Elon Musk Weighs In on Tesla Smartphones: A Contingency Plan Against Tech Giants' Missteps?
AInvestTuesday, Nov 5, 2024 1:00 pm ET
1min read
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Elon Musk, in a recent podcast interview with Joe Rogan, addressed the longstanding speculation about Tesla's entry into the smartphone industry. Musk clarified, "Making a phone is not something we want to do unless Apple and Google begin doing something very foolish."

Musk expanded on Tesla's technical capabilities, explaining that while Tesla has a robust technology infrastructure, including an operating system based on Linux, there is no current intention to venture into the mobile phone sector. He noted that with Tesla's comprehensive software capabilities, developing a phone that operates outside the iOS or Android ecosystems would be feasible. However, he stressed that such an endeavor would only be considered if absolutely necessary.

Musk further elucidated potential scenarios that might compel Tesla to develop a smartphone. He suggested that should Apple or Google engage in detrimental practices, like censoring applications or acting as restrictive gatekeepers, Tesla might respond by creating its own device.

Speculation about Tesla or Musk entering the phone market is not new. In previous years, Musk expressed dissatisfaction with current mobile operating systems and hinted at the desire for an improved user experience. At one point, Musk even entertained the idea of creating a smartphone to counter the 30% commission fees charged by platforms, although this was later tempered following a meeting with Apple's Tim Cook.

Musk's unpredictable nature and business decisions continue to captivate and perplex the tech community and investors alike. His acknowledgment of technical capability, juxtaposed with a reluctance to enter the crowded smartphone market, leaves many speculating about potential future moves. While his actions tend to unsettle some observers, they also keep the market on its toes with the possibility of him spearheading new ventures under unforeseen circumstances.

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