Tesla

Tesla faces regulatory hurdles in the Netherlands as it seeks approval for its “FSD Supervised” technology. Dutch regulators caution against public pressure on the RDW, emphasizing that safety, not lobbying, will determine approval. The RDW refuted Tesla’s claim of guaranteed February 2026 approval, stating it hinges on demonstrated safety. This follows Tesla urging followers to contact RDW. Meanwhile in the U.S., NHTSA investigates Tesla’s FSD, and the vision of fully autonomous Tesla robotaxis remains distant due to technological and regulatory challenges.

Elon Musk and Jensen Huang will address the U.S.-Saudi Investment Forum, highlighting deepening ties in AI. Discussions will focus on AI, computing infrastructure, and digital transformation crucial for Saudi Arabia’s “Vision 2030.” This follows increased Saudi investment in the U.S. and signals opportunities for Tesla and Nvidia in Saudi Arabia’s electric vehicle, energy storage, and AI development initiatives. The collaboration could drive innovation in smart cities and autonomous driving using U.S. technology and Saudi capital.

Tesla received a permit to operate a ride-hailing service in Arizona, a step toward launching a robotaxi network. Further approvals are needed before deployment. Tesla aims to remove safety drivers in Austin by year-end and expand to other cities by 2026, despite safety concerns highlighted by recent collisions. The company faces competition from Waymo and Baidu, who have established autonomous services. Elon Musk envisions a future where people can “text and drive,” but achieving full autonomy requires overcoming technological hurdles.

Tesla is recalling approximately 10,500 Powerwall 2 units due to a potential safety hazard: defective lithium-ion battery cells that can overheat, causing fire and burn risks. The issue, attributed to a third-party supplier, has led to 22 reports of overheating, including five fires. Tesla is replacing affected units free of charge. This recall could impact Tesla Energy’s growth, which saw a 44% revenue surge in Q3 2025, as Powerwall is a key component of its clean energy ecosystem. Newer Powerwall 3 is not affected.

Tesla shareholders approved a substantial compensation package for CEO Elon Musk, potentially worth $1 trillion in stock over the next decade. While approved, support decreased slightly compared to a similar 2018 plan. Excluding insider holdings, roughly 66.9% of shares voted for the plan, down from 73% previously. Concerns included slower sales growth, Musk’s political views, and increased competition. Despite these factors, investors see Musk as crucial to Tesla’s success and were unwilling to risk his departure. The plan’s size and milestones attracted criticism from proxy advisory firms.

A potential Tesla-Intel partnership for AI chip production is emerging, potentially offering chips at 10% of Nvidia’s cost. Elon Musk mentioned possible Intel collaboration at Tesla’s shareholder meeting, citing supply chain constraints and ambitious AI goals. Intel’s stock saw a boost, reflecting confidence in the partnership’s potential. This move could reshape enterprise AI economics, challenge existing chip manufacturers, and accelerate AI hardware innovation, demanding that enterprise leaders closely monitor these developments. Tesla is targeting limited AI5 chip production in 2026, with high-volume in 2027.

Elon Musk announced Tesla may build its own “gigantic” chip fabrication plant (“Tesla terra fab”) to meet growing AI and robotics demands. Currently relying on TSMC and Samsung, Tesla could also partner with Intel. Musk envisions a capacity of 100,000 wafer starts per month, scaling to 1 million, potentially disrupting the semiconductor landscape. This signifies a major shift to vertical integration. Musk also announced the production of Cybercab in April, reinforcing Tesla’s commitment to AI and robotics as drivers of economic growth.

This CNBC Morning Squawk newsletter highlights five key market insights: Elon Musk’s potential $1T Tesla compensation pending Optimus robot success, AI stock retreat amid valuation concerns, Trump’s negotiated prescription obesity drug savings, no federal bailout for OpenAI despite revenue projections, and Target’s retail strategy reset to improve the in-store experience. The labor market uncertainty and Target’s operational overhaul are also noted.

Tesla shareholders approved Elon Musk’s compensation package, potentially worth nearly $1 trillion, awarding stock options tied to ambitious performance goals, including market capitalization and profitability targets. The vote also addressed Tesla’s potential investment in xAI, but next steps are under deliberation. Despite opposition from advisory firms, the board actively campaigned for approval, emphasizing Musk’s crucial role. The plan lacks restrictions on Musk’s political activities or time commitment to Tesla, despite ongoing debate regarding his controversial statements on sales. A Delaware court ruling on a previous pay package adds further complexity.

Tesla shareholders will vote on a massive compensation package for CEO Elon Musk, potentially worth nearly $1 trillion in stock over the next decade. The board argues Musk’s leadership is crucial for Tesla’s future, particularly in robotics and AI. Some investors oppose the plan, citing its size, dilution concerns, and Musk’s other ventures, particularly growing political engagement. The vote follows a court ruling invalidating Musk’s previous pay plan. The new plan contains ambitious targets related to market cap, vehicle deliveries, and earnings.