Tesla and SpaceX formed special committees to explore a merger as the EV maker reported flat revenue and a sharp profit drop this week, while Rivian acquired a simulation AI startup and GM unveiled its next-gen EV platform.
- Elon Musk said Tuesday that Tesla and SpaceX have each formed special committees of independent directors to evaluate a potential merger.
- Tesla executives said the company is aiming to begin delivering Cybercabs to external fleet customers by the end of 2026.
- Rivian announced Thursday that it has acquired Third Dimension AI, a UK-based startup that turns real-world images and video into controllable 3D environments.
Tesla and SpaceX moved closer to a possible combination this week after Elon Musk publicly endorsed the idea, while the EV maker reported flat revenue and a profit decline for the third quarter.
Autonomy efforts advanced elsewhere, with Rivian acquiring a simulation startup and Lucid locking in European robotaxi software. GM detailed a lower-cost next-generation platform, and Ford refreshed the Mustang Mach-E.
Tesla And SpaceX Explore Combination; EV Giant’s Q3 Earnings Drop
Elon Musk said Tuesday that Tesla and his rocket manufacturing company SpaceX have each formed special committees of independent directors to evaluate a potential merger.
On SpaceX’s quarterly earnings call, he described combining the companies as “a good idea” but said he has recused himself from the discussions because of conflicts of interest. Any deal would still require approval from both special committees, the respective boards, and shareholders. Talks remain at an early stage.
Tesla, meanwhile, reported revenue of $28 billion, compared to an analyst estimate of $28.3 billion, and adjusted earnings of $0.48 per share, against an expected EPS of $0.45, for the period ended September 30. Both revenue and earnings, however, dropped from the corresponding quarter of 2025.
Automotive revenue declined 3%, while energy generation and storage revenue fell 16%. Operating margin compressed amid continued heavy investment in AI, robotics, and autonomy, raising capital expenditure by 110% to $4.7 billion. The company, however, slashed its full-year capex estimate to $20 billion, down from the previously estimated $25 billion.
On Tesla’s earnings call, company executives said the company is aiming to begin delivering Cybercabs to external fleet customers by the end of 2026. Tesla-owned Austin Cybercab fleet has grown roughly tenfold since its recent launch; the company also plans to introduce the vehicle in Dallas next month. Notably, the National Highway Traffic Safety Administration still has an open inquiry into how the steering-wheel-free vehicle complies with federal motor vehicle safety standards.
Rivian Acquires Simulation Startup; Lucid Advances European Robotaxi Plans
Rivian announced Thursday that it has acquired Third Dimension AI, a UK-based startup that turns real-world images and video into controllable high-fidelity 3D environments. Terms were not disclosed. The 15-person team will join Rivian’s autonomy and AI group. The deal is intended to accelerate synthetic data generation and simulation for Rivian’s driver-assistance systems and the self-driving software for robotaxis it plans to supply to Uber, the company said.
European self-driving company Bolt, meanwhile, said its planned fleet of at least 25,000 autonomous Lucid vehicles in Europe will use Nvidia’s Alpamayo Stack to enable autonomous driving. The robotaxi program is set to begin with data-collection vehicles in Madrid in 2027, subject to regulatory approval, before expanding to other markets such as Germany and France.
GM Details Fourth-Generation EV Platform; Ford Updates Mustang Mach-E
General Motors this week outlined its fourth-generation EV platform, which will use lithium manganese-rich (LMR) prismatic cells exclusively for high-volume EV segments. The company said the chemistry is designed to deliver about 33% more energy density than lithium iron phosphate at a comparable cost, supporting roughly 20% more range per kilowatt-hour. The platform also features simpler drive units with about 40% fewer parts. Production of the LMR cells is targeted for 2028.
Ford, meanwhile, opened orders for the 2027 model year Mustang Mach-E electric SUV, which now includes a standard extended-range battery and starts under $40,000. The Mustang Mach-E seeks to rival Tesla’s best-selling Model Y.
On Stocktwits, retail sentiment around TSLA was ‘bearish’ at the time of writing, while sentiment around RIVN, F, and LCID was ‘neutral,’ and sentiment around GM was ‘extremely bullish.’
For updates and corrections, email newsroom[at]stocktwits[dot]com.
