Tech Titans: Bill Gates and Elon Musk's Electric Vehicle Rivalry
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Chapter 1: The Ongoing Feud
It has become increasingly evident that the relationship between Elon Musk and Bill Gates is fraught with tension. Musk accused Gates of betraying him when they discussed Gates's $500 million short position against Tesla's stock. Gates responded by stating he had not yet closed that position.
Musk takes Tesla's success personally, viewing anyone who short-sells the stock as a direct adversary. Thus, it was no shock when a private conversation between the two was leaked, prompting Musk to take to Twitter and publicly challenge Gates. As one of the platform's most active users, Musk recently purchased Twitter for a staggering $44 billion, which has further amplified his influence.
When Musk tweeted a meme comparing Gates to a pregnant emoji, the post quickly gained traction, causing Gates to trend and becoming the punchline of the day among Musk's nearly 94 million followers. Clearly, it was a favorable moment for Musk, as the animosity between the two continues to fester.
Section 1.1: Gates Chooses Porsche Over Tesla
When it came time for Gates to purchase an electric vehicle, he opted for a Porsche Taycan instead of a Tesla. This decision led Musk to remark on Twitter, "My conversations with Gates have been underwhelming, to be honest." It seems that Gates enjoys provoking Musk, perhaps even intentionally, as he has a history of making headlines—his association with Jeffrey Epstein is a case in point.
By keeping the spotlight on himself, Gates capitalizes on the attention Musk brings, effectively garnering free publicity.
Subsection 1.1.1: Investment Strategies
Despite his personal feelings towards Tesla, Gates claims that his investment strategy is based on diversification. This explains his significant farmland ownership and his decision to short Tesla by $500 million. The more wealth he amasses, the more he can contribute to the Gates Foundation, which channels his profits into charitable endeavors.
What battery companies are capturing Gates's attention? His investments are logical; without batteries, the future of electric vehicles (EVs) is bleak. Gates is not alone in this pursuit, as many billionaires are funneling resources into EV battery production, including KoBold Metals.
Section 1.2: Billionaires Unite for Battery Technology
KoBold Metals, which Gates, Jeff Bezos, and Musk have stakes in, plans to explore Greenland for essential elements like cobalt and nickel, necessary for EV production. These components, referred to as "future minerals," are becoming increasingly valuable. The company utilizes advanced artificial intelligence and machine learning to optimize its search. Recently, KoBold acquired a 51% stake in the Disko-Nuusuaq seabed project in West Greenland.
Meanwhile, Tesla is pivoting towards lithium iron phosphate (LFP) batteries, a shift prompted by disruptions in the nickel-cobalt-manganese (NCM) supply chain due to geopolitical tensions. In the first quarter, nearly half of Tesla's produced vehicles featured LFP batteries, a more affordable option compared to traditional NCM cells.
Chapter 2: The Rise of Mangrove Lithium
Bill Gates's Breakthrough Energy Ventures has upped its investment in Mangrove Lithium, increasing its stake from an initial $10 million. BMW has also joined the ranks as an early investor through its BMW Ventures Fund. Founded in 2017, Mangrove Lithium emerged from a project at the University of British Columbia and claims to have developed innovative processing technology that converts mined and recycled lithium into lithium carbonate or lithium hydroxide—key elements in battery production.
The competition for superior EV batteries is heating up, resembling the dot-com boom, as startups that can deliver on promises gain investor interest from figures like Musk and Gates. Additionally, Gates has invested in QuantumScape, a $4.3 billion battery startup that is shrouded in secrecy but shows promise.
Final Thoughts: The Personal Stakes
While Gates may frame his investments in the EV sector as purely business-driven, one can't help but question his motives behind short-selling Tesla stock, a company synonymous with Musk. The failure of Tesla would undoubtedly impact Musk, raising the stakes in their rivalry. Gates has consistently stated that his short position has no relation to his philanthropic efforts or his commitment to tackling global issues like climate change.
In this race for the best EV battery, the question remains: who will emerge victorious, Musk or Gates? Although Gates seems open to the electric vehicle concept, only he knows if he holds any disdain for Tesla or Musk himself.
Thank you for reading.