Tesla employee from the state of Minnesota in the United States was arrested after he allegedly threatened to kill US President Joe Biden and Billionaire Elon Musk. Watch to know more!

Tesla worker arrested for threatening to kill Elon Musk, Biden

In a twist to the tech industry, recent struggles faced by Tesla have ignited conversations among investors about a potential shake-up in the "magnificent seven stocks that have fueled a surge in US Markets. While the electric automaker's stock took a nosedive, dropping nearly 24% this year... And now speculations are rife about its replacement in this elite club.

Analysts cautious after bumpy year for Tesla

Tesla CEO Elon Musk faced a significant legal setback this week as he lost his $56 billion pay package in one of the most substantial legal defeats in US history. The case was brought forth by an unexpected adversary, Richard Tornetta, a former heavy metal drummer. <o:p></o:p>

According to Reuters, Tornetta, who held just nine shares of Tesla when he initiated the lawsuit in 2018, emerged victorious on Tuesday when a judge deemed the massive pay deal unfair to him and all fellow Tesla shareholders.<o:p></o:p>

Tornetta's case, which began in 2018 and reached trial in late 2022, represents a noteworthy legal challenge for Musk, who had previously triumphed in various trials related to defamation, breaches of duty to shareholders, and violations of securities laws. <o:p></o:p>

Tornetta's interest in audio gear for car-customising enthusiasts, as showcased on his online presence, contrasts with the typical profile of those pursuing corporate accountability. Notably, he has shared light-hearted videos about his gadget creations and drumming performances with his metal band, "Dawn of Correction."<o:p></o:p>

Delaware, known for corporate case precedents, has seen cases led by investors with minimal shareholdings influencing US corporate law. Eric Talley, a corporate law professor, notes that law firms often collaborate with investors to bring cases on contingency. <o:p></o:p>

Tornetta, benefiting from the case like other Tesla shareholders, saves the company substantial sums that a compliant board might pay to Musk.<o:p></o:p>

Critics argue that cases initiated by individual investors may lead to potentially abusive litigation. A decade ago, Delaware faced challenges from retail investors challenging merger deals, often resulting in settlements that critics deemed meaningless. <o:p></o:p>

However, experts argue that individuals like Tornetta play a vital role in overseeing boardrooms. Large investment firms are considered better equipped for corporate litigation, but they often avoid challenging relationships on Wall Street.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Tesla CEO Elon Musk faced a significant legal setback this week as he lost his $56 billion pay package in one of the most substantial legal defeats in US history.

Tesla CEO Elon Musk faced a significant legal setback this week as he lost his $56 billion pay package in one of the most substantial legal defeats in US history. The case was brought forth by an unexpected adversary, Richard Tornetta, a former heavy metal drummer. According to Reuters, Tornetta, who held just nine shares of Tesla when he initiated the lawsuit in 2018, emerged victorious on Tuesday when a judge deemed the massive pay deal unfair to him and all fellow Tesla shareholders. Tornetta's case, which began in 2018 and reached trial in late 2022, represents a noteworthy legal challenge for Musk, who had previously triumphed in various trials related to defamation, breaches of duty to shareholders, and violations of securities laws. Tornetta's interest in audio gear for car-customising enthusiasts, as showcased on his online presence, contrasts with the typical profile of those pursuing corporate accountability. Notably, he has shared light-hearted videos about his gadget creations and drumming performances with his metal band, "Dawn of Correction." Delaware, known for corporate case precedents, has seen cases led by investors with minimal shareholdings influencing US corporate law. Eric Talley, a corporate law professor, notes that law firms often collaborate with investors to bring cases on contingency. Tornetta, benefiting from the case like other Tesla shareholders, saves the company substantial sums that a compliant board might pay to Musk. Critics argue that cases initiated by individual investors may lead to potentially abusive litigation. A decade ago, Delaware faced challenges from retail investors challenging merger deals, often resulting in settlements that critics deemed meaningless. However, experts argue that individuals like Tornetta play a vital role in overseeing boardrooms. Large investment firms are considered better equipped for corporate litigation, but they often avoid challenging relationships on Wall Street. (With inputs from Reuters)

Elon Musk loses $56 bn pay package in legal battle led by former heavy metal drummer

Elon Musk stripped of his $56 billion pay package. Musk says Tesla will vote to shift its state of incorporation. Tesla CEO suffers one of the biggest legal losses in US history. Pennsylvanian resident Richard Tornetta sued Tesla in 2018. Tornetta said, 'Investors were misled awarding compensation to Musk.' Watch to know more!

Elon Musk suffers biggest legal loss in US history | Heavy metal drummer costs Tesla CEO $55.8 bn

Tesla, the electric vehicle giant, is undertaking its most extensive recall in the United States, involving nearly all electric vehicles sold in the country.

The recall is prompted by concerns related to warning lights, posing potential safety risks due to difficulties in reading critical information on the instrument panel, as reported by the Wall Street Journal.

This recall, affecting approximately 2.19 million vehicles sold between 2012 and 2024, marks a substantial setback for Tesla, adding to a series of recent challenges for the automaker.

The National Highway Traffic Safety Administration (NHTSA) highlighted the safety issue, stating that warning lights with a smaller font size could impede the readability of critical safety information, consequently elevating the risk of accidents.

This recall represents Tesla's response to rectify the&nbsp;font size concern, aiming to enhance safety measures for vehicle occupants.

<a href="https://www.wionews.com/business-economy/elon-musk-loses-56-bn-pay-package-in-legal-battle-led-by-former-heavy-metal-drummer-686281">Also read |&nbsp;Elon Musk loses $56 bn pay package in legal battle led by former heavy metal drummer</a>

<h2>Scope of recall</h2>

The recall encompasses a significant number of Tesla vehicles sold over a 12-year period, from 2012 to 2024. Approximately 2.19 million electric vehicles fall under the scope of this recall, making it the largest in Tesla's history.

The company plans to address the issue through an over-the-air software fix, demonstrating its commitment to resolving the problem efficiently.

As of now, Tesla has not provided an official statement in response to the recall. However, the automaker has outlined its strategy to address the problem by implementing an over-the-air software fix, said the Wall Street Journal report.

This recall adds to a series of safety challenges faced by Tesla. In December, the company initiated a recall of around two million vehicles to update the Autopilot software and incorporate new safeguards against driver misuse.

Subsequently, numerous complaints were lodged with US&nbsp;auto-safety regulators, particularly regarding excessive warnings triggered by routine tasks, leading to concerns about the effectiveness of the software update.

Also watch |&nbsp;Elon Musk suffers biggest legal loss in US history | Heavy metal drummer costs Tesla CEO $55.8 bn

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<h2>Global impact: Largest recall in China and ongoing competition</h2>

Tesla's challenges extend beyond the US, as the company conducted its most extensive recall in China last month, addressing issues similar to those related to driver-assistance features.

This move came amidst heightened competition in the Chinese auto market, where Tesla competes with local rival BYD. In 2023, Tesla delivered approximately 1.8 million vehicles globally, emphasising the significant impact of these recalls on the company's operations and reputation.

(With inputs from agencies)

Tesla, the electric vehicle giant, is undertaking its most extensive recall in the United States, involving nearly all electric vehicles sold in the country. The recall is prompted by concerns related to warning lights, posing potential safety risks due to difficulties in reading critical information on the instrument panel, as reported by the Wall Street Journal.

Tesla, the electric vehicle giant, is undertaking its most extensive recall in the United States, involving nearly all electric vehicles sold in the country. The recall is prompted by concerns related to warning lights, posing potential safety risks due to difficulties in reading critical information on the instrument panel, as reported by the Wall Street Journal. This recall, affecting approximately 2.19 million vehicles sold between 2012 and 2024, marks a substantial setback for Tesla, adding to a series of recent challenges for the automaker. The National Highway Traffic Safety Administration (NHTSA) highlighted the safety issue, stating that warning lights with a smaller font size could impede the readability of critical safety information, consequently elevating the risk of accidents. This recall represents Tesla's response to rectify the font size concern, aiming to enhance safety measures for vehicle occupants. Also read | Elon Musk loses $56 bn pay package in legal battle led by former heavy metal drummer Scope of recall The recall encompasses a significant number of Tesla vehicles sold over a 12-year period, from 2012 to 2024. Approximately 2.19 million electric vehicles fall under the scope of this recall, making it the largest in Tesla's history. The company plans to address the issue through an over-the-air software fix, demonstrating its commitment to resolving the problem efficiently. As of now, Tesla has not provided an official statement in response to the recall. However, the automaker has outlined its strategy to address the problem by implementing an over-the-air software fix, said the Wall Street Journal report. This recall adds to a series of safety challenges faced by Tesla. In December, the company initiated a recall of around two million vehicles to update the Autopilot software and incorporate new safeguards against driver misuse. Subsequently, numerous complaints were lodged with US auto-safety regulators, particularly regarding excessive warnings triggered by routine tasks, leading to concerns about the effectiveness of the software update. Also watch | Elon Musk suffers biggest legal loss in US history | Heavy metal drummer costs Tesla CEO $55.8 bn Global impact: Largest recall in China and ongoing competition Tesla's challenges extend beyond the US, as the company conducted its most extensive recall in China last month, addressing issues similar to those related to driver-assistance features. This move came amidst heightened competition in the Chinese auto market, where Tesla competes with local rival BYD. In 2023, Tesla delivered approximately 1.8 million vehicles globally, emphasising the significant impact of these recalls on the company's operations and reputation. (With inputs from agencies)

Tesla's largest ever recall: Electric vehicle giant issues recall of nearly all its US vehicles

In a groundbreaking move, a judge in Delaware has cancelled the whopping $56 billion pay package awarded to Tesla's CEO, Elon Musk, back in 2018. The decision, given by Judge Kathaleen McCormick in Delaware Chancery Court, comes in response to a challenge from Tesla shareholder Richard Tornetta, who claimed Musk was overpaid.

The judge ruled that Tornetta was "entitled to rescission" and said the parties now need to "confer" and send a joint letter "identifying all issues, including fees, that need to be addressed to bring this matter to a conclusion at the trial level."

<h2>Stocks plummet</h2>

After the ruling, Tesla's stock, as per AFP, dropped over three per cent in after-hours trading.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/elon-musks-neuralink-installs-wireless-brain-chip-for-first-time-in-human-685001">Elon Musk announces first brain implant in a human patient by Neuralink</a>

Taking to X (formerly Twitter), Musk posted: "Never incorporate your company in the state of Delaware."&nbsp;

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Never incorporate your company in the state of Delaware
— Elon Musk (@elonmusk) <a href="https://twitter.com/elonmusk/status/1752455348106166598?ref_src=twsrc%5Etfw">January 30, 2024</a></blockquote>
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In another post, he recommended&nbsp;Nevada or Texas instead.

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I recommend incorporating in Nevada or Texas if you prefer shareholders to decide matters
— Elon Musk (@elonmusk) <a href="https://twitter.com/elonmusk/status/1752486201083543842?ref_src=twsrc%5Etfw">January 31, 2024</a></blockquote>
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The Tesla CEO also put up a poll, in his usual fashion,&nbsp;asking followers to decide on what could be a major decision. He posted: "Should Tesla change its state of incorporation to Texas, home of its physical headquarters?" In just three hours the poll already has&nbsp;496,506 votes, with&nbsp;89.5 per cent voting 'Yes'.

The shareholders' representative, Greg Varallo, thanked the court for its decision, saying, "We are enormously grateful for the court's thorough and extraordinarily well-reasoned decision in turning back the Tesla board's absurdly outsized pay package for Musk." &nbsp;

He added that the court's work would "redound directly to the benefit of Tesla investors, who will see the dilution from this gargantuan pay package erased".

<h2>'Largest' compensation</h2>

Judge McCormick in her decision highlighted the extraordinary nature of Musk's 2018 pay plan, calling it "the largest potential compensation opportunity ever observed in public markets by multiple orders of magnitude."&nbsp;

The plan, valued at a maximum of $55.8 billion, allowed Musk to get Tesla shares in 12 parts if he met certain goals.

During the 2022 trial in Delaware, Musk defended the pay deal, talking about the tough time when investors "thought we would fail and go bankrupt."

He said, "We were in quite a tough position at the time. We were losing a lot of money," adding that "the probability of survival was extremely low."

Also read |&nbsp;<a href="https://www.wionews.com/world/need-more-time-canada-to-continue-to-exclude-mental-health-patients-from-assisted-death-law-685017">'Need more time': Canada to continue to exclude mental health patients from assisted death law</a>

Judge McCormick criticised the "deeply flawed" process, leading to the approval of Musk's pay plan. She pointed to Musk's "extensive ties" with the people negotiating the deal, like Ira Ehrenpreis and Antonio Gracias, which she said compromised the negotiation.

"Given the collection of people tasked with negotiating on Tesla's behalf, it is unsurprising that there was no meaningful negotiation over any of the terms of the plan," she said.

(With inputs from agencies)

In a groundbreaking move, a judge in Delaware has cancelled the whopping $56 billion pay package awarded to Tesla's CEO, Elon Musk, back in 2018. The decision, given by Judge Kathaleen McCormick in Delaware Chancery Court, comes in response to a challenge from Tesla shareholder Richard Tornetta, who claimed Musk was overpaid.

In a groundbreaking move, a judge in Delaware has cancelled the whopping $56 billion pay package awarded to Tesla's CEO, Elon Musk, back in 2018. The decision, given by Judge Kathaleen McCormick in Delaware Chancery Court, comes in response to a challenge from Tesla shareholder Richard Tornetta, who claimed Musk was overpaid. The judge ruled that Tornetta was "entitled to rescission" and said the parties now need to "confer" and send a joint letter "identifying all issues, including fees, that need to be addressed to bring this matter to a conclusion at the trial level." Stocks plummet After the ruling, Tesla's stock, as per AFP, dropped over three per cent in after-hours trading. Also read | Elon Musk announces first brain implant in a human patient by Neuralink Taking to X (formerly Twitter), Musk posted: "Never incorporate your company in the state of Delaware." Never incorporate your company in the state of Delaware — Elon Musk (@elonmusk) January 30, 2024 × In another post, he recommended Nevada or Texas instead. I recommend incorporating in Nevada or Texas if you prefer shareholders to decide matters — Elon Musk (@elonmusk) January 31, 2024 × The Tesla CEO also put up a poll, in his usual fashion, asking followers to decide on what could be a major decision. He posted: "Should Tesla change its state of incorporation to Texas, home of its physical headquarters?" In just three hours the poll already has 496,506 votes, with 89.5 per cent voting 'Yes'. The shareholders' representative, Greg Varallo, thanked the court for its decision, saying, "We are enormously grateful for the court's thorough and extraordinarily well-reasoned decision in turning back the Tesla board's absurdly outsized pay package for Musk." He added that the court's work would "redound directly to the benefit of Tesla investors, who will see the dilution from this gargantuan pay package erased". 'Largest' compensation Judge McCormick in her decision highlighted the extraordinary nature of Musk's 2018 pay plan, calling it "the largest potential compensation opportunity ever observed in public markets by multiple orders of magnitude." The plan, valued at a maximum of $55.8 billion, allowed Musk to get Tesla shares in 12 parts if he met certain goals. During the 2022 trial in Delaware, Musk defended the pay deal, talking about the tough time when investors "thought we would fail and go bankrupt." He said, "We were in quite a tough position at the time. We were losing a lot of money," adding that "the probability of survival was extremely low." Also read | 'Need more time': Canada to continue to exclude mental health patients from assisted death law Judge McCormick criticised the "deeply flawed" process, leading to the approval of Musk's pay plan. She pointed to Musk's "extensive ties" with the people negotiating the deal, like Ira Ehrenpreis and Antonio Gracias, which she said compromised the negotiation. "Given the collection of people tasked with negotiating on Tesla's behalf, it is unsurprising that there was no meaningful negotiation over any of the terms of the plan," she said. (With inputs from agencies)

After Judge cancels $56bn Tesla pay package, Musk warns 'never incorporate' companies in Delaware

Tesla CEO Elon Musk has suffered a setback after a court in U.S. struck down his record-breaking $56 billion pay package on Tuesday. The judges called his compensation plan "an unfathomable sum" that was unfair to the shareholders. The ruling came five years after lawsuit was filed criticizing the board for wasting corporate assets that they say led to Musk's unjust enrichment.

Gravitas | Elon Musk's massive $56 Billion Tesla pay package voided | judges say, 'It's too much'

A US Court has ruled that Elon Musk's $56 billion pay package at Tesla is "an unfathomable sum" that was unfair to shareholders. This is a big blow to the billionaire CEO's quest to get greater control over the 600 billion dollar company.

Judge voids Tesla's pay plan

Electric vehicle giant BYD is predicting a record-breaking year in 2023, with net profit expected to surge by up to 86%. This projection comes amid fierce competition, including its notable rival, Tesla, which reported a 19.4% growth in net profit.

BYD eyes record 2023 profits

Elon Musk, known for his engaging online presence, recently treated his followers on X (formerly Twitter) to a video showing&nbsp;Tesla's Optimus robot in action. The video features the humanoid robot navigating a room while Musk captioned the post with, "Going for a walk with Optimus."

The video quickly garnered attention, amassing 12.4 million views on the platform. Musk's followers expressed their excitement, with one user noting, "Small step for a robot, giant leap for the robotkind."

Watch the video here:

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Going for a walk with Optimus <a href="https://t.co/6mLJCUp30F">pic.twitter.com/6mLJCUp30F</a>
— Elon Musk (@elonmusk) <a href="https://twitter.com/elonmusk/status/1752516361799258318?ref_src=twsrc%5Etfw">January 31, 2024</a></blockquote>
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<h2>Optimus' role in shaping the future</h2>

Enthusiastic responses flooded in, stressing on&nbsp;the potential impact of Optimus. One commenter shared, "One step at a time Optimus will create a brighter future for us all," while another envisioned, "Eventually, Optimus will walk with the fluency and speed of a human being."

<a href="https://www.wionews.com/india-news/elon-musks-tesla-to-set-up-first-indian-manufacturing-plant-in-gujarat-674748">Also read |&nbsp;Elon Musk's Tesla to set up first Indian manufacturing plant in Gujarat: Report</a>

Individuals appreciative of technological advancements in robotics lauded Musk's updates. A follower remarked, "Love these Optimus updates. Great seeing the improvements."

However, not everyone greeted the development with unbridled optimism. A concerned individual raised the issue of AI risks, stating, "Our quest for AI might ruin the world faster than climate change. Imagine this stuff malfunctioning, it will be horrific, worse than any terror attack."

<a href="https://www.wionews.com/world/bernard-arnault-surpasses-elon-musk-to-become-richest-man-in-the-world-684128">Also read |&nbsp;Bernard Arnault surpasses Elon Musk to become richest man in the world</a>

<h2>The future of AI and robotics</h2>

The showcased robot, Optimus, belongs to Tesla's AI and robotics division and follows an AI-first approach. Using&nbsp;inference hardware, Tesla claims that this is the key to achieving fully self-driving, bipedal robots. The latest iteration, Optimus Gen 2, succeeds its predecessor, Optimus Gen 1, unveiled in March 2022.

In a separate video shared days earlier, Musk displayed Optimus's dexterity by expertly folding a T-shirt. The humanoid smoothly executed the task, mimicking human actions. However, as the video gained traction, Musk clarified that Optimus cannot autonomously perform this action yet.

Also watch |&nbsp;Judge voids Tesla's pay plan

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/judge-voids-teslas-pay-plan-685388/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

Captioned with "Optimus folds a shirt," Musk shared the video to showcase Optimus's evolving capabilities. However, a follow-up post emphasised a crucial point: "Important note: Optimus cannot yet do this autonomously, but certainly will be able to do this fully autonomously and in an arbitrary environment."

(With inputs from agencies)

Elon Musk, known for his engaging online presence, recently treated his followers on X (formerly Twitter) to a video showing Tesla's Optimus robot in action. The video features the humanoid robot navigating a room while Musk captioned the post with, "Going for a walk with Optimus.

Elon Musk, known for his engaging online presence, recently treated his followers on X (formerly Twitter) to a video showing Tesla's Optimus robot in action. The video features the humanoid robot navigating a room while Musk captioned the post with, "Going for a walk with Optimus." The video quickly garnered attention, amassing 12.4 million views on the platform. Musk's followers expressed their excitement, with one user noting, "Small step for a robot, giant leap for the robotkind." Watch the video here: Going for a walk with Optimus pic.twitter.com/6mLJCUp30F — Elon Musk (@elonmusk) January 31, 2024 × Optimus' role in shaping the future Enthusiastic responses flooded in, stressing on the potential impact of Optimus. One commenter shared, "One step at a time Optimus will create a brighter future for us all," while another envisioned, "Eventually, Optimus will walk with the fluency and speed of a human being." Also read | Elon Musk's Tesla to set up first Indian manufacturing plant in Gujarat: Report Individuals appreciative of technological advancements in robotics lauded Musk's updates. A follower remarked, "Love these Optimus updates. Great seeing the improvements." However, not everyone greeted the development with unbridled optimism. A concerned individual raised the issue of AI risks, stating, "Our quest for AI might ruin the world faster than climate change. Imagine this stuff malfunctioning, it will be horrific, worse than any terror attack." Also read | Bernard Arnault surpasses Elon Musk to become richest man in the world The future of AI and robotics The showcased robot, Optimus, belongs to Tesla's AI and robotics division and follows an AI-first approach. Using inference hardware, Tesla claims that this is the key to achieving fully self-driving, bipedal robots. The latest iteration, Optimus Gen 2, succeeds its predecessor, Optimus Gen 1, unveiled in March 2022. In a separate video shared days earlier, Musk displayed Optimus's dexterity by expertly folding a T-shirt. The humanoid smoothly executed the task, mimicking human actions. However, as the video gained traction, Musk clarified that Optimus cannot autonomously perform this action yet. Also watch | Judge voids Tesla's pay plan Captioned with "Optimus folds a shirt," Musk shared the video to showcase Optimus's evolving capabilities. However, a follow-up post emphasised a crucial point: "Important note: Optimus cannot yet do this autonomously, but certainly will be able to do this fully autonomously and in an arbitrary environment." (With inputs from agencies)

Elon Musk 'walks with' Tesla’s Optimus robot, excitement erupts online. WATCH

Tesla is planning to build new electric vehicles. There is a new mobile game that is empowering girls in India. The week gone by was buzzing with a lot of exciting tech developments. And we bring you the most interesting ones in our tech wrap.

North Korea's AI development raises concerns

Tesla, the world's most valuable automaker, hit a major speed bump this week. CEO Elon Musk warned of "notably lower" growth in 2024, despite recent price cuts that hurt margins. Investors reacted harshly, sending the stock down 13% in a week. Meanwhile, short sellers are having a field day, making Tesla the most profitable short trade in the US so far this year.

Musk warns of slower sales growth

Tesla stock&nbsp;tumbled over 12% on Thursday after CEO Elon Musk warned sales growth would slow this year despite price cuts that have already hurt margins at the world's most valuable automaker and fueled investor concerns about soft demand and Chinese competition.

Musk said on Wednesday that growth would be "notably lower" as Tesla focuses on a cheaper, next-generation electric vehicle to be made at its Texas factory in the second half of 2025, which is expected to spark the next boom in deliveries.

But he said ramping up production of the new model would be challenging because it would involve cutting-edge technologies.

Tesla's stock suffered its sharpest intraday percentage loss in more than a year, with $80 billion in market value wiped out on Thursday. That pushed its market capitalization loss for the month to about $210 billion.

"The Tesla headlines have essentially gone from bad to worse," said TD Cowen analysts, noting that the fourth-quarter revenue and profit were also below expectations.

Shares of other EV makers also fell, with Rivian Automotive Inc (RIVN.O), opens new tab, Lucid Group (LCID.O), opens new tab and Fisker (FSR.N), opens new tab down between 4.7% and 8.8%.

The EV industry has been grappling with a slowdown in demand for more than a year and the price cuts by Tesla will likely worsen the pressure on the startups and automakers such as Ford (F.N), opens new tab.

"The problem for Tesla is any significant attempt to boost sales from here on will probably need to be achieved at the cost of further falls in operating margin, due to having to compete with BYD in China, as well as increased competition elsewhere," said Michael Hewson, chief market analyst at CMC Markets.

At least nine brokerages downgraded the stock, while seven raised their ratings. The company, on average, has a "hold" rating with a median price target of $225, 23% higher than the share's closing price of $182.63 on Thursday.

Tesla short sellers have made $3.45 billion so far this year, making it the most profitable U.S. short trade, according to data and analytics firm Ortex.

The company's stock trades at nearly 60 times its 12-month forward earnings estimates, according to LSEG data. That gives it a more premium valuation than the other "Magnificent Seven" stocks – a group that includes Apple, Microsoft and Nvidia.

Some analysts said valuation could become tough to justify if Tesla's sales growth and margin weaken further.

"Tesla is increasingly looking like a traditional auto company," said Bernstein analyst Toni Sacconaghi.

Tesla stock tumbled over 12% on Thursday after CEO Elon Musk warned sales growth would slow this year despite price cuts that have already hurt margins at the world's most valuable automaker and fueled investor concerns about soft demand and Chinese competition.

Tesla stock tumbled over 12% on Thursday after CEO Elon Musk warned sales growth would slow this year despite price cuts that have already hurt margins at the world's most valuable automaker and fueled investor concerns about soft demand and Chinese competition. Musk said on Wednesday that growth would be "notably lower" as Tesla focuses on a cheaper, next-generation electric vehicle to be made at its Texas factory in the second half of 2025, which is expected to spark the next boom in deliveries. But he said ramping up production of the new model would be challenging because it would involve cutting-edge technologies. Tesla's stock suffered its sharpest intraday percentage loss in more than a year, with $80 billion in market value wiped out on Thursday. That pushed its market capitalization loss for the month to about $210 billion. "The Tesla headlines have essentially gone from bad to worse," said TD Cowen analysts, noting that the fourth-quarter revenue and profit were also below expectations. Shares of other EV makers also fell, with Rivian Automotive Inc (RIVN.O), opens new tab, Lucid Group (LCID.O), opens new tab and Fisker (FSR.N), opens new tab down between 4.7% and 8.8%. The EV industry has been grappling with a slowdown in demand for more than a year and the price cuts by Tesla will likely worsen the pressure on the startups and automakers such as Ford (F.N), opens new tab. "The problem for Tesla is any significant attempt to boost sales from here on will probably need to be achieved at the cost of further falls in operating margin, due to having to compete with BYD in China, as well as increased competition elsewhere," said Michael Hewson, chief market analyst at CMC Markets. At least nine brokerages downgraded the stock, while seven raised their ratings. The company, on average, has a "hold" rating with a median price target of $225, 23% higher than the share's closing price of $182.63 on Thursday. Tesla short sellers have made $3.45 billion so far this year, making it the most profitable U.S. short trade, according to data and analytics firm Ortex. The company's stock trades at nearly 60 times its 12-month forward earnings estimates, according to LSEG data. That gives it a more premium valuation than the other "Magnificent Seven" stocks – a group that includes Apple, Microsoft and Nvidia. Some analysts said valuation could become tough to justify if Tesla's sales growth and margin weaken further. "Tesla is increasingly looking like a traditional auto company," said Bernstein analyst Toni Sacconaghi.

Tesla erases $80 billion in valuation after Musk's sales warning

Tesla has told suppliers it wants to start production of a new mass-market electric vehicle. The production could begin by mid-2025 the model is being described as a compact crossover.

Tesla plans to build new mass-market EVs in mid-2025

Tesla is set to revolutionise the electric vehicle (EV) market with its ambitious "Redwood" project, aiming for mass-market penetration by mid-2025, as reported by Reuters in an exclusive report.&nbsp;

Tesla CEO Elon Musk&nbsp;has long been vocal about introducing affordable electric vehicles and self-driving robotaxis.

The realisation of these goals hinges on next-gen, cost-effective electric car platforms that align with Musk's vision of making sustainable transportation accessible to the masses.

<h2>Challenges amidst BYD's triumph</h2>

Despite Musk's initial promise of a $25,000 car in 2020, Tesla faced setbacks, eventually prompting a revival of the plan.

Meanwhile, China's BYD overtook Tesla as the leading EV maker in the last quarter of 2023. With the Model 3 sedan priced at $38,990, Tesla confronts the imperative to narrow the price gap for wider market adoption.

<a href="https://www.wionews.com/trending/revision-needed-elon-musk-throws-weight-behind-indias-bid-for-permanent-seat-at-unsc-682721">Also read |&nbsp;‘Revision needed,’ Elon Musk throws weight behind India’s bid for permanent seat at UNSC</a>

Tesla kicked off the Redwood project by soliciting "requests for quotes" from suppliers last year, projecting a weekly production volume of 10,000 vehicles. Production is slated to commence in June 2025, marking a significant leap toward Tesla's goal of expanding its footprint in the mass-market EV segment.

As Tesla gears up for its quarterly results, investor attention is keenly focused on the timing of next-gen compact vehicles. Musk, addressing concerns about consumer demand in the face of high-interest rates, has assured stakeholders that the Redwood model's design and manufacturing techniques surpass industry benchmarks.

Musk has unveiled plans for two groundbreaking products, with a combined sales potential of 5 million vehicles annually. This includes an affordable robotaxi and an entry-level $25,000 electric car, both sharing a common vehicle architecture. Walter Isaacson's biography of Musk sheds light on Tesla's bold vision for reshaping the EV landscape.

Tesla's history of missing launch targets and pricing challenges is evident, with the Cybertruck experiencing delays and a 50 per cent&nbsp;&nbsp;hike in its initially touted starting price.

To glean insights into cost-effective production, Tesla dissected a Honda Civic, priced at $23,950 in the US, demonstrating a meticulous approach to achieving affordability.

Also watch |&nbsp;Ram Mandir: Light show using Teslas organised in Houston ahead of consecration

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/ram-mandir-light-show-using-teslas-organised-in-houston-ahead-of-consecration-682150/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

Beyond the Redwood project, Tesla's next-gen architecture, internally named "NV9X," is poised to include multiple models.

The company envisions manufacturing more affordable cars in Berlin and is exploring the possibility of a factory in India. With existing facilities in Shanghai and Fremont, California, Tesla strategically positions itself for the global shift towards accessible electric mobility.

(With inputs from agencies)

Tesla is set to revolutionise the electric vehicle (EV) market with its ambitious "Redwood" project, aiming for mass-market penetration by mid-2025, as reported by Reuters in an exclusive report.

Tesla is set to revolutionise the electric vehicle (EV) market with its ambitious "Redwood" project, aiming for mass-market penetration by mid-2025, as reported by Reuters in an exclusive report. Tesla CEO Elon Musk has long been vocal about introducing affordable electric vehicles and self-driving robotaxis. The realisation of these goals hinges on next-gen, cost-effective electric car platforms that align with Musk's vision of making sustainable transportation accessible to the masses. Challenges amidst BYD's triumph Despite Musk's initial promise of a $25,000 car in 2020, Tesla faced setbacks, eventually prompting a revival of the plan. Meanwhile, China's BYD overtook Tesla as the leading EV maker in the last quarter of 2023. With the Model 3 sedan priced at $38,990, Tesla confronts the imperative to narrow the price gap for wider market adoption. Also read | ‘Revision needed,’ Elon Musk throws weight behind India’s bid for permanent seat at UNSC Tesla kicked off the Redwood project by soliciting "requests for quotes" from suppliers last year, projecting a weekly production volume of 10,000 vehicles. Production is slated to commence in June 2025, marking a significant leap toward Tesla's goal of expanding its footprint in the mass-market EV segment. As Tesla gears up for its quarterly results, investor attention is keenly focused on the timing of next-gen compact vehicles. Musk, addressing concerns about consumer demand in the face of high-interest rates, has assured stakeholders that the Redwood model's design and manufacturing techniques surpass industry benchmarks. Musk has unveiled plans for two groundbreaking products, with a combined sales potential of 5 million vehicles annually. This includes an affordable robotaxi and an entry-level $25,000 electric car, both sharing a common vehicle architecture. Walter Isaacson's biography of Musk sheds light on Tesla's bold vision for reshaping the EV landscape. Tesla's history of missing launch targets and pricing challenges is evident, with the Cybertruck experiencing delays and a 50 per cent hike in its initially touted starting price. To glean insights into cost-effective production, Tesla dissected a Honda Civic, priced at $23,950 in the US, demonstrating a meticulous approach to achieving affordability. Also watch | Ram Mandir: Light show using Teslas organised in Houston ahead of consecration Beyond the Redwood project, Tesla's next-gen architecture, internally named "NV9X," is poised to include multiple models. The company envisions manufacturing more affordable cars in Berlin and is exploring the possibility of a factory in India. With existing facilities in Shanghai and Fremont, California, Tesla strategically positions itself for the global shift towards accessible electric mobility. (With inputs from agencies)

Tesla to start production of new electric vehicles by mid-2025

Saudi Arabia's bold endeavour to transform into an electric vehicle (EV) hub, fuelled by billions in investments, faces formidable challenges. Despite significant financial commitments, hurdles such as infrastructure gaps, talent shortages, and the lack of a robust local industry persist. Reuters reports that the kingdom's ambitious goal to produce 500,000 EVs annually by 2030 encounters scepticism and competition from established global players.

Investments and partnerships

Saudi Crown Prince Mohammed bin Salman's vision to diversify the economy led to a $10 billion investment in Lucid Motors, the creation of the domestic brand Ceer, and the establishment of an EV metals plant. The Public Investment Fund (PIF) aims for substantial EV production, targeting 500,000 units by 2030. However, the kingdom's sole auto factory, operational since September 2023, has only assembled around 800 vehicles.

Historical challenges &amp; current initiatives

Saudi Arabia's past attempts to attract automotive manufacturing faced setbacks. Toyota declined a deal in 2019, citing high labour costs, a lack of local suppliers, and a small market. The current push encounters similar obstacles, with analysts highlighting the need for local industry to supply auto components.

Ceer, a joint venture between PIF and Foxconn, plans to launch a car by 2025, but scepticism persists regarding achieving high production numbers. Hyundai's joint venture with PIF, alongside Lucid and Ceer, aims to create an automotive cluster in Jeddah. However, analysts doubt these efforts will sufficiently attract original equipment manufacturers to localise production.

China's dominance in the EV supply chain and production poses a significant challenge. BYD, surpassing Tesla as the world's largest EV maker, exemplifies China's prowess. The Inflation Reduction Act in the United States could channel significant investment into EV manufacturing, intensifying global competition.

Challenges in localisation &amp; sustainability

Attracting producers of auto components remains a major hurdle due to the lack of a significant local industry. Ceer's plan to source components, including batteries, from Germany's BMW raises questions about achieving true localisation. Lucid's strategy to keep its supply chain in the U.S. might limit the expansion of local manufacturing.

Saudi Arabia, keen to enhance its sustainability credentials, showcased Lucid cars prominently at state conferences. The government committed to purchasing up to 100,000 Lucid vehicles over the next decade. Lucid's tie-up with the PIF is seen as a strategic relationship, emphasising the broader goal of developing the automotive ecosystem in the kingdom.

Raw material challenges

To become a centre for EV battery manufacturing, Saudi Arabia needs raw materials, notably lithium. Despite ambitions to produce lithium locally, reserves are yet to be announced. Efforts to extract lithium from saltwater are in the pilot stage, prompting the need for external sourcing.

Despite the hurdles, international industry executives acknowledge Saudi Arabia's financial strength, backed by the PIF. While money can solve challenges, the scale of investment required may surpass initial expectations.

Bottomline

Ambitious investments, partnerships, and sustainability goals mark Saudi Arabia's pursuit of becoming an EV manufacturing hub. However, overcoming historical challenges, intense global competition, and the need for a robust local industry present formidable obstacles. The kingdom's success hinges on effectively navigating these challenges by leveraging its financial prowess.

Saudi Arabia's bold endeavour to transform into an electric vehicle (EV) hub, fuelled by billions in investments, faces formidable challenges. Despite significant financial commitments, hurdles such as infrastructure gaps, talent shortages, and the lack of a robust local industry persist.

Saudi Arabia's bold endeavour to transform into an electric vehicle (EV) hub, fuelled by billions in investments, faces formidable challenges. Despite significant financial commitments, hurdles such as infrastructure gaps, talent shortages, and the lack of a robust local industry persist. Reuters reports that the kingdom's ambitious goal to produce 500,000 EVs annually by 2030 encounters scepticism and competition from established global players. Investments and partnerships Saudi Crown Prince Mohammed bin Salman's vision to diversify the economy led to a $10 billion investment in Lucid Motors, the creation of the domestic brand Ceer, and the establishment of an EV metals plant. The Public Investment Fund (PIF) aims for substantial EV production, targeting 500,000 units by 2030. However, the kingdom's sole auto factory, operational since September 2023, has only assembled around 800 vehicles. Historical challenges & current initiatives Saudi Arabia's past attempts to attract automotive manufacturing faced setbacks. Toyota declined a deal in 2019, citing high labour costs, a lack of local suppliers, and a small market. The current push encounters similar obstacles, with analysts highlighting the need for local industry to supply auto components. Ceer, a joint venture between PIF and Foxconn, plans to launch a car by 2025, but scepticism persists regarding achieving high production numbers. Hyundai's joint venture with PIF, alongside Lucid and Ceer, aims to create an automotive cluster in Jeddah. However, analysts doubt these efforts will sufficiently attract original equipment manufacturers to localise production. China's dominance in the EV supply chain and production poses a significant challenge. BYD, surpassing Tesla as the world's largest EV maker, exemplifies China's prowess. The Inflation Reduction Act in the United States could channel significant investment into EV manufacturing, intensifying global competition. Challenges in localisation & sustainability Attracting producers of auto components remains a major hurdle due to the lack of a significant local industry. Ceer's plan to source components, including batteries, from Germany's BMW raises questions about achieving true localisation. Lucid's strategy to keep its supply chain in the U.S. might limit the expansion of local manufacturing. Saudi Arabia, keen to enhance its sustainability credentials, showcased Lucid cars prominently at state conferences. The government committed to purchasing up to 100,000 Lucid vehicles over the next decade. Lucid's tie-up with the PIF is seen as a strategic relationship, emphasising the broader goal of developing the automotive ecosystem in the kingdom. Raw material challenges To become a centre for EV battery manufacturing, Saudi Arabia needs raw materials, notably lithium. Despite ambitions to produce lithium locally, reserves are yet to be announced. Efforts to extract lithium from saltwater are in the pilot stage, prompting the need for external sourcing. Despite the hurdles, international industry executives acknowledge Saudi Arabia's financial strength, backed by the PIF. While money can solve challenges, the scale of investment required may surpass initial expectations. Bottomline Ambitious investments, partnerships, and sustainability goals mark Saudi Arabia's pursuit of becoming an EV manufacturing hub. However, overcoming historical challenges, intense global competition, and the need for a robust local industry present formidable obstacles. The kingdom's success hinges on effectively navigating these challenges by leveraging its financial prowess.

Saudi Arabia's billion-dollar gamble: Can it transform into an Electric Vehicle powerhouse?

Ayodhya is gearing up for the consecration ceremony of Ram Mandir on January 22. The world is gearing up for the historic consecration ceremony. Meanwhile Indian diaspora in Houston organised Tesla light show ahead of the Ram mandir inauguration. Watch to know more!

Ram Mandir: Light show using Teslas organised in Houston ahead of consecration

In response to uncertainties surrounding electric-vehicle (EV) demand, Tesla has implemented significant price reductions for its Model Y cars across Europe, including Germany.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

This move comes on the heels of Tesla's recent price cuts in China. <o:p></o:p>

The reductions aim to enhance Tesla's competitiveness in the European market amid shifting dynamics.<o:p></o:p>

The adjustments, coupled with revised price targets from UBS and Wells Fargo, led to a nearly 3 per cent decline in Tesla's shares, contributing to a challenging start for the stock in 2024.<o:p></o:p>

The price adjustments in Germany specifically target the Model Y Long Range and Model Y Performance, with reductions of 5,000 euros, bringing their prices to 49,990 euros and 55,990 euros, respectively. <o:p></o:p>

This reflects discounts of 9 per cent and 8.1 per cent compared to their previous prices. <o:p></o:p>

Additionally, Tesla cut the prices of Model Y rear-wheel drive models by 4.2 per cent. <o:p></o:p>

Similar adjustments were made in other European countries, including France, Denmark, the Netherlands, and Norway, with price reductions ranging from 4.2 per cent to 10.8 per cent. <o:p></o:p>

The rationale behind these moves was not explicitly provided, but it aligns with the broader trend of slowing EV demand, influenced by reduced state subsidies and higher borrowing costs.<o:p></o:p>

Tesla's struggle in the German EV market during 2023 is noteworthy, as it faced a 9 per cent decline in new registrations, totalling 63,685 vehicles. <o:p></o:p>

This contrasted with an 11.4 per cent increase in EV sales in Germany overall. <o:p></o:p>

Volkswagen surpassed Tesla as the largest seller of EVs in Germany during this period, claiming a 13.5 per cent market share compared to Tesla's 12.1 per cent. <o:p></o:p>

The dynamics in the German market could have influenced Tesla's decision to adjust its pricing strategy to regain market share.<o:p></o:p>

Wells Fargo and UBS responded to Tesla's market challenges by reducing their price targets on Tesla's stock by more than 8 per cent and nearly 11 per cent, respectively. <o:p></o:p>

These adjustments reflect the stock's decline of about 11.5 per cent in January alone. <o:p></o:p>

The EV manufacturer's recent decision to halt most car production at its Berlin factory from January 29 to February 11 due to component shortages also contributed to the stock's challenges. <o:p></o:p>

Tesla attributed the component issues to changes in transport routes following Red Sea vessel attacks.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

In response to uncertainties surrounding electric-vehicle (EV) demand, Tesla has implemented significant price reductions for its Model Y cars across Europe, including Germany.

In response to uncertainties surrounding electric-vehicle (EV) demand, Tesla has implemented significant price reductions for its Model Y cars across Europe, including Germany. This is based on a Reuters report. This move comes on the heels of Tesla's recent price cuts in China. The reductions aim to enhance Tesla's competitiveness in the European market amid shifting dynamics. The adjustments, coupled with revised price targets from UBS and Wells Fargo, led to a nearly 3 per cent decline in Tesla's shares, contributing to a challenging start for the stock in 2024. The price adjustments in Germany specifically target the Model Y Long Range and Model Y Performance, with reductions of 5,000 euros, bringing their prices to 49,990 euros and 55,990 euros, respectively. This reflects discounts of 9 per cent and 8.1 per cent compared to their previous prices. Additionally, Tesla cut the prices of Model Y rear-wheel drive models by 4.2 per cent. Similar adjustments were made in other European countries, including France, Denmark, the Netherlands, and Norway, with price reductions ranging from 4.2 per cent to 10.8 per cent. The rationale behind these moves was not explicitly provided, but it aligns with the broader trend of slowing EV demand, influenced by reduced state subsidies and higher borrowing costs. Tesla's struggle in the German EV market during 2023 is noteworthy, as it faced a 9 per cent decline in new registrations, totalling 63,685 vehicles. This contrasted with an 11.4 per cent increase in EV sales in Germany overall. Volkswagen surpassed Tesla as the largest seller of EVs in Germany during this period, claiming a 13.5 per cent market share compared to Tesla's 12.1 per cent. The dynamics in the German market could have influenced Tesla's decision to adjust its pricing strategy to regain market share. Wells Fargo and UBS responded to Tesla's market challenges by reducing their price targets on Tesla's stock by more than 8 per cent and nearly 11 per cent, respectively. These adjustments reflect the stock's decline of about 11.5 per cent in January alone. The EV manufacturer's recent decision to halt most car production at its Berlin factory from January 29 to February 11 due to component shortages also contributed to the stock's challenges. Tesla attributed the component issues to changes in transport routes following Red Sea vessel attacks. (With inputs from Reuters)

Tesla Reacts to EV Market Dynamics: Slashes model Y prices in Europe following China adjustments

Billionaire Elon Musk is seeking a massive stock award from tesla's board. His demand comes over a year after he sold a large chunk of his shares to buy twitter. Musk wrote on 'x' that unless he has roughly 25% votes at tesla, he’d prefer to build artificial intelligence and robotics products elsewhere.

Elon Musk seeks roughly 25% voting control in Tesla

A Tesla Cybertruck owner has spotted a major flaw in the vehicle after driving it for some miles, which it demonstrated in a video shared on social media.

Tesla Cybertruck owners spot major flaw in EV after driving

Tesla, the US electric vehicle giant, has announced a temporary halt to most car production at its Berlin factory from January 29 to February 11. <o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

The company attributes the suspension to a shortage of components caused by shifts in transport routes due to ongoing attacks on vessels in the Red Sea. <o:p></o:p>

This marks the first disclosure of a production interruption directly linked to the Red Sea disruption, a consequence of Iranian-backed Houthi militants targeting vessels in solidarity with Hamas in Gaza.<o:p></o:p>

Several companies, including Geely and Ikea, have already warned of delivery delays.<o:p></o:p>

"The armed conflicts in the Red Sea and the associated shifts in transport routes between Europe and Asia via the Cape of Good Hope are also having an impact on production in Gruenheide," Reuters quoted Tesla saying in a statement.<o:p></o:p>

The extended transportation times are leading to disruptions in supply chains, affecting Tesla's ability to maintain its regular production schedule.<o:p></o:p>

Auto industry analysts predict that other automakers may face similar challenges due to the Red Sea conflict. <o:p></o:p>

Reuters cited Sam Fiorani, the Vice President at AutoForecast Solutions, who emphasised the vulnerability in relying heavily on key components from Asia, especially China, where Tesla sources its battery components. <o:p></o:p>

Fiorani believes that Tesla might be the first, but not the only, automaker facing production issues due to the disrupted supply chain.<o:p></o:p>

The production stop comes at a challenging time for Tesla, as the company is already engaged in a labour dispute with Swedish trade union IF Metall over a collective bargaining agreement. <o:p></o:p>

This has triggered sympathy strikes across the Nordic region. The disruption caused by the Red Sea crisis adds further pressure on Tesla, impacting its production schedule and raising concerns about its ability to meet demand.<o:p></o:p>

While Tesla has not commented on the specific components affected, it stated that full production would resume on February 12. The company is yet to provide details on how it plans to address the missing components and restore production to normal levels. <o:p></o:p>

The Red Sea crisis, instigated by Houthi attacks, has compelled major shipping companies like Maersk and Hapag-Lloyd to reroute their vessels away from the Suez Canal, which accounts for about 12 per cent of global maritime traffic. <o:p></o:p>

This rerouting, via the longer and more expensive journey around South Africa's Cape of Good Hope, adds approximately 10 days to the journey from Asia to Northern Europe, incurring an extra $1 million in fuel costs.<o:p></o:p>

Maersk expects this rerouting to continue for the foreseeable future. <o:p></o:p>

Amid economic uncertainties, European carmakers and analysts have been cautioning that sales in the electric vehicle sector are not growing as anticipated, prompting some companies to reduce prices to stimulate demand.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Tesla, the US electric vehicle giant, has announced a temporary halt to most car production at its Berlin factory from January 29 to February 11. This is based on a Reuters report.

Tesla, the US electric vehicle giant, has announced a temporary halt to most car production at its Berlin factory from January 29 to February 11. This is based on a Reuters report. The company attributes the suspension to a shortage of components caused by shifts in transport routes due to ongoing attacks on vessels in the Red Sea. This marks the first disclosure of a production interruption directly linked to the Red Sea disruption, a consequence of Iranian-backed Houthi militants targeting vessels in solidarity with Hamas in Gaza. Several companies, including Geely and Ikea, have already warned of delivery delays. "The armed conflicts in the Red Sea and the associated shifts in transport routes between Europe and Asia via the Cape of Good Hope are also having an impact on production in Gruenheide," Reuters quoted Tesla saying in a statement. The extended transportation times are leading to disruptions in supply chains, affecting Tesla's ability to maintain its regular production schedule. Auto industry analysts predict that other automakers may face similar challenges due to the Red Sea conflict. Reuters cited Sam Fiorani, the Vice President at AutoForecast Solutions, who emphasised the vulnerability in relying heavily on key components from Asia, especially China, where Tesla sources its battery components. Fiorani believes that Tesla might be the first, but not the only, automaker facing production issues due to the disrupted supply chain. The production stop comes at a challenging time for Tesla, as the company is already engaged in a labour dispute with Swedish trade union IF Metall over a collective bargaining agreement. This has triggered sympathy strikes across the Nordic region. The disruption caused by the Red Sea crisis adds further pressure on Tesla, impacting its production schedule and raising concerns about its ability to meet demand. While Tesla has not commented on the specific components affected, it stated that full production would resume on February 12. The company is yet to provide details on how it plans to address the missing components and restore production to normal levels. The Red Sea crisis, instigated by Houthi attacks, has compelled major shipping companies like Maersk and Hapag-Lloyd to reroute their vessels away from the Suez Canal, which accounts for about 12 per cent of global maritime traffic. This rerouting, via the longer and more expensive journey around South Africa's Cape of Good Hope, adds approximately 10 days to the journey from Asia to Northern Europe, incurring an extra $1 million in fuel costs. Maersk expects this rerouting to continue for the foreseeable future. Amid economic uncertainties, European carmakers and analysts have been cautioning that sales in the electric vehicle sector are not growing as anticipated, prompting some companies to reduce prices to stimulate demand. (With inputs from Reuters)

Tesla Berlin halts production amid Red Sea disruption crisis. Here are the details

Tesla has lowered the cost of its cars manufactured in Shanghai by as much as 6% in an effort to hold onto its top spot in the premium sector of the biggest electric vehicle (EV) market in the world.

Tesla decides to cut model prices in China

Australia's internet watchdog has said that Elon Musk's x has sacked over 1,000 people, who were responsible for stopping abusive content online.

Report: 'X' sacks over 1,000 responsible for internet safety

SpaceX and Tesla are concerned over Elon Musk's behaviour regarding his drug usage. According to various reports, senior officials at Musk's companies fear that this type of behaviour could harm his company and future business.

SpaceX and Tesla officials upset over Elon Musk's alleged drug use

Elon Musk has responded to media reports claiming that the billionaire had been observed taking drugs by people around him and that it had affected his work. Musk took to his social media platform X (formerly known as Twitter) and said "not even trace quantities" of drugs were found in his system.&nbsp;

The Tesla founder was&nbsp;responding to an excerpt from the Wall Street Journal report where the publication questioned Musk's behaviour after smoking marijuana at Joe Rogan's popular podcast show in 2018. The report added that Musk's conduct had resulted in employees at&nbsp;SpaceX being randomly tested for drugs.&nbsp;

"After that one puff with Rogan, I agreed, at NASA’s request, to do 3 years of random drug testing. Not even trace quantities were found of any drugs or alcohol," said Musk.

"@WSJ is not fit to line a parrot cage for bird sh*t," he added.&nbsp;

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<blockquote class="twitter-tweet">
After that one puff with Rogan, I agreed, at NASA’s request, to do 3 years of random drug testing. 
 
Not even trace quantities were found of any drugs or alcohol. <a href="https://twitter.com/WSJ?ref_src=twsrc%5Etfw">@WSJ</a> is not fit to line a parrot cage for bird 💩
— Elon Musk (@elonmusk) <a href="https://twitter.com/elonmusk/status/1743966490917794153?ref_src=twsrc%5Etfw">January 7, 2024</a></blockquote>
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Musk's attorney Alex Spiro,&nbsp;confirmed to WSJ that the billionaire had never failed a drug test, adding that the newspaper's report included 'false facts', without disclosing what they were.

The report claimed that Tesla board members have informally spoken to Musk about his drug use for years and even approached his brother Kimbal Musk to intervene.&nbsp;

<h2>WSJ's previous report&nbsp;&nbsp;</h2>

This is not the first instance the WSJ has published a piece on Musk's alleged drug habit. Last year in June, the publication claimed that Musk&nbsp;takes small doses of the psychedelic drug ketamine to treat depression and full doses while attending parties.&nbsp;

"The account of Musk’s drug use comes from people who witnessed him use ketamine and others with direct knowledge of his use," noted the newspaper, adding that executives at venture capital firm Founders Fund, known for its investments in SpaceX and Facebook, have thrown parties that include psychedelics.

<a href="https://www.wionews.com/videos/elon-musk-takes-ketamine-for-depression-and-parties-trending-on-wion-610013">Watch |&nbsp;Elon Musk takes Ketamine for depression and parties?</a>

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<h2>Musk and his 420 connection</h2>

Recreational marijuana is already legal in several US states and X&nbsp;owner Musk has been one of the most 420-friendly (420 is the specific time in the afternoon of April 20 when pot smokers annually celebrate the drug) entrepreneurs in the business.

Musk in various interviews has batted for the use of psychedelics to open human consciousness.&nbsp;He appeared on the "Joe Rogan Podcast" and quickly became a 'meme template' after smoking a joint on the show.&nbsp;

<a href="https://www.wionews.com/world/elon-musk-testifies-in-second-day-of-tesla-tweet-trial-says-buying-share-at-420-was-no-joke-555339">Also read |&nbsp;Elon Musk testifies in second day of Tesla tweet trial; says buying share at $420 was no joke</a>

In 2018, Musk said he was mulling a buyout of Tesla for $420 per share. However, during a court testimony later, Musk clarified that his price offer wasn't meant to be a marijuana reference.&nbsp;&nbsp;

“420 was not chosen because of a joke; it was chosen because there was a 20 per cent premium over the stock price," said Musk, adding, "There is some, I think, karma around 420. I should question whether that is good or bad karma at this point."

(With inputs from agencies)

Elon Musk has responded to media reports claiming that the billionaire had been observed taking drugs by people around him and that it had affected his work. Musk took to his social media platform X (formerly known as Twitter) and said "not even trace quantities" of drugs were found in his system.

Elon Musk has responded to media reports claiming that the billionaire had been observed taking drugs by people around him and that it had affected his work. Musk took to his social media platform X (formerly known as Twitter) and said "not even trace quantities" of drugs were found in his system. The Tesla founder was responding to an excerpt from the Wall Street Journal report where the publication questioned Musk's behaviour after smoking marijuana at Joe Rogan's popular podcast show in 2018. The report added that Musk's conduct had resulted in employees at SpaceX being randomly tested for drugs. "After that one puff with Rogan, I agreed, at NASA’s request, to do 3 years of random drug testing. Not even trace quantities were found of any drugs or alcohol," said Musk. "@WSJ is not fit to line a parrot cage for bird sh*t," he added. After that one puff with Rogan, I agreed, at NASA’s request, to do 3 years of random drug testing. Not even trace quantities were found of any drugs or alcohol. @WSJ is not fit to line a parrot cage for bird 💩 — Elon Musk (@elonmusk) January 7, 2024 × Musk's attorney Alex Spiro, confirmed to WSJ that the billionaire had never failed a drug test, adding that the newspaper's report included 'false facts', without disclosing what they were. The report claimed that Tesla board members have informally spoken to Musk about his drug use for years and even approached his brother Kimbal Musk to intervene. WSJ's previous report This is not the first instance the WSJ has published a piece on Musk's alleged drug habit. Last year in June, the publication claimed that Musk takes small doses of the psychedelic drug ketamine to treat depression and full doses while attending parties. "The account of Musk’s drug use comes from people who witnessed him use ketamine and others with direct knowledge of his use," noted the newspaper, adding that executives at venture capital firm Founders Fund, known for its investments in SpaceX and Facebook, have thrown parties that include psychedelics. Watch | Elon Musk takes Ketamine for depression and parties? × Musk and his 420 connection Recreational marijuana is already legal in several US states and X owner Musk has been one of the most 420-friendly (420 is the specific time in the afternoon of April 20 when pot smokers annually celebrate the drug) entrepreneurs in the business. Musk in various interviews has batted for the use of psychedelics to open human consciousness. He appeared on the "Joe Rogan Podcast" and quickly became a 'meme template' after smoking a joint on the show. Also read | Elon Musk testifies in second day of Tesla tweet trial; says buying share at $420 was no joke In 2018, Musk said he was mulling a buyout of Tesla for $420 per share. However, during a court testimony later, Musk clarified that his price offer wasn't meant to be a marijuana reference. “420 was not chosen because of a joke; it was chosen because there was a 20 per cent premium over the stock price," said Musk, adding, "There is some, I think, karma around 420. I should question whether that is good or bad karma at this point." (With inputs from agencies)

'That one puff with Rogan': Elon Musk responds to drug use claims amid backlash

In the ever-accelerating race for EV dominance, a new victor has emerged. China's BYD co. Has claimed the pole position as the world's most popular EV maker, outpacing the renowned Tesla. However, the electrifying battle for supremacy is far from over, with several twists and turns still ahead. Can tesla regain its title?

BYD expected to sell more EVs than Tesla

BYD is now world's most popular EV. BYD sold more units than Tesla in December quarter. Watch the video to get more insights!

BYD now holds crown as most popular EV maker

Elon Musk-led Tesla is recalling more than 1.6 million electric vehicles in China, the country's market regulator said on Friday (January 5). The recall has been initiated just days after the US electric carmaker was surpassed in sales by its Chinese competitor BYD.

The reacall has been sparked by problems with Tesla's assisted driving functions and door-locking systems. The issue will be addressed by over-the-air (OTA) updates to the car software.

"Starting from now, a total of 1,610,105 imported Model S, Model X, and Model 3, and domestic Model 3 and Model Y electric vehicles with production dates between August 26, 2014 and December 20, 2023 will be recalled," the State Administration for Market Regulation (SAMR) said in an online statement.

"For vehicles within the scope of this recall, when the automatic assisted steering function is turned on, the driver may misuse the level two combined assisted driving function, increasing the risk of vehicle collision and posing a safety hazard," the SAMR said further.

China is an important market for Tesla which sells as well as manufactures large number of its cars. Tesla's manufacturing plant is located in Shanghai.

Watch | Mega-Cap giants Meta, Nvidia, &amp; Tesla smash records in 2023

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The latest recall also includes 7,538 imported Tesla models made between October 26, 2022 and November 16, 2023 after it was found that there was "a problem with the door unlock logic controls".

Also Read | <a href="https://www.wionews.com/india-news/elon-musks-tesla-to-set-up-first-indian-manufacturing-plant-in-gujarat-674748">Elon Musk's Tesla to set up first Indian manufacturing plant in Gujarat: Report</a>

This is not Tesla's first recall in China. In the year 2022, it recalled more than 100,000 cars because of a defect in rear motor inverter.

Also Read | <a href="http://qad.wionews.com/india-news/india-tesla-car-spotted-in-bengaluru-traffic-creates-buzz-on-social-media-675590">India: Tesla car spotted in Bengaluru traffic, creates buzz on social media</a>

Last month, Tesla also recalled more than two million cars in the US and Canada over risks found associated with its autopilot feature.

China, the biggest air polluter&nbsp;in the world, has been supporting electric car sales, including hybrid&nbsp;vehicles. The government has offered many subsidies to manufacturers with an aim to have majority of cars in the country running on clean energy by the year 2035

(With inputs from agencies)

 
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Elon Musk-led Tesla is recalling more than 1.6 million electric vehicles in China, the country's market regulator said on Friday (January 5). The recall has been initiated just days after the US electric carmaker was surpassed in sales by its Chinese competitor BYD.

Elon Musk-led Tesla is recalling more than 1.6 million electric vehicles in China, the country's market regulator said on Friday (January 5). The recall has been initiated just days after the US electric carmaker was surpassed in sales by its Chinese competitor BYD. The reacall has been sparked by problems with Tesla's assisted driving functions and door-locking systems. The issue will be addressed by over-the-air (OTA) updates to the car software. "Starting from now, a total of 1,610,105 imported Model S, Model X, and Model 3, and domestic Model 3 and Model Y electric vehicles with production dates between August 26, 2014 and December 20, 2023 will be recalled," the State Administration for Market Regulation (SAMR) said in an online statement. "For vehicles within the scope of this recall, when the automatic assisted steering function is turned on, the driver may misuse the level two combined assisted driving function, increasing the risk of vehicle collision and posing a safety hazard," the SAMR said further. China is an important market for Tesla which sells as well as manufactures large number of its cars. Tesla's manufacturing plant is located in Shanghai. Watch | Mega-Cap giants Meta, Nvidia, & Tesla smash records in 2023 × The latest recall also includes 7,538 imported Tesla models made between October 26, 2022 and November 16, 2023 after it was found that there was "a problem with the door unlock logic controls". Also Read | Elon Musk's Tesla to set up first Indian manufacturing plant in Gujarat: Report This is not Tesla's first recall in China. In the year 2022, it recalled more than 100,000 cars because of a defect in rear motor inverter. Also Read | India: Tesla car spotted in Bengaluru traffic, creates buzz on social media Last month, Tesla also recalled more than two million cars in the US and Canada over risks found associated with its autopilot feature. China, the biggest air polluter in the world, has been supporting electric car sales, including hybrid vehicles. The government has offered many subsidies to manufacturers with an aim to have majority of cars in the country running on clean energy by the year 2035 (With inputs from agencies)

Another Tesla recall: EV maker to recall million plus cars in China over software problem

A US Labour agency has accused the company of unlawfully firing eight employees after they circulated a letter calling CEO Elon Musk a "Distraction and embarrassment." The National Labour Relations Board claimed SpaceX violated the workers' rights. Spacex is accused of interrogating employees about the letter and threatening workers with termination if they engaged in similar activities.

SpaceX accused of unlawfully firing eight employees

The race to ace the the electric market market has heated up. BYD has edged past Tesla in the fourth quarter - but only narrowly. Tesla delivered a recorded number of electric vehicles in the October December quarter. It delivered nearly 495,000 vehicles, but fell short of BYD's total of 526,409 cars. The car sales indicate that buyers are choosing cheaper models amid high interest rates.

BYD pips Tesla in quarterly sales

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