Summary
In a whirlwind of speculation, Elon Musk has swiftly dismissed claims that his fledgling startup, xAI, is negotiating a financial partnership with Tesla regarding the sharing of revenue from its ambitious Full Self-Driving (FSD) technology. This rebuttal emerged after The Wall Street Journal hinted at a potential licensing deal where Tesla would pay xAI for using its AI models, possibly funneling over half of the revenue from FSD back to the startup. Such a narrative seemed to paint the picture of a fusion between innovation and profit, but Musk, ever the contrarian, took to his platform X to set the record straight, stating that any mention of revenue sharing is “not accurate.” He elaborated that while discussions with xAI engineers have enriched Tesla’s pursuit of unsupervised FSD, there’s no desire or necessity to license anything from the new venture. As Tesla navigates the complexities of autonomous driving and robotics, the bond with xAI remains vital—though formal commitments have not been locked in. xAI has already recruited several engineers from Tesla, suggesting a deep synergy between the two entities. Musk had even redirected a stash of Nvidia AI chips to xAI, asserting that they would serve better in this new arena. Despite the evident interplay of resources, the Teslarati remain vigilant. Some shareholders have raised alarms, filing lawsuits in Delaware’s Court of Chancery, alleging that this diversion of focus damages Tesla’s overarching interests. Yet, Tesla’s board appears undeterred, retaining a close watch on xAI without any vocal concerns. As anticipation builds for Tesla’s upcoming robotaxi event on October 10, investors wonder what marvels Musk will unveil, hinting at future transformation in the automotive realm. Meanwhile, Tesla’s share price recently dipped slightly, struggling to maintain ground after a robust rebound earlier in the week. In the fluctuating world of stocks, where every rise and fall tells a story, investors are on edge, ready to see whether Tesla can ride the waves of innovation successfully. The road ahead is fraught with uncertainty, but the promise of AI-driven adventures beckons, inviting all to partake in this exciting journey.
Original Source: www.investors.com
