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The World Inside Tesla Is Completely Different From The Media’s Portrayal Of Tesla
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Cars Published on March 10th, 2019 | by Zachary Shahan
The World Inside Tesla Is Completely Different From The Media’s Portrayal Of TeslaTwitterLinkedInFacebookMarch 10th, 2019 by Zachary Shahan
I guess I should preface this video by saying that it is largely a joke. That is hopefully obvious within a few moments of watching it. The article, however, is not a joke.
Walking into Tesla’s large, open, light office space at its Fremont factory, it only took a moment before something hit me. The atmosphere is enormously different from the image of Tesla that you find in much of the media.
The day of our visit was less than one short week after the company announced both its $35,000 Model 3 and a shift to online-only sales. While much of the media (including CleanTechnica) was feverishly trying to figure out what everything meant, what stimulated the changes in sales, what was going on with the stock, and what the future of Tesla would look like, hundreds of Tesla employees were happily working away at their desks, chatting with each other, and entering or exiting the front doors.
When we strolled through the factory, it was the same. People were calm, smiling, and working hard. When we stopped to talk to some of them, they often exuded pride in their work and happiness for being part of the Tesla story. They didn’t hide from cameras (for the most part), but they also weren’t prepped for the visit — sometimes staring at us like we were rare animals in the zoo. The media? Spies? Enemies or friends?
Of course, some of them were regular CleanTechnica readers who scroll our stories when they wake up in the morning, before pulling themselves out of bed and over to the breakfast table. That was cool to hear, and definitely was not expected. These people didn’t highlight any drama, didn’t drown in their sorrows or reveal any signs of Elon whipping them, and they apparently weren’t feeling down about the relentless media attacks. They were having fun! They were happily toiling away at their cool jobs and enthusiastically told us about what they do every day, answering essentially all of our questions — just not the ones poking for specific numbers, since those of course can’t be revealed to people like me.
I definitely wasn’t searching for this story that I’m writing right now. On the trip to learn more about Tesla, I simply expected to get into the details. I entered the doors with an open mind, ready to soak up what I saw and write about whatever floated my boat. It just struck me after a few minutes inside the doors and walls of Tesla, “How can the atmosphere inside the company be so different from how the media portrays it?“
It reminded me of my first test drive of a real, live Tesla Model 3. The title of that review article was, “Sorry, Elon — Tesla Model 3 Much Better Than I Expected.” The apology (which was sort of meant as a joke, but since Elon actually ended up seeing and retweeting the piece, it did end up being a genuine apology) was partly an apology for falling for the anti-Tesla FUD. I thought the FUD didn’t affect me, but when I experienced the super premium Model 3, its wonderful doors and feel, the soft seats, and the easy-to-use navigation screen, I realized that the countless comments of Tesla trolls had even seeped into my expectations a bit. The good news is that meant I was happily surprised by the car. (The other part of the apology was because I liked the Model 3 more than the Model S, which is still the case.)
But let’s get back to the Tesla tour we took last week. When we got into the factory and talked to various production engineers, we asked questions about burst rates, slow periods, and much more. Top engineers didn’t understand where the media hype about some of these things originated. They were consistent — production is continuously rolling strongly. They are constantly trying to produce a steady and high-volume stream of cars. There aren’t big “bursts” and then declines in production. And the whole production process is going well. Now, if you’re cynical and presume you know better, you may think I was lied to, tricked, taken for a fool. I consider myself to be a pretty good read of character and really good at noticing when someone is pulling my chain or trying to mislead me. These people were not. Tesla production, like many things, is not what company critics would have you believe.
It’s funny, I had this story on the article list after the Tesla site visit, I was ready to start drafting it, and then I saw the following tweet from Ross Gerber:
I don’t know if he went on a tour around the same time or just came to the same thought in a different way, but Ross’s tweet lined up smoothly with my thoughts. There’s the anti-Tesla hype, and then there’s the reality.
Someone at Tesla indicated that Tesla executives are routinely misquoted, with some “quotes” seemingly coming out of thin air. It’s clearly frustrating for them, and bewildering. The whole approach many in the mainstream media have towards Tesla is confusing overall. There’s a US manufacturing revival on the scene (a cleantech one at that), but many in the media seem intent on smearing the company, sometimes with completely incorrect quotes. Unfortunately, that has become a big part of the broader Tesla story.
We have much more to come from our visit and our interviews, but have no doubt about it, the motto inside Tesla is essentially this one: “Keep Calm And Charge On.”
About the AuthorZachary Shahan Zach is tryin' to help society help itself (and other species). He spends most of his time here on CleanTechnica as its director and chief editor. He's also the president of Important Media and the director/founder of EV Obsession and Solar Love. Zach is recognized globally as an electric vehicle, solar energy, and energy storage expert. He has presented about cleantech at conferences in India, the UAE, Ukraine, Poland, Germany, the Netherlands, the USA, and Canada. Zach has long-term investments in TSLA, FSLR, SPWR, SEDG, & ABB — after years of covering solar and EVs, he simply has a lot of faith in these particular companies and feels like they are good cleantech companies to invest in. But he offers no professional investment advice and would rather not be responsible for you losing money, so don't jump to conclusions.
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Elon Musk accuses SEC of overreach in contempt case
Attorneys for Tesla chief says agency has engaged in ‘power grab’ regarding tweet Go to Source
Elon Musk shoots down U.S. regulator’s complaint about his Tesla tweet
SAN FRANCISCO – Tesla Inc (TSLA.O) Chief Executive Elon Musk shot back against U.S. securities regulators on Monday, arguing in a filing that his recent tweet about the electric vehicle maker’s production volume did not violate his fraud settlement and he cannot be held in contempt. FILE PHOTO: Tesla CEO Elon Musk attends the Tesla… Continue reading Elon Musk shoots down U.S. regulator’s complaint about his Tesla tweet
UPDATE 5-Elon Musk shoots down U.S. regulator’s complaint about his Tesla tweet
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Tesla says new Superchargers let drivers fill up faster, 75 miles of charge in 5 minutes
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Zang Yi charges her Tesla car at a charging point in Beijing, China, April 13, 2018.
Tesla has debuted its V3 Superchargers, saying they could enable drivers to add up to 75 miles of charge to a long-range Model 3 in just five minutes.
Elon Musk's company also said the same car could add 1,000 miles worth of charge in an hour under ideal conditions.
The new Superchargers aren't available to most Tesla drivers now, just participants in the company's” early access program” who can drive to company's public beta site near its factory in Fremont, California.
Tesla plans to roll out the V3 Superchargers in North America in the second quarter of 2019, and to sites in Europe and China in the fourth quarter.
The V3 was unveiled at the Fremont plant Wednesday night. Tesla also boasted about the reach of its already-installed charging infrastructure, saying in a blog post:
“Tesla has more than 12,000 Superchargers across North America, Europe, and Asia and our network continues to grow daily: more than 99% of the U.S. population is covered by the network, and we anticipate similar coverage in Europe by the end of 2019. Recently, we passed 90% population coverage in China and are growing that number quickly.”
The V3 Superchargers, which feature liquid-cooled cables, will allow drivers to fill up their virtual tanks, faster. But they will also allow Tesla to move more electric vehicles through their 12,000 charging sites every day — with most drivers paying each time they recharge.
In September, Tesla ended a generous “unlimited charging” promotion that it previously offered as a referral bonus to get new customers into its premium Model S and Model X electric vehicles.
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Tesla’s Elon Musk could be suspended as CEO in latest SEC scuffle, securities lawyers say
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Elon Musk
Tesla CEO Elon Musk is facing pretty significant fines and a possible suspension as CEO for recent activity on Twitter that federal regulators said violated his Sept. 29 settlement with the Securities and Exchange Commission, securities lawyers say.
Musk and Tesla have until March 11 to respond to an order from a judge explaining why the court shouldn't hold him in contempt after he tweeted about Tesla's production forecasts for the Model 3, a midsize sedan. The agency said the CEO broke an agreement that requires him to vet any public comments that could affect investor decisions.
Former SEC attorneys and other securities lawyers said it looks like a clear violation. Neither Tesla nor the SEC responded to requests for comment.
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Musk is still considered a first-time offender, in that he hasn't been convicted of a crime, like Martha Stewart was in 2004, or indicted on criminal charges, like Elizabeth Holmes of Theranos was in 2018, and he isn't quite yet a habitual or serial offender, said Elliot Lutzker, a former attorney in the SEC's enforcement division. So it is unlikely the agency would seek an outright ban.
But Musk's Feb. 19 tweet about Tesla's production estimates may temporarily cost him his job as CEO, Lutzker and other attorneys said. Securities attorneys compared it to Stewart's settlement deal with the SEC, where she agreed to a five-year ban as CEO but remained as the creative director of Martha Stewart Living.
“It is looking pretty ominous for Musk,” Lutzker said. “I could very easily see a very significant fine and a possible suspension.”
Musk's initial settlement with the SEC required Tesla to develop a process for vetting any communication, including tweets, that Musk makes with the public. That was supposed to prevent the sort of misleading tweets that led to the SEC's first dispute with Tesla, after Musk tweeted in mid-2018 that he had already secured the funding to take Tesla private at $420 a share. The tweet turned out to be false.
The tweet at the center of the SEC's most recent complaint is one Musk sent out on Feb. 19 at 7:15 p.m. that said, “Tesla made 0 cars in 2011, but will make around 500k in 2019.”
He then corrected himself at 11:41 p.m.: “Meant to say annualized production rate at end of 2019 probably around 500k, ie 10k cars/week. Deliveries for year still estimated to be about 400k.”
Musk later defended the tweet, saying the projection has been previously disclosed and thus didn't need to go through the typical vetting process.
But the SEC isn't buying it.
“There was no pre-approved written communication anywhere in the January 30 communications that stated that Tesla would make around 500,000 cars in the 2019 year,” the agency said in its complaint.
The Supreme Court has defined material information very simply, Lutzker said, as anything a reasonable investor would want to know in deciding whether to buy or sell a stock. The settlement requires vetting for any projections about Tesla's business, which would include production forecasts.
Musk may simply have made a mistake, but the SEC has to enforce the settlement anyway, said Jay Knight, an attorney at Bass, Berry & Sims who previously worked in the SEC's corporate finance division. Enforcement is necessary both to keep Musk in check and to send a message to other public company CEOs that disclosure rules still apply, even though the public is increasingly accustomed to social media and the rapid and direct communication enabled by the internet, he said.
“In the world of public companies there are a lot of mini Elon Musks,” Knight said, and there is a tension between getting information out to investors as soon as possible and the possibility that something could be incorrect or misleading.
“While it is difficult for a CEO to write a press release and release it on a wire service, it is really easy to pull out a phone and start tweeting,” he said.
This action also could be part of a longer strategy with Tesla and Musk, said Britt Latham, an attorney at Bass, Berry & Sims who litigates securities cases.
“They are building their case,” Latham said. “If they get a violation here, they could get the court to issue an order that puts some more teeth into the consequences of the next violation. Then at some point, given how unpredictable Mr. Musk is, the agency may assume he will hang himself and give them the opportunity to really take some more serious action.”
This whole ordeal also opens up Tesla to lawsuits. If the company is not enforcing its policies, and the CEO is clearly violating policies that were required by a court order just a few months ago, that is a pretty easy opportunity for plaintiffs' lawyers to step in. That is especially true if Tesla's share price drops.
“At some point these lawsuits start costing a lot of money, even for a big company like that,” Latham said.
Correction: This article has been corrected to state that Elizabeth Holmes of Theranos has been indicted on, but not yet convicted of, criminal charges.
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