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Tesla employee foregoes $1M payment, works with FBI to thwart cybersecurity attack
Sometimes, the events that transpire inside a company could be just as exciting and nail-biting as the most popular thrillers in fiction. In Tesla’s case, such a scenario recently played out, as a worker in Gigafactory Nevada ended up turning down a $1 million incentive, working closely with the FBI, and thwarting a planned cybersecurity attack against the electric car maker.
This Tuesday, the Department of Justice announced the arrest of Egor Igorevich Kriuchkov, a Russian citizen accused of conspiring to breach the network of a US company and introduce malware to compromise the said company’s networks. Media reports about the incident have identified the US company to be electric car maker Tesla. Interestingly enough, a criminal complaint filed by the FBI Las Vegas Field Office suggests that the attempted cybersecurity attack is no ordinary hacking attempt — it may very well be part of a well-financed, organized, scheme.
The plan begins
The remarkable story began when a Russian-speaking, non-US citizen working at Tesla’s Gigafactory Nevada was contacted by Kriuchkov. The employee, whose identity has not been revealed, has access to the electric car maker’s computer networks. On July 16, the Russian citizen contacted the Giga Nevada employee through WhatsApp asking to meet with him in Sparks, Nevada. As noted in a report from Clearance Jobs, the fact that Kriuchkov approached a Russian-speaking, non-US citizen working at Gigafactory Nevada suggests that the team behind the cyberattack attempt has done their research well.
The Tesla employee, some colleagues, and Kriuchkov met socially from August 1-3, which included a trip to Lake Tahoe. Interestingly enough, Kriuchkov reportedly declined to be present in any photos that were taken during the trip. At one point when the group was taking a photo during a picturesque sunset, Kriuchkov reportedly remarked that he would “just remember the beauty of the sunset and did not need a photograph.” After the relatively harmless Lake Tahoe trip, the Russian citizen asked the Tesla employee to meet with him for some “business.”
Down to “business”
During their “business” meeting, Kriuchkov revealed his hand. The plan involved the Tesla employee inserting malware provided by Kriuchkov and his associates to the electric car maker’s systems. After the malware is inserted, a distributed denial of service (DDoS) attack would occur that could allow the hackers to occupy the Tesla information security team. The malware would also allow the hackers to extract corporate and network data, which would be held ransom until the electric car maker pays up. For his participation in the ploy, the Gigafactory Nevada employee would receive $500,000, later raised to $1 million, to be paid in cash or bitcoin.
Unfortunately for Kriuchkov and his team, the Giga Nevada employee actually reported the planned cybersecurity attack to Tesla, which, in turn, contacted the FBI. The FBI stepped in, and with the agency’s help, the Tesla employee continued to communicate with Kriuchkov, trying to get as much information as possible about the hackers’ processes, procedures, and infrastructure. The efforts proved fruitful. In one conversation, the hacker reportedly boasted that his team had recently received a ransom worth over $4 million from a high profile company. Later reports would reveal that the company in question was CWT Travel, which reportedly paid a ransom of $4.5 million.
The plan falls through
During a meeting on August 19, the Tesla employee, wearing a wire from the FBI, met with Kriuchkov. The hacker agreed to pay an advance of $11,000 to the Giga Nevada worker. Two days later, on August 21, the Tesla employee was contacted by the hacker once more, who stated that the project was being “delayed” and all payments relating to the plan would not be transferred until a later date. Kriuchkov also informed the Tesla employee that he was leaving the area the following day. Behind the scenes, the FBI was able to get in touch with the hacker, who, in turn, drove overnight from Reno, Nevada to Los Angeles in what appeared to be an attempt to flee the United States.
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Kriuchkov was unsuccessful, as he was arrested on August 22, 2020 in Los Angeles. The hacker is currently being detained pending trial. Fortunately for Tesla, the company was able to get away from what could have been a serious cybersecurity attack, and it has one employee to thank for it. It takes a lot, after all, to say no to a $1 million reward, as others have compromised far more for far less.
Read the FBI’s complaint against Kriuchkov below.
Complaint Egor Kriuchkov 3 20 Mj 83-0-0 by Simon Alvarez on Scribd
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
