Charged: Tesla disbanding Dojo supercomputer team

Business Insider

18 hours ago

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From the hotly-debated high-flier Tesla (TSLA), Wall Street's newest darling Rivian (RIVN), traditional-stalwarts turned EV-upstarts GM (GM) and Ford (F) to the numerous SPAC-deal makers that have come public in this red-hot space, The Fly has you covered with 'Charged,' a weekly recap of the top stories and expert calls in the sector.
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DOJO TEAM DISBANDED: Tesla is disbanding its Dojo team and the project's leader Peter Bannon will be leaving the company, Edward Ludlow of Bloomberg reports, citing people familiar with the matter. The team lost about 20 workers recently to DensityAI and the remaining Dojo workers will be reassigned to other data center and compute projects, sources added. Additionally, Bloomberg's sources added that Tesla plans to increase its reliance on external technology partners, such as Nvidia (NVDA) and AMD (AMD) for compute and Samsung (SSNLF) for chip manufacturing.
RIVIAN RESULTS: Rivian reported Q2 losses per share (97c) and Q2 revenue $1.303B, with consensus at (78c) and $1.29B, respectively. RJ Scaringe, Rivian Founder and CEO, said, 'This quarter we made significant progress in R2 development and testing. We also substantially completed the expansion of our Normal, Illinois facility and have begun installing manufacturing equipment in preparation for our start of production. Along with R2, our autonomy platform continues to be one of our major focus areas, and we're excited to share more of our roadmap later this year.'
Rivian said it sees FY25 adjusted EBITDA of (2B) -($2.25B), FY25 vehicles delivered 40,000-46,000, and FY25 capital expenditures of $1.8B-$1.9B. The company is maintaining its 2025 delivery guidance range of 40,000 to 46,000. Because of some of the recent changes associated with regulatory credits and its second quarter performance, the company is increasing its guidance for adjusted EBITDA losses to ($2,000) million – ($2,250) million.
LUCID RESULTS: Lucid Group (LCID) reported Q2 adjusted losses per share (24c), with consensus at (22c), and Q2 revenue of $259.4M, with consensus at $262.64M. Produced 3,863 vehicles in Q2. Delivered 3,309 vehicles in Q2; up 38.2% compared to Q2 2024. 'We had our sixth consecutive quarter of record deliveries in Q2 and expect to continue this trend as we ramp up Lucid Gravity production in the second half of the year,' said Marc Winterhoff, Interim CEO at Lucid. 'In Q1, we mentioned our ongoing partnership discussions to develop new revenue streams for our EV technology and beyond. The robotaxi partnership we announced with Uber and Nuro is a perfect example aligned with that strategy. We also continued to double down on increasing our brand awareness, introducing Timothee Chalamet, an award-winning actor and cultural icon, as our first global brand ambassador.'
'We delivered solid performance despite a challenging macroeconomic backdrop, thanks to the adaptability and focus of our team in navigating a dynamic environment,' said Taoufiq Boussaid, CFO at Lucid. 'We are focused on business fundamentals to achieve our near-term goals: disciplined cost management, brand building, and continuing to execute our Lucid Gravity launch ramp. We remain committed to strengthening our balance sheet and maintaining long-term alignment with partners and shareholders.'
ACQUISITIONS: Archer (ACHR) announced two strategic acquisitions to accelerate the development of its next-generation defense aircraft. One of the acquisitions is of a patent portfolio and hiring of key talent from Overair, a spin-off of Karem Aircraft. The other is the acquisition of key composite manufacturing assets and a ~60,000 square foot manufacturing facility from Mission Critical Composites, a specialized defense composite manufacturer in Southern California.