Tesla is set to lay off more workers in the U.S., and the company is also seeking voluntary departures in Germany.
After we reported on the email Tesla sent to workers affected by its initial round of layoffs last week, multiple other rounds of layoffs and departures have hit the company’s global worksites. Ahead of the company’s Q1 earnings report on Tuesday afternoon, more layoffs at Tesla have been announced at Gigafactory Texas, Giga New York, and Giga Berlin.
The Texas layoffs were discovered via the U.S. Worker Adjustment and Retraining Notification (WARN) Act, which requires companies with over 100 workers to announce layoffs and planned closings 60 days in advance. At its factory in Grünheide, Germany, Tesla announced hopes to make job cuts through a voluntary program, instead of laying workers off involuntarily.
Both sets of job cuts are detailed below, coming as a part of Tesla’s larger efforts to reduce its global workforce by over 10 percent.
Elon Musk explains Tesla strategy behind layoffs as executives depart
Giga Texas layoffs, Giga New York, and executive departures
The WARN notice filed by Tesla on Monday said that the round of layoffs in the U.S. will commence on June 14, and will include a total of 2,688 workers (via Reuters). As of the end of 2023, Tesla had nearly 23,000 workers total at Giga Texas.
In addition to those at Giga Texas, another WARN notice detailed 285 workers set to be cut at its Giga New York location, out of a total of 2,032 employed at the site.
Tesla also faced two high-profile executive departures last week, including Senior Vice President of Powertrain and Energy Engineering Drew Baglino after 18 years, and its Vice President of Public Policy and Business Development Rohan Patel after eight years.
Giga Berlin voluntary job cuts
At Tesla’s Giga Berlin, the automaker also said on Monday it was targeting another 400 job cuts, though it’s aiming to find workers that are willing to do so voluntarily (via Reuters). The figure represents around 3 percent of the German factory’s workforce, and Tesla is currently holding talks with its works council on the matter.
”The currently weakening sales market for electric cars is also presenting Tesla with challenges,” the automaker said. “It is always in our interest to operate our production as efficient as possible.”
Jörg Steinbach, an Economic Minister of the state of Brandenburg, called the job cuts “comparatively moderate,” especially as Tesla seeks global workforce reductions. Tesla’s Giga Berlin currently employees around 12,500 workers.
“I regret the announced job cuts at Tesla in Gruenheide very much. However, I am pleased that this will be implemented with a sense of proportion,” said Jörg Steinbach, an Economic Minister of the state of Brandenburg.
The news of the Giga Berlin layoffs follow local reports last week that said Tesla would be cutting as many as 3,000 workers at the site. Tesla immediately refuted the claims, saying that they had “no basis whatsoever.”
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
Elon Musk
Brazil Supreme Court orders Elon Musk and X investigation closed
The decision was issued by Supreme Court Justice Alexandre de Moraes following a recommendation from Brazil’s Prosecutor-General Paulo Gonet.
Brazil’s Supreme Federal Court has ordered the closure of an investigation involving Elon Musk and social media platform X. The inquiry had been pending for about two years and examined whether the platform was used to coordinate attacks against members of the judiciary.
The decision was issued by Supreme Court Justice Alexandre de Moraes following a recommendation from Brazil’s Prosecutor-General Paulo Gonet.
According to a report from Agencia Brasil, the investigation conducted by the Federal Police did not find evidence that X deliberately attempted to attack the judiciary or circumvent court orders.
Prosecutor-General Paulo Gonet concluded that the irregularities identified during the probe did not indicate fraudulent intent.
Justice Moraes accepted the prosecutor’s recommendation and ruled that the investigation should be closed. Under the ruling, the case will remain closed unless new evidence emerges.
The inquiry stemmed from concerns that content on X may have enabled online attacks against Supreme Court justices or violated rulings requiring the suspension of certain accounts under investigation.
Justice Moraes had previously taken several enforcement actions related to the platform during the broader dispute involving social media regulation in Brazil.
These included ordering a nationwide block of the platform, freezing Starlink accounts, and imposing fines on X totaling about $5.2 million. Authorities also froze financial assets linked to X and SpaceX through Starlink to collect unpaid penalties and seized roughly $3.3 million from the companies’ accounts.
Moraes also imposed daily fines of up to R$5 million, about $920,000, for alleged evasion of the X ban and established penalties of R$50,000 per day for VPN users who attempted to bypass the restriction.
Brazil remains an important market for X, with roughly 17 million users, making it one of the platform’s larger user bases globally.
The country is also a major market for Starlink, SpaceX’s satellite internet service, which has surpassed one million subscribers in Brazil.
Elon Musk
FCC chair criticizes Amazon over opposition to SpaceX satellite plan
Carr made the remarks in a post on social media platform X.
U.S. Federal Communications Commission (FCC) Chairman Brendan Carr criticized Amazon after the company opposed SpaceX’s proposal to launch a large satellite constellation that could function as an orbital data center network.
Carr made the remarks in a post on social media platform X.
Amazon recently urged the FCC to reject SpaceX’s application to deploy a constellation of up to 1 million low Earth orbit satellites that could serve as artificial intelligence data centers in space.
The company described the proposal as a “lofty ambition rather than a real plan,” arguing that SpaceX had not provided sufficient details about how the system would operate.
Carr responded by pointing to Amazon’s own satellite deployment progress.
“Amazon should focus on the fact that it will fall roughly 1,000 satellites short of meeting its upcoming deployment milestone, rather than spending their time and resources filing petitions against companies that are putting thousands of satellites in orbit,” Carr wrote on X.
Amazon has declined to comment on the statement.
Amazon has been working to deploy its Project Kuiper satellite network, which is intended to compete with SpaceX’s Starlink service. The company has invested more than $10 billion in the program and has launched more than 200 satellites since April of last year.
Amazon has also asked the FCC for a 24-month extension, until July 2028, to meet a requirement to deploy roughly 1,600 satellites by July 2026, as noted in a CNBC report.
SpaceX’s Starlink network currently has nearly 10,000 satellites in orbit and serves roughly 10 million customers. The FCC has also authorized SpaceX to deploy 7,500 additional satellites as the company continues expanding its global satellite internet network.
Energy
Tesla Energy gains UK license to sell electricity to homes and businesses
The license was granted to Tesla Energy Ventures Ltd. by UK energy regulator Ofgem after a seven-month review process.
Tesla Energy has received a license to supply electricity in the United Kingdom, opening the door for the company to serve homes and businesses in the country.
The license was granted to Tesla Energy Ventures Ltd. by UK energy regulator Ofgem after a seven-month review process.
According to Ofgem, the license took effect at 6 p.m. local time on Wednesday and applies to Great Britain.
The approval allows Tesla’s energy business to sell electricity directly to customers in the region, as noted in a Bloomberg News report.
Tesla has already expanded similar services in the United States. In Texas, the company offers electricity plans that allow Tesla owners to charge their vehicles at a lower cost while also feeding excess electricity back into the grid.
Tesla already has a sizable presence in the UK market. According to price comparison website U-switch, there are more than 250,000 Tesla electric vehicles in the country and thousands of Tesla home energy storage systems.
Ofgem also noted that Tesla Motors Ltd., a separate entity incorporated in England and Wales, received an electricity generation license in June 2020.
The new UK license arrives as Tesla continues expanding its global energy business.
Last year, Tesla Energy retained the top position in the global battery energy storage system (BESS) integrator market for the second consecutive year. According to Wood Mackenzie’s latest rankings, Tesla held about 15% of global market share in 2024.
The company also maintained a dominant position in North America, where it captured roughly 39% market share in the region.
At the same time, competition in the energy storage sector is increasing. Chinese companies such as Sungrow have been expanding their presence globally, particularly in Europe.
Brazil Supreme Court orders Elon Musk and X investigation closed
FCC chair criticizes Amazon over opposition to SpaceX satellite plan
