Connect with us

News

Volkswagen hands software woes to ICE-supporting Audi CEO

(Credit: Volkswagen)

Published

on

Volkswagen has announced that it has handed its Car.Software organization over to Audi CEO Markus Duesmann. Duesmann will take charge of Volkswagen’s software in the VW Board of Management, a company press release stated.

One of the main focuses of Volkswagen’s plan to begin the production of a fleet of electric vehicles was software. However, the German automaker has encountered several problems that have delayed the production of its ID.3, which is the first vehicle in VW’s all-electric ID family of cars.

Duesmann will be responsible for the research and development of Volkswagen’s software and will attempt to salvage the company’s operating system before the ID.3 and subsequent electric models from the German automaker roll off of production lines and into owner’s garages.

However, Duesmann’s stance on electric vehicles is not exactly favorable. The Audi frontman commented last week that his company would continue to favor the production of gas and diesel-powered combustion engines. “The combustion engine is far from dead,” Duesmann said.

Advertisement

Although Duesmann does believe that Audi can begin creating more sustainable cars that use gas and diesel for fuel, the overall stance on the issue seems to indicate that the CEO is not necessarily interested in obtaining an electric fleet that is Earth-friendly. Duesmann is an automotive vet, but his goals do not necessarily line up with Volkswagen’s, and the combination of the two entities working together to solve software issues is questionable.

“We are now starting the biggest revolution in the automotive industry. In a few years, a car’s operating system and its connectivity with a highly secure data cloud will make all the difference,” Duesmann said. “The close cooperation with all brands and teams will be decisive for the success of the Car.Software organization. With my team at Audi, we are assuming a special responsibility as a premium brand.”

Duesmann announced that the new CEO of the Car.Software Organization would be former Senior Vice President of Manufacturing Engineering at BMW, Dirk Hilgenberg.

“With the upcoming handover to Dirk Hilgenberg, we will gain a CEO for the Car.Software organization who has extensive international experience in the integration of software products and technologies. In close cooperation with him, I will push this topic forward vigorously and at high speed,” Duesmann added.

Advertisement

The plan to solve Volkswagen’s extensive list of software issues begins with a rapid personnel expansion. The company plans to hire around 5,000 specialists by the end of 2020, who will all work together to integrate the Software system into Volkswagen’s electrified fleet.

Volkswagen has also spent the last few months expanding several of its German plants to prepare for an expansive push of electric vehicles in the coming years. The company also gave 150 random employees an ID.3 car to test in real-world settings.

Fixing the software issues that Volkswagen has accrued throughout the production of the ID.3 has worried the company’s executives. However, the new operating infrastructure is sure to bring bumps along the way, and Volkswagen’s rich tradition of automotive manufacturing should prove to be able to solve the issues. However, Duesmann’s appointment to the head of the team is unusual considering the stance the Audi CEO holds on electric vehicles.

Volkswagen’s full press release is available here.

Advertisement

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

Advertisement
Comments

News

Tesla just unlocked sales to 50,000+ government agencies

It marks a significant step in expanding Tesla’s presence in the public sector, where procurement processes have traditionally slowed electric vehicle adoption.

Published

on

Credit: Patrick Bean | X

Tesla just unlocked sales to over 50,000 government agencies by entering a new agreement with Sourcewell, a purchasing cooperative.

Tesla entered a new master purchasing agreement with Sourcewell, the largest government purchasing cooperative in the U.S. This will enable streamlined sales of its EVs to more than 50,000 U.S. public entities. Tesla entered Designated Contract 0813525-TES, and the agreement covers Model 3, Model Y, and Cybertruck, and potentially other vehicles the company could release.

It marks a significant step in expanding Tesla’s presence in the public sector, where procurement processes have traditionally slowed electric vehicle adoption.

The deal allows eligible agencies, including cities, school districts, state governments, and higher-education institutions, to purchase Tesla vehicles directly through Sourcewell without conducting their own lengthy competitive bidding or request-for-proposal (RFP) processes.

Advertisement

Pricing is pre-negotiated and capped, providing transparency and predictability. Agencies simply register for a Sourcewell account online or by phone and place orders under the existing contract. This cooperative model aggregates demand across thousands of members, reducing administrative costs and time while ensuring compliance with public procurement rules.

For Tesla, the agreement removes major barriers to government fleet sales. Public-sector procurement cycles often stretch 12 to 18 months due to bidding requirements and committee reviews.

Tesla buyers in the U.S. military can get $1,000 off Cybertruck purchases

By securing the master contract, Tesla gains immediate, simplified access to a massive customer base that previously faced friction in adopting EVs. The company highlighted in its announcement that the partnership will help these 50,000-plus agencies “save thousands of $$$ in operating costs for their vehicle fleet over time” through lower maintenance, energy efficiency, and the elimination of tailpipe emissions.

Advertisement

The initial four-year term runs through November 13, 2029, with options for up to three one-year extensions, offering long-term stability for both parties.

Sourcewell’s role is central to execution. As a cooperative purchasing organization, it negotiates and manages vendor contracts on behalf of its members, then makes them available nationwide. Participating entities contact Tesla’s dedicated fleet team or Sourcewell representatives to complete purchases, bypassing redundant paperwork.

This structure accelerates fleet electrification while maintaining fiscal accountability—agencies receive pre-vetted pricing and terms without reinventing the wheel for each vehicle order.

The partnership positions Tesla to capture a larger share of the public fleet market, where total cost of ownership often favors electric vehicles once procurement hurdles are removed.

Advertisement

For government buyers, it translates to faster deployment of sustainable fleets, reduced long-term expenses, and alignment with environmental mandates. As more agencies transition, the contract could contribute to broader EV infrastructure growth and taxpayer savings across the country.

Continue Reading

Elon Musk

How much of SpaceX will Elon Musk own after IPO will surprise you

SpaceX’s IPO filing confirms Musk will maintain his voting power to make key decisions for the company.

Published

on

By

Rendering of Elon Musk overlooking a Starship fleet (Credit: Grok)

Elon Musk will retain dominant voting control of SpaceX after it goes public, according to the company’s IPO prospectus that was filed with the SEC. The filing reveals a dual-class equity structure giving Class B shareholders 10 votes each, concentrating power with Musk and a handful of other insiders, while Class A shares sold to public investors carry one vote.

Musk holds approximately 42% of SpaceX’s equity and controls roughly 79% of its votes through super-voting shares. He will simultaneously serve as CEO, CTO, and chairman of the nine-member board after the listing. Beyond that, the filing includes provisions that may limit shareholders’ influence over board elections and legal actions, forcing disputes into arbitration and restricting where they can be brought.

The case for Musk holding this level of control is grounded in SpaceX’s actual history. The company’s most important bets, from reusable rockets to a global satellite internet constellation, were decisions that ran against conventional aerospace thinking and would likely have faced resistance from a board accountable to investor gains. Fully reusable rockets were considered economically irrational by established industry players for years. Starlink, which now generates over $4 billion in annual operating profit, was widely dismissed as financially unviable when it was proposed. The argument for concentrated founder control seems straightforward, and the decisions that built SpaceX into what it is today required someone willing to ignore consensus and absorb years of losses.

SpaceX files confidentially for IPO that will rewrite the record books

Advertisement

For context, Musk’s position is significantly more dominant than Zuckerberg’s at Meta. The comparison with Tesla is also worth noting. When Tesla did its IPO in 2010, it did not issue dual-class shares. Musk has only recently pushed for enhanced voting protection, proposing at least 25% control at Tesla in 2024 after selling shares to fund his Twitter acquisition left him with around 13%.

SpaceX has clearly learned from that experience and structured the IPO differently by planning to allocate up to 30% of shares to retail investors, roughly three times the typical norm for a large offering. The roadshow is expected to begin the week of June 8, with a Nasdaq listing rumored to be a $1.75 trillion valuation and a $75 billion raise.

Continue Reading

News

Tesla bolsters App with new safety, insurance, and storage features

The Tesla Smartphone App is one of the biggest and best features and advantages owners have. Everything from moving the vehicle with Summon, to getting Navigation sent to the car, to preconditioning the cabin can be done with the Tesla App.

Published

on

Credit: Tesla

Tesla is bolstering its smartphone App with a series of new features to streamline operations for owners. The new additions include fixes to safety, its in-house insurance offering, and storage management for Dashcam clips.

The Tesla Smartphone App is one of the biggest and best features and advantages owners have. Everything from moving the vehicle with Summon, to getting Navigation sent to the car, to preconditioning the cabin can be done with the Tesla App.

But in classic Tesla fashion, the company is aiming to improve the offerings of the app, and it is doing so with a handful of new features. They were first discovered by Tesla App Updates.

Tesla Insurance – Safety Score 3.0

This is truly part of the Spring 2026 Update, but Tesla has now given more transparency on how FSD has saved people money on their premiums.

Advertisement

Tesla intertwines FSD with in-house Insurance for attractive incentive

Additionally, Tesla is now automatically awarding a Safety Score of 100 for every mile traveled on Full Self-Driving (Supervised).

Update Tracking

Updates traditionally appear on the App or on the Center Touchscreen in the car. There is nothing better than seeing that Green Arrow at the top of the screen, or opening your app and seeing that there is a Software Update available.

Now, there will be no need to manually check the app and initiate the download. Tesla is enabling a new feature that will automatically download updates for you.

Advertisement

Storage Management

Your USB drive can now be remotely formatted, and old Dashcam clips can be deleted straight from the phone. When you record a lot of things using the Dashcam feature, that storage fills up pretty quickly.

Now, manually deleting the Dashcam videos is easier than ever.

Trailer Light Test

This is perhaps the coolest and most crucial addition to the Tesla App, as those who tow and haul will now be able to trigger a diagnostic light sequence from the app while standing behind your trailer to ensure the brake lights work.

Verifying your trailer lights are connected properly and operating normally and as intended is normally a massive hassle.

Advertisement

Now, a new trigger will be available to initiate a diagnostic light sequence directly from your phone.

Continue Reading