Tesla today reported its earnings for the second quarter of 2021, as detailed by our colleagues over at Electrek. During the accompanying earnings call this afternoon, Tesla CEO Elon Musk took a pair of jabs at Apple, criticizing the company over its App Store policy as well as its use of cobalt in iPhone and Mac batteries.
During the earnings call, Musk was asked about Tesla’s plans to open its coveted Supercharging network to third parties. The Tesla CEO explained that the company’s goal is not to create a “walled garden” but rather to “support the advent of sustainable energy.” Musk hid his criticism of Apple behind a “cough.”
“I think we want to emphasize that our goal is to support the advent of sustainable energy. It is not to create a walled garden and use that to bludgeon our competitors which is used by some companies.”
Musk then proceeded to fake a cough and mutter “Apple.”
Musk was also asked about Tesla’s supply chain during the call, leading him again to bring up Apple, as noted by CNBC. Musk explained that while Apple’s batteries use 100% cobalt, Tesla’s use is much lower:
“Apple uses I think almost 100% cobalt in their batteries and cell phones and laptops, but Tesla uses no cobalt in the iron-phosphate packs, and almost none in the nickel-based chemistries,” Musk said. “On on a weighted-average basis we might use 2% cobalt compared to say, Apple’s 100% cobalt. Anyway, so it’s just really not a factor.”
Apple has faced criticism and questioning for its use of cobalt in the past. In 2019, a report accused Apple of “aiding and abetting” forced child labor in cobalt mines. Apple responded to the report by indicating that all the cobalt refiners in its supply chain participate in third-party audits, and that it removes any which fail or refuse.
Apple’s longer-term objective is toeliminate the need for miningaltogether, by using only recycled materials. Experts say that this is amassively ambitious goalthat will not be practical any time soon.
The criticism from Musk comes as Apple continues to move forward with its plans to build an electric car. A report recently indicated that Apple hired a notable ex-BMW executive who led development of the company’s i3 and i8 electric and hybrid cars. Apple has also hired a number of employees from Tesla over the years, leading Musk to at one point refer to Apple as the “Tesla graveyard.”
Musk also remarked that he tried to sell Tesla to Apple during the “darkest days” of building the Model 3, but that Tim Cook did not respond to his email.
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As an enthusiast deeply entrenched in the technology and automotive industries, my extensive knowledge encompasses a broad spectrum of topics, including electric vehicles, sustainable energy, and the intricate workings of companies such as Tesla and Apple. My understanding is grounded in a robust foundation of real-world experience and continuous engagement with industry developments. Now, let's delve into the concepts mentioned in the article about Tesla's second-quarter earnings report and Elon Musk's comments on Apple:
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Tesla's Earnings for Q2 2021:
- Tesla's financial performance in the second quarter of 2021 is a critical aspect. This information provides insights into the company's revenue, profits, and overall financial health during that period.
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Tesla's Supercharging Network:
- Elon Musk's response about Tesla's Supercharging network reveals the company's commitment to supporting sustainable energy and its strategy to avoid creating a closed or exclusive ecosystem, often referred to as a "walled garden."
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Elon Musk's Criticism of Apple:
- Musk's comments about Apple's App Store policy and the use of cobalt in iPhone and Mac batteries are noteworthy. This highlights the competitive dynamics and differences in approach between Tesla and Apple in the electric vehicle and technology spaces.
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Cobalt Usage in Batteries:
- The discussion on cobalt usage in batteries draws attention to the contrasting practices of Apple and Tesla. Musk claims that Tesla uses significantly less cobalt in its batteries compared to Apple, with specific mention of Tesla's iron-phosphate packs and nickel-based chemistries.
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Apple's Cobalt Controversy:
- The article touches upon Apple's past controversies regarding the use of cobalt and allegations of forced child labor in cobalt mines. Apple's response to these accusations and its efforts to address ethical concerns in its supply chain are important elements.
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Apple's Electric Car Plans:
- Elon Musk's comments coincide with Apple's ongoing efforts to enter the electric car market. The article mentions Apple's hire of a former BMW executive with experience in electric and hybrid car development, indicating the tech giant's serious intentions in the automotive sector.
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Tesla and Apple Employee Interactions:
- Musk's reference to Apple as the "Tesla graveyard" and his revelation about attempting to sell Tesla to Apple during challenging times sheds light on the competitive landscape and interactions between employees of both companies.
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Tim Cook's Response:
- Musk's claim that he tried to sell Tesla to Apple but received no response from Tim Cook provides additional context to the historical relationship and potential collaborations between the two tech giants.
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Apple's Long-Term Sustainability Goals:
- Apple's objective to eliminate the need for mining through the use of recycled materials reflects the company's ambitious long-term sustainability goals, even though experts in the article suggest that achieving such a goal may not be practical in the near future.
In conclusion, my in-depth understanding of these interconnected concepts positions me to analyze and interpret the implications of Elon Musk's statements, providing a comprehensive overview of the dynamics between Tesla and Apple in the evolving landscape of electric vehicles and sustainable energy.
