Investor's Corner
Tesla’s veteran problem solver Jerome Guillen is Elon Musk’s most strategic appointment yet
Earlier this month, Tesla CEO Elon Musk announced a series of strategic promotions that are aimed at taking the company to reach new heights in the years to come. Among the promotions, Elon Musk’s appointment of veteran accomplisher Jerome Guillen as the company’s new President of Automotive stood out. As the end of the third quarter approaches, it is starting to look like Elon Musk’s promotion of the hands-on executive was the correct strategy.
Jerome Guillen joined Tesla back in 2010 as the director of the Model S program. Prior to his employment at Tesla, Jerome served as the project leader for Daimler’s Freightliner Cascadia program, and eventually as head of the company’s Business Innovation unit. By the time he left for Tesla, Daimler’s Business Innovation unit was profitable and self-funding.
When Jerome joined the electric car maker, Tesla was still a fledgling startup that only produced and delivered a small number of its two-door Roadster to a select group of customers. Being the first vehicle that the company designed from the ground up, a lot was riding on the Model S, particularly as critics of the company were quick to dismiss the electric car as “vaporware.” Guillen was a hands-on executive, and for some early customers of the Model S, he became the go-to person when issues arose.
And issues did arise. When Tesla started delivering the Model S to reservation holders, the company lacked sufficient sales and service centers. Tesla was delivering vehicles directly to people’s homes, and while this worked well for the first few hundred handovers in California, it became a big logistical headache for the company when customers from faraway states started ordering the electric car. Elon Musk, for his part, opted to have Jerome add sales, service, and deliveries to his portfolio. The hands-on executive handled the task well, even developing a reputation for being incredibly responsive to emails and concerns from regular customers.
Early Model S adopter Andrew Wolfe of Los Gatos, California noted in a statement to Bloomberg that he was among the customers who were in constant communication with the executive. Wolfe noted that Jerome was always open to suggestions, such as where Tesla should consider opening additional service centers, as well as the company’s points for improvement in terms of loaner vehicles.
Jerome’s work with the Model S program would ultimately help lay the groundwork for the company’s following vehicles, the Model X SUV and later, the Model 3. The executive briefly took a leave of absence from the company in 2015, but later returned to head the Tesla Semi program. Over the past months, sightings of the Semi across the United States would feature Jerome from time to time, accompanying the long-hauler’s hand-built alpha prototype on its road tests.
While he was heading the Tesla Semi program, Jerome’s out-of-the-box problem-solving skills would prove useful for the company’s overall operations. Back in June, Tesla made headlines when Elon Musk revealed that a new Model 3 assembly line had been set up inside a sprung structure on the grounds of the Fremont factory. The line, dubbed as GA4, was ultimately responsible for giving the company’s production the boost it needed to hit its target of producing 5,000 Model 3 a week before the end of the second quarter. Analysts from Evercore ISI who toured the Fremont factory later noted that GA4 “looked very much like general assembly at other auto plants which we have visited,” and that the “facility looks set to be permanent and in theory should be able to support much faster cycle times.” As Elon Musk would later reveal, GA4 was Jerome Guillen’s brainchild.
The appointment of an executive such as Jerome as the President of Automotive could prove to be Elon Musk’s most strategic move this third quarter. At this point in Tesla’s growth, with hundreds of thousands of reservations in line for the Model 3, the company is pretty much in a situation similar to the one it faced when it was struggling to deliver the Model S to customers across the US. From this perspective, at least, Jerome Guillen appears to be the right man for the job.
It remains to be seen what Jerome’s full responsibilities are now that he is serving as President of Automotive, but amidst Tesla’s end-of-quarter delivery push for the Model 3, the company has begun adopting some out-of-the-box solutions for its current logistical problems. In a recent tweet, for example, Elon Musk noted that Tesla is experiencing a bottleneck in the car carrier trailers transporting vehicles from the Fremont factory to its delivery centers. To help address this issue, Musk stated that Tesla has begun building its own car carriers to help foster quicker deliveries. This is speculation, but such an unorthodox solution carries some very Jerome Guillen-like undertones.
Investor's Corner
New drone video shows Tesla’s Optimus Factory reaching a turning point
New drone footage shows Tesla’s dedicated Optimus factory steel frame nearing completion at Giga Texas.
Tesla’s dedicated Optimus factory at Gigafactory Texas is closing in on a finished steel frame, according to drone footage posted Thursday afternoon by longtime site observer Joe Tegtmeyer. In the video, Tegtmeyer said structural steel assembly is now about five column grids away from reaching the building’s north perimeter beam, putting the primary skeleton in its final stretch roughly six months after Tesla broke ground on the North Campus site in late March.
The Giga Texas Optimus Factory latest update … construction keeps moving fast!
Steel assembly is now only about 5 column grids from the north perimeter beam. Concrete is going in on the three upper floors, rebar is still being laid for more pours, and footing / grade-beam work… pic.twitter.com/qvFPvwnYzW
— Joe Tegtmeyer 🚀 🤠🛸😎 (@JoeTegtmeyer) September 17, 2026
Tegtmeyer’s footage shows concrete already going in on three upper floors while crews continue laying rebar and pouring grade beam footings at ground level. That kind of parallel work, steel rising at one end of the site while concrete sets at the other, is a scheduling approach Tesla used at the original Giga Texas building and appears to be repeating here to save time before the plant’s targeted 2027 production start.
Teslarati has tracked the building’s progress since Tesla confirmed construction was officially underway in May, when the first steel structure went up on what was then bare, reclaimed land. The facility is part of a more than 5.2 million square foot expansion of Giga Texas’s North Campus that Tesla has said will eventually run nearly the length of the existing vehicle factory, over 4,000 feet, while sitting somewhat narrower. Musk has pegged the long term output target at 10 million Optimus units a year once the line is running at full capacity, a volume that would dwarf the one million unit pilot line Tesla is standing up separately at its Fremont, California factory.
Tesla Giga Texas to feature massive Optimus V4 production line
The Texas facility sits alongside another major buildout on the same campus. Terafab, the joint Tesla and SpaceX chip fabrication plant that will eventually supply the silicon running Optimus units in the field. Housing robot assembly and chip production on the same grounds is a deliberate supply chain decision, cutting down on the shipping and lead time that would otherwise sit between the two.
Tesla has not given an updated timeline beyond its previously stated goal of bringing high volume Optimus production online at the site in the summer of 2027. Fremont’s smaller pilot line began mass producing the current Gen 3 robot in January, with that plant expected to build tens of thousands of units this year primarily to generate the real world data Tesla needs to refine the robot’s software before Giga Texas ramps up. Six months of visible construction progress, tracked almost entirely through Tegtmeyer’s recurring drone flights, gives the clearest outside look yet at how seriously Tesla is treating that 2027 deadline.
Investor's Corner
Tesla and SpaceX take “Terafab” Trademark fight to Federal Court
Tesla and SpaceX sue a small Illinois firm after cease and desist letters over Terafab.
Tesla and SpaceX are asking a federal judge to rule that their planned Terafab chip factory does not infringe a small Illinois company’s trademark, a request that arrives only after months of quiet negotiation broke down this summer.
The dispute traces to May 18, when Tesla filed three U.S. trademark applications for “Terafab” and “Tesla Terafab,” covering semiconductor chips and related chip making services. TERA-print LLC, a nanotechnology company that has held a federal trademark for “Tera-Fab” since 2021, responded five days later with a cease and desist letter. According to the lawsuit, first reported by Reuters, TERA-print argued that Tesla and SpaceX’s use of “Terafab” would confuse consumers familiar with its own trademark, which covers a desktop photolithography printer sold to researchers for sensor and bioengineering work.
What stands out in the filing is the timing of TERA-print’s own paperwork. One day before sending that cease and desist letter, on May 22, TERA-print applied to expand its existing registration to cover semiconductor materials, silicon chips, nanoelectronic devices and AI design services, categories it had not previously claimed. Tesla and SpaceX call that filing opportunistic in their complaint, noting it arrived two months after Tesla’s public Terafab announcement and just days after Tesla’s own trademark applications went in.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
By June 10, TERA-print was threatening to sue for federal trademark infringement, false designation of origin and unfair competition, the complaint states. Rather than wait to be sued, Tesla, SpaceX and SpaceXAI met with TERA-print six separate times between June and August trying to resolve the dispute directly. Those talks collapsed, and the companies filed for declaratory judgment this week in the U.S. District Court for the Western District of Texas, asking a judge to find that “Terafab” does not infringe TERA-print’s mark before TERA-print can file a claim of its own.
TERA-print isn’t backing down. The company told PCMag it discussed a settlement with Tesla as recently as September 2 and feels misled by what it called Tesla’s professed interest in settling. Its CTO, Andrey Ivankin, said TERA-print holds a Defense Department contract to fabricate semiconductors and partially owns Mattiq Inc., an AI company built on TERA-print’s products, and that the company will vigorously defend its rights.
Tesla and SpaceX argue the overlap is superficial. Terafab is planned as a $16.8 billion complex spanning roughly 100 million square feet at the Grimes County site SpaceX confirmed last month, built to produce chips for Optimus robots, Tesla’s AI computing needs and SpaceX’s orbital data center ambitions, a scale and purpose the companies say no reasonable consumer would confuse with a tabletop lab printer. TERA-print’s product line has stayed focused on lithography tools for biological and sensor research since it registered its mark in 2021.
The trademark fight is the second legal dispute tied to the Terafab project in the past week, following a separate SpaceX suit aimed at keeping company records about the facility out of public view, as KBTX reported. Whether construction proceeds under the Terafab name now depends on a federal judge in Austin.
In a new interview on Wednesday, Tesla uber bull Ron Baron said that anyone looking to buy the company’s stock should do so as soon as they can.
Baron, founder and CEO of Baron Capital and one of Tesla’s most persistent institutional bulls, used a CNBC Squawk Box appearance on Wednesday to deliver a familiar message with fresh urgency: In his opinion, Tesla stock is a buy:
“The time to buy the stock is now. FSD is catching on, and it’s going to be bigger and bigger. 55% of new buyers are buying it (Teslas) with FSD. It’s going to be everywhere. It’s safer.”
The Baron Capital frontman’s case is built around Full Self-Driving. Tesla reported 1.48 million active FSD subscriptions in the second quarter, up 56 percent year over year, and company officials have said roughly 55 percent of new North American deliveries left with a subscription enabled.
Baron framed that attach rate as proof the product is moving from enthusiast extra to default expectation, and as a reason software, not just vehicle volume, should drive the next phase of value.
His conviction on Tesla shares is not theoretical, as Baron Capital made its first Tesla investment in 2014, after years of meetings that began around the 2010 IPO roadshow. The firm later built a large SpaceX position starting in 2017.
Ron Baron today in new interview on Tesla:
“The time to buy the stock is now. FSD is catching on, and it’s going to be bigger and bigger. 55% of new buyers are buying it (Teslas) with FSD. It’s going to be everywhere. It’s safer.” pic.twitter.com/Rv5PB0bVZ2
— Sawyer Merritt (@SawyerMerritt) September 16, 2026
Baron said those Musk-led bets have generated about $30 billion of the $71 billion in profits Baron Capital has produced for clients. He put the firm’s current exposure at roughly $25 billion in SpaceX and $5 billion in Tesla. Personally, he described SpaceX as his largest holding, at about $5 billion, with about $1.5 billion in Tesla and additional Tesla exposure through the firm’s funds.
That concentration is also a statement of loyalty. Asked about talk of a SpaceX-Tesla combination, Baron said he had already walked Elon Musk through arguments for and against a deal, then declined to repeat them on air. His public position was simpler: “Whatever you decide is better is what I’m going to support,” he said to Musk.
Baron also said that he picked up the farewell edition of the Model S after Tesla decided to sunset the vehicle earlier this year, calling it his favorite car he’s ever driven.
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