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Tesla’s Elon Musk faces lawsuit over Twitter stake, late filing

Credit: Tesla/YouTube

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Elon Musk is currently facing a lawsuit from a Twitter investor who alleged that the Tesla CEO illegally delayed the disclosure of his stake in the social media company so that he could purchase more shares at lower prices. By doing so, the plaintiff argued that some Twitter investors who sold shares in the time leading up to Musk’s disclosure ended up missing out on the stock’s eventual rise. 

The complaint accused Musk of violating a rule which required investors to disclose their position if they accumulate a stake of at least 5% in a company. This was not done, according to the suit, as Musk did not disclose his Twitter holdings until he had almost doubled his stake to over 9%. If Musk had followed US securities law, he should have disclosed his holdings on March 24, but he held out until April 4 to announce his Twitter stake. 

Twitter stock soared 27% from its April 1 close to nearly $50 per share at the end of April 4’s trading, the day when Musk disclosed his stake in the company. The lawsuit alleged that Musk’s delayed disclosure ended up depriving Twitter investors of realizing very significant gains. 

The complaint was filed in a Manhattan federal court on Tuesday by Twitter investor Marc Bain Rasella. The investor is looking to have his complaint certified as a class-action lawsuit for TWTR shareholders who sold the stock between March 24 and April 1, 2022. During that period, Musk was still able to purchase Twitter shares at prices ranging from $37.69 to $40.96, a significant discount from TWTR’s price following Musk’s April 4 disclosure. 

Elon Musk’s Twitter stake has effectively made him the social media company’s single largest shareholder. The Tesla CEO was initially set to join Twitter’s Board of Directors, but this past weekend, it was announced that Musk had declined the appointment. This all but opens the doors for Musk to acquire more of the company without much limitations. 

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In a statement to The Associated Press, Jacob Walker, one of the lawyers who filed the lawsuit against Elon Musk, stated that he is yet to reach out to the Securities and Exchange Commission about the CEO’s alleged violations. Walker noted, however, that he assumes that the SEC is already well aware of the situation. “I assume the SEC is well aware of what he did,” Walker said. 

Don’t hesitate to contact us with news tips. Just send a message to simon@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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Tesla China weekly insurance registrations surge 145% amid strong June results

The results follow Tesla’s solid June performance in China.

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Credit: Tesla Asia/X

Tesla China saw 12,300 new vehicle insurance registrations in the week of July 7-13, marking a 145% increase from the prior week’s 5,010 registrations. The surge seems to be bolstered by strong domestic demand for Tesla’s two mainstream vehicles, the Model Y crossover and the Model 3 sedan.

The results follow Tesla’s solid June performance in China, where it sold over 71,000 vehicles wholesale and introduced minor upgrades to its long-range variants.

Model Y leads weekly registrations

Of the 12,300 vehicles registered for insurance last week, more than 9,400 were Model Y crossovers and over 2,800 were Model 3 sedans, as noted in a CNEV Post report. Both vehicles are built at Tesla’s Giga Shanghai, which serves as the electric vehicle maker’s primary vehicle export hub.

Tesla introduced minor upgrades to the long-range Model 3 and Model Y on July 1. The Model 3 received a slight price increase, while Model Y pricing remained unchanged. This suggested that the Model Y is seeing continued consumer interest in the domestic Chinese market.

June sales reflect stable domestic demand

According to data from the China Passenger Car Association (CPCA), Tesla delivered 71,599 vehicles in June. That’s a 0.83% year-over-year increase from June 2024 and a 16.12% jump from May. Of those, 61,484 units were sold locally, marking the second-highest domestic monthly total this year after March’s 74,127 units.

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However, exports declined in June, with 10,115 vehicles shipped abroad, down 13.89% from the 11,746 vehicles exported a year ago and 56.16% from the 23,074 that were exported in May. The export dip suggests a stronger domestic focus last month, potentially driven by local promotions or strategic inventory shifts.

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Tesla’s Robotaxi expansion wasn’t a joke, it was a warning to competitors

Tesla might have made a joke with its first Robotaxi service area expansion, but it was truly a serious warning to its competitors.

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Tesla’s Robotaxi expansion occurred for the first time on Monday, and while the shape of its new service area might be “cocky,” it surely is not a joke. It’s a warning to competitors.

Robotaxi skeptics and Tesla opponents are sitting around throwing hate toward the company’s expansion appearance. Some called it “unserious,” and others say it’s “immature.” The reality is that it has a real meaning that goes much further than the company’s lighthearted and comical attitude toward things.

For context, Tesla has routinely used the number 69 as a way to price things it sells. 420 is another, an ode to cannabis culture. A few years back, it actually priced its Model S flagship sedan at $69,420. The first rides of the Robotaxi fleet were priced at $4.20. They are now being increased to $6.90.

Some call it childish. Others call it fun. The truth is, nobody is doing it this way.

Tesla updates Robotaxi app with several big changes, including wider service area

But today’s expansion of the Robotaxi service area in Austin is different. Tesla did not expand its shape to different neighborhoods or areas of the City of Austin. It did not expand it by broadening the rectangle that was initially available. Instead, it chose a different strategy, simply because it could:

Tesla could have done anything. It could have expanded in any direction, in any way, but it chose this simply because it has gotten Robotaxi to the point that it can broaden its service area in any direction. It chose this shape because it could.

Other companies might not have the same ability. Of course, many companies probably would not do this even if it could, simply because of the optics. Tesla doesn’t have those concerns; it has been open about its ability to be funny, and yes, immature, at times.

But in reality, it was a stark warning to competitors. “We can go anywhere in Austin, at any time, and we’re confident enough to make a joke about it.”

Tesla’s Robotaxi geofence in Austin grows, and its shape is hard to ignore

As Tesla is already aiming to expand to new states and high-population areas, and with applications filed in Arizona and California, Robotaxi will be in new regions in the coming weeks or months.

For now, it remains in Austin, and Tesla is sending a message to other companies that it is ready to go in any direction. The driverless Robotaxi fleet, bolstered by billions of miles of data, is ready to roam without anyone at the wheel.

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Tesla Robotaxi has already surpassed Waymo in this key metric

Tesla Robotaxi has already overtaken Waymo in Austin in one key metric, but there’s still more work to do.

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Credit: @HanChulYong/X

Tesla Robotaxi has already surpassed Waymo in one extremely important key metric: size of service area.

Tesla just expanded its service area in Austin on Monday morning, pushing the boundaries of its Robotaxi fleet in an interesting fashion with new capabilities to the north. Yes, we know what it looks like:

The expansion doubled Tesla Robotaxi’s potential travel locations, which now include the University of Texas at Austin, a school with over 53,000 students.

The doubling of the service area by Tesla has already made its travel area larger than Waymo’s, which launched driverless rides in October 2024. It became available to the public in March 2025.

According to Grok, the AI agent on X, Tesla Robotaxi’s current service area spans 42 square miles, which is five square miles larger than Waymo’s service area of 37 square miles.

The service area is one of the most important metrics in determining how much progress a self-driving ride-hailing service is making. Safety is the priority of any company operating a ride-hailing network, especially ones that are making it a point to use autonomy to deploy it.

However, these companies are essentially racing for a larger piece of the city or cities they are in. Waymo has expanded to several different regions around the United States, including Arizona and Los Angeles.

Tesla is attempting to do the same in the coming months as it has already filed paperwork in both California and Arizona to deploy its Robotaxi fleet in states across the U.S.

As the platform continues to show more prowess and accuracy in its operation, Tesla will begin to expand to new areas, eventually aiming for a global rollout of its self-driving service.

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