Tag Archives: Musk

Tesla's Musk nears deadline to respond to U.S. SEC contempt bid

Tesla's Musk nears deadline to respond to U.S. SEC contempt bidTesla Inc Chief Executive Elon Musk has until the end of the day on Monday to explain why he should not be held in contempt for recent tweets that U.S. securities regulators say violated a September fraud settlement. The U.S. Securities and Exchange Commission asked a federal court in Manhattan to hold Musk in contempt after he tweeted about Tesla’s production volume, saying he breached the agreement requiring him to get company approval before sharing any material information on social media. The renewed public battle between Tesla’s CEO and the SEC adds pressure on Musk, the public face of the electric vehicle-maker who is struggling to make it profitable after cutting the price of its Model 3 sedan to $ 35,000.



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Elon Musk shoots back at US regulators, accusing them of 'retaliation and censorship'

Elon Musk shoots back at US regulators, accusing them of 'retaliation and censorship'Tesla's chief executive Elon Musk shot back against US financial regulators on Monday, arguing that his recent tweet about his company's production numbers did not violate a previous fraud settlement and that he cannot be held in contempt. Lawyers for Mr Musk said that his "single, immaterial" tweet to more than 24 million Twitter followers, claiming that Tesla would produce around 500,000 electric cars in 2019, complied with the communications policy his company has been forced to adopt.  The US Securities and Exchange Commission (SEC) had asked a court in New York City to hold Musk in contempt, saying his tweet in February violated a fraud settlement from September which barred him from sharing material information about Tesla on social media without the company's pre-approval. Bur Mr Musk's lawyers argued in a court filing that the SEC was exceeding its power in attempting to hold him in contempt, saying its action “smacks of retaliation and censorship”. "This contempt action, following Musk's sincerely-held criticism of the SEC on 60 Minutes [a US TV show], also reflects concerning and unprecedented overreach on the part of the SEC," the filing said. In December, Musk said in an interview with the US news programme 60 Minutes that: "I do not have respect for the SEC." The settlement between Musk, Tesla and the SEC resolved an SEC lawsuit over claims Mr Musk made on Twitter in August that he had "funding secured" to take Tesla private at $ 420 per share. The SEC called those tweets "false and misleading", and a deal never materialized. As part of that settlement, Musk stepped down as the company's chairman and he and Tesla agreed to pay $ 20m each (£15m) in fines. The renewed public battle between Tesla's chief executive and the top US securities regulator adds pressure on Mr Musk, the public face of Tesla, who is struggling to make the company profitable after cutting the price of its Model 3 sedan to $ 35,000. Tesla has backed off a plan to close all its US stores and said it will instead raise prices of its higher-end vehicles by about 3 percent on average. In the filing, Mr Musk's lawyers said his tweet was a "proud and optimistic restatement of publicly disclosed information." Mr Musk corrected his tweet four hours later to say that the "annualized production rate" at year-end 2019 would probably be about 500,000, with deliveries expected to be about 400,000. Moreover, Mr Musk has exhibited self-censorship in dramatically reducing the volume of tweets since the settlement, they wrote, adding that the SEC's request, if granted, would raise free speech issues. "This self-censorship is reflective of his commitment to adhering to the Order and avoiding unnecessary disputes with the SEC," they wrote in the filing. Mr Musk called the regulator the "Shortseller Enrichment Commission" on Twitter after the settlement, and tweeted that "something is broken with SEC oversight" just one day after the agency started pursuing the contempt order. Legal experts have said the SEC could now pursue multiple avenues, including a higher fine, imposing further restrictions on Mr Musk's activities or removing him from Tesla's board or helm. Tesla published a new communications policy in December for senior executives as part of the settlement. It called for Tesla's general counsel and a newly designated in-house securities law attorney to pre-approve any written statements about Tesla that could be material. A disclosure controls committee, made up of board members Brad Buss, Antonio Gracias and James Murdoch, was tasked with overseeing compliance with the new policy.



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Musk says $35,000 Model 3 to reach volume production mid-year

Musk says $  35,000 Model 3 to reach volume production mid-year“Gap in understanding is that $ 35k Model 3 production *starts* this month, but will not reach volume production until mid year. Extremely difficult to predict middle part of manufacturing S-curve,” Musk said in response to a tweet twitter.com/elonmusk/status/1102669715095212032. It was not immediately clear what Musk meant by “volume production”.



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Elon Musk to unveil Tesla's Model Y next week

Elon Musk to unveil Tesla's Model Y next weekTesla will unveil its Model Y SUV next week, chief executive Elon Musk has said, launching a product which is expected to give it a foothold in a "far larger and faster growing global segment". In a series of posts on Twitter last night, Mr Musk said the new compact SUV would be 10pc larger than its Model 3 electric vehicles, so would cost "around 10pc more and have slightly less range for the same battery". The billionaire, who had just hours earlier launched  his first spaceship built to fly astronauts to the International Space Station, said detailed specifications and pricing would be provided at the launch event, on March 14. The Model Y, which is expected to go into volume production next year, will be produced using many of the same components as the Model 3 vehicle. For example, it is expected to be based on the Model 3's steel and aluminium structure, and have "normal" doors, not the Falcon Wing doors that are seen on Tesla's other SUV, the Model X.  Analysts have been largely optimistic over the launch of the Model Y, and Morgan Stanley's Adam Jonas last week said an "all-new midsized crossover/SUV is Tesla's chance to take the learnings from the Model S, X, and 3 in design and manufacturing to offer a product in a far larger and faster growing global segment". Tesla Model 3 production However, he cautioned that the "key downside to providing too much information about the Model Y and its enhanced capabilities in software and hardware is that it could steal the thunder of the still-ramping Model 3 just as it's getting introduced into key international markets". Tesla recently started Model 3 deliveries to parts of Asia and Europe, with some customers having waited three years for the vehicles. The company has said it will start deliveries to the UK later this year, with the slower roll-out due to the fact vehicles in the UK need to be right-hand drive.  Tesla was last year forced to push back targets for Model 3 deliveries a number of times, having struggled with production bottlenecks and organisation issues, although signalled it was over the worst of those issues.  Mr Musk last week said 2018 had been the "most challenging in Tesla’s history".



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Tesla's Musk must address SEC contempt bid as he calls agency 'broken'

Tesla's Musk must address SEC contempt bid as he calls agency 'broken'A federal judge on Tuesday ordered Tesla Inc Chief Executive Elon Musk to explain by March 11 why he should not be held in contempt for violating his fraud settlement with the U.S. Securities and Exchange Commission. The order by U.S. District Judge Alison Nathan in Manhattan came hours after the billionaire criticized SEC oversight as “broken,” in the wake of the regulator’s request on Monday night that he be held in contempt. Lawyers for Tesla and Musk did not immediately respond to requests for comment.



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Tesla CEO Elon Musk breaks ground on Shanghai Gigafactory

Tesla CEO Elon Musk breaks ground on Shanghai GigafactoryThe first car plant in China to be wholly owned by a foreign company.



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Tesla CEO Musk breaks ground at Shanghai Gigafactory to launch China push

Tesla CEO Musk breaks ground at Shanghai Gigafactory to launch China pushSHANGHAI/BEIJING (Reuters) – Tesla Inc broke ground on Monday for its Shanghai Gigafactory where it plans to begin making its Model 3 electric vehicles (EV) by year-end, a first step in localising production in the world’s largest auto market. At a ceremony at the site of the plant on the outskirts of Shanghai, Chief Executive Elon Musk joined the city’s mayor and other local government officials to formally begin construction of a factory that Tesla has said will cost around $ 2 billion. “We think with the resources here we can build the Shanghai Gigafactory in record time and we’re looking forward to hopefully having some initial production of the Model 3 towards the end of this year and achieving volume production next year,” Musk said at the event.



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Tesla CEO Elon Musk taunts US financial regulatory agency

Tesla CEO Elon Musk taunts US financial regulatory agencyElon Musk, the CEO of Tesla, openly derided the US Securities and Exchange Commission in an interview aired Sunday, having settled fraud charges with the regulatory agency over an errant tweet. Musk had to resign as Tesla chairman under a September arrangement with the SEC to settle fraud charges stemming from a tweet in which he said he planned to take the firm private and already had the financing to do it.



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Elon Musk will not smoke cannabis on a podcast again, says Nasa boss amid concern over billionaire's behaviour

Elon Musk will not smoke cannabis on a podcast again, says Nasa boss amid concern over billionaire's behaviourElon Musk will not be smoking cannabis in public again, the boss of Nasa has assured the public, amid concern about the SpaceX boss’s behaviour. Nasa administrator Jim Bridenstine has said that Mr Musk has promised not to repeat a moment where he smoked a joint and drank whisky on a comedian’s podcast. “I will tell you that was not helpful, and that did not inspire confidence, and the leaders of these organisations need to take that as an example of what to do when you lead an organisation that’s going to launch American astronauts,” Mr Bridenstine told reporters at Nasa headquarters, according to a report in The Atlantic.



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Elon Musk ducks out of one Los Angeles tunnel but pursues another

Elon Musk ducks out of one Los Angeles tunnel but pursues anotherBillionaire entrepreneur Elon Musk has scrapped plans for a high-speed passenger tunnel under the West side of Los Angeles but is moving ahead with a similar proposal across town designed to whisk baseball fans to and from Dodger Stadium. Musk’s aptly named underground transit venture the Boring Company gave up on its development of a 2.7-mile (4.4-km) tunnel in West L.A. to settle litigation brought by community groups opposed to the project, the two sides said in a joint statement on Wednesday. The move came six months after Musk, the high-tech baron better known as founder of electric car company Tesla Inc and CEO of rocket maker SpaceX, made a rare personal appearance at a Los Angeles public event to promote his controversial tunnel project.



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