News
Tesla opts for U.S. battery production, German battery plans take a backseat
Tesla is reportedly prioritizing its plans to build batteries in the United States instead of Germany, as government incentives are more favorable in the U.S.
Tesla originally planned to build battery cells in Germany at Gigafactory Berlin to support electric vehicle production. The automaker had plans for 50 gigawatt hours of production annually when fully ramped, but now Tesla is reportedly switching up the plans as the United States is incentivizing domestic battery production.
Reuters said in its report that the Brandenburg Economy Ministry confirmed Tesla’s plans in a statement:
“Tesla has started its battery system production in Grünheide and is preparing to manufacture battery cell components. The company has prioritized further production steps in the USA because tax incentives make business conditions more favorable there.”
Tesla reportedly started battery production in Berlin last week, according to Economic Minister Jörg Steinbach. Steinbach said last week that Gigafactory Berlin was already “buzzing” with activity and already operational.
Tesla Giga Berlin battery plant starts initial operations: report
In October, the Biden Administration announced $2.8 billion in grants from the Bipartisan Infrastructure Law that aims to help manufacturing and processing companies. Additionally, President Biden announced the American Battery Materials Initiative, which wants to secure reliable and sustainable supplies of critical minerals used to build EVs.
Tesla has been attempting to ramp up 4680 production in the United States and had reached enough volume at the end of 2022 to support the manufacturing of 1,000 battery packs. While this is an impressive feat, Tesla is still working to continue the growth of the 4680 program and is building cells in Fremont, California.
Tesla will also build 4680 cells in Austin, Texas, at its Gigafactory Texas facility. Additionally, the automaker announced a $3.6 billion investment in Nevada, where it will expand the Tesla Gigafactory in Sparks.
In late January, Tesla said it would hire an additional 6,500 employees at the Gigafactory and had plans to produce 100 GWh of 4680 cells, which would be enough for 2 million vehicles annually.
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News
Tesla Cybercab almost looks production ready in new photos
Tesla’s AI team recently posted an image of the Cybercab going Animal Style at an In-and-Out drive-through.
Tesla’s AI team recently posted an image of the Cybercab going Animal Style at an In-and-Out drive-through. But while the Cybercab’s passengers were quite funny, the photos themselves suggest that some of the Cybercab’s components may already be production-ready.
Cybercab goes Animal Style
Seemingly as a fun Halloween post, the Tesla AI team shared a photo of a Cybercab, complete with passengers who were in costume, at an In-and-Out drive through. Based on the photos that were shared on X, it appeared that the Cybrcab was being accompanied by a Tesla Model Y Premium. The Tesla AI team shared a lighthearted caption to the image, writing “Animal Style,” a reference to a popular secret menu item for the fast food chain.
In a way, the Tesla AI team’s Halloween post was a lighthearted reference to the popularity of In-and-Out among Tesla owners. This is partly because of the Tesla Supercharger network, which has numerous locations that are close to In-and-Out sites. Elon Musk has also jokingly confirmed in the past that driving prototype Teslas through an In-and-Out is a tradition and a fun milestone marker.
Apparent production-ready Cybercab sections
While the Tesla AI team’s photos provided some lighthearted fun to the EV community, some industry watchers pointed out that the Cybercab in the photos looked production ready, or at least some parts of it seem to be. This is especially noticeable in the Cybercab’s front end, which looks very refined and well-built.
The front end of the Cybercab on the In-and-Out photo even had a license plate mount, and previous sightings revealed that the door of the vehicle had been updated since it was unveiled last year.
With this in mind, speculations are abounding that the Cybercab might indeed be ready for initial production soon. The installation of production equipment in Giga Texas has been ongoing for several months now, and tests of the Cybercab in both the Giga Texas complex and on public roads have also ramped.
Investor's Corner
Michael Dell points out practical advantage of Elon Musk’s proposed pay package
As pointed out by the Dell Technologies CEO, Musk will only be rewarded if he delivers extraordinary value to shareholders
Michael Dell has weighed in on Elon Musk’s controversial 2025 CEO Performance Award, offering a grounded perspective amidst the noise surrounding the pay package today.
As pointed out by the Dell Technologies CEO, Musk will only be rewarded if he delivers extraordinary value to shareholders. Musk would quite literally receive no compensation if he fails to achieve his targets.
Dell emphasizes results over rhetoric
Dell shared his thoughts about Musk’s 2025 CEO Performance Award in a post on X.“Vote FOR Elon Musk. The award is only achieved IF he hits exceptionally ambitious market-cap and operational milestones—if he falls short, he gets nothing,” Dell wrote in his post.
“If he succeeds, shareholders will win big through unprecedented value creation, and he will earn added voting rights to continue driving Tesla’s long-term vision.”
Musk replied with a short “Thanks Michael,” acknowledging Dell’s support. Dell’s framing cuts through the debate surrounding Musk’s compensation, as he simply focused on the incentive structure’s risk-reward balance.
Musk’s ambitious pay package
Elon Musk’s 2025 CEO Performance Award requires Tesla’s market capitalization to rise from roughly $1.1 trillion today to $8.5 trillion within a decade. This would make Tesla more valuable than any company in history.
Apart from this, Tesla’s operating profit must also grow from $17 billion to $400 billion annually. Musk must also lead the company to several product-related milestones, such as 20 million cumulative vehicle deliveries, 10 million Full Self-Driving subscriptions, 1 million Tesla Bots, and 1 million operating Robotaxis.
So far, proxy advisors Glass Lewis and ISS have urged shareholders to vote against the plan. Some prominent investors, including ARK Invest CEO Cathie Wood, however, have voiced strong support for the plan. Wood called Musk “the most productive human being on earth,” arguing that his vision and ability to attract talent are central to Tesla’s success.
News
Starlink V3 satellites could enable SpaceX’s orbital computing plans: Musk
Musk’s remarks come as companies explore how orbital infrastructure could solve the Earth-bound energy and cooling challenges that come with hyperscale AI computing.
As artificial intelligence fuels surging demand for computing power, Elon Musk has hinted that SpaceX may use its Starlink V3 satellites to develop space-based data centers.
Musk’s remarks come as companies explore how orbital infrastructure could solve the Earth-bound energy and cooling challenges that come with hyperscale AI computing.
SpaceX could lead the race to orbit-based computing
After Ars Technica published a report on autonomous space construction, Musk replied on X: “Simply scaling up Starlink V3 satellites, which have high speed laser links would work. SpaceX will be doing this.”
SpaceX’s Starlink V3 platform is capable of up to 1 terabit per second (Tbps) throughput, so it could potentially form the foundation for orbital computing clusters powered by solar energy.
Proponents have noted that such data centers could eliminate the massive land, water, and power footprints of traditional facilities on Earth. Critics, however, have question the economics and complexity of maintaining large-scale data systems in orbit.
Elon Musk, for his part, recently reiterated on X that this particular idea is a very big deal.
SpaceX’s track record is substantial
Despite the reservations for such a radical idea, SpaceX’s track record is pretty much bulletproof at this point. The company’s Starlink network, once deemed as unrealistic by critics, now delivers broadband to millions worldwide while turning a profit. Its Falcon 9 rockets, which are capable of landing on land or on a drone in the middle of the ocean, are also among the world’s most reliable.
With this track record in mind, it would seem that Elon Musk’s idea of using Starlink satellites as the building blocks for a space-based data center might not be too farfetched at all.
Interest in space-based data storage and processing has intensified in recent months, Ars noted. Former Google CEO Eric Schmidt reportedly acquired Relativity Space with an eye on orbital data infrastructure, while Jeff Bezos recently predicted gigawatt-scale data centers will operate in space within two decades.
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