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As Tesla rises, Volkswagen's largest shareholders back CEO's controversial EV push

(Credit: Daniel Aharonoff/Twitter)

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5 years ago

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As Tesla continues to rise in Europe with the construction of Giga Berlin and the impending local prduction of the Model Y, Volkswagen’s controlling family issued a rare statement of support for CEO Herbert Diess’ aggressive and somewhat controversial electric car push. In a recent statement to local German media, the Porsche-Piech family stated that they are fully backing the CEO in these trying times, as a painful shift to electric cars may be what is required to keep Volkswagen thriving in the coming EV age. 

Volkswagen CEO Herbert Diess is a staunch proponent of electric cars, with the company’s first all-electric vehicle, the ID.3, being his personal project. Diess’ dedication for electric cars has earned the respect of Tesla CEO Elon Musk, who has expressed his support for the Volkswagen CEO’s efforts in the past. “Herbert Diess is doing more than any big carmaker to go electric. The good of the world should come first. For what it’s worth, he has my support,” Musk wrote. 

Unfortunately for Diess, his aggressive push for electrification has faced sharp criticism. These negative sentiments have only become more prominent as Volkswagen’s ID.3 ramp met roadblocks due to the vehicle’s software. Diess has predicted these challenges, stating that Volkswagen’s shift towards electric mobility is “perhaps the most difficult task VW has ever had to face.” Yet with investors reportedly growing restless, it appeared that the Porsches and Piëchs, Volkswagen’s controlling family, have deemed it pertinent to express their stance. 

In a statement to the BILD newspaper on Thursday, Supervisory Board member Hans-Michel Piëch stated that he fully supports Diess’ initiatives. “He has our support. He is faced with an enormous task. For this, he needs strength, but also support from everyone in the Group,” he said. Wolfgang Porsche, Piëch’s cousin, echoed his sentiments. “Even if Mr. Diess is criticized from many sides, he would be taking an insane risk: There is no alternative today to the path that he and the Volkswagen Board of Management have taken,” Porsche said. 

Apart from openly supporting Diess’ efforts, the VW majority shareholders explained why the company had gone all-in on electric cars. For example, Diess has taken a strong stance against hydrogen, opting instead to focus solely on electric vehicles. According to Piëch, this is a decision that he and his cousin fully support. “The discussion about a decision for hydrogen or batteries alone is unfortunate. Hydrogen is too expensive for the foreseeable future and simply cannot be produced with sustainable energy,” he said. 

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Wolfgang Porsche, for his part, has stated that an intense focus on developing next-generation automotive solutions is needed to survive and thrive in the car industry of the future. Seemingly addressing Volkswagen’s current issues with the ID.3’s software, Porsche stated that it is better to tackle the growing pains of electrification now, instead of potentially facing a real risk in the future. “In the future, digitization and software will determine the car. You have to know: If we don’t tackle this transformation now, the company will have a huge problem in the future,” Porsche said. 

The coming years will likely be historic for the automotive industry as a whole. Young carmakers such as Tesla have established a hold in the mainstream market, with vehicles such as the Model 3 becoming a viable and even preferable alternative to conventional best-sellers like the BMW M3. With legacy carmakers now realizing the value of electric cars and the importance of battery tech and software, it is in the best interest of Volkswagen to ensure that it invests in the future today. For now, this would likely result in several painful transitions. But if Diess, Piëch, and Porsche’s statements are any indication, it appears that Volkswagen will be willing to take some heavy blows if it means securing a future where the company is still relevant and competitive. 

H/T Alex Voigt.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

Elon Musk reveals SpaceX’s target for Starship’s 10th launch

Elon Musk has revealed SpaceX’s target timeline for the next Starship launch, which will be the tenth in program history.

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7 hours ago

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July 16, 2025

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Credit: SpaceX

Elon Musk has revealed SpaceX’s target timeline for the next Starship launch, which will be the tenth in program history.

Musk says SpaceX is aiming for a timeline of roughly three weeks from now, which would come about ten weeks after the previous launch.

Coincidentally, it would bring the two launches 69 days apart, and if you know anything about Elon Musk, that would be an ideal timeline between two launches.

SpaceX is coming off a test flight in which it lost both the Super Heavy Booster and the Upper Stage in the previous launch. The Super Heavy Booster was lost six minutes and sixteen seconds into the flight, while SpaceX lost communication with the Ship at 46 minutes and 48 seconds.

Musk is aiming for the tenth test flight to take place in early August, he revealed on X:

This will be SpaceX’s fourth test flight of the Starship program in 2025, with each of the previous three flights bringing varying results.

IFT-7 in January brought SpaceX its second successful catch of the Super Heavy Booster in the chopstick arms of the launch tower. The ship was lost after exploding during its ascent over the Turks and Caicos Islands.

IFT-8 was on March 6, and SpaceX caught the booster once again, but the Upper Stage was once again lost.

The most recent flight, IFT-9, took place on May 27 and featured the first reused Super Heavy Booster. However, both the Booster and Upper Stage were lost.

The Federal Aviation Administration (FAA) hit SpaceX with a mishap investigation for Flight 9 on May 30.

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Elon Musk

Elon Musk confirms Tesla is already rolling out a new feature for in-car Grok

Tesla is already making in-car Grok more robust with a simple but effective feature that CEO Elon Musk says is “coming.”

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14 hours ago

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July 16, 2025

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Credit: Tesla

Tesla CEO Elon Musk has confirmed that the company will roll out a new feature for in-car Grok as it is rolling out to vehicles for the first time.

Grok was just recently added as a feature to Tesla vehicles within the past week, but owners are already requesting some small changes to make it more convenient to use.

Tesla debuts hands-free Grok AI with update 2025.26: What you need to know

The first is already on the way, Musk confirmed, as WholeMarsBlog requested a simple, but useful feature for Grok as it is used within Tesla vehicles.

Whole Mars requested that “Hey Grok” be used as a wake word, automatically activating the AI assistant without having to touch any buttons. Musk confirmed it is already in development and on the way to vehicles:

This feature is incredibly similar to that of “Hey Siri” with iPhones and other iOS devices. The phone will recognize your voice and hear that prompt, automatically activating Siri. Apple’s assistant will then perform whatever task it is asked to perform. It’s a simple but effective performance feature.

Grok is already getting its first reviews from owners as it rolls out to owners for the first time. It is a long time coming, too. Tesla has been hinting that Grok would be enabled in the vehicles for a while now, and it just started its initial rollout last week.

Grok is available in vehicles with the AMD chip and requires Premium Connectivity or a WiFi connection to use.

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Elon Musk

Tesla reveals key detail of Supercharger Diner, but it’s bigger than you think

Tesla has finally released one key detail about the Supercharger Diner, and it is bigger than what it appears at face-value.

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16 hours ago

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July 16, 2025

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Credit: Tesla

Tesla has revealed a key detail of its Supercharger Diner as its launch date appears to be nearing, based on what we are seeing at the site currently.

The Supercharger Diner is located on Santa Monica Boulevard in Los Angeles and was first proposed as an idea by CEO Elon Musk back in 2018. Musk envisioned a drive-in movie-style 1950s-inspired diner that would feature elements such as servers on roller skates, large movie screens, and a menu inspired by classic treats from several decades ago.

A project that first broke ground in 2023, the Supercharger Diner has been in development for over two years, as Tesla performed demolition work at the site back in February of that year.

It has slowly moved forward, and drone footage shot this week seems to show things are nearly up and running. Musk even mentioned that he had eaten at the Diner Supercharger this week.

There are still details that Tesla has yet to announce and confirm. The most important thing is regarding the menu that will be served at the diner.

Tesla has not hinted at what it will be making for patrons at the restaurant, but Musk commended the food and said the diner would be one of the coolest spots in LA.

However, we now have details on another important thing about the restaurant: the hours.

Images taken by Aaron Cash of ABetterTheater.com show the diner will be open 24/7, as it appears on the front doors of the diner:

At first thought, it seems this will operate like any other diner, as many are open for 24 hours a day. Diners typically serve large menus with numerous options, catering to the tastes and moods of anyone who walks in.

People of all walks of life eat at diners, as the food is typically affordable, tasty, and available at any hour to serve those who are night owls or those who work non-typical schedules.

However, Tesla is a bit different, and it seems that this new venture into food service could eventually transition from human servers and cooks to robots, most notably the company’s in-house project of Optimus.

It is something straight out of a Star Wars movie. I can think of Obi-Wan Kenobi visiting Dex in his diner in Attack of the Clones to figure out where a poison dart was sourced from:

Eventually, Optimus will likely be working as an employee in the Tesla Diner, and 24/7 operation will be performed by the humanoid robot that aims to eliminate trivial tasks from humans.

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