Navigating Tariffs: Kimbal Musk's Strategy for Tesla and Nova Sky Stories

Kimbal Musk, CEO of Nova Sky Stories and Tesla board member, discusses navigating the Trump administration's tariff policies. Musk notes that Nova Sky Stories manufactures its own drones in the US, Europe, and China to serve local markets, mitigating the impact of tariffs. Musk acknowledges that Tesla, which also faces tariff challenges, is well-positioned to adapt to changing trade policies.

Kimbal Musk, CEO of Nova Sky Stories and a member of Tesla's (TSLA) board of directors, recently discussed the company's strategy for navigating the Trump administration's tariff policies. In an interview with Yahoo Finance, Musk highlighted Nova Sky Stories' approach to manufacturing, which involves producing its own drones in the US, Europe, and China. This strategy, Musk explained, helps mitigate the impact of tariffs by serving local markets more effectively.

"Manufacturing in the markets you're going to serve is crucial," Musk said, noting that Nova Sky Stories' ability to manufacture drones in multiple regions ensures it can adapt to changing trade policies [1]. This approach is particularly relevant for Tesla, which also faces tariff challenges. Musk acknowledged that Tesla's adaptability in this regard is a significant advantage.

Nova Sky Stories, founded in 2022, is focused on creating immersive aerial performances using choreographed drones, lights, and music. The company's first co-developed "Sky Story" with DreamWorks co-founder Jeffrey Katzenberg is set to debut in 2026. Katzenberg's addition to the board validates Nova's global ambitions, Musk added.

While the drone entertainment business remains niche and competitive, Musk believes Nova's technology, designed for 80 to 90-minute shows, offers a unique value proposition. The company aims to bring art to the sky, utilizing underused stadiums and venues. This approach could appeal to entertainment giants like Disney and Netflix, which are under pressure to find new revenue streams.

References:
[1] https://www.aol.com/finance/jeffrey-katzenberg-kimbal-musk-bringing-130058114.html
[2] https://finance.yahoo.com/video/kimbal-musk-talks-tariff-strategy-180027440.html