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Tesla under pressure as County Sheriff defines factory as ‘non essential business’ amid C-19 outbreak

A snapshot from a drone flyover of the Tesla Fremont factory on June 29, 2018. [Credit: DarkSoldier 360/YouTube]

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Just a day after an Alameda County spokesperson declared in a statement to the Los Angeles Times that Tesla is an “essential business” and thus allowed to remain in operation amid the C-19 outbreak, the county’s Sheriff’s Office has taken an opposing stance. In a recent update on Twitter, the Alameda County Sheriff declared that Tesla is not an essential business at all and that the company will only be allowed to maintain minimum basic operations. 

“Tesla: Tesla is not an essential business as defined in the Alameda County Health Order. Tesla can maintain minimum basic operations per the Alameda County Health Order,” the county sheriff tweeted. 

Notes from the Alameda County Health Order define “minimum basic operations” as a company strictly complying with Social Distancing Requirements for those who are still reporting to work. Activities that would still be allowed include those that “maintain the value of the business’s inventory, ensure security, process payroll, and employee benefits, or for related functions.” Companies must also provide workers the option to continue their employment remotely

With these in mind, Tesla’s Fremont factory would not be allowed to continue making electric cars, at least until the “minimum basic operations” rule is lifted. This could come as a blow to Tesla, considering that the company is prone to engaging in widespread end-of-quarter production and delivery efforts to optimize its quarterly numbers. It should be noted that the adverse effects of the C-19 shutdowns are not and will not be limited to Tesla alone. 

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Automakers such as Volkswagen and Daimler in Europe have closed down their production facilities for at least two weeks. That being said, the Detroit 3 will remain operational for now, despite confirmed coronavirus cases among their employees. Amidst reports that a worker from Warren GM, Dearborn Ford, and the Fiat-Chrysler Kokomo Transmission Plant in Indiana have been tested positive for the C-19 virus, the Detroit 3 have decided to implement safety measures instead while keeping production activities ongoing. 

In a statement on Tuesday, the UAW stated that the three automakers would be implementing a “rotating partial shutdown of facilities, extensive deep cleaning of facility and equipment between shifts, extended periods between shifts and extensive plans to avoid member contact.” 

That said, UAW President Rory Gamblet has noted in a statement to Automotive News that the union asked for a pre-emptive two-week shutdown based on the World Health Organization and Centers for Disease Control and Prevention Guidelines. Unfortunately, Gamblet said that the automakers “were not willing to implement this request” and asked for 48 hours to come up with a concrete plan of action. 

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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

SpaceX’s newest logo confirms everything about what it’s become

SpaceX officially absorbed xAI under the SpaceXAI brand, completing the largest private merger in history.

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SpaceX made its corporate transformation official in May 2026 when Elon Musk posted on X that xAI would cease to exist as a standalone company. “xAI will be dissolved as a separate company, so it will just be SpaceXAI, the AI products from SpaceX,” he wrote.

A new SpaceXAI logo was announced today, visually embedding the xAI letters inside the SpaceX identity, which can be seen as a deliberate design choice that signals the merger is not a partnership but a full absorption and XAi a core function of the same company. The same way Starlink is not a separate brand but a SpaceX product. The announcement closed the loop on a process that began February 2, 2026, when SpaceX acquired xAI in the largest private merger in history, valued at $1.25 trillion. SpaceX at $1 trillion and xAI at $250 billion.


The reason SpaceX bought xAI was stated plainly by Musk at the time of the deal: to build orbital data centers. SpaceX had simultaneously filed with the FCC to launch up to one million satellites designed to function as AI compute nodes in low Earth orbit, escaping what Musk described as the energy constraints limiting AI development on Earth.

xAI provided the AI software stack, with Grok, the X platform, and the Colossus supercomputer infrastructure in Memphis with over 220,000 NVIDIA GPUs, while SpaceX provided the rockets, Starlink, and the capital base to fund it. The two companies needed each other. xAI was burning $2.5 billion in losses on $250 million in revenue. SpaceX was generating an estimated $8 billion in profit on $15 billion in revenue and needed an AI narrative to command the valuation it was targeting for its IPO.

SpaceXAI just launched into your kitchen with their new app

What SpaceX has done, regardless of how the orbital AI vision ultimately plays out, is walk into a public market as something no company has been before: a rocket manufacturer, satellite internet provider, AI software company, social media platform, and supercomputer operator under one ticker. Whether that combination is worth $2 trillion depends entirely on which of those businesses you believe in most.

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Tesla flexes how it will help the blind with Cybercab

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Credit: Tesla

Tesla brought its innovative Cybercab robotaxi to the National Federation of the Blind (NFB) Annual Convention in Austin, Texas, on July 3 at the JW Marriott Austin.

The hands-on demonstration highlighted the vehicle’s thoughtful design for blind and visually impaired users, underscoring Tesla’s commitment to inclusive autonomous mobility. Attendees, many using white canes or accompanied by service dogs, experienced the steering-wheel-free Cybercab firsthand.

The showcase emphasized practical features tailored to the needs of the blind community. Braille lettering appears on physical controls, including door releases and emergency buttons, allowing users to navigate interfaces independently through touch. Generous interior space accommodates service animals and assistive devices such as canes, guide dogs, or mobility aids without compromising comfort.

Wheelchair-height seating facilitates easier transfers for users with additional mobility challenges. Photos from the event captured blind attendees approaching the vehicle confidently, service dogs relaxing inside, and hands exploring Braille-equipped handles.

Tesla Robotaxi’s official account detailed these elements, noting the Cybercab’s focus on accessibility, especially noting the Braille lettering and additional space for service animals.

How Tesla Will Transform Mobility for the Blind

Autonomous vehicles like the Cybercab promise revolutionary independence for the roughly 2.2 million visually impaired Americans. Traditional barriers—reliance on sighted drivers, costly paratransit, or limited public transit—often restrict spontaneous travel. Tesla Full Self-Driving aims to eliminate the need for a human operator, enabling on-demand, door-to-door rides via simple app hailing with voice guidance.

Users gain freedom to work, socialize, shop, or attend events anytime without scheduling hassles or safety concerns. This reduces isolation, boosts employment opportunities, and enhances quality of life, turning mobility from a dependency into true personal autonomy.

The NFB demonstration not only gathered valuable feedback but also generated excitement about a future where technology levels the playing field. By prioritizing inclusive design, Tesla advances a vision of transportation that serves everyone, potentially reshaping daily life for blind individuals and setting a standard for the autonomous industry.

As Cybercab deployment scales, these accessibility innovations could mark a significant step toward equitable mobility.

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Investor's Corner

Tesla challenges startups to score a gig inside its most advanced European factory

Tesla is challenging startups to bring their best battery tech directly to Gigafactory Berlin.

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Tesla has issued an open challenge to startups across Europe, inviting them to bring their best battery technology directly to the floor of Gigafactory Berlin. The program, called the JUNI x Tesla Battery Cell Giga Challenge, opened applications this month with a deadline of July 24, 2026, and is targeting startups with solutions that can make battery cell manufacturing faster, cheaper, safer, and more scalable at an industrial level.

The timing of the challenge is directly tied to Tesla’s most aggressive European battery investment yet. On May 12, 2026, Giga Berlin plant manager André Thierig announced a $250 million investment to scale the factory’s annual 4680 cell production capacity from 8 GWh to 18 GWh, more than doubling the previous target set just months earlier in December 2025. Thierig confirmed the expansion on X, saying the investment “will enable 18 GWh of annual 4680 cell production and create more than 1,500 new jobs.” Combined with a previously announced battery investment at the Grunheide site now approaches $1.2 billion.


The challenge is looking specifically for startups with proven solutions across five categories: materials, equipment, operations, automation, and artificial intelligence. Applications are screened directly by Tesla’s cell manufacturing team in Grunheide, and the strongest submissions move through technical discussions, a pitch day in front of Tesla stakeholders, and potentially a paid pilot project with the cell team. Tesla is not looking for ideas at concept stage. The program requires applicants to demonstrate working prototypes, test data, or prior pilots before being considered.

The historical context matters here. Elon Musk first announced plans for what he called the world’s largest battery cell production facility alongside the Giga Berlin car factory back in 2020, targeting up to 250 GWh of annual capacity. Those plans were shelved in 2022 when Tesla shifted its battery investment focus to the United States to take advantage of Inflation Reduction Act incentives. The revival of cell production at Giga Berlin, now backed by over $1 billion in committed capital, represents a return to an ambition that was set aside for three years. As Teslarati has reported, the 4680 format is central to Tesla’s long-term cost reduction strategy across vehicles, energy storage, including the Tesla Semi and Cybercab.

By opening the challenge to outside startups, Tesla is acknowledging that reaching 18 GWh at Grunheide will require technology it does not currently have in-house, and it is willing to pay for the right solutions. For a startup in the battery supply chain, a paid pilot with Tesla’s European cell team is as close to a direct commercial path as the industry offers.

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