along with exposure to a company with a heavy investment on AI, while Tesla itself expects 2026 capex above $25 billion. A strong quarter and calmer spending would make that exchange easier to sell. Another round of heavy capex and a falling stock would make it harder.
News
SpaceX’s Gwynne Shotwell just made a quiet gesture toward Tesla
SpaceX president Gwynne Shotwell quietly followed Tesla on X, and merger watchers noticed right away.
SpaceX President and COO Gwynne Shotwell has started following Tesla’s official account on X, a small change that landed in the middle of a very loud merger conversation. Whole Mars Catalog joked about it on Sunday.
A follow is not an announcement, and neither company has said anything about a deal. What gives the moment weight is the timing. Barclays analyst Dan Levy has told clients that an agreement could come before Tesla’s annual meeting, which must be held by December 6, with SpaceX as the buyer in an all stock deal, as we reported after the Roadster unveiling. Wedbush’s Dan Ives has stuck with a 2027 timeline.
“Shit, I better start following their X account if i’m gonna be helping run the company”
— Whole Mars Catalog (@wholemars) October 18, 2026
Shotwell is the executive most worth watching if the two companies do move closer. When Musk was asked at the All In Summit why Tesla and SpaceX remain separate, Shotwell sat next to him and said SpaceX personnel had already moved into xAI to fill leadership and engineering gaps. The businesses were integrating “faster than I thought,” she said, though “not fully integrated yet.” Her responsibilities have also grown since SpaceX absorbed xAI, and she now oversees operations that include Grok and the company’s AI compute buildout.
The financial links are already there. Tesla’s $2 billion xAI investment turned into a stake of less than one percent in SpaceX, the two share the Terafab chip project in Austin, and Musk exercised his 2018 Tesla options a week after SpaceX began trading, a sequence analysts flagged as giving SpaceX public shares to use in a deal. Musk holds about 20 percent of Tesla and controls 85.1 percent of SpaceX’s voting power, according to our earlier breakdown.
The next test is close at hand. SpaceX reports its second earnings as a public company on Tuesday after the close, and Tesla follows on Wednesday. Musk told analysts in July that “we can’t talk about combining companies and that kind of thing on an earnings call,” so a direct answer is unlikely from either stage. Tesla shareholders can still submit and vote on questions through the Say portal until 4 p.m. EDT on Monday, and the merger is a recurring theme in the queue.