𝗠𝘂𝘀𝗸 𝗵𝗮𝘀 𝗽𝗿𝗼𝘃𝗲𝗻 𝗮 𝘃𝗶𝘀𝗶𝗼𝗻𝗮𝗿𝘆, 𝗯𝘂𝘁 𝗮𝗹𝘀𝗼 𝗮𝗻 𝗶𝗻𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝘁𝗼 𝗰𝗼𝗺𝗽𝗲𝘁𝗲.
A✌️472-word✌️3-minute✌️read
He’s at it again.
Making absurd statements while sweeping his failures under the rug.
The news broke this week that Musk intends to merge SpaceX with xAI. There were also rumblings that Tesla would be melded into the new - potentially soon to be public - entity.
Take that to the bank. Tesla will at some point be absorbed into the combined company.
Why?
Because it’s a strategy Musk has successfully deployed before. Except it wasn’t for business reasons. It was to sweep a failure under the rug.
Remember Solar City?
It was once the largest provider of residential solar. Of course, that was in a time before solar took off and there was serious competition. Once the market got competitive, Solar City started circling the toilet.
Rather than watch the company go bankrupt, Musk had Tesla acquire it. Problem solved. Company forgotten. Today, Tesla is virtually nonexistent in the solar market.
Now it’s Tesla’s turn to circle the toilet. The company has lost its cash cow tax credits and the competition has heated up.
In response, Musk announced that the company will cease making its Model S and X, leaving it with its somewhat tired Model Y and Model 3.
And oh yes, I almost forgot, the albatross known as the Cybertruck.
Not much of a car company, but it will get worse. At some point Tesla will stop making cars altogether and focus on robotaxis and batteries.
The residential storage business is actually booming. The problem though is that residential storage will eventually become a commodity-like market. That doesn’t bode well for Elon.
Ipso facto: The trainwreck that Tesla will become will be merged and forgotten.
Not to worry though.
Elon “Pied Piper” Musk has promised to launch data centers into space in three years. That should keep stockholders placated.
The only problem is that there isn’t a snowball’s chance in hell that data centers will be in space in three years.
The folks at Google are looking attempting to solve the same challenge.
Their target: maybe a decade, if all goes well.
Think more like 15-20 years.
Reality be dammed.
Musk had made a living out of making wild claims. People admire him for shooting for the stars. That is admirable, when there’s a minuscule chance of reaching them. In Musk’s case, it’s just part of a pattern of empty promises and an inability to succeed in competitive markets.
Earth to Elon: look behind you. Others including the Chinese want to control space and humanoid robots. You’re behind in AI, and your strategy for robotaxis may never see the light of day.
But I’ll keep my eye open for that first data center space launch. If I live that long.
#tesla #elon #musk #elonmusk #evs