Connect with us

News

VW Works Council Chair talks Herbert Diess and Tesla’s growing influence on German auto

(Credit: Volkswagen)

Published

on

Tesla is not yet producing electric vehicles at Gigafactory Berlin, but the EV maker’s presence is already being felt in Germany’s auto sector. According to sociologist Andreas Boes, director of the Munich Institute for Social Science Research (ISF), Tesla has practically become the “elephant in the room” during interviews with managers and experts from Germany’s auto industry. 

The sociologist looked into Tesla’s effects on the country’s auto industry on behalf of IG Metall, one of Germany’s most notable unions. During the Hannover Messe, Boes noted that the auto industry as the world knows it today would likely not exist in ten years due to changes being brought upon the segment. And Tesla, with its all-electric cars and unorthodox approach to car-making, is serving as the harbinger of change in the country’s auto sector. 

This change is already being embraced by some notable automakers, among them Volkswagen. Led by executives such as Herbert Diess, who has seen direct support from Tesla CEO Elon Musk, Volkswagen has dedicated a good part of its resources to its shift towards electromobility. As per a report from Welt, Diess regularly uses the competition from Tesla to put pressure on Volkswagen’s employees, and to help push the massive, legacy automaker towards the direction of sustainability.  

This strategy, however, has not sat well with the Chairman of the Volkswagen Group Works Council. In a statement to German media, Bernd Osterloh, the Works Council Chair noted that he disagrees with Diess’ optimism about Tesla. “I think the hype is an overstatement of Tesla’s actual situation,” Osterloh said. He also remarked that when it comes to things like the chassis, Volkswagen is simply better than the American EV maker.

Osterloh also spoke about Tesla’s lead in the EV sector. “Where Tesla is ahead of us at the moment – and the Volkswagen board doesn’t like that – is their own expertise within the company. They build their own chips and make their own software. We buy all that in,” the VW Works Council exec said

Advertisement

Not all of Germany’s unions have taken a rather cold stance on Tesla. Thorsten Gröger, district manager of the Lower Saxony and Saxony-Anhalt trade union, noted that it is a positive sign when a company like Tesla settles in an area like Brandenburg. “Co-determination, collectively agreed working conditions make companies more innovative and more successful. I would advise Mr. Musk to recognize that,” Gröger said. 

Regardless of how Tesla is perceived among Germany’s auto veterans, the country’s shift to electric mobility has begun nonetheless. Apart from Volkswagen’s development and release of its ID line of vehicles, Daimler is also poised to present its long-awaited flagship all-electric sedan, the EQS, later this week. The vehicle, which would be priced at a premium and will likely compete with upcoming cars like the Model S Plaid and the Lucid Air, would be a key vehicle for Daimler’s immediate future. “We are at the forefront of movement with the vehicle… We are in the process of defining a segment,” Christoph Starzynski, Head of Electric Vehicle Architecture at Mercedes-Benz said. 

Don’t hesitate to contact us for news tips. Just send a message to tips@teslarati.com to give us a heads up.

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.

Advertisement
Comments

News

Tesla begins Robotaxi certification push in Arizona: report

Tesla seems serious about expanding its Robotaxi service to several states in the coming months.

Published

on

Credit: Tesla

Tesla has initiated discussions with Arizona transportation regulators to certify its driverless Robotaxi service in the state, as per a recent report from Bloomberg News. The move follows Tesla’s launch of its Robotaxi pilot program in Austin, Texas, as well as CEO Elon Musk’s recent comments about the service’s expansion in the Bay Area.

The Arizona Department of Transportation confirmed to Bloomberg that Tesla has reached out to begin the certification process for autonomous ride-sharing operations in the state. While details remain limited, the outreach suggests that Tesla is serious about expanding its driverless Robotaxi service to several territories in the coming months.

The Arizona development comes as Tesla prepares to expand its service area in Austin this weekend, as per CEO Elon Musk in a post on X. Musk also stated that Tesla is targeting the San Francisco Bay Area as its next major market, with a potential launch “in a month or two,” pending regulatory approvals.

Tesla first launched its autonomous ride-hailing program on June 22 in Austin with a small fleet of Model Y vehicles, accompanied by a Tesla employee in the passenger seat to monitor safety. While still classified as a test, Musk has said the program will expand to about 1,000 vehicles in the coming months. Tesla will later upgrade its Robotaxi fleet with the Cyercab, a two-seater that is designed without a steering wheel.

Sightings of Cybercab castings around the Giga Texas complex suggests that Tesla may be ramping the initial trial production of the self-driving two-seater. Tesla, for its part, has noted in the past that volume production of the Cybercab is expected to start sometime next year.

Advertisement

In California, Tesla has already applied for a transportation charter-party carrier permit from the state’s Public Utilities Commission. The company is reportedly taking a phased approach to operating in California, with the Robotaxi service starting with pre-arranged rides for employees in vehicles with safety drivers.

Continue Reading

News

Tesla sets November 6 date for 2025 Annual Shareholder Meeting

The automaker announced the date on Thursday in a Form 8-K.

Published

on

Credit: Tesla

Tesla has scheduled its 2025 annual shareholder meeting for November 6, addressing investor concerns that the company was nearing a legal deadline to hold the event. 

The automaker announced the date on Thursday in a Form 8-K submitted to the United States Securities and Exchange Commission (SEC). The company also listed a new proposal submission deadline of July 31 for items to be included in the proxy statement.

Tesla’s announcement followed calls from a group of 27 shareholders, including the leaders of large public pension funds, which urged Tesla’s board to formally set the meeting date, as noted in a report from The Wall Street Journal

The group noted that under Texas law, where Tesla is now incorporated, companies must hold annual meetings within 13 months of the last one if requested by shareholders. Tesla’s previous annual shareholder meeting was held on June 13, 2024, which placed the July 13 deadline in focus.

Tesla originally stated in its 2024 annual report that it would file its proxy statement by the end of April. However, an amended filing on April 30 indicated that the Board of Directors had not yet finalized a meeting date, at least at the time.

Advertisement

The April filing also confirmed that Tesla’s board had formed a special committee to evaluate certain matters related to CEO Elon Musk’s compensation plan. Musk’s CEO performance award remains at the center of a lengthy legal dispute in Delaware, Tesla’s former state of incorporation.

Due to the aftermath of Musk’s legal dispute about his compensation plan in Delaware, he has not been paid for his work at Tesla for several years. Musk, for his part, has noted that he is more concerned about his voting stake in Tesla than his actual salary.

At last year’s annual meeting, TSLA shareholders voted to reapprove Elon Musk’s compensation plan and ratified Tesla’s decision to relocate its legal domicile from Delaware to Texas.

Continue Reading

Elon Musk

Grok coming to Tesla vehicles next week “at the latest:” Elon Musk

Grok’s rollout to Tesla vehicles is expected to begin next week at the latest.

Published

on

Credit: Tesla China

Elon Musk announced on Thursday that Grok, the large language model developed by his startup xAI, will soon be available in Tesla vehicles. Grok’s rollout to Tesla vehicles is expected to begin next week at the latest, further deepening the ties between the two Elon Musk-led companies.

Tesla–xAI synergy

Musk confirmed the news on X shortly after livestreaming the release of Grok 4, xAI’s latest large language model. “Grok is coming to Tesla vehicles very soon. Next week at the latest,” Musk wrote in a post on social media platform X.

During the livestream, Musk and several members of the xAI team highlighted several upgrades to Grok 4’s voice capabilities and performance metrics, positioning the LLM as competitive with top-tier models from OpenAI and Google.

The in-vehicle integration of Grok marks a new chapter in Tesla’s AI development. While Tesla has long relied on in-house systems for autonomous driving and energy optimization, Grok’s integration would introduce conversational AI directly into its vehicles’ user experience. This integration could potentially improve customer interaction inside Tesla vehicles.

xAI and Tesla’s collaborative footprint

Grok’s upcoming rollout to Tesla vehicles adds to a growing business relationship between Tesla and xAI. Earlier this year, Tesla disclosed that it generated $198.3 million in revenue from commercial, consulting, and support agreements with xAI, as noted in a report from Bloomberg News. A large portion of that amount, however, came from the sale of Megapack energy storage systems to the artificial intelligence startup.

Advertisement

In July 2023, Musk polled X users about whether Tesla should invest $5 billion in xAI. While no formal investment has been made so far, 68% of poll participants voted yes, and Musk has since stated that the idea would be discussed with Tesla’s board.

Continue Reading

Trending