Volkswagen Auto Group CEO Herbert Diess has led his German car company to be one of the most respected in terms of large entities that have chosen to leave a long and successful past of producing gas-powered vehicles in favor of electrified models. Diess has worked long and hard to dissolve VW’s past mistakes, especially the Dieselgate scandal from several years ago. However, in 2021, VW has left its blemished past behind it and is the most popular electrified brand in Europe, leading companies like Tesla, Peugeot, and Renault in the world’s most robust market for electrified vehicles. Diess is a big part of this accomplishment and has one of the more keen eyes for the industry, self-admittedly behind Elon Musk.
Diess’ thoughts on the EV industry and how 2021 has shaped it to be one of the most difficult and challenging sectors of the year due to semiconductor shortages, along with his plans for Volkswagen’s electrified future and his respect for fellow auto CEO Elon Musk were discussed in a recent interview with CNN’s Anna Stewart who caught up with the VW frontman at the International Motor Show in Munich.
50% of sales electric by 2030
Diess responds to Stewart’s first inquiry, which regards VW’s goal to have 50% of its sales be electric by 2030. “In Europe, we are already leading,” Diess said, which is true based on the most recent figures from EU-EVs.com, showing Volkswagen has a comfortable lead over second-place Tesla by just over 20,000 vehicles. In other markets, Volkswagen is performing well. “Even in the US, we have been in second place for the last months, and in China, we are growing fast. We think we will become the market leader for EVs,” Diess adds.
Volkswagen has absolutely taken on the EV initiative better than 99% of other car companies, making its goals the most believable moving forward. The ID. family of vehicles has performed incredibly well, with Volkswagen offering specific models for specific markets to keep things fresh, exciting, and relevant. The question is, will VW be able to keep up its domination of the European market when Tesla begins production at Giga Berlin later this year?
Global semiconductor shortage
One of the biggest bottlenecks in recent history, the global semiconductor supply shortage, has plagued automakers to scrap basic functions like “push-to-start” features in ICE vehicles. Diess, a usually optimistic person, admits that Volkswagen is still struggling with the shortages, and he is not quite sure when things will get better.
“It has gotten worse already. We expected that we would have relief after the summer break, which didn’t happen because, in Malaysia, we had really quite significant problems with Covid,” Diess added. “Some of our suppliers, the back ends of our suppliers are mostly based in Malaysia, and three plants were hit hard. We think that we will overcome this situation towards the end of the month, and then we should see relief.”
Autonomy
In terms of autonomy, Diess is optimistic about the capabilities of self-driving cars. “We see a much bigger transition for the industry when cars are becoming autonomous because cars will be used differently, used by more people. You can send your children or your grandparents in a car somewhere. Now imagine!” Volkswagen previously claimed it could sell a self-driving system that charged by the hour, and it would be profitable doing it. However, Diess said the business still has a long way to go, and Volkswagen will likely roll out its first fleet in 2024 or 2026. “But it’s now time to invest and to prepare. And that’s what we are doing,” he stated.
Volkswagen says it can profitably sell a self-driving system for €7 an hour
Volkswagen vs. Tesla
Diess holds high regard for Tesla CEO Elon Musk. The two are friends and have shared several compliments with each other on several occasions. Musk even took a ride in an ID.3 in Germany with Diess piloting the vehicle, which ignited rumors of a potential collaboration between the two automotive CEOs. Diess still holds the utmost respect for Musk and Tesla, calling the company’s frontman “a brilliant guy” who “makes a difference. He’s changing the world with his ventures.”
Despite the two companies combating to dominate EV sales across the globe, Diess does not see any parallels between VW and Tesla. “We are quite different. He is very focused on Tesla, on his story. I’m running a big traditional company, which we try to prepare for the future. And I think we also require different characters. I like him a lot, but I think we are quite different.”
As for whether Diess was ever offered the CEO job at Tesla, Herbert simply ended with, “I don’t know,” and a slight chuckle.”
What do you think? Let us know in the comments below, or be sure to email me at joey@teslarati.com or on Twitter @KlenderJoey.
Elon Musk
Tesla Optimus Gen 3 is coming to the Tesla Diner with new ambitions
Tesla’s Optimus robot left the Hollywood Diner within months of opening. Now Musk is planning its return with a bigger role and a major Gen 3 upgrade underway.
![Tesla Optimus Gen 3 [Credit: Tesla]](https://www.teslarati.com/wp-content/uploads/2026/03/tesla-optimus-gen3-diner.jpg)
Tesla’s Optimus robot was one of the most talked-about features when the Tesla Diner opened on Santa Monica Boulevard in Hollywood on July 21, 2025. Dubbed “Poptimus” by Tesla fans, the Gen 2 robot stood upstairs at the retro-futuristic, drive-in theater and Tesla Supercharging station, scooping popcorn into bags and handing them to guests with a wave.
The diner itself had been years in the making. Elon Musk first floated the idea in 2018 with a tweet about building an “old-school drive-in, roller skates & rock restaurant” at a Hollywood Supercharger. What eventually opened was a unique two-story neon-lit space, with 80 EV charging stalls, and Optimus serving as a live demonstration of where Tesla’s ambitions were headed.
If our retro-futuristic diner turns out well, which I think it will, @Tesla will establish these in major cities around the world, as well as at Supercharger sites on long distance routes.
An island of good food, good vibes & entertainment, all while Supercharging! https://t.co/zmbv6GfqKf
— Elon Musk (@elonmusk) July 21, 2025
But Optimus did not stay long, and was gone by December 2025.
Now, the robot is set to return with a more demanding job. Musk has ambitions for Optimus to take on a food runner role in 2026, delivering meals directly to cars at the Supercharger stalls. While the latest Gen 3 Optimus is likely to initially take on its previous popcorn-serving role, it wouldn’t be out of the question for Optimus to see a quick promotion. With improved hand dexterity that features 50 total actuators and 22 degrees of freedom per hand, and significantly more powerful processing through Tesla’s latest AI5 chip that includes Grok-powered voice interaction, Musk described Optimus at the Abundance Summit on March 12, 2026, as “by far the most advanced robot in the world, Nothing’s even close.”
Back to work
See you at Tesla Diner tomorrow pic.twitter.com/H3tTajrUbu
— Tesla Optimus (@Tesla_Optimus) March 30, 2026
That confidence is backed by a major manufacturing shift. At the Q4 2025 earnings call in January, Musk announced Tesla would discontinue the Model S and Model X and convert those Fremont production lines to build Optimus. “It’s time to basically bring the Model S and X programs to an end,” he said, calling for a pivot that reflects where the Tesla’s future lies.
Elon Musk
Musk forces Judge’s exit from shareholder battles over viral social media slip-up
McCormick insisted in a court filing that she harbors no actual bias against Musk or the defendants. She claimed she either never clicked the “support” button, LinkedIn’s version of a “like,” or did so accidentally.
Many Tesla fans are familiar with the name Kathaleen McCormick, especially if they are investors in the company.
McCormick is a Delaware Chancery Court Judge who presided over Tesla CEO Elon Musk’s pay package lawsuit over the past few years, as well as his purchase of Twitter. However, she will no longer be sitting in on any issues related to Musk.
Elon Musk demands Delaware Judge recuse herself after ‘support’ post celebrating $2B court loss
In a rare admission of potential optics issues in one of America’s most powerful corporate courts, Delaware Chancery Court Chancellor Kathaleen McCormick stepped aside Monday from a cluster of shareholder lawsuits targeting Elon Musk and Tesla’s board.
The move came just days after Musk’s legal team highlighted her apparent “support” on LinkedIn for a post that mocked the billionaire over his 2022 tweets about the $44 billion Twitter acquisition.
McCormick insisted in a court filing that she harbors no actual bias against Musk or the defendants. She claimed she either never clicked the “support” button, LinkedIn’s version of a “like,” or did so accidentally.
She wrote in a newly published memo from the Delaware Chancery Court:
“The motion for recusal rests on a false premise — that I support a LinkedIn post about Mr. Musk, which I do not in fact support. I am not biased against the defendants in these actions.”
Yet she granted the reassignment anyway, acknowledging that the intense media scrutiny surrounding her involvement had become “detrimental to the administration of justice.”
The consolidated cases will now be handled by three of her colleagues on the Delaware Court of Chancery, the nation’s go-to venue for high-stakes corporate disputes. The lawsuits accuse Musk and Tesla directors of breaching fiduciary duties through lavish executive compensation and lax governance oversight.
One prominent claim, filed by a Detroit pension fund, challenges massive stock awards granted to board members, alleging the payouts harmed the company. The litigation also overlaps with issues stemming from Musk’s turbulent 2022 Twitter purchase.
McCormick’s history with Musk made her a lightning rod. In 2022, she presided over the fast-tracked lawsuit that ultimately forced Musk to complete the Twitter deal after he tried to back out.
Then in 2024, she struck down his record $56 billion Tesla compensation package, ruling the approval process was flawed and overly CEO-friendly. The Delaware Supreme Court later reinstated the pay on technical grounds, but the ruling fueled Musk’s long-standing criticism of the state’s judiciary.
Musk has repeatedly urged companies to reincorporate elsewhere, arguing Delaware courts have grown hostile to visionary leaders. Monday’s recusal hands him a symbolic victory and underscores how personal social-media activity can collide with judicial impartiality standards.
Delaware law requires judges to step aside if there’s even a “reasonable basis” to question their neutrality.
Court watchers say the episode highlights growing tensions in corporate America’s legal epicenter. While McCormick maintained her impartiality, the appearance of bias proved too costly to ignore. The cases will proceed without her, but the broader debate over Delaware’s dominance in business litigation is far from over.
Elon Musk
Elon Musk has generous TSA offer denied by the White House: here’s why
Musk stepped in on March 21 via a post on X, writing: “I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country.”
Tesla and SpaceX CEO Elon Musk made a generous offer to pay the salaries of Transportation Security Administration (TSA) employees last week, but the offer was denied by the White House.
In a striking display of private-sector initiative clashing with federal bureaucracy, the White House has turned down an offer from Elon Musk to personally cover the salaries of TSA officers amid an ongoing partial government shutdown. The rejection, reported last Wednesday by multiple outlets, highlights the legal and political hurdles facing unconventional solutions to Washington’s funding gridlock.
The impasse began weeks ago when Congress failed to pass funding for the Department of Homeland Security (DHS), leaving TSA employees, essential workers who screen millions of travelers daily, without paychecks while still required to report for duty.
Frustrated travelers have endured record-long security lines at major airports, with reports of chaos and delays rippling across the country.
Musk stepped in on March 21 via a post on X, writing: “I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country.”
I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country
— Elon Musk (@elonmusk) March 21, 2026
But it was not for no reason.
White House spokesperson Abigail Jackson responded on behalf of the Trump administration, expressing appreciation for Musk’s gesture.
However, the legal obstacles, which would be insurmountable, would inhibit Musk from doing so. Jackson said:
“We greatly appreciate Elon’s generous offer. This would pose great legal challenges due to his involvement with federal government contracts.”
Musk’s companies hold significant federal contracts, including NASA launches through SpaceX and potential Defense Department work, raising concerns about conflicts of interest, ethics rules, and anti-bribery statutes that prohibit private payments to government employees. Administration officials also indicated they expect the shutdown to end soon, making external funding unnecessary.
The episode underscores deeper tensions in Washington. Musk, who has advised on government efficiency efforts and maintains a close relationship with President Trump, has frequently criticized wasteful spending and bureaucratic delays.
His offer came as airport security lines ballooned, drawing public frustration toward both parties. TSA officers, many of whom rely on paychecks to cover mortgages and family expenses, have continued working without compensation, a situation that has drawn bipartisan concern but little immediate resolution.
Critics of the rejection argue it prioritizes red tape over practical relief for frontline workers and travelers. Supporters of the White House position counter that allowing private funding sets a dangerous precedent and could undermine congressional authority over the budget.
The White House eventually came to terms with the TSA on Friday and started paying them once again, and lines at airports instantly shrank. The Department of Homeland Security (DHS) said that TSA staf would begin receiving paychecks “as early as” today.
![Tesla Optimus Gen 3 [Credit: Tesla]](https://www.teslarati.com/wp-content/uploads/2026/03/tesla-optimus-gen3-diner-80x80.jpg)
Tesla Optimus Gen 3 is coming to the Tesla Diner with new ambitions
Musk forces Judge’s exit from shareholder battles over viral social media slip-up
Elon Musk has generous TSA offer denied by the White House: here’s why
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
