News
GM refuses Tesla’s tax credit strategy, will adopt dealer-based ‘incentives’ instead
General Motors (GM) is now the second vehicle manufacturer to sell 200,000 electric cars, triggering a phaseout period for the $7,500 federal tax credit for electric vehicle buyers. To address the tax credit’s phaseout, GM has decided to favor new, non-specified “incentives” to keep its electric vehicles competitive.
“It is easier to react to the market by working with dealers and your marketing team than it is to change sticker prices,” GM spokesman Jim Cain commented on the issue, also noting that GM is “sensitive to affordability” in the electric car market.
GM’s reaction to the phaseout period of the $7,500 stands in stark contrast to that of Tesla. When the electric car maker reached the 200,000 threshold last July, the company quickly made its future buyers aware of the impact the federal tax credit phase out would have on their vehicle prices. The prices of its vehicles were promptly adjusted to buffer some of the increase brought about by the reduced federal tax credit, which was halved to $3,750. As could be seen in GM’s recent statement, it appears that the experienced American carmaker is not prepared to show this type of flexibility just yet.
Under the existing tax credit system for electric vehicles, buyers must wait until their annual taxes are complete before receiving the incentive. A new federal bill, dubbed the Electric CARS Act of 2018, was proposed last year to both extend the full $7,500 credit until 2028 regardless of the number of vehicles sold.
Under the proposed bill, electric car buyers would receive an immediate discount off of the car’s sticker price at the time of purchase. The bill is currently still being considered by the Ways and Means Committee. In California, a $2,500 local subsidy has backing from lawmakers to increase its amount to $4,500, a move meant to buffer the impact of a reduced federal credit.
Tesla’s introduction of the $35,000 Model 3 Standard Range has ushered in a new consumer market for the California-based company focused on affordability, as intended. Absorption of external costs looked to be a move aimed at keeping customers happy while delivery delays and manufacturing setbacks hindered buyers’ ability to take advantage of the tax credit.
Prior to the Model 3 Standard Range release, large auto manufacturers like GM produced the only affordable electric vehicle options. Tesla’s competitive pricing angle makes GM’s “incentive” strategy interesting, especially now that the hybrid Chevy Volt has ceased production following a 23% reduction in sales last year. GM is also ramping up production and sales efforts for the Chevy Bolt and has vowed to launch another 20 electric car models by 2023.
Energy
Tesla launches Cybertruck vehicle-to-grid program in Texas
The initiative was announced by the official Tesla Energy account on social media platform X.
Tesla has launched a vehicle-to-grid (V2G) program in Texas, allowing eligible Cybertruck owners to send energy back to the grid during high-demand events and receive compensation on their utility bills.
The initiative, dubbed Powershare Grid Support, was announced by the official Tesla Energy account on social media platform X.
Texas’ Cybertruck V2G program
In its post on X, Tesla Energy confirmed that vehicle-to-grid functionality is “coming soon,” starting with select Texas markets. Under the new Powershare Grid Support program, owners of the Cybertruck equipped with Powershare home backup hardware can opt in through the Tesla app and participate in short-notice grid stress events.
During these events, the Cybertruck automatically discharges excess energy back to the grid, supporting local utilities such as CenterPoint Energy and Oncor. In return, participants receive compensation in the form of bill credits. Tesla noted that the program is currently invitation-only as part of an early adopter rollout.
The launch builds on the Cybertruck’s existing Powershare capability, which allows the vehicle to provide up to 11.5 kW of power for home backup. Tesla added that the program is expected to expand to California next, with eligibility tied to utilities such as PG&E, SCE, and SDG&E.
Powershare Grid Support
To participate in Texas, Cybertruck owners must live in areas served by CenterPoint Energy or Oncor, have Powershare equipment installed, enroll in the Tesla Electric Drive plan, and opt in through the Tesla app. Once enrolled, vehicles would be able to contribute power during high-demand events, helping stabilize the grid.
Tesla noted that events may occur with little notice, so participants are encouraged to keep their Cybertrucks plugged in when at home and to manage their discharge limits based on personal needs. Compensation varies depending on the electricity plan, similar to how Powerwall owners in some regions have earned substantial credits by participating in Virtual Power Plant (VPP) programs.
News
Samsung nears Tesla AI chip ramp with early approval at TX factory
This marks a key step towards the tech giant’s production of Tesla’s next-generation AI5 chips in the United States.
Samsung has received temporary approval to begin limited operations at its semiconductor plant in Taylor, Texas.
This marks a key step towards the tech giant’s production of Tesla’s next-generation AI5 chips in the United States.
Samsung clears early operations hurdle
As noted in a report from Korea JoongAng Daily, Samsung Electronics has secured temporary certificates of occupancy (TCOs) for a portion of its semiconductor facility in Taylor. This should allow the facility to start operations ahead of full completion later this year.
City officials confirmed that approximately 88,000 square feet of Samsung’s Fab 1 building has received temporary approval, with additional areas expected to follow. The overall timeline for permitting the remaining sections has not yet been finalized.
Samsung’s Taylor facility is expected to manufacture Tesla’s AI5 chips once mass production begins in the second half of the year. The facility is also expected to produce Tesla’s upcoming AI6 chips.
Tesla CEO Elon Musk recently stated that the design for AI5 is nearly complete, and the development of AI6 is already underway. Musk has previously outlined an aggressive roadmap targeting nine-month design cycles for successive generations of its AI chips.
Samsung’s U.S. expansion
Construction at the Taylor site remains on schedule. Reports indicate Samsung plans to begin testing extreme ultraviolet (EUV) lithography equipment next month, a critical step for producing advanced 2-nanometer semiconductors.
Samsung is expected to complete 6 million square feet of floor space at the site by the end of this year, with an additional 1 million square feet planned by 2028. The full campus spans more than 1,200 acres.
Beyond Tesla, Samsung Foundry is also pursuing additional U.S. customers as demand for AI and high-performance computing chips accelerates. Company executives have stated that Samsung is looking to achieve more than 130% growth in 2-nanometer chip orders this year.
One of Samsung’s biggest rivals, TSMC, is also looking to expand its footprint in the United States, with reports suggesting that the company is considering expanding its Arizona facility to as many as 11 total plants. TSMC is also expected to produce Tesla’s AI5 chips.
News
Anti-Tesla union leader ditches X, urges use of Threads instead
Tesla Sweden and IF Metall have been engaged in a bitter dispute for over two years now.
Marie Nilsson, chair of Sweden’s IF Metall union and a prominent critic of Tesla, has left X and is urging audiences to follow the union on Meta’s Threads instead.
Tesla Sweden and IF Metall have been engaged in a bitter dispute for over two years now.
Anti-Tesla union leader exits X
In a comment to Dagens Arbete (DA), Nilsson noted that her exit from X is not formally tied to IF Metall’s long-running labor dispute with Tesla Sweden. Still, she stated that her departure is affected by changes to the platform under Elon Musk’s leadership.
“We have stayed because many journalists pick up news there. But as more and more people have left X, we have felt that the standard has now been reached on that platform,” she said.
Jesper Pettersson, press officer at IF Metall, highlighted that the union’s departure from X is only indirectly linked to Tesla Sweden and Elon Musk. “Indirectly it does, since there is a lot of evidence that his ownership has caused the change in the platform to be so significant.
“We have nevertheless assessed that the platform had value for reaching journalists, politicians and other opinion leaders. But it is a microscopic proportion of the public and our members who are there, and now that value has decreased,” Petterson added.
IF Metall sees Threads as an X alternative
After leaving X, IF Metall has begun using Threads, Meta’s alternative to the social media platform. The union described the move as experimental, noting that it is still evaluating how effective the platform will be for outreach and visibility.
Pettersson acknowledged that Meta also does not operate under Sweden’s collective bargaining model, but said the union sees little alternative if it wants to remain visible online.
“In a perfect world, all large international companies would be supporters of the Swedish model when they come here. But unfortunately, the reality is not like that. If we are to be visible at all in this social media world, we have to play by the rules of the game. The alternative would be to become completely invisible, and that would not benefit our members,” he said.
Tesla launches Cybertruck vehicle-to-grid program in Texas
Samsung nears Tesla AI chip ramp with early approval at TX factory
