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DJI will pay K to the man who accidentally hacked 7,000 Romo robovacs

DJI will pay $30K to the man who accidentally hacked 7,000 Romo robovacs

On Valentine’s Day, I brought you a story that’s since made headlines all around the world: How one man, just trying to steer his DJI robot vacuum with a PlayStation gamepad, discovered an entire network of 7,000 remote-control DJI robots ready to let him peek into other people’s homes.

To be clear, DJI had already begun addressing some of the related vulnerabilities before the man, Sammy Azdoufal, showed The Verge just how much he could access. But it wasn’t clear whether DJI would pay him for his discovery, particularly after how it treated security researcher Kevin Finisterre back in 2017 — or how soon DJI might fully patch the additional vulnerabilities that Azdoufal discovered.

Today, we have some of the answers.

DJI will pay Azdoufal $30,000 for one single discovery, according to an email he shared with The Verge, without specifying which discovery it’s paying him for. Though DJI is not naming Azdoufal, it confirms to The Verge it has “rewarded” an unnamed security researcher for their work.

DJI would also not tell us which discovery it’s paying him for, but says it has already addressed the extra vulnerability Azdoufal found where someone can view a DJI Romo video stream without needing a security pin. “We can confirm that the PIN code security observation was addressed by late February,” reads a statement provided by DJI spokesperson Daisy Kong.

You might be wondering: What about the vulnerability that seemed so bad we refused to describe it in our original story? DJI tells me it’s working on that one too: “We have also started upgrading the entire system. This includes a series of updates, which we anticipate will be fully implemented within one month.”

DJI has also published a public blog post today about strengthening the DJI Romo’s security, one where it continues to claim that it discovered the original issue itself, while also crediting “two independent security researchers” for finding the same problem.

There, DJI seems to be suggesting that everything’s already resolved with the Romo: “Updates have been deployed to fully resolve the issue.” But again, there wasn’t just one vulnerability, and DJI told The Verge that it could take as long as another month.

In the blog post, DJI also says that the Romo already has ETSI, EU, and UL certifications for security — which may raise questions about how useful those certifications really are if one guy with Claude Code could access an entire network full of robovacs! — and that it will continue to test, patch, and submit the Romo and its app to independent third-party security audits.

DJI writes that it is “committed to deepening our engagement with the security research community, and we will soon introduce new ways for researchers to partner and collaborate with us.”

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#DJI #pay #30K #man #accidentally #hacked #Romo #robovacs

On top of that, almost immediately after Trump’s announcement, Mizan, an Iranian state news agency, called the president a liar. “Last night, Donald Trump, citing a completely false news story, called on Iran to overturn the death sentences of eight women.” Mizan said that some of the women had already been released and others were facing prison time but not execution, and furthermore said that Tehran had made no concessions — presumably, the status of the women has not changed.

The X account for the Iranian embassy in South Africa, perhaps the most relentless shitposter among Iran’s state-affiliated accounts, was quick to pile on by generating its own set of eight women:

The collage that Trump posted is, at the very least, AI-modified, Mahsa Alimardani, the associate director of the Technology Threats & Opportunities program at WITNESS, told The Verge. But the women themselves are real. The woman in the top right corner of the collage is Bita Hemmati, whose photograph appeared in several news stories in various right-leaning news outlets last week. Hemmati is confirmed to have received a death sentence issued by Branch 26 of the Tehran Revolutionary Court for “operational action for the hostile government of the United States and hostile groups.”

Alimardani named six of the women (Bita Hemmati, Mahboubeh Shabani, Venus Hossein-Nejad, Golnaz Naraghi, Diana Taherabadi, Ghazal Ghalandri), and said that the identities of the final two (said to be Panah Movahedi and Ensieh Nejati) were still unverified. The six verified women participated in protests against the government in January. Aside from Hemmati, none of the other women are reported to have received death sentences.

It’s not surprising that Trump has a careless disregard for the truth; it’s not surprising, either, for the Iranian regime to fudge the details to suit its own narrative, or to make light of real political prisoners in order to dunk on the United States.

The additional wrinkle is that the account mocking Trump for coming to the rescue of “8 AI-generated women” is the very same one that landed South Korean president Lee Jae-myung in hot water when he quoted a misleading labeled video posted by that account. Israeli officials have accused the account of being “well-known for spreading disinformation.” The case of the sketchy Lee Jae-myung quote-post is a story of mingled truth and misinformation, where the post got facts very wrong, but the video — of Israeli Defense Forces soldiers shoving a limp body off a rooftop in Gaza — was real, documenting an event that possibly implicates Israeli forces in a violation of international law.

The case of the eight Iranian protesters also features that same mingling of fact and fiction into a fuzzy distortion that fuels an endless disputation of real human rights violations. Their lives have been reduced to glossy pixels and quote-dunks, the stuff of propaganda and parody. While known liars fight with each other on the internet about who these women are and what will happen to them, they — verifiably six of them, at least — remain real people who exist beyond the Iranian internet blackout.

#Iranian #women #Trump #saved #execution #simultaneously #real #AImanipulatedPolicy,Politics">The Iranian women Trump ‘saved’ from execution are simultaneously real and AI-manipulatedOnly the night before, he had posted on Truth Social about the imminent executions of these women, quoting a screenshot that included a collage of eight glamorously backlit, soft-focus portraits. The photos of the women were immediately accused of being AI-generated. “Trump is begging Iranian leaders to not execute 8 AI-generated women. This is the funniest thing I’ve ever seen,” said one viral X post.On top of that, almost immediately after Trump’s announcement, Mizan, an Iranian state news agency, called the president a liar. “Last night, Donald Trump, citing a completely false news story, called on Iran to overturn the death sentences of eight women.” Mizan said that some of the women had already been released and others were facing prison time but not execution, and furthermore said that Tehran had made no concessions — presumably, the status of the women has not changed.The X account for the Iranian embassy in South Africa, perhaps the most relentless shitposter among Iran’s state-affiliated accounts, was quick to pile on by generating its own set of eight women:The collage that Trump posted is, at the very least, AI-modified, Mahsa Alimardani, the associate director of the Technology Threats & Opportunities program at WITNESS, told The Verge. But the women themselves are real. The woman in the top right corner of the collage is Bita Hemmati, whose photograph appeared in several news stories in various right-leaning news outlets last week. Hemmati is confirmed to have received a death sentence issued by Branch 26 of the Tehran Revolutionary Court for “operational action for the hostile government of the United States and hostile groups.”Alimardani named six of the women (Bita Hemmati, Mahboubeh Shabani, Venus Hossein-Nejad, Golnaz Naraghi, Diana Taherabadi, Ghazal Ghalandri), and said that the identities of the final two (said to be Panah Movahedi and Ensieh Nejati) were still unverified. The six verified women participated in protests against the government in January. Aside from Hemmati, none of the other women are reported to have received death sentences.It’s not surprising that Trump has a careless disregard for the truth; it’s not surprising, either, for the Iranian regime to fudge the details to suit its own narrative, or to make light of real political prisoners in order to dunk on the United States.The additional wrinkle is that the account mocking Trump for coming to the rescue of “8 AI-generated women” is the very same one that landed South Korean president Lee Jae-myung in hot water when he quoted a misleading labeled video posted by that account. Israeli officials have accused the account of being “well-known for spreading disinformation.” The case of the sketchy Lee Jae-myung quote-post is a story of mingled truth and misinformation, where the post got facts very wrong, but the video — of Israeli Defense Forces soldiers shoving a limp body off a rooftop in Gaza — was real, documenting an event that possibly implicates Israeli forces in a violation of international law.The case of the eight Iranian protesters also features that same mingling of fact and fiction into a fuzzy distortion that fuels an endless disputation of real human rights violations. Their lives have been reduced to glossy pixels and quote-dunks, the stuff of propaganda and parody. While known liars fight with each other on the internet about who these women are and what will happen to them, they — verifiably six of them, at least — remain real people who exist beyond the Iranian internet blackout.#Iranian #women #Trump #saved #execution #simultaneously #real #AImanipulatedPolicy,Politics

called the president a liar. “Last night, Donald Trump, citing a completely false news story, called on Iran to overturn the death sentences of eight women.” Mizan said that some of the women had already been released and others were facing prison time but not execution, and furthermore said that Tehran had made no concessions — presumably, the status of the women has not changed.

The X account for the Iranian embassy in South Africa, perhaps the most relentless shitposter among Iran’s state-affiliated accounts, was quick to pile on by generating its own set of eight women:

The collage that Trump posted is, at the very least, AI-modified, Mahsa Alimardani, the associate director of the Technology Threats & Opportunities program at WITNESS, told The Verge. But the women themselves are real. The woman in the top right corner of the collage is Bita Hemmati, whose photograph appeared in several news stories in various right-leaning news outlets last week. Hemmati is confirmed to have received a death sentence issued by Branch 26 of the Tehran Revolutionary Court for “operational action for the hostile government of the United States and hostile groups.”

Alimardani named six of the women (Bita Hemmati, Mahboubeh Shabani, Venus Hossein-Nejad, Golnaz Naraghi, Diana Taherabadi, Ghazal Ghalandri), and said that the identities of the final two (said to be Panah Movahedi and Ensieh Nejati) were still unverified. The six verified women participated in protests against the government in January. Aside from Hemmati, none of the other women are reported to have received death sentences.

It’s not surprising that Trump has a careless disregard for the truth; it’s not surprising, either, for the Iranian regime to fudge the details to suit its own narrative, or to make light of real political prisoners in order to dunk on the United States.

The additional wrinkle is that the account mocking Trump for coming to the rescue of “8 AI-generated women” is the very same one that landed South Korean president Lee Jae-myung in hot water when he quoted a misleading labeled video posted by that account. Israeli officials have accused the account of being “well-known for spreading disinformation.” The case of the sketchy Lee Jae-myung quote-post is a story of mingled truth and misinformation, where the post got facts very wrong, but the video — of Israeli Defense Forces soldiers shoving a limp body off a rooftop in Gaza — was real, documenting an event that possibly implicates Israeli forces in a violation of international law.

The case of the eight Iranian protesters also features that same mingling of fact and fiction into a fuzzy distortion that fuels an endless disputation of real human rights violations. Their lives have been reduced to glossy pixels and quote-dunks, the stuff of propaganda and parody. While known liars fight with each other on the internet about who these women are and what will happen to them, they — verifiably six of them, at least — remain real people who exist beyond the Iranian internet blackout.

#Iranian #women #Trump #saved #execution #simultaneously #real #AImanipulatedPolicy,Politics">The Iranian women Trump ‘saved’ from execution are simultaneously real and AI-manipulated

Only the night before, he had posted on Truth Social about the imminent executions of these women, quoting a screenshot that included a collage of eight glamorously backlit, soft-focus portraits. The photos of the women were immediately accused of being AI-generated. “Trump is begging Iranian leaders to not execute 8 AI-generated women. This is the funniest thing I’ve ever seen,” said one viral X post.

On top of that, almost immediately after Trump’s announcement, Mizan, an Iranian state news agency, called the president a liar. “Last night, Donald Trump, citing a completely false news story, called on Iran to overturn the death sentences of eight women.” Mizan said that some of the women had already been released and others were facing prison time but not execution, and furthermore said that Tehran had made no concessions — presumably, the status of the women has not changed.

The X account for the Iranian embassy in South Africa, perhaps the most relentless shitposter among Iran’s state-affiliated accounts, was quick to pile on by generating its own set of eight women:

The collage that Trump posted is, at the very least, AI-modified, Mahsa Alimardani, the associate director of the Technology Threats & Opportunities program at WITNESS, told The Verge. But the women themselves are real. The woman in the top right corner of the collage is Bita Hemmati, whose photograph appeared in several news stories in various right-leaning news outlets last week. Hemmati is confirmed to have received a death sentence issued by Branch 26 of the Tehran Revolutionary Court for “operational action for the hostile government of the United States and hostile groups.”

Alimardani named six of the women (Bita Hemmati, Mahboubeh Shabani, Venus Hossein-Nejad, Golnaz Naraghi, Diana Taherabadi, Ghazal Ghalandri), and said that the identities of the final two (said to be Panah Movahedi and Ensieh Nejati) were still unverified. The six verified women participated in protests against the government in January. Aside from Hemmati, none of the other women are reported to have received death sentences.

It’s not surprising that Trump has a careless disregard for the truth; it’s not surprising, either, for the Iranian regime to fudge the details to suit its own narrative, or to make light of real political prisoners in order to dunk on the United States.

The additional wrinkle is that the account mocking Trump for coming to the rescue of “8 AI-generated women” is the very same one that landed South Korean president Lee Jae-myung in hot water when he quoted a misleading labeled video posted by that account. Israeli officials have accused the account of being “well-known for spreading disinformation.” The case of the sketchy Lee Jae-myung quote-post is a story of mingled truth and misinformation, where the post got facts very wrong, but the video — of Israeli Defense Forces soldiers shoving a limp body off a rooftop in Gaza — was real, documenting an event that possibly implicates Israeli forces in a violation of international law.

The case of the eight Iranian protesters also features that same mingling of fact and fiction into a fuzzy distortion that fuels an endless disputation of real human rights violations. Their lives have been reduced to glossy pixels and quote-dunks, the stuff of propaganda and parody. While known liars fight with each other on the internet about who these women are and what will happen to them, they — verifiably six of them, at least — remain real people who exist beyond the Iranian internet blackout.

#Iranian #women #Trump #saved #execution #simultaneously #real #AImanipulatedPolicy,Politics
Tesla CEO Elon Musk kicked off the company’s first-quarter earnings call with a monetary heads-up — or depending on the mindset of the investor, a warning. Tesla’s capital expenditures will skyrocket to $25 billion in 2026, far outpacing its previous annual spend as it races to stay ahead of the competition and transitions to an AI and robotics company, according to its first-quarter earnings report.

That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.

Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.

This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.

Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.

“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”

Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.

Techcrunch event

San Francisco, CA | October 13-15, 2026

The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.

Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.

The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.

Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.

Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.

All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.

Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.

“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

#Tesla #increased #spending #plan #25B #heres #money #TechCrunchElon Musk,Tesla">Tesla just increased its spending plan to B — here’s where the money is going | TechCrunch
Tesla CEO Elon Musk kicked off the company’s first-quarter earnings call with a monetary heads-up — or depending on the mindset of the investor, a warning. Tesla’s capital expenditures will skyrocket to  billion in 2026, far outpacing its previous annual spend as it races to stay ahead of the competition and transitions to an AI and robotics company, according to its first-quarter earnings report.

That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were .5 billion in 2025, .3 billion in 2024, and .9 billion in 2023. 







Tesla had announced in January that it expected capital expenditures to be in excess of  billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items. 

This  billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was .5 billion, was in line with previous quarters, the report shows.

Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics. 

“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”

Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected 0 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between 5 billion and 5 billion in capital expenditures in 2026, up from .4 billion the previous year.

	
		
		Techcrunch event
		
			
			
									San Francisco, CA
													|
													October 13-15, 2026
							
			
		
	


The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage. 

Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.

The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.







Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said. 

Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.

All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected .4 billion in free cash flow — will head into negative territory later this year, Taneja said.

Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported .7 billion in cash, cash equivalents, and short-term investments.

“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,”  Taneja said. 
When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.#Tesla #increased #spending #plan #25B #heres #money #TechCrunchElon Musk,Tesla

first-quarter earnings report.

That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.

Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.

This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.

Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.

“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”

Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.

Techcrunch event

San Francisco, CA | October 13-15, 2026

The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.

Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.

The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.

Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.

Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.

All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.

Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.

“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

#Tesla #increased #spending #plan #25B #heres #money #TechCrunchElon Musk,Tesla">Tesla just increased its spending plan to $25B — here’s where the money is going | TechCrunch

Tesla CEO Elon Musk kicked off the company’s first-quarter earnings call with a monetary heads-up — or depending on the mindset of the investor, a warning. Tesla’s capital expenditures will skyrocket to $25 billion in 2026, far outpacing its previous annual spend as it races to stay ahead of the competition and transitions to an AI and robotics company, according to its first-quarter earnings report.

That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.

Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.

This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.

Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.

“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”

Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.

Techcrunch event

San Francisco, CA | October 13-15, 2026

The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.

Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.

The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.

Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.

Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.

All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.

Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.

“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

#Tesla #increased #spending #plan #25B #heres #money #TechCrunchElon Musk,Tesla

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