TSLAQ (pronounced "Tesla Q") is a loose, international[1] collective of largely anonymous
short-sellers,[2] skeptics, and researchers who openly criticize
Tesla, Inc. and its CEO
Elon Musk.[3] The group primarily organizes on
Twitter, often using the $TSLAQ
cashtag, and
Reddit to coordinate efforts and share news, opinions, and analysis about the company and its stock.[4]Edward Niedermeyer, in his book Ludicrous: The Unvarnished Story of Tesla Motors (2019), establishes the catalyst for the formation of TSLAQ in July 2018 to be the
doxxing by a Twitter user of Lawrence Fossi, a
Seeking Alpha writer and Tesla short seller who uses the pseudonym Montana Skeptic.[5]
TSLAQ highlights what it claims to be a variety of dangerous, deceptive, unlawful and fraudulent business practices by Tesla. On occasion, TSLAQ has exchanged hostilities with Tesla fans over social media. An online group, TSLAQ's activities at times include taking aerial photography and visiting parking lots used by Tesla for storage.
According to the Los Angeles Times in 2019, TSLAQ members believe
Tesla is a fraudulent company and its stock would eventually crash, while also specifically claiming that Tesla was experiencing a "demand cliff" for its products and has had to regularly distort its sales numbers.[6] Their self-reported main goal as of 2019[update] was to "change the mind of Tesla stock bulls and the media."[6] Tesla was the most
shorted stock in the U.S. in December 2020, with over $34.5 billion in shorted share value at its peak.[7]Business Insider described TSLAQ member activity in 2019 as consisting of "exchang[ing] research, news articles, and sometimes outlandish conspiracy theories about the company" and that members were "betting on the company's death and have found much success in irritating the billionaire executive."[8]
Criticizing Tesla's practices
Tesla under Musk's leadership has been involved in a number of
lawsuits and controversies,[9] including investigations by the
U.S. Securities and Exchange Commission (SEC) and the Department of Justice.[10] News of such investigations and subsequent litigation, the alleged fraud and insider-dealing in connection with Tesla's acquisition of SolarCity in 2016, are major organizing points for TSLAQ members.[11] Tesla later won the SolarCity case. [12] Notably, Elon Musk revealed a "solar roof" shingle in October 2016 that later turned out to be fake, as originally speculated by TESLAcharts.[11][13] The group has also raised questions about
accounting irregularities related to warranty reserves, accounts receivables, and
regulatory credits.[14]
TSLAQ has highlighted a California judge's ruling in 2019 that Tesla had violated labor laws by unfairly disciplining employees who engaged in pro-union activity.[15][16][17] According to TSLAQ member Paul91701736, Tesla has frequently failed to achieve overly optimistic production projections.[6] Following Musk's statement that "Tesla does not need to ever raise another funding round" in 2012,[18] TSLAQ and others argue Tesla has had a total negative cash flow of over $8 billion and subsequently raised over $18 billion in additional debt and equity via subsidies and other means.[19] Musk also planned to build a fully automated factory for mass production of the Tesla Model 3,[20] describing the
factory as an "unstoppable alien dreadnought ... [the] machine that builds the machine."[21] However, footage produced by a TSLAQ member of activity at the Fremont factory revealed that cars were largely being built by hand.[22]
Hothi defamation lawsuit
In April 2019,
Tesla filed a lawsuit and a request for a restraining order against TSLAQ member Randeep Hothi,[23] also known as skabooshka.[22] The allegations were:
In February 2019, Mr. Hothi was found sitting in his car in the Tesla Fremont Factory parking lot. Security ordered him to leave, at which point Tesla alleged he exited at high speed and nearly struck an employee.[24]
In April 2019, Mr. Hothi spotted a Tesla car on the highway fitted with numerous camera systems and personnel in the car. He proceeded to film the vehicle, believing it to be demonstrating and filming Tesla's
Autopilot capabilities. Tesla alleged that he drove erratically and dangerously.[25][26]
In response to the allegations, TSLAQ members led by Lawrence Fossi ran a
GoFundMe campaign that raised more than $100,000 for Hothi's defense fund. Tesla refused to produce footage from within the test car on the grounds it "risked the safety and privacy of the employees involved in the case", and dropped the lawsuit and the request for a temporary restraining order against Hothi.[27] After reviewing the surveillance camera footage of the Tesla parking lot from the February incident,
Fremont police declined to press charges.[28]
In August 2020, Hothi sued Elon Musk for defamation over Musk's accusations in an email exchange with
PlainSite's owner
Aaron Greenspan that Hothi had almost killed Tesla employees.[29] The presiding judge rejected Musk's motion to strike the lawsuit in January 2021, allowing the trial to move forward.[30] In January 2022, Musk's appeal to strike the lawsuit under
anti-SLAPP laws was denied.[31] In April 2023, the parties settled, with Hothi receiving $10,000.[32]
References
^Niedermeyer, Edward (August 20, 2019). Ludicrous : the unvarnished story of Tesla Motors. Dallas, TX. p. 108.
ISBN978-1-948836-32-6.
OCLC1089841254.{{
cite book}}: CS1 maint: location missing publisher (
link)
^Ungarino, Rebecca (April 17, 2019).
"Inside Tesla Twitter". Market Insider.
Archived from the original on December 5, 2019. Retrieved December 9, 2019.
^"Who is Elon Musk?". tslaQ.org - Crowdsourced Tesla Research. December 17, 2019.
Archived from the original on November 12, 2020. Retrieved September 12, 2020.
Niedermeyer, Edward (August 20, 2019). Ludicrous: The Unvarnished Story of Tesla Motors. Dallas, TX.
ISBN978-1-948836-32-6.
OCLC1089841254.{{
cite book}}: CS1 maint: location missing publisher (
link)