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Ford CEO warns Elon Musk that Tesla is competing with the ‘ultimate disruptor’ in Henry Ford

2019 Ford F-150 Raptor [Credit: Yourcar via YouTube]

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Ford CEO Jim Hackett admits that the future of the automobile will be electric. Amidst this transition, the CEO noted that there will be disruptors that are bound to emerge. Yet, despite the arrival of these competitors, Hackett believes that Ford will ultimately have what it takes to maintain its place in the auto industry. 

Poppy Harlow of CNN Business, who was interviewing the Ford CEO, mentioned how Tesla CEO Elon Musk remarked that the Detroit-based veteran carmaker will likely not make in the next recession. Responding to the interviewer, Hackett candidly noted that while he respects Musk as a competitor, Tesla will be facing a great challenge in Ford because the automaker is a disruptor itself.

“There’s a disruptor coming. I happen to compete with a rocket scientist who’s really smart, and I respect that about him. And yet, he’s competing with the ultimate disruptor in Henry Ford. When you go seven miles from here and you see the Rouge Complex, Henry bet the company, he goes bankrupt because there’s no industrial model in the world that has a hundred thousand people working in it. That one did, and [it] took 12 hours to build a vehicle before [Henry Ford] built it. It went down to 52 minutes. Today, we build an F-150 every 53 seconds,” Hackett stated.

Hackett’s statements harken back to what could very well be the most disruptive era of Ford’s history. Led by Henry Ford, the company opened its River Rouge factory in 1917, and it revolutionized the production of automobiles to such a degree that Henri Citroën, Louis Renault and Kiichiro Toyoda, the founder of Toyota, all visited the plant to study how Ford operated it.

Tesla, for its part, has exhibited great growth over its 16 years of operation. The automaker already sells more electric cars than any other car company on the market, but production-wise, Tesla’s factories are yet to achieve the same unanimous recognition as Henry Ford’s River Rouge facility. This, according to Hackett, is where Ford has a distinct advantage over Tesla. Thus, the CEO noted that he is not too worried about competition from the Silicon Valley-based electric car maker.

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“So let’s go back to the challenges of the disruptor. How well does their production system work? How fast were they building cars? Which is saying that fitness, as we were saying, is a compendium of things that you have to get right. It’s not just the technology in this case. You have to have an industrial model. Ford’s really good at this,” Hackett said.

Apart from his statements about the competition rising from companies like Tesla, the Ford CEO stated that the Detroit-based automaker is fully committed to the transportation industry’s shift to autonomous vehicles. Hackett noted that he expects Ford to have fully autonomous cars ready by 2021, which will be ready for real-world testing without human drivers. Similar to Musk’s statements, the Ford CEO mentioned that the company’s self-driving initiatives will largely be dependent on regulators.

For now, and with upcoming vehicles such as the Tesla Pickup Truck preparing to enter its most profitable segment, Ford is busying itself on establishing strategic partnerships. Among these involve electric truck startup Rivian, which received a $500 million investment from Ford, and Volkswagen, whose partnership will allow the companies to come up with two new electric vehicles for the European market. Ford has also invested $1 billion in Argo, a company that develops autonomous driving technology.

Watch an excerpt from the Ford CEO’s interview with CNN Business in the video below.

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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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Cybertruck

Tesla clears the air on Cybertruck ‘deactivation’ video that is obviously fake

Tesla has cleared the air on the viral video, stating it is fake.

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Credit: Cybertruck | X

Tesla has cleared the air regarding a video that has been circulating, where the owner claims his Cybertruck was “deactivated” by the company while he was driving.

The video was shared on X and showed a driver pulled over on the side of the road, claiming his Cybertruck had been deactivated by Tesla in the middle of traffic. It is very obviously fake to those who know the company, but these kinds of things have a tendency to pick up steam.

The video shows a screen that says:

“Tesla Cybertruck De-Activated. Critical Issue Detected | Contact Customer Service, Comply with Cease & Desist to Re-Activate. Update Failed, Return to Dealer.”

The same person who posted the video also shared an image of what appears to be a Cease and Desist letter from Tesla, but it is also likely fake:

The company finally responded to the video on Monday afternoon, stating that the video is, in fact, fake, reiterating that it will not disable vehicles remotely for any reason.

It is a shame that these types of things happen, especially as people are prone to believe anything they see on the internet. As there is so much misinformation circulating surrounding Tesla and its CEO Elon Musk, it is no surprise that someone would leverage the situation for their own benefit.

If that Cease and Desist letter is not real, perhaps the next one might be. These types of things can truly cause damage to a company’s reputation, and someone getting an idea that Tesla would remotely deactivate a car could prevent them from buying one.

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Elon Musk

Elon Musk is stepping up for Tesla Service in a big way

Elon Musk has stepped up to resolve a handful of customer issues regarding vehicle service.

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tesla service
Credit: Tesla

Elon Musk is stepping up to help customers in a big way, especially when they are having issues with Tesla’s Service.

Perhaps one of the biggest advantages Tesla owners have is access to Musk through X, his social media platform. Over the years, we’ve seen Tesla add features, refine its cars’ performance, and more, all through asking Musk directly through a post.

Now, Musk is stepping up in another way by resolving a few Service complaints that customers had.

The first occurred last week when a recall on a Tesla battery was not honored by Service. The company sought $30,000 for a replacement and labor, which was not right. Musk responded that he would personally investigate the matter. The vehicle was fixed at no cost as it was a recall, and was ready for pickup the next day.

It also revealed a new strategy Tesla is using to combat service communication issues:

Tesla creates clever solution to simplify and improve its Service

The next occurred with a Cybertruck owner who was in Japan. Their car was parked at an airport in the U.S. and had lost a vast majority of its state of charge, leaving them just fifty miles of range at the time.

Musk reached out to the owner and said Service will take care of the car and will investigate the cause of the battery drain:

There are not too many companies out there where the CEO will get involved with individual issues like these. It’s pretty exclusive to Tesla, as Musk has commonly stepped up to resolve complaints with vehicles or to confront features that some owners might find useful.

Service has been a weak point of the company for some time, but it has worked to refine and resolve customer complaints by building more Service Centers across the world that can handle these issues.

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Elon Musk

Tesla CEO Elon Musk confirms Robotaxi is opening to the public: here’s when

Anyone will be able to request a Tesla Robotaxi in September, Elon Musk said this morning.

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Credit: Joe Tegtmeyer | X

Tesla CEO Elon Musk has confirmed that the company’s Robotaxi platform is opening to the public, and he even gave a timeline for when anyone will be able to access one for a ride.

Tesla’s Robotaxi platform launched to a small group on June 22 in Austin, Texas. The company has continued to expand the number of riders and its geofence over the past month and a half.

Tesla officially launches Robotaxi service with no driver

Additionally, it launched rides in the Bay Area of California, but it differs slightly, as the Texas Robotaxi platform does not utilize a Safety Monitor in the driver’s seat. In California, the monitor sits in the driver’s seat.

As the geofence, service areas, and testing populations expand, Tesla fans are awaiting their elusive emails that enable their ability to use the Robotaxi platform. It now seems that the email will come soon, as Musk said Tesla will open up public access to Robotaxi next month:

Tesla has been prioritizing safety over anything else with the launch of the Robotaxi platform, which is why it has been slow to push invitations to new riders. It is confident in the abilities of the platform and its Full Self-Driving suite, which has been proven with data.

However, even a single accident could set Tesla back years in terms of its development of self-driving cars. It is not a risk it is willing to take.

Musk said during the recent Q2 Earnings Call:

“We need to make sure it works when the vehicles are fully under our control. It’s kind of one step at a time here. We don’t want to jump the gun. As I said, we’re being paranoid about safety. But I guess next year is I’d say confidently next year. I’m not sure when next year, but confidently next year, people would be able to add or subtract their car to the Tesla, Inc. fleet.”

As the platform will expand in Austin and the Bay Area for anyone, Tesla still continues to reiterate that Robotaxi will be available for everyone sometime next year, as Musk said in the quote above.

Things will continue to improve over time, and Tesla will likely expand its geofence in both regions in the coming weeks. It has already done that in Austin twice, with about a doubling in size occurring both times.

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