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Tesla reported a decline in profit for the latest quarter but a measure of cash its business generated surged, leaving investors with a mixed picture as it prepares for a possible merger with Elon Musk's other big company, SpaceX. The electric vehicle maker reported third-quarter net income of USD 787 million, or 22 cents per share, down 44 per cent from the year-earlier period. Excluding certain items, though, earnings per share of 48 cents beat Wall Street analyst expectations by 3 cents. One standout for the quarter was Tesla's USD 1.5 billion in free cash flow, a measure of cash generated after subtracting investments needed to keep the business running. Given big artificial intelligence spending, analysts had expected Tesla would report it had burned through cash, not generated it. "It seems Tesla is taking a more capital-efficient approach, delaying longer-term projects to be able to self-fund their AI growth," said Morningtar analyst Seth Goldstein, calling the cash jump the
Tesla and other Chinese carmakers are making a major recall of more than 4 million vehicles over safety concerns mostly related to their door handles, according to Chinese authorities on Friday. The US carmaker is recalling about 2.98 million China-made and imported EVs including Model 3, Model Y, Model X and Model S over door handle safety risks, according to China's State Administration for Market Regulation. The recall, the largest this year according to Chinese media, comes a few months after Chinese authorities said in February that starting next year, it would be banning hidden car door handles that are commonly seen on Tesla electric vehicles and many Chinese EV models. China has stepped up scrutiny recently on hidden, or flush, car door handles following EV accidents in the country and elsewhere, in which cars' hidden electronic doors failed and trapped people inside. In a notice on the Chinese regulator's website, it cited safety risk. In extreme situations, such as a seve
Aerospace major SpaceX and electric vehicle maker Tesla are investing USD 16.8 billion to build 'Terafab', an advanced AI semiconductor complex in Texas, designed to narrow a looming gap in global chip supply, according to official statements. The first phase of the vertically integrated, 100-million-square-foot facility in Grimes County, Texas, will create at least 3,000 high-paying jobs for engineers, technicians, and plant operators, with future expansion phases expected to push total investment significantly higher, SpaceX said in a statement on its website on Thursday. "The Terafab is bringing cutting-edge manufacturing to America, creating thousands of high-paying jobs in the Lone Star State, and enabling us to produce AI chips at scale for use on Earth and in space," SpaceX Founder and CEO Elon Musk said in the statement. The mega facility aims to meet an anticipated requirement of over one terawatt of computing power for Musk's ventures. The plant will make, package, and tes
The top US auto regulator opened an investigation Monday after a Tesla using an automated driving feature slammed into a Texas home at high speed and killed a 76-year-old woman standing inside. The National Highway Traffic Safety Administration said it's opening a special investigation into the Tesla Model 3 crash on Friday near Houston, a significant probe because the car was using technology that Elon Musk considers key to the company's future. The Tesla CEO is rolling out robotaxis using automated software in several US cities this year and plans to invite Tesla owners to put their cars into the fleet using the same system across the country. The driver told the Harris County Sheriff's Office that he was using the technology, according to a police report on the crash, but it's not clear what role, if any, it played in the incident. The police report also noted that the driver was not drunk and is cooperating. It identified the woman killed as Martha Avila. Video obtained by KHO