1 00:00:00,320 --> 00:00:03,480 Hi everybody and welcome back to another episode of the Elon Musk 2 00:00:03,480 --> 00:00:06,560 Podcast where we discuss all things technology 3 00:00:06,560 --> 00:00:09,560 entrepreneurship in the future of humanity. 4 00:00:10,000 --> 00:00:14,240 According to insiders, Tesla has plans to double the D1 chip 5 00:00:14,280 --> 00:00:17,200 orders for the coming year. Firstly, let's talk about the 6 00:00:17,200 --> 00:00:21,120 Dojo D1 chips and what they are and why they're so important. 7 00:00:21,600 --> 00:00:25,720 Tesla's D1 chips are application specific integrated circuits or 8 00:00:25,880 --> 00:00:29,540 a six, specifically designed to enhance the capabilities of 9 00:00:29,540 --> 00:00:33,300 Tesla's Dojo supercomputer. Now this machine is expected to 10 00:00:33,300 --> 00:00:36,340 play a critical role in the training of Tesla's driver 11 00:00:36,340 --> 00:00:40,060 assisted systems and their self driving AI models. 12 00:00:40,340 --> 00:00:43,980 And the main advantage here is that Tesla can more efficiently 13 00:00:43,980 --> 00:00:47,300 analyze extensive video data from its vast vehicle fleet, 14 00:00:47,700 --> 00:00:50,980 negating the need for manual human input. 15 00:00:51,380 --> 00:00:53,740 This also represents a significant stride toward 16 00:00:53,740 --> 00:00:57,940 Tesla's aspirations for full self driving technology as well 17 00:00:57,940 --> 00:01:01,500 as other initiatives like dedicated robo taxis and 18 00:01:01,660 --> 00:01:04,900 optimist robots. As Tesla rolls out more a I 19 00:01:04,900 --> 00:01:08,940 dependent projects, the Dojo D1 chip becomes an increasingly 20 00:01:08,940 --> 00:01:11,260 central component to the company's technological 21 00:01:11,260 --> 00:01:14,900 infrastructure and the Dojo supercomputer has the potential 22 00:01:14,900 --> 00:01:18,260 to advance not only Tesla's automotive applications, but 23 00:01:18,260 --> 00:01:21,540 could also be integrated into other autonomous systems in the 24 00:01:21,540 --> 00:01:24,930 future. Now moving on to the business of 25 00:01:24,930 --> 00:01:29,650 this report suggests that Tesla will be ordering 10,000 units of 26 00:01:29,650 --> 00:01:33,090 the Dojo D1 chip from TSMC for the upcoming year. 27 00:01:33,530 --> 00:01:37,090 This is not just good news for Tesla, but also positive 28 00:01:37,090 --> 00:01:40,810 development for TSMC, which has seen an increase in its high 29 00:01:40,810 --> 00:01:45,450 performance computing or HPC related orders, partially fueled 30 00:01:45,450 --> 00:01:48,890 by Tesla's orders. And the dynamics between Tesla 31 00:01:48,890 --> 00:01:52,510 and TSMC are becoming increasingly symbiotic, 32 00:01:52,510 --> 00:01:55,750 benefiting both companies and pushing the envelope in 33 00:01:55,750 --> 00:01:59,950 supercomputing and AI. Now firstly, we need to 34 00:01:59,950 --> 00:02:03,270 understand the implications of Tesla shift away from NVIDIA. 35 00:02:03,550 --> 00:02:06,870 For years, Nvidia's powerful GPUs have been the workforce for 36 00:02:06,870 --> 00:02:09,949 many companies in the tech industry, Tesla included. 37 00:02:10,470 --> 00:02:13,750 Nvidia's technology has been particularly critical in Tesla's 38 00:02:13,750 --> 00:02:16,230 development of machine learning algorithms for autonomous 39 00:02:16,230 --> 00:02:19,370 vehicles, and the strategic decision to ramp up the 40 00:02:19,370 --> 00:02:23,690 production of Dojo D1 chips marks a turning point for Tesla, 41 00:02:24,050 --> 00:02:27,450 allowing the company to have more control over its own 42 00:02:27,450 --> 00:02:30,410 destiny. And the Dojo D1 chips are not 43 00:02:30,410 --> 00:02:33,530 just a piece of hardware, they represent Tesla's determination 44 00:02:33,530 --> 00:02:37,290 to control its own intellectual property and their own 45 00:02:37,290 --> 00:02:39,930 resources. Now let's talk about the supply 46 00:02:39,930 --> 00:02:42,410 chain. Here in the global semiconductor 47 00:02:42,410 --> 00:02:45,610 market, supply constraints have become a significant concern for 48 00:02:45,610 --> 00:02:48,740 tech companies in the recent chip shortages have demonstrated 49 00:02:48,740 --> 00:02:51,860 the vulnerabilities and relying too heavily on 3rd party 50 00:02:51,860 --> 00:02:54,300 vendors. By investing in its own chips, 51 00:02:54,300 --> 00:02:58,060 Tesla is essentially laying the foundation for a more resilient 52 00:02:58,420 --> 00:03:01,660 and adaptable supply chain. This in house production 53 00:03:01,660 --> 00:03:06,620 capability gives Tesla an edge, enabling faster integrations of 54 00:03:06,620 --> 00:03:10,060 its technology and potentially leading to a quicker rollout of 55 00:03:10,060 --> 00:03:14,420 full self driving capabilities. Now on the future projection 56 00:03:14,420 --> 00:03:18,450 side, Tesla has ambitious plans for the Dojo supercomputer which 57 00:03:18,450 --> 00:03:21,650 serves as the brain Center for their Dojo D1 chips. 58 00:03:21,970 --> 00:03:23,930 According to various reports, the next Gen. 59 00:03:23,930 --> 00:03:28,410 Dojo system is expected to be operational by 2024 with a 60 00:03:28,410 --> 00:03:32,090 target achieving 100 exaflops of compute power. 61 00:03:32,370 --> 00:03:34,610 This would not only make Dojo one of the most powerful 62 00:03:34,610 --> 00:03:37,730 supercomputers on the planet, but also give Tesla the 63 00:03:37,730 --> 00:03:41,090 computational capabilities required for sophisticated 64 00:03:41,330 --> 00:03:44,090 machine learning algorithms and data analysis. 65 00:03:44,650 --> 00:03:47,850 Now with a more powerful Dojo, Tesla's rate of innovation could 66 00:03:47,850 --> 00:03:51,250 accelerate, impacting everything from autonomous vehicles to 67 00:03:51,250 --> 00:03:55,650 smarter energy solutions. Now the financial implications 68 00:03:55,650 --> 00:03:58,490 should not be overlooked either. This price tag associated with 69 00:03:58,490 --> 00:04:04,250 NVIDIA H100GP U's was reported to be around 300,000,000 for the 70 00:04:04,250 --> 00:04:05,890 setup that Tesla was considering. 71 00:04:06,290 --> 00:04:09,570 Now producing the Dojo D1 chips in house, despite the initial 72 00:04:09,570 --> 00:04:12,530 research and development costs, could end up being a more 73 00:04:12,530 --> 00:04:15,330 costeffective solution for Tesla in the long run. 74 00:04:15,690 --> 00:04:19,209 In addition, having a proprietary chipset could become 75 00:04:19,209 --> 00:04:22,930 a new revenue stream for Tesla as they could eventually license 76 00:04:22,930 --> 00:04:25,610 this technology to other companies and sectors like 77 00:04:25,610 --> 00:04:29,730 robotics, healthcare, or even in aerospace. 78 00:04:29,890 --> 00:04:32,850 Now let's not forget that the Dojo supercomputer isn't 79 00:04:32,850 --> 00:04:35,490 exclusively for autonomous driving applications. 80 00:04:35,890 --> 00:04:38,970 Test the signals that the Dojo capabilities could be leveraged 81 00:04:39,250 --> 00:04:42,130 in other areas like robotics and different kinds of autonomous 82 00:04:42,130 --> 00:04:44,930 systems. Tesla's hardware 4.0 self 83 00:04:44,930 --> 00:04:48,210 driving computer, another collaborative between test and 84 00:04:48,210 --> 00:04:52,450 TSMC, has been a significant component in the development of 85 00:04:52,490 --> 00:04:55,810 autonomous technology. And with such diverse 86 00:04:55,810 --> 00:04:58,610 applications, Dojo's future could very well make it a 87 00:04:58,610 --> 00:05:02,490 standard tool in the computational universe, applied 88 00:05:02,490 --> 00:05:05,770 in various sectors, requiring immense computational power and 89 00:05:05,770 --> 00:05:09,490 machine learning capabilities. Tesla CEO Elon Musk has even 90 00:05:09,490 --> 00:05:13,810 disclosed plans to invest over $1 billion in the Dojo project 91 00:05:14,090 --> 00:05:18,450 by the end of 2024, underlining its critical role in Tesla's 92 00:05:18,450 --> 00:05:23,130 future and potentially the future of a I and robotics. 93 00:05:23,570 --> 00:05:26,850 Now, we can't have an Elon Musk podcast episode without touching 94 00:05:26,850 --> 00:05:29,890 on a little bit of controversy. Tesla is currently under federal 95 00:05:29,890 --> 00:05:33,210 investigation for allegedly misappropriating company funds 96 00:05:33,210 --> 00:05:35,050 to build a new mansion for Elon Musk. 97 00:05:35,410 --> 00:05:38,010 And while this is indeed a critical issue that could affect 98 00:05:38,010 --> 00:05:41,290 Tesla's public image and even stock prices, it's essential to 99 00:05:41,290 --> 00:05:44,970 remember that this is still under investigation and nothing 100 00:05:44,970 --> 00:05:47,690 has been proven yet. Regardless of these challenges, 101 00:05:47,770 --> 00:05:50,850 the momentum behind Tesla's technological advancements like 102 00:05:50,850 --> 00:05:54,050 Dojo and the D1 chips doesn't seem to be slowing down. 103 00:05:54,460 --> 00:05:57,420 If anything, the accelerated investments indicate an 104 00:05:57,420 --> 00:06:00,140 unshakable belief in the company's vision into the future 105 00:06:00,500 --> 00:06:04,740 of autonomous systems and AI. SpaceX is Starship rocket and 106 00:06:04,740 --> 00:06:07,060 the preparations for its next orbital flight. 107 00:06:07,540 --> 00:06:10,900 Now, some of you may already be aware that SpaceX is waiting for 108 00:06:10,900 --> 00:06:14,940 the Fish and Wildlife Service of the FWS to give them the green 109 00:06:14,940 --> 00:06:18,610 light for the next launchpad. Now, simultaneously, the company 110 00:06:18,610 --> 00:06:22,090 has filed an application with the FCC for communication 111 00:06:22,090 --> 00:06:25,970 permissions during the upcoming Starship test flight expected to 112 00:06:25,970 --> 00:06:30,330 commence this coming January. Possibly now, these bureaucratic 113 00:06:30,330 --> 00:06:33,410 steps are routine for SpaceX, but what's really intriguing 114 00:06:33,410 --> 00:06:35,930 here are the technological leaps, including several 115 00:06:35,970 --> 00:06:39,650 upgrades this next test is slated to showcase. 116 00:06:40,130 --> 00:06:42,410 So in today's episode, we'll be talking you through the 117 00:06:42,410 --> 00:06:45,370 specifics of the imminent Starship test flight, including 118 00:06:45,370 --> 00:06:48,810 major changes to the Rockets design and how these upgrades 119 00:06:48,930 --> 00:06:52,530 aim to help this behemoth, the largest and most powerful rocket 120 00:06:52,530 --> 00:06:54,930 to date, reach orbit successfully. 121 00:06:55,730 --> 00:06:57,170 Now the stakes couldn't be higher. 122 00:06:57,490 --> 00:07:00,330 Starship is expected to be the vessel that helps humanity set 123 00:07:00,330 --> 00:07:04,210 foot on Mars and return to our nearest neighbor, the moon. 124 00:07:04,850 --> 00:07:08,050 Now, first on the list of big modification is something that's 125 00:07:08,050 --> 00:07:11,690 an engineering marvel, the concept of hot staging. 126 00:07:12,130 --> 00:07:15,490 Traditionally, rockets execute a stage separation by halting the 127 00:07:15,490 --> 00:07:19,450 main engines on the booster and before the second stage even 128 00:07:19,450 --> 00:07:21,850 fires up. And however, SpaceX plans to 129 00:07:21,850 --> 00:07:25,730 keep Starships engines ignited while it's still essentially 130 00:07:25,730 --> 00:07:29,890 attached to the booster, which we refer to as the Super Heavy. 131 00:07:30,450 --> 00:07:34,690 Now, a former SpaceX mission director speculates this will 132 00:07:34,690 --> 00:07:39,450 give the rocket a payload increase of about 10%, and to 133 00:07:39,450 --> 00:07:43,330 facilitate this, SpaceX has integrated vents and heavy duty 134 00:07:43,330 --> 00:07:46,610 heat Shields at the top of the Super heavy booster. 135 00:07:46,890 --> 00:07:50,050 This ensures that the flames can escape, preventing the rocket 136 00:07:50,050 --> 00:07:53,810 from blowing up mid flight. The method is a bit riskier 137 00:07:53,810 --> 00:07:56,290 since the booster could potentially be damaged, but 138 00:07:56,290 --> 00:07:59,370 sometimes risk is synonymous with advancement. 139 00:08:00,130 --> 00:08:02,770 Now let's pivot for a moment to talk about another angle of the 140 00:08:02,770 --> 00:08:06,690 upcoming Starship test, the focus nature of the FCC 141 00:08:06,690 --> 00:08:09,610 application that SpaceX recently filed. 142 00:08:10,260 --> 00:08:13,300 Unlike other filings, this one is narrower in scope, 143 00:08:13,660 --> 00:08:16,820 specifically seeking approval for communication channels 144 00:08:16,820 --> 00:08:19,820 between the Starship booster and the launch site. 145 00:08:20,220 --> 00:08:23,620 The absence of other elements like the full Starship vehicle 146 00:08:23,620 --> 00:08:26,900 in the application raises some interesting questions. 147 00:08:26,900 --> 00:08:31,060 Could this suggest a series of test runs focusing predominantly 148 00:08:31,060 --> 00:08:35,380 on the booster and the paperwork could hint at SpaceX adopting a 149 00:08:35,419 --> 00:08:39,460 step by step approach, perhaps focusing initial tests at the 150 00:08:39,460 --> 00:08:44,220 first stage before proceeding to comprehensive trials involving 151 00:08:44,220 --> 00:08:47,380 the entire rocket system. This would allow SpaceX to 152 00:08:47,380 --> 00:08:50,940 ensure that each component of this complex machine is in top 153 00:08:50,940 --> 00:08:54,780 shape before the actual orbital flight takes place. 154 00:08:55,820 --> 00:08:59,660 Now, the third major change we're discussing today is the 155 00:08:59,660 --> 00:09:01,860 engines. As we all know, the Raptor 156 00:09:01,860 --> 00:09:05,060 engine is fundamentally more complex than the Merlin engines 157 00:09:05,060 --> 00:09:08,520 that power the Falcon 9. This complexity makes the engine 158 00:09:08,520 --> 00:09:12,000 more susceptible to leaks and therefore SpaceX has taken 159 00:09:12,000 --> 00:09:15,640 significant steps to improve the valves and seals on the Raptor 160 00:09:15,640 --> 00:09:18,920 engines and have seeing the fire suppression systems to manage 161 00:09:19,000 --> 00:09:22,160 any potential accidents and make them more efficient. 162 00:09:22,960 --> 00:09:25,520 Now, with 33 Raptor engines powering the first stage 163 00:09:25,520 --> 00:09:29,600 booster, we're talking about an incredible level of engineering 164 00:09:29,600 --> 00:09:32,590 intricacy. The effort to ensure each of 165 00:09:32,590 --> 00:09:36,110 these engines operates optimally is crucial not just for the 166 00:09:36,110 --> 00:09:39,430 success of the mission, but also for the longterm goals that 167 00:09:39,430 --> 00:09:42,430 Starship aims to achieve, including the colonization of 168 00:09:42,430 --> 00:09:46,230 Mars and renewed lunar missions with the Artemis program with 169 00:09:46,230 --> 00:09:50,710 NASA, Let's talk about the visual spectacle this Starship 170 00:09:50,710 --> 00:09:52,670 presents. It's not just the world's 171 00:09:52,670 --> 00:09:56,670 largest rocket, but also the one with the most engines on a first 172 00:09:56,670 --> 00:09:59,750 stage booster. When these 33 engines light up 173 00:09:59,750 --> 00:10:03,510 for a flight again, it's a sight to behold, unrivaled by any 174 00:10:03,510 --> 00:10:05,590 current or in development rockets. 175 00:10:05,950 --> 00:10:08,990 Additionally, a hot staging ring will be added to the top of the 176 00:10:08,990 --> 00:10:12,710 first stage booster, ensuring the stage separation as a 177 00:10:12,750 --> 00:10:16,470 success, and this will address the primary failure point of the 178 00:10:16,470 --> 00:10:20,110 last Test in April. And with these numerous 179 00:10:20,110 --> 00:10:22,830 upgrades, we're clearly marching toward a future where space 180 00:10:22,830 --> 00:10:26,430 travel isn't just a feat of engineering, but also a 181 00:10:26,510 --> 00:10:29,550 mesmerizing spectacle. The 2nd Starship test flight 182 00:10:29,550 --> 00:10:32,630 promises not just to correct past mistakes, but to push the 183 00:10:32,630 --> 00:10:36,550 envelope on what is possible in rocket design and engineering. 184 00:10:36,910 --> 00:10:40,550 Tesla's latest move to make electric vehicle charging more 185 00:10:40,550 --> 00:10:44,590 accessible for everyone, not just Tesla owners, but owners of 186 00:10:44,590 --> 00:10:47,550 all electric cars. Over the last couple of years, 187 00:10:47,550 --> 00:10:51,430 Tesla has been slowly opening up its Supercharger network to non 188 00:10:51,430 --> 00:10:53,830 Tesla vehicles, especially in Europe. 189 00:10:54,270 --> 00:10:56,910 But the real news is what's happening stateside. 190 00:10:57,470 --> 00:11:00,030 In North America, Tesla has faced some challenges with 191 00:11:00,030 --> 00:11:03,910 compatibility issues, largely due to the unique connector that 192 00:11:03,910 --> 00:11:07,110 Tesla uses for charging. And unlike in Europe where 193 00:11:07,110 --> 00:11:11,030 standard connectors are widely in use, Tesla's proprietary 194 00:11:11,030 --> 00:11:15,550 connector here became a potential obstacle for non Tesla 195 00:11:15,630 --> 00:11:19,110 EV users. However, last year Tesla decided 196 00:11:19,110 --> 00:11:23,030 to open up its connector to other manufacturers, a move that 197 00:11:23,030 --> 00:11:25,110 started a transition in the industry. 198 00:11:25,740 --> 00:11:27,780 So let's dig into this. We'll be discussing the 199 00:11:27,780 --> 00:11:31,820 significance of Tesla's Magic Dock Superchargers, how it's 200 00:11:31,820 --> 00:11:35,620 making the Supercharger network more inclusive, and the long 201 00:11:35,620 --> 00:11:37,820 term strategy behind all of this. 202 00:11:38,180 --> 00:11:40,580 We'll also talk about some of the recent developments around 203 00:11:40,620 --> 00:11:43,740 EV charging infrastructure in Britain and how various 204 00:11:43,780 --> 00:11:46,260 automakers are looking at tapping into the Tesla 205 00:11:46,260 --> 00:11:50,660 Supercharger network now. Earlier this year, Tesla 206 00:11:50,660 --> 00:11:54,060 introduced a novel piece of tech called the Magic Dock. 207 00:11:54,500 --> 00:11:57,620 This is essentially a new receiver for the Tesla Charging 208 00:11:57,620 --> 00:12:00,020 connector at Supercharger stations. 209 00:12:00,260 --> 00:12:02,300 The Magic Dock allows for flexibility. 210 00:12:02,300 --> 00:12:05,180 It can disconnect from the charger to act as an adapter 211 00:12:05,180 --> 00:12:08,860 between Tesla's connector, known as the NACS, and the CSS 212 00:12:08,860 --> 00:12:11,580 connector used by other electric vehicles. 213 00:12:12,140 --> 00:12:15,940 Now in February, Tesla started the installation of Magic Docks 214 00:12:16,260 --> 00:12:19,700 at Supercharger stations in New York and California as a pilot 215 00:12:19,700 --> 00:12:23,160 project, though further expansion of the Superchargers 216 00:12:23,160 --> 00:12:26,560 was halted for some time, likely due to the transition to the 217 00:12:26,560 --> 00:12:29,520 NECS standard. Tesla recently resumed this 218 00:12:29,520 --> 00:12:32,400 expansion by installing new stations in Texas. 219 00:12:33,040 --> 00:12:36,960 Now Tesla has gone even further. They've extended its Magic Dock 220 00:12:36,960 --> 00:12:40,280 superchargers into Utah, Colorado, Michigan, and 221 00:12:40,280 --> 00:12:43,250 Washington State, and the expansion is still in the early 222 00:12:43,250 --> 00:12:45,250 stages. But it's clear that Tesla is 223 00:12:45,250 --> 00:12:48,530 investing in this technology as a bridge until direct 224 00:12:48,570 --> 00:12:51,690 integration becomes widespread in 2025. 225 00:12:52,450 --> 00:12:55,090 Now, while Tesla has been progressing with its 226 00:12:55,090 --> 00:12:58,650 Supercharger network in North America, let's not forget about 227 00:12:58,650 --> 00:13:02,170 its European endeavors. In Europe, Tesla has already set 228 00:13:02,170 --> 00:13:05,730 up hundreds of stations and the integration with non Tesla 229 00:13:05,730 --> 00:13:09,090 vehicles has been smoother there due to the already standardized 230 00:13:09,090 --> 00:13:11,480 connectors. In the UK, charging 231 00:13:11,480 --> 00:13:14,520 infrastructure is also growing at a very impressive rate. 232 00:13:14,800 --> 00:13:19,200 For instance, Ubertricity, a shellowned charging network, 233 00:13:19,560 --> 00:13:23,760 recently announced the installation of 1050 St. side 234 00:13:23,760 --> 00:13:27,000 public EV chargers. These charges will be part of 235 00:13:27,000 --> 00:13:30,040 the company's innovative lamppost charging project, 236 00:13:30,280 --> 00:13:32,760 showing that charging infrastructure is becoming more 237 00:13:32,760 --> 00:13:36,560 commonplace and versatile. Now, moving away from Tesla, 238 00:13:36,560 --> 00:13:40,150 just for a second, let's talk about how other automakers are 239 00:13:40,150 --> 00:13:43,910 responding to this trend. Jaguar has become the latest 240 00:13:43,910 --> 00:13:47,910 brand to announce its plans to integrate Tesla and ACS into its 241 00:13:47,910 --> 00:13:50,110 electric vehicles. They're following in the 242 00:13:50,110 --> 00:13:55,150 footsteps of other big names like Ford, GM, Honda, and more. 243 00:13:55,550 --> 00:13:58,510 And these companies are not only planning to adopt any CS in 244 00:13:58,510 --> 00:14:02,230 future models, but are also considering providing adapters 245 00:14:02,230 --> 00:14:06,030 for existing models. While it's still uncertain when 246 00:14:06,150 --> 00:14:09,620 exactly these adapters will become available, given the 247 00:14:09,620 --> 00:14:12,860 logistics involved, the commitment by these automakers 248 00:14:12,860 --> 00:14:17,060 to adopt the Tesla standard signifies A monumental shift in 249 00:14:17,060 --> 00:14:19,980 the industry. And Tesla set the stage. 250 00:14:20,180 --> 00:14:22,580 And now the world's adapting to them. 251 00:14:22,860 --> 00:14:29,180 And the company sold 325,291 vehicles in the United States in 252 00:14:29,180 --> 00:14:34,220 the first half of 2023 alone. That's outpacing its next 19 253 00:14:34,220 --> 00:14:38,140 competitors by a ratio of 10 to one or more. 254 00:14:38,890 --> 00:14:42,090 And as the EV market continues to grow, Tesla remains the 255 00:14:42,090 --> 00:14:44,290 dominant force. But other brands are slowly 256 00:14:44,290 --> 00:14:47,290 increasing their share as well, and the demand for electric 257 00:14:47,290 --> 00:14:49,410 vehicles and charging infrastructure is growing. 258 00:14:49,770 --> 00:14:52,930 But so were the challenges. Companies are investing billions 259 00:14:52,930 --> 00:14:56,170 into new EV and battery plants, but whether the market can 260 00:14:56,170 --> 00:14:59,410 sustain all this new capability remains to be seen. 261 00:14:59,730 --> 00:15:03,310 For instance, Ford recently decided to pause work about a 262 00:15:03,310 --> 00:15:07,310 $3.5 billion electric vehicle plant in Michigan, raising 263 00:15:07,310 --> 00:15:09,710 questions about the pace of EV adoption. 264 00:15:09,710 --> 00:15:12,910 And as Tesla gears up to start deliveries of the much 265 00:15:12,950 --> 00:15:16,870 anticipated cyber truck vehicle, new information about a 266 00:15:16,950 --> 00:15:19,030 performance version has come to light. 267 00:15:19,630 --> 00:15:23,150 Elon Musk himself took to social media to reveal that he recently 268 00:15:23,150 --> 00:15:26,790 drove a performance cyber truck that is sure to exceed 269 00:15:26,790 --> 00:15:29,330 expectation. Now the cyber trucks first 270 00:15:29,330 --> 00:15:33,730 unveiled in 2019, it's undergone significant modifications since 271 00:15:33,730 --> 00:15:36,210 its prototype dates. In a market that has witnessed 272 00:15:36,210 --> 00:15:39,570 profound shifts, Tesla has not been shy about tweaking its 273 00:15:39,570 --> 00:15:42,810 designs to adapt. Although Tesla initially laid 274 00:15:42,810 --> 00:15:45,930 out specs and pricing for the cyber truck, those could very 275 00:15:45,930 --> 00:15:48,930 well change considering the automaker's penchant for making 276 00:15:48,930 --> 00:15:51,850 updates to its vehicles even after they've been unveiled. 277 00:15:52,370 --> 00:15:54,970 Now this leaves us with many questions about the cyber Trucks 278 00:15:54,970 --> 00:15:58,460 features, release timelines, and most critically, its pricing 279 00:15:58,460 --> 00:16:01,100 structure. Now, Cybertruck is no longer 280 00:16:01,100 --> 00:16:04,740 just a concept, it's a tangible machine, and the company has 281 00:16:04,740 --> 00:16:08,100 produced hundreds of these electric pickups labeled as 282 00:16:08,100 --> 00:16:09,900 release candidates or beta builds. 283 00:16:09,900 --> 00:16:13,100 But details have been very scarce, while preproduction 284 00:16:13,100 --> 00:16:15,580 models have been spotted on the roads, providing the world with 285 00:16:15,580 --> 00:16:18,020 its first real look at Tesla's latest creation. 286 00:16:18,540 --> 00:16:22,320 These aren't the final versions. Photographs of the trucks bed in 287 00:16:22,320 --> 00:16:25,280 particular indicate some interesting design choices that 288 00:16:25,280 --> 00:16:27,600 set it apart from traditional pickups. 289 00:16:28,520 --> 00:16:31,480 Now, in the midst of the suspense, Elon Musk tweeted that 290 00:16:31,480 --> 00:16:34,840 he just drove a quote Performance Cyber Truck, a 291 00:16:34,840 --> 00:16:37,880 phrase that naturally triggers A flurry of speculation. 292 00:16:38,400 --> 00:16:41,480 Tesla had previously announced a Tri motor version with rather 293 00:16:41,480 --> 00:16:46,160 impressive specs 500 plus miles of range, zero to 60 and 2.9 294 00:16:46,160 --> 00:16:50,480 seconds, and a starting price of $69,900. 295 00:16:51,360 --> 00:16:54,400 Now the revelation of a performance version hints that 296 00:16:54,400 --> 00:16:56,840 there could be multiple iterations of the Cyber Truck, 297 00:16:56,840 --> 00:17:00,480 possibly even a quad motor version with even greater 298 00:17:00,480 --> 00:17:03,320 capabilities. Though Elon Musk's tweet was 299 00:17:03,320 --> 00:17:06,520 characteristically brief, it opens a new chapter in the Cyber 300 00:17:06,520 --> 00:17:09,880 Truck saga. If a performance version exists, 301 00:17:10,160 --> 00:17:14,000 Musk found it noteworthy enough to mention, and it's reasonable 302 00:17:14,000 --> 00:17:17,960 to assume that this variant could be among the first to roll 303 00:17:17,960 --> 00:17:21,310 off the production lines. And the term performance often 304 00:17:21,310 --> 00:17:24,150 correlates with higher speeds, better handling, and generally 305 00:17:24,150 --> 00:17:27,510 enhanced capabilities, which could position this version as a 306 00:17:27,510 --> 00:17:30,190 high end offering within the cyber truck lineup. 307 00:17:30,750 --> 00:17:33,710 Now the electric pickup truck market is getting crowded with 308 00:17:33,710 --> 00:17:38,030 entrants like Rivians, R1T and the GMC Hummer EV and Ford's 309 00:17:38,030 --> 00:17:40,670 options, and the Cyber Truck aims to distinguish itself 310 00:17:40,670 --> 00:17:43,670 through its unconventional design and superior bed length. 311 00:17:44,030 --> 00:17:48,030 Measuring at 6.5 feet longer than any other electric pickup 312 00:17:48,030 --> 00:17:51,140 currently on the market, this offers utility that other 313 00:17:51,140 --> 00:17:53,020 electric pickups simply can't match. 314 00:17:53,340 --> 00:17:56,620 Additionally, Tesla may include a midgate feature similar to the 315 00:17:56,620 --> 00:18:00,380 Chevy Silverado EV, according to visitors who attended Tesla 316 00:18:00,380 --> 00:18:05,580 Cyber Rodeo event in April of 2022, features like these can 317 00:18:05,580 --> 00:18:08,500 make the Cyber Truck not only a performance powerhouse, but also 318 00:18:08,500 --> 00:18:12,060 a highly versatile vehicle. Thus, Tesla's electric pickup is 319 00:18:12,060 --> 00:18:14,900 not merely seeking to join the ranks of existing electric 320 00:18:14,900 --> 00:18:18,060 vehicles, but aims to redefine the category altogether. 321 00:18:18,630 --> 00:18:21,750 Now, photos of the cybertruck taken by a Facebook user reveal 322 00:18:21,750 --> 00:18:26,150 a bed floor panel with bolt holes, likely a space for a full 323 00:18:26,150 --> 00:18:29,230 size spare tire, and sloped bedsides. 324 00:18:29,510 --> 00:18:32,230 These design elements have generated mixed reactions. 325 00:18:32,470 --> 00:18:35,310 The slope size, for example, could limit the width of loads 326 00:18:35,310 --> 00:18:37,150 and potentially stress the bed walls. 327 00:18:37,390 --> 00:18:40,510 However, Tesla could turn these limitations into unique features 328 00:18:40,510 --> 00:18:43,230 such as additional storage compartments, and the 329 00:18:43,230 --> 00:18:46,310 photographs also show that the tailgate reaches armpit height, 330 00:18:47,240 --> 00:18:49,320 indicating that loading could be a challenge. 331 00:18:49,600 --> 00:18:52,800 While Tesla has suggested that the rear suspension will dip for 332 00:18:52,800 --> 00:18:55,560 easier loading and unloading, the design still raises 333 00:18:55,560 --> 00:18:59,960 questions about accessibility. However, Tesla has never been 334 00:18:59,960 --> 00:19:02,160 one to shy away from bold design choices. 335 00:19:02,400 --> 00:19:05,280 It's likely the final production version will include innovative 336 00:19:05,280 --> 00:19:09,320 solutions to these challenges now, with Tesla expected to 337 00:19:09,320 --> 00:19:11,880 announce all the details in an upcoming event. 338 00:19:12,200 --> 00:19:14,880 The final specs and features of the Cyber Truck, including its 339 00:19:14,880 --> 00:19:18,610 performance version, are just weeks away from being officially 340 00:19:18,610 --> 00:19:20,570 revealed. Given that the company is 2 341 00:19:20,570 --> 00:19:23,450 years behind its original schedule, anticipation is 342 00:19:23,450 --> 00:19:26,570 running really high. Tesla's delivery event will 343 00:19:26,690 --> 00:19:29,130 answer lingering questions, confirm rumors, and give 344 00:19:29,130 --> 00:19:31,170 prospective buyers a comprehensive look. 345 00:19:31,450 --> 00:19:34,850 With the automaker has been laboring on behind closed doors, 346 00:19:34,970 --> 00:19:38,290 we'll be discussing an essential milestone that SpaceX recently 347 00:19:38,290 --> 00:19:41,770 achieved, securing its first ever contract with the US Space 348 00:19:41,770 --> 00:19:45,610 Force for satellite communications via Star Shield. 349 00:19:45,990 --> 00:19:48,830 The contract was officially confirmed on September 1st, 350 00:19:48,830 --> 00:19:52,510 according to Air Force spokesperson and Stefanik, and 351 00:19:52,510 --> 00:19:55,270 we'll discuss how Star Shield operates over the existing 352 00:19:55,270 --> 00:19:59,710 Starlink satellites and serves as a secured network exclusively 353 00:19:59,710 --> 00:20:03,030 for governmental agencies. The deal has a budget ceiling of 354 00:20:03,030 --> 00:20:06,750 $70 million and will support various arms of the US military 355 00:20:07,030 --> 00:20:09,950 like the Army, Navy, Air Force and Coast Guard. 356 00:20:10,270 --> 00:20:11,870 And what makes this even more interesting? 357 00:20:12,220 --> 00:20:14,900 Is that the contract comes on the heels of Spacex's role in 358 00:20:14,900 --> 00:20:18,540 the Eukaryan conflict, where it provided Internet connectivity 359 00:20:18,540 --> 00:20:22,220 to the Ukrainian military. The Star Shield contract marks a 360 00:20:22,220 --> 00:20:25,580 significant moment for SpaceX as it diversifies its service 361 00:20:25,580 --> 00:20:28,380 offerings and the Star Shield network, designed for 362 00:20:28,380 --> 00:20:31,460 governmental entities, will operate over the existing 363 00:20:31,460 --> 00:20:34,620 infrastructure of the current Starling satellites. 364 00:20:34,900 --> 00:20:37,620 Now to put it into perspective, SpaceX will provide what's 365 00:20:37,620 --> 00:20:40,790 called endtoend service through this contract, and this 366 00:20:40,790 --> 00:20:43,910 comprehensive package includes everything from user terminals 367 00:20:44,310 --> 00:20:47,630 and ancillary equipment to network management and various 368 00:20:47,630 --> 00:20:50,230 other services. And the US Air Force 369 00:20:50,230 --> 00:20:53,390 representative confirmed that the contract lasts for one whole 370 00:20:53,390 --> 00:20:56,190 year with the possibility of extensions in the future. 371 00:20:56,590 --> 00:20:59,870 With his contract financial framework, $15 million has 372 00:20:59,870 --> 00:21:03,630 already been earmarked for SpaceX to be obligated by the 373 00:21:03,670 --> 00:21:06,030 end of September. We have to consider that this is 374 00:21:06,030 --> 00:21:09,150 not an isolated instance of Spacex's involvement with 375 00:21:09,150 --> 00:21:12,720 defense, and previously SpaceX had one other contracts and the 376 00:21:12,720 --> 00:21:16,120 Pentagon has already even categorized as a high value 377 00:21:16,120 --> 00:21:20,360 buyer for SpaceX. And SpaceX has crafted 2 378 00:21:20,360 --> 00:21:23,600 separate but interlinked satellite communication systems, 379 00:21:23,880 --> 00:21:27,640 Starlink for civilians and Star Shield for government. 380 00:21:27,960 --> 00:21:31,200 And while both operate over the same Starlink satellite network, 381 00:21:31,600 --> 00:21:35,000 they serve completely different purposes and completely 382 00:21:35,000 --> 00:21:38,310 different clientele. Elon Musk clarified on the 383 00:21:38,310 --> 00:21:41,390 platform formerly known as Twitter that Star Shield will be 384 00:21:41,390 --> 00:21:43,950 under the US government's ownership and controlled by the 385 00:21:43,950 --> 00:21:45,910 Department of Defense Space Force. 386 00:21:46,230 --> 00:21:49,350 The civilian Star Link network will remain independent and 387 00:21:49,350 --> 00:21:51,710 won't participate in combat operations. 388 00:21:52,150 --> 00:21:56,670 Now what this bifurcation allows is a dual use system where they 389 00:21:56,670 --> 00:21:59,750 can serve different sectors without compromising on the 390 00:21:59,750 --> 00:22:02,950 quality or security of services provided. 391 00:22:03,830 --> 00:22:07,680 Now, this new US contract for the US Space Force certainly 392 00:22:07,680 --> 00:22:10,360 isn't Spacex's first dance with the defense sector. 393 00:22:10,760 --> 00:22:14,040 The Pentacontin has relied on SpaceX for a number of rocket 394 00:22:14,040 --> 00:22:17,320 launches, indicating a level of trust and satisfaction with the 395 00:22:17,320 --> 00:22:20,640 services that they provide. And the work with the Department 396 00:22:20,640 --> 00:22:24,440 of Defense and other military branches by SpaceX showcases the 397 00:22:24,440 --> 00:22:28,520 versatility and adaptability of these technologies. 398 00:22:28,880 --> 00:22:31,760 And the very nature of these contracts often necessitates 399 00:22:31,760 --> 00:22:34,880 strict requirements for reliability, security, and 400 00:22:34,880 --> 00:22:37,560 efficiency. Aspects where SpaceX has 401 00:22:37,560 --> 00:22:41,200 repeatedly proven its mettle would be an oversight to discuss 402 00:22:41,200 --> 00:22:43,880 the contract without acknowledging Spacex's role in 403 00:22:43,880 --> 00:22:47,480 the ongoing Ukraine conflict. And SpaceX has been providing 404 00:22:47,480 --> 00:22:50,680 Internet connectivity to Ukraine's military, aiding their 405 00:22:50,680 --> 00:22:53,440 fight against invading Russian forces from the beginning. 406 00:22:54,000 --> 00:22:56,320 The decision was not without his complications, though. 407 00:22:56,640 --> 00:23:00,600 Last year, SpaceX made the choice not to extend Starling 408 00:23:00,600 --> 00:23:04,360 coverage to Russian occupied Crimea, a move that some say had 409 00:23:04,360 --> 00:23:07,400 a significant impact on Ukraine's military operations. 410 00:23:07,680 --> 00:23:10,920 And these actions have garnered attention even from policy 411 00:23:10,920 --> 00:23:14,360 officials, highlighting the geopolitical influence of SpaceX 412 00:23:14,400 --> 00:23:17,800 and its technologies. Wheel Now, Spacex's involvement 413 00:23:17,800 --> 00:23:21,920 in global conflicts and now its contract with the US Space Force 414 00:23:22,200 --> 00:23:26,000 have led to a more nuanced role for the company and in world 415 00:23:26,000 --> 00:23:28,480 affairs. And while Elon Musk doesn't hold 416 00:23:28,480 --> 00:23:31,560 any official diplomatic titles, the influence of Spacex's 417 00:23:31,560 --> 00:23:35,210 technologies, particularly in communications, it's something 418 00:23:35,210 --> 00:23:39,090 that can't be easily dismissed. Should be mentioned that earlier 419 00:23:39,090 --> 00:23:41,970 in June that the Pentagon had already signed another contract 420 00:23:41,970 --> 00:23:45,130 with SpaceX to provide satellite connectivity for Ukraine's 421 00:23:45,130 --> 00:23:47,810 military. And as we move forward, they'll 422 00:23:47,810 --> 00:23:51,770 be crucial to manage this new found influence responsibility 423 00:23:52,050 --> 00:23:55,530 and ensure that the technologies are used for the betterment of 424 00:23:55,530 --> 00:23:59,970 society and global stability. Now let's move on to Jeff 425 00:24:00,050 --> 00:24:03,990 Bezos's rocket company. Completely separate topic, but 426 00:24:03,990 --> 00:24:07,910 still in the realm of space. The recent FAA closure of the 427 00:24:07,910 --> 00:24:11,430 investigation into Blue Origin, the New Shepherd rocket mishap 428 00:24:11,670 --> 00:24:16,310 that took place on September 12th of 2022 of the unmanned 429 00:24:16,430 --> 00:24:20,150 rocket faced A catastrophic engine failure, resulting in the 430 00:24:20,150 --> 00:24:23,950 booster being destroyed in the capsule deploying its emergency 431 00:24:23,950 --> 00:24:26,710 escape system. And according to the FAA, the 432 00:24:26,750 --> 00:24:30,630 issue stemmed from a structural failure of an engine nozzle 433 00:24:31,020 --> 00:24:33,620 brought about by higher than expected engine operating 434 00:24:33,620 --> 00:24:37,620 temperatures, and this problem led to an unintended alteration 435 00:24:37,620 --> 00:24:40,940 in the Rockets trajectory about a minute after its liftoff from 436 00:24:40,940 --> 00:24:43,220 Blue Origins West, TX launch site. 437 00:24:43,540 --> 00:24:46,780 However, the capsule which was carrying scientific payloads, 438 00:24:46,820 --> 00:24:50,980 executed its emergency escape system and landed safely. 439 00:24:51,460 --> 00:24:54,860 The FAA investigation concluded with 21 corrective measures the 440 00:24:54,860 --> 00:24:58,580 Blue Origin is mandated to implement, including an engine 441 00:24:58,580 --> 00:25:02,060 and nozzle component redesign. Blue Origin, though currently 442 00:25:02,060 --> 00:25:04,860 grounded, indicated in the social media statement that 443 00:25:04,860 --> 00:25:08,060 flights would resume shortly. Blue Origin, which was founded 444 00:25:08,060 --> 00:25:10,380 by Jeff Bezos, had been successfully operating 445 00:25:10,380 --> 00:25:13,820 suborbital flights since the summer of 2021, and in that 446 00:25:13,820 --> 00:25:17,700 period New Shepherd launched 6 crude flights transporting a 447 00:25:17,700 --> 00:25:21,100 total of 31 people with some notable passengers including 448 00:25:21,100 --> 00:25:23,460 William Shatner and Michael Strahan. 449 00:25:23,820 --> 00:25:27,180 So it's safe to see that the New Shepherd program was an integral 450 00:25:27,180 --> 00:25:30,250 part of Blue Origins overall enterprise, constituting A 451 00:25:30,250 --> 00:25:33,410 considerable chunk of the revenue and public reputation. 452 00:25:33,970 --> 00:25:36,490 Now the FA A's decision to grab the New Shepherd program 453 00:25:36,490 --> 00:25:40,930 temporarily has had a palpable effect on Blue Origins business 454 00:25:40,930 --> 00:25:43,050 plans. For company that had ambitions 455 00:25:43,050 --> 00:25:46,970 to send customers on 10 to 12 minutes suborbital flights, the 456 00:25:47,010 --> 00:25:50,730 hiatus comes as a significant setback, especially with the 457 00:25:50,730 --> 00:25:52,490 booming interest in space tourism. 458 00:25:53,370 --> 00:25:56,050 And on the other front, Blue Origin recently announced a 459 00:25:56,050 --> 00:25:59,860 change in leadership, CEO Bob Smith stepping down to be 460 00:25:59,860 --> 00:26:03,580 succeeded by former Amazon executive Dave Limp. 461 00:26:04,020 --> 00:26:07,580 Now this transition is likely to be pivotal as the company looks 462 00:26:07,580 --> 00:26:10,820 to steer through the challenges brought on by the recent mishap. 463 00:26:11,300 --> 00:26:13,660 Blue Origin is not alone in the commercial Space Flight area 464 00:26:13,660 --> 00:26:15,580 though. The principal competitor, Virgin 465 00:26:15,580 --> 00:26:19,260 Galactic, also had to go through the FAA investigation post 466 00:26:19,260 --> 00:26:22,780 Richard Branson space trip leading to a two year pause in 467 00:26:22,780 --> 00:26:25,940 their operations and Virgin Galactic resume flights with 468 00:26:25,940 --> 00:26:29,860 their first paying customers in May of 2023 and it's currently 469 00:26:29,860 --> 00:26:32,340 preparing for their Galactic 04 mission. 470 00:26:32,820 --> 00:26:35,340 Virgin Galactic and Blue Origin are looking to capture a 471 00:26:35,340 --> 00:26:38,500 significant share of the space tourism market, with ticket 472 00:26:38,500 --> 00:26:44,500 prices ranging from $250,000 initially around 450,000 473 00:26:44,740 --> 00:26:48,340 currently for Virgin Galactic. With a waiting list of more than 474 00:26:48,380 --> 00:26:52,420 800 people, the demand for such experiences is definitely 475 00:26:52,420 --> 00:26:55,380 apparent. Interestingly, both companies 476 00:26:55,380 --> 00:26:57,860 have customers who have also shown interest in their 477 00:26:57,860 --> 00:27:00,180 competitors. For example, Sharon and Mark 478 00:27:00,180 --> 00:27:03,500 Hagel from Winter Park, FL had flown with Blue Origin in March 479 00:27:03,500 --> 00:27:06,780 2022 and are on the waiting list for Virgin Galactic. 480 00:27:07,060 --> 00:27:10,260 The second trip with Blue Origin is on hold, pending FA A's final 481 00:27:10,260 --> 00:27:12,540 nod for New Shepherd's return to Flight. 482 00:27:13,140 --> 00:27:16,140 And while space tourism is a noteworthy segment of Blue 483 00:27:16,140 --> 00:27:19,660 Origins plans, it is far from being their only focus. 484 00:27:20,020 --> 00:27:23,020 The company has ambitious projects that include the launch 485 00:27:23,020 --> 00:27:26,740 of its new Glen heavy lift rocket from Cape Canaveral, FL, 486 00:27:27,100 --> 00:27:29,820 a lunar Lander for NASA's artivist missions, and a 487 00:27:29,820 --> 00:27:33,500 commercial space station named Orbital Reef, And for Blue 488 00:27:33,500 --> 00:27:37,380 Origin, the Fe A's decision to close the investigation may mark 489 00:27:37,380 --> 00:27:39,380 a turning point. The company is required to 490 00:27:39,380 --> 00:27:42,740 adhere strictly to 21 corrective measures outlined by the FAA, 491 00:27:43,140 --> 00:27:46,340 some of which may necessitate significant engineering efforts. 492 00:27:46,750 --> 00:27:49,310 The timely implementation of these measures is critical, 493 00:27:49,550 --> 00:27:52,470 especially with these ambitious projects waiting in the wings, 494 00:27:52,910 --> 00:27:56,070 and the FA A's final report, though not publicly available 495 00:27:56,070 --> 00:27:59,750 due to proprietary and US export control reasons, states that 496 00:27:59,750 --> 00:28:02,310 public safety was not compromised during the mishap. 497 00:28:02,710 --> 00:28:06,270 The FAA also clarified that the investigations closer does not 498 00:28:06,310 --> 00:28:08,950 indicate an immediate presumption of the New Shepherd 499 00:28:08,950 --> 00:28:11,470 launches. Blue Origin needs to implement 500 00:28:11,470 --> 00:28:14,700 all corrective actions that impact public safety and receive 501 00:28:14,700 --> 00:28:17,940 a license modification from the FAA prior to their next launch. 502 00:28:18,220 --> 00:28:21,020 Regulations are an essential aspect of any burgeoning 503 00:28:21,020 --> 00:28:23,940 industry, and the commercial space sector is no exception. 504 00:28:24,260 --> 00:28:27,660 What transpired with Blue Origin can serve as an instructive 505 00:28:27,700 --> 00:28:29,820 episode for other companies in the industry. 506 00:28:30,180 --> 00:28:33,700 Underscoring the significance of safety measures and regulatory 507 00:28:33,700 --> 00:28:35,620 compliance. We're covering a story that's 508 00:28:35,620 --> 00:28:39,180 been gaining a lot of attention. Linda Yacarino, the new CEO of 509 00:28:39,220 --> 00:28:43,110 X, the social media and platform formerly known as Twitter, is 510 00:28:43,110 --> 00:28:46,870 gearing up to meet with seven banks that finance Elon Musk's 511 00:28:46,910 --> 00:28:49,990 acquisition of the company. Now Yakorino, who took to the 512 00:28:49,990 --> 00:28:53,390 CEO seat in June, plans to discuss her strategy for 513 00:28:53,390 --> 00:28:56,150 reviving the platform's financial health with executives 514 00:28:56,150 --> 00:29:03,310 from Morgan Stanley, Bank of America, Barclays, MUF GB NP and 515 00:29:03,350 --> 00:29:07,430 Mizuho and Societ Generale on October 5th. 516 00:29:07,750 --> 00:29:09,590 Now this meeting is crucial to Yakorino. 517 00:29:10,140 --> 00:29:13,380 She aims to instill confidence and access bankers that she can 518 00:29:13,380 --> 00:29:17,060 breathe new life into the social media platform, which was faced 519 00:29:17,620 --> 00:29:20,580 with declining revenues and a myriad of other challenges. 520 00:29:20,900 --> 00:29:25,220 The bankers who hold about $13 billion in debt related to the 521 00:29:25,220 --> 00:29:28,780 acquisition, are eager to hear how Yacorino plans to attract 522 00:29:28,780 --> 00:29:32,980 advertisers back to the platform and possibly diversify into 523 00:29:32,980 --> 00:29:35,420 subscriptions and payments in the future. 524 00:29:36,090 --> 00:29:39,410 Just a few days ago, Jacarino faced some tough questions at 525 00:29:39,410 --> 00:29:42,410 the Code Conference, particularly about user metrics 526 00:29:42,730 --> 00:29:44,210 and the platform's business model. 527 00:29:44,490 --> 00:29:46,690 Her performance at the conference left some people 528 00:29:46,690 --> 00:29:50,370 skeptical about the direction of which X is headed. 529 00:29:50,770 --> 00:29:53,490 The new CEO has also been questioned about her 530 00:29:53,490 --> 00:29:56,930 relationship with Elon Musk and how his influence might impact 531 00:29:56,930 --> 00:29:59,610 the platform, especially in the context of attracting 532 00:29:59,610 --> 00:30:01,120 advertisers. Now. 533 00:30:01,120 --> 00:30:03,720 Yacorino did mention that the company is close to breaking 534 00:30:03,720 --> 00:30:07,240 even from an operational cash flow standpoint and expects to 535 00:30:07,240 --> 00:30:11,640 turn a profit by early of 2024. The statement, alongside the 536 00:30:11,640 --> 00:30:16,600 revelation that X currently has 245,000,000 daily active users, 537 00:30:16,600 --> 00:30:19,840 provided some level of assurance, but questions still 538 00:30:19,840 --> 00:30:23,960 linger now among the banks. This is apprehensive. 539 00:30:24,400 --> 00:30:28,080 They have been shouldering the $13 billion debt tied to X's 540 00:30:28,080 --> 00:30:29,840 acquisition for almost a year now. 541 00:30:30,520 --> 00:30:33,240 They also had to reject offers to buy some of the senior debt 542 00:30:33,560 --> 00:30:37,280 at a significant discount, opting instead to hold on to it 543 00:30:37,280 --> 00:30:39,600 in hopes that the company's fortunes would improve. 544 00:30:40,160 --> 00:30:43,120 And a significant issue Yacorino faces is the decline in the 545 00:30:43,120 --> 00:30:46,760 platform's advertising revenue, which dropped 60% since the 546 00:30:46,760 --> 00:30:49,040 takeover. And some of this decline is 547 00:30:49,040 --> 00:30:51,240 rooted in broader economic worries. 548 00:30:51,240 --> 00:30:53,800 But a chunk can also be attributed to Musk's less 549 00:30:53,800 --> 00:30:57,120 traditional approach to running the platform, including relaxing 550 00:30:57,120 --> 00:31:00,360 moderation policies. Although Musk himself 551 00:31:00,360 --> 00:31:02,840 acknowledged the drop in revenues, he noted that the 552 00:31:02,840 --> 00:31:07,040 platform was still covering its initial costs of around $1.5 553 00:31:07,040 --> 00:31:10,280 billion a year even before the takeover. 554 00:31:10,600 --> 00:31:14,360 Twitter, now X, was facing difficulties in maintaining 555 00:31:14,360 --> 00:31:18,280 advertising revenues, and big name companies had started 556 00:31:18,280 --> 00:31:21,680 pulling out their advertising budgets, partly due to fears of 557 00:31:21,680 --> 00:31:24,840 an impending recession, but also because of concerns about Musk's 558 00:31:24,840 --> 00:31:28,960 handling of the platform. Despite these setbacks, Yacorino 559 00:31:28,960 --> 00:31:30,920 has pointed out some positive trends. 560 00:31:31,200 --> 00:31:33,360 In a recent interview, she revealed that 90% of the 561 00:31:33,360 --> 00:31:36,800 platform's top 100 global spenders have resumed 562 00:31:36,800 --> 00:31:39,760 advertising on X. However, the exact amounts 563 00:31:39,760 --> 00:31:41,880 they're spending remain undisclosed. 564 00:31:42,760 --> 00:31:45,080 One of the most intriguing dynamics is the relationship 565 00:31:45,080 --> 00:31:48,440 between Yacorino and Elon Musk. During interviews, Yacorino was 566 00:31:48,440 --> 00:31:51,280 asked whether Musk consults with her on major decisions like 567 00:31:51,560 --> 00:31:54,160 potentially moving the platform to a subscription model. 568 00:31:54,360 --> 00:31:56,560 While she didn't give a straightforward answer, she 569 00:31:56,560 --> 00:31:58,840 emphasized her broader role in running the company. 570 00:31:59,160 --> 00:32:02,560 Yacorino has a background of advertising and was formerly the 571 00:32:02,560 --> 00:32:05,360 head of advertising sales at NBC Universal. 572 00:32:05,680 --> 00:32:08,680 Her expertise in this area could be vital in drawing advertisers 573 00:32:08,680 --> 00:32:12,080 back to the platform, but her vision appears to extend beyond 574 00:32:12,080 --> 00:32:14,760 just advertising revenue. She's also made it clear that 575 00:32:14,760 --> 00:32:17,720 she's not just there to head the advertising department, but to 576 00:32:17,720 --> 00:32:21,760 held the entire organization. And in this complex interplay 577 00:32:21,760 --> 00:32:24,720 must continues to have a strong influence, especially in the 578 00:32:24,720 --> 00:32:27,450 product side of things. This isn't necessarily seen as a 579 00:32:27,450 --> 00:32:31,050 drawback, given Musk's known proficiency and technological 580 00:32:31,250 --> 00:32:34,090 ovation. Now, as Linda Yakirino prepares 581 00:32:34,090 --> 00:32:37,090 for this critical meeting, she's juggling several balls at once. 582 00:32:37,330 --> 00:32:39,890 Not only is she dealing with operational challenges, but 583 00:32:39,890 --> 00:32:43,290 she's also navigating the waters of public opinion and grappling 584 00:32:43,290 --> 00:32:46,050 with the responsibility of reassuring nervous bankers. 585 00:32:46,370 --> 00:32:48,490 And at the same time, she's working closely with one of the 586 00:32:48,490 --> 00:32:52,370 most prominent and unpredictable tech entrepreneurs over time, 587 00:32:52,370 --> 00:32:54,970 Elon Musk. There are also other matters to 588 00:32:54,970 --> 00:32:58,250 attend to, such as allegations of inadequate actions against 589 00:32:58,250 --> 00:33:02,050 hate speech and disinformation. Yacorino has defended X's new 590 00:33:02,050 --> 00:33:05,170 direction, emphasizing its commitment to free expression, 591 00:33:05,370 --> 00:33:08,290 but the jury is allowed on how this will play out in the long 592 00:33:08,290 --> 00:33:10,530 run. Allies are on the upcoming 593 00:33:10,530 --> 00:33:14,450 meeting, which has the potential to define the future of X and by 594 00:33:14,450 --> 00:33:17,570 extension, impact the fortunes of the seven banks involved and 595 00:33:17,570 --> 00:33:20,210 possibly reshape the social media ecosystem. 596 00:33:20,210 --> 00:33:23,610 Now let's shift our focus to a topic that's been picking up 597 00:33:23,610 --> 00:33:26,740 steam in the recent years, namely the role of commercial 598 00:33:26,740 --> 00:33:30,380 satellites in military operations and the implications 599 00:33:30,380 --> 00:33:33,660 for national security. Just last week, General Chant 600 00:33:33,660 --> 00:33:37,220 Saltzman, who is a high ranked official in the US Space Force, 601 00:33:37,500 --> 00:33:40,940 spoke at a conference in Hawaii. His remarks have added a new 602 00:33:40,940 --> 00:33:42,980 layer to the ongoing conversations about the 603 00:33:42,980 --> 00:33:46,460 responsibility of the military and safeguarding commercial 604 00:33:46,460 --> 00:33:50,420 assets in space like Starlink. Now, the focal point here is the 605 00:33:50,420 --> 00:33:53,380 increased dependence of the US military on commercial networks 606 00:33:53,380 --> 00:33:56,080 for tests like communication and surveillance. 607 00:33:56,400 --> 00:33:59,640 And General Saltzman's comments not only reiterated the rising 608 00:33:59,640 --> 00:34:03,200 threats from nations like China and Russia, but also explicitly 609 00:34:03,200 --> 00:34:05,680 address the role of the military in defending commercial 610 00:34:05,680 --> 00:34:08,000 satellites. To give a concrete example, the 611 00:34:08,000 --> 00:34:11,480 hypothetical situation was posed about how the US military would 612 00:34:11,520 --> 00:34:16,280 act if Russia targeted SpaceX is Starlink broadband Network, a 613 00:34:16,280 --> 00:34:18,920 commercial satellite system, has been used for Internet 614 00:34:18,920 --> 00:34:21,679 connectivity by Ukraine in its conflict with Russia. 615 00:34:22,520 --> 00:34:24,920 Now, the situation surrounding the military's role in 616 00:34:24,920 --> 00:34:28,400 protecting commercial assets in space is both complex and 617 00:34:28,400 --> 00:34:30,800 nuanced. While General Saltzman did not 618 00:34:30,800 --> 00:34:33,159 directly respond to the hypothetical situation 619 00:34:33,159 --> 00:34:36,880 concerning an attack on Spacex's Starlink network, he did make it 620 00:34:36,880 --> 00:34:40,000 clear that the US military sees a role for itself in 621 00:34:40,000 --> 00:34:42,480 safeguarding commercial activities in space. 622 00:34:42,880 --> 00:34:46,840 His argument extends a well established philosophy of U.S. 623 00:34:46,840 --> 00:34:52,310 policy to protect vital assets. Saltman compared space to sea 624 00:34:52,310 --> 00:34:55,350 lanes and civilian airliner traffic, highlighting that the 625 00:34:55,350 --> 00:34:58,390 same protective principles could apply in the extraterrestrial 626 00:34:58,390 --> 00:35:00,870 domain. And to implement this kind of 627 00:35:00,870 --> 00:35:04,110 defense, operations would likely be channeled through the US 628 00:35:04,110 --> 00:35:08,430 Space Command, an entity district from the Space Force. 629 00:35:08,790 --> 00:35:12,550 Now, Space Command's purpose is to provide combatant commands 630 00:35:12,550 --> 00:35:15,390 with the resources and technology required for the 631 00:35:15,390 --> 00:35:19,350 missions, led by the US Army General James Dickinson, who 632 00:35:19,350 --> 00:35:22,750 interestingly did not give a clear cut answer to a similar 633 00:35:22,750 --> 00:35:25,310 query regarding the defense of commercial satellites. 634 00:35:25,830 --> 00:35:28,990 According to Saltzman, the responsibility of deciding which 635 00:35:28,990 --> 00:35:31,870 commercial assets to protect ultimately falls under the 636 00:35:31,870 --> 00:35:35,030 purview of Space Command and higher level civilian 637 00:35:35,030 --> 00:35:37,670 leadership. He spoke of the need for setting 638 00:35:37,670 --> 00:35:41,470 priorities, suggesting that there could be limitations on 639 00:35:41,470 --> 00:35:43,790 the extent to which the military can protect commercial 640 00:35:43,790 --> 00:35:46,580 satellites. Such limitations would likely be 641 00:35:46,580 --> 00:35:50,620 determined by capacity, strategy and the value of the assets 642 00:35:50,620 --> 00:35:53,580 involved. Last October, Russia weighed in 643 00:35:53,580 --> 00:35:56,860 on the subject. A deputy director in Russia's 644 00:35:56,860 --> 00:35:59,900 Foreign Ministry flagged the use of Western commercial satellites 645 00:35:59,900 --> 00:36:03,140 by Ukraine as a highly risky trend. 646 00:36:03,540 --> 00:36:06,020 And while he did not need specific satellites, the 647 00:36:06,020 --> 00:36:09,300 implication was that he was talking about Spacex's Starlink. 648 00:36:09,870 --> 00:36:11,750 Now, this points to an international aspect of 649 00:36:11,750 --> 00:36:14,950 commercial satellites becoming potentially military targets. 650 00:36:15,310 --> 00:36:18,670 Similarly, Tara Brown, an official in the Royal Air Force 651 00:36:19,030 --> 00:36:22,390 and a professor at the US Naval War College who specializes in 652 00:36:22,390 --> 00:36:25,670 space law, concluded that civilian satellites used for 653 00:36:25,670 --> 00:36:28,270 wartime objectives could essentially be considered 654 00:36:28,270 --> 00:36:30,910 military targets. The international community 655 00:36:30,910 --> 00:36:33,630 seems to be inching toward a consensus that these commercial 656 00:36:33,630 --> 00:36:37,430 assets, once used for military purposes, enter a new category 657 00:36:37,430 --> 00:36:40,430 of vulnerability. As we venture further into this 658 00:36:40,430 --> 00:36:42,830 era of increasing interdependence between 659 00:36:42,830 --> 00:36:45,910 commercial and military operations in space, the points 660 00:36:45,910 --> 00:36:49,070 made by General Saltzman bring essential questions into focus. 661 00:36:49,350 --> 00:36:52,110 What are the limits of military involvement in protecting 662 00:36:52,110 --> 00:36:55,630 commercial assets in space, and who gets to decide these limits? 663 00:36:56,070 --> 00:36:59,310 And how will international laws adapt to these new challenges? 664 00:36:59,670 --> 00:37:02,030 The dialogue surrounding the defense of commercial satellites 665 00:37:02,030 --> 00:37:05,590 is still evolving, but it is undoubtedly a matter of critical 666 00:37:05,590 --> 00:37:07,460 importance. We will continue to gain 667 00:37:07,460 --> 00:37:10,660 attention from both military and civilian leadership. 668 00:37:11,060 --> 00:37:14,700 This topic brings in a relief the necessity for an integrated 669 00:37:14,740 --> 00:37:17,900 and well thought out approach to safeguarding what might become 670 00:37:17,900 --> 00:37:20,580 some of the most valued assets of the 21st century. 671 00:37:21,220 --> 00:37:23,300 I want to say thank you for listening to the show today. 672 00:37:23,780 --> 00:37:26,620 If you found this discussion to be of interest, don't forget to 673 00:37:26,620 --> 00:37:29,020 hit the subscribe or the follow button on whatever podcast 674 00:37:29,020 --> 00:37:31,220 platform you're listening on right now. 675 00:37:31,500 --> 00:37:34,300 It's free and only takes a moment of your time and it helps 676 00:37:34,300 --> 00:37:36,990 out this show tremendously. Thank you so much for doing 677 00:37:36,990 --> 00:37:38,510 that. Also, please take care of 678 00:37:38,510 --> 00:37:41,390 yourselves and each other and I'll see you in the next one.