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Tesla Model S and X owners face discrimination at dealer-run auto show
A number of Tesla owners are calling foul on the organizers of the 2019 Kansas City Auto Show after the event’s organizers, the Automobile Dealers Association of Greater Kansas City (ADAKC), showed discrimination against a Model S and Model X by forcing the electric cars out of the event.
The annual exhibition is being held at the Bartle Hall convention center, and since the auto show itself did not fill the entire venue, the ADAKC allocated the south end of the exhibit hall to the Kansas City Auto Museum. The museum reached out to the local auto enthusiast community to look for volunteers who wish to display their vehicles as part of the event. Numerous locals answered the call, bringing their cars over to be part of the show. Among these vehicles were a Tesla Model S and Model X.
Tesla enthusiast James Ransom prepared the two electric cars for the auto show, dropping them off at the exhibition’s location. The next day, he received a call from the event’s organizers informing him that the Teslas are not welcome in the event. Ransom explained the circumstances in a statement to The Drive.
“I was called on Wednesday evening and asked to remove the Teslas. I was told that the cars were not allowed to stay because they were not part of the Dealers Association. Something about a higher-up in the association who said that the Teslas could not be at the show due to the manufacturer not using dealerships for their sales,” Ransom said.
Fellow Tesla owner and prominent Kansas-based auto enthusiast Ken Smiley, whose 1956 Jaguar XK140 and 2016 Porsche GT4 are on display at the show, noted in an email to Teslarati that the ADAKC’s excuse for the removal of the two electric cars was questionable at best. Smiley mentioned in an email that there were several other vehicles on display from manufacturers who were not part of the ADAKC, such as Noble, Pontiac, Ariel, and Lamborghini. All these vehicles were welcomed and allowed to remain.
To address the situation, Ken sent an email to the organizers, calling them out on the discriminatory practice. Below is the Tesla owner’s email in full.
Dear Larry and Natalie,
It has come to my attention that a particular make of automobile is being singled out for unfair discrimination at the KC Auto Show this year and that the owners of these cars were asked to remove them from Bartle Hall. The vehicles in question were two used Tesla automobiles owned by private individuals and put on display as part of the KC Auto Museum’s variety of cars display at the KC Auto Show. As an officer/member in multiple car clubs in Kansas City (Porsche, Jaguar, All British, Tesla) I find this action reprehensible and urge you to immediately reconsider your actions before something like this goes viral and brings negative publicity to the car show.
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I understand that with regard to NEW cars that Tesla does not have a dealer network and does not participate in the Automobile Dealer Association of Greater Kansas City. I would understand if your association told Tesla that they could not bring new cars down and could not be represented at the show unless they joined the organization. However, this is NOT what is happening in this instance. These two cars are privately owned used cars brought by their enthusiastic owners to help support the KC Auto Museum display at the auto show. There were owners who brought Pontiacs, a Noble, a couple of Ariel Atoms and Lamborghinis ALL of which are NOT members of the ADAKC. So if you are going to discriminate against non-members, then you need to do it equally and ask that ALL non-member cars leave the show, not simply single out Tesla.
Please let me know whether or not the Teslas are welcome to come back or if the unfair discrimination against these owners and their vehicles is going to continue. Speaking of the owners, the people you are hurting are automotive enthusiasts, not the audience you want to hurt. These individuals took their time to clean up their cars and transport them down to Bartle Hall only to be told a few hours later that they had to take them back out. While I currently have two cars on display at the show (1956 Jaguar XK140 and 2016 Porsche GT4) I am not sure that I will be willing to support a show in the future that unfairly discriminates against a certain model car. I hesitate to think how Marion Battaglia would react if I told him that either my Jag or Porsche was being discriminated against and being asked to leave the show. As I mentioned, this unfair discrimination isn’t hurting Tesla the car company, which the association may have an issue with, but rather hurting individual automotive enthusiasts.
Sincerely,
Ken
The auto enthusiast notes that the ADAKC has not responded to his email yet. Due to the incident and the blatant act of discrimination, Ken notes that numerous car fans and Tesla owners are boycotting the event to show their frustration at the organizers. An ADAKC spokesperson did issue a statement to The Drive, but based on the organization’s stance, it appears that they are putting the blame on the offended Tesla enthusiasts.
“This is a non-story. Ken Smiley is simply bringing this up because he seems to be angry and wants to stir the pot,” the spokesperson said, adding that the two Teslas do not fit the “Classic Car” theme of the exhibition. When pressed by the publication why other modern vehicles from non-ADAKC members, such as Ariel Atoms and Lamborghini Huracans, were allowed to remain, the spokesperson was less certain, stating that they “had to talk to the show’s producer.”
The 2019 Kansas City Auto Show was held from March 6-10, 2019.
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Investor's Corner
SpaceX and Nvidia team up on Musk’s orbital AI bet
SpaceX revealed a new Nvidia satellite partnership, then Musk pledged an exclusive Nvidia hardware commitment.
SpaceX and Nvidia are now working together on the hardware that will power Musk’s orbital data center ambitions. SpaceX announced on X on Tuesday that it is partnering with Nvidia to design the compute payload for Starmind AI1, the first satellite in a planned constellation built to run AI workloads directly in orbit. Each Starmind satellite will carry Nvidia’s Rubin GPUs and Vera CPUs, according to the post, which included renderings of the payload design.
The announcement landed hours before SpaceX’s first earnings call as a public company, where Musk went further, saying the company has committed to building its AI infrastructure exclusively on Nvidia hardware. “We think the Vera Rubin architecture is the best architecture. We think it’s the best AI computer, and we greatly value our close cooperation and partnership on many levels with Nvidia,” Musk told investors on the call,. “So we’re exclusive to Nvidia.”
Musk said SpaceX plans to deploy Nvidia’s Vera Rubin NVL72 rackscale system, codenamed Kyber, both on the ground and in space. He set a target of 2 gigawatts of compute capacity online by the end of this year, scaling to roughly 10 gigawatts by the end of 2027.
SpaceX’s newest Starmind will make earth data centers obsolete
Starmind has been in development since Musk confirmed the name in June, following an xAI trademark filing that tipped off the project before SpaceX made it official. The idea is massive in scope and instead of moving data down to ground based servers, satellites equipped with onboard processors and large solar arrays would compute AI workloads in orbit and beam results back to Earth. SpaceX has already filed with the FCC for a constellation of up to one million satellites to support the effort, citing constant solar power and the absence of zoning restrictions as advantages over terrestrial data centers.
The Nvidia exclusivity marks a shift in tone from just two weeks ago, when Musk was busy knocking down a report that SpaceX had ordered $52 billion worth of Nvidia GPUs through Foxconn, calling it fake news at the time. The dollar figure in that rumor may have been wrong, but the underlying direction seems correct. SpaceX’s AI division already leases Colossus compute capacity to Anthropic and Google, and Tuesday’s earnings report showed AI revenue climbing sharply as those deals ramp up.
Nvidia shares rose roughly 3% in Tuesday trading on the news, while SpaceX stock climbed nearly 9% during the day before giving back gains after hours as investors digested the earnings report’s capital spending figures.
SpaceX (NASDAQ: SPCX) reported a beat in revenues and EBITDA in its first earnings call report while also minimizing losses as its business continues to gain momentum.
After its IPO in July, SpaceX saw some tough losses on Wall Street due to a major selloff after a delay in its 13th Starship test flight. The ship launched later that week and completed what was arguably the most successful IFT operation in the Starship program’s history.
Nevertheless, the company is continuing on and reported some encouraging financials while also promoting what appears to be a robust outlook moving forward in its Space, AI, and Connectivity divisions.
SpaceX to report first-ever earnings today: here’s what to expect
Earnings Results
- Revenues: $7.8 billion reported vs. $6.7 billion expected
- Adjusted EBITDA: $3.5 billion vs. $2 billion expected
- Net loss of $541 million, an improvement of $467 million from net loss of $1.0 billion
Additionally, CFO Bret Johnsen had these comments:
“2026 has been a momentous year so far, and the second quarter demonstrated the true power of SpaceX. Revenue growth accelerated across all our business segments and we delivered strong operating leverage, with significant margin expansion led by our new AI compute agreements. Our unparalleled leadership in launch, Starlink subscriber growth, new enterprise and government partnerships, and best-in-class AI infrastructure underscore our ability to drive meaningful scale and deliver attractive returns. As a newly public company, we are delighted to welcome our broad base of shareholders and bondholders. We ended the second quarter with $100 billion of cash, cash equivalents, and marketable securities, and $47.5 billion in backlog. This financial strength gives us substantial capacity to invest in Starship, Starlink Broadband and Mobile satellites, and our AI platform, while maintaining a disciplined long-term capital allocation framework.”
Space Business Highlights
SpaceX shared some of its biggest Space Business Highlights for Q2:
- Space revenues grew 55% sequentially and 29% year-over-year to $962 million, driven by a higher number of large customer launches and a favorable customer shift compared to the prior year
- Total costs and expenses for the Space segment were up by $389 million year-over-year, as we continued to accelerate R&D investments in our Starship program, which we believe will reduce the cost to orbit by 99% or more relative to the historical average, and unlock significant revenue potential across all business segments
- Leading launch provider for the world with 78 launches and 1,041 metric tons of mass to orbit deployed over the six months ended June 30, 2026, primarily allocated to Connectivity for the deployment of our Starlink constellation
- Starship V3 development continued to advance towards full and rapid reusability:
- Completed Starship V3’s first suborbital mission in May, Flight 12, which achieved a successful lift off from our new Starbase pad, a precision landing of Starship’s upper stage, and deployment of modified V2 Starlink satellites
- Subsequent to the second quarter, completed Starship Flight 13 in July, which achieved all flight objectives including deploying 20 production V3 satellites, demonstrating in-space relight of a Raptor engine, and executing the softest ever splashdown of Starship, providing critical views of an intact heatshield
SpaceX will report its earnings today at 4:30 P.M. EDT.
Elon Musk issued a second pointed warning to SpaceX short sellers on Tuesday, just hours before the company was set to release its first quarterly earnings as a publicly traded firm. Responding to a report highlighting elevated short interest, Musk wrote on X: “I try to warn them, but they just double down …”
The comment came as data from S3 Partners showed roughly 95 percent of available SPCX shares to borrow were on loan, translating to about 34 percent short interest as a percentage of the float. The stock has traded under pressure since its record-breaking IPO in June 2026, declining significantly from early peaks.
I try to warn them, but they just double down … 🤷♂️
— Elon Musk (@elonmusk) August 4, 2026
This marks the second such message from Musk in under three weeks.
On July 17, amid post-IPO volatility, he stated: “The survival probability of firms who maintain a significant short position in SpaceX over time is very low.” At that time, SPCX had fallen roughly 30 percent from its peak above a $2.6 trillion valuation, with short sellers reportedly realizing gains of about $8.7 billion.
Musk’s warning aligned with optimistic analyses projecting that Starship-driven cost reductions could enable a multi-trillion-dollar space economy through applications such as orbital solar power, asteroid mining, data centers, and Mars-related projects, positioning SpaceX as critical infrastructure.
SpaceX is scheduled to report second-quarter results after the market close later today, followed by a webcast. Analysts anticipate revenue near $6.9 billion, reflecting growth in Starlink, launch services, and AI-related segments. The earnings release precedes a major lockup expiration on August 6 that could free hundreds of millions of insider shares.
Musk has a long track record of confronting short sellers, particularly regarding Tesla, where he has argued that persistent bearish positions underestimate transformative technologies. Critics view his optimism as overly ambitious given near-term stock fluctuations, while supporters see temporary dips as opportunities in a longer-term expansion of the space economy.
As SpaceX opens its books to public scrutiny for the first time, the high short interest and Musk’s repeated cautions set the stage for heightened market attention on the results and management’s commentary.
SpaceX and Nvidia team up on Musk’s orbital AI bet
SpaceX reports beat in first earnings while minimizing losses
