Elon Musk’s Thoughts on Cybertruck Production:
The Cybertruck is Tesla’s most revolutionary product, and its production and delivery to customers were extremely challenging. Prototypes are easy to make, but production is hard. Creating a production system requires a large team and several years of effort.

Elon Musk’s Perspective on Tesla’s Speed:
Tesla operates at the speed of thought, not like traditional companies with committees and bureaucracy. Tesla’s ability to identify and execute on opportunities sets it apart.

Sandy Munro’s Experience with Tesla’s Self-Driving Technology:
Sandy Munro is impressed with Tesla’s self-driving technology, having tested it himself. He suggests adding a visual aid to help drivers see the position of their wheels in tight spaces. Tesla’s software team was able to implement this suggestion quickly.

Introduction to the Three Dimensional Services Group:
The Three Dimensional Services Group is the world’s largest and most capable prototype and low-volume manufacturer. Founded by Douglas Peterson 31 years ago, the company has grown into a leading player in the industry. The company works with innovative companies to validate designs and scale up production processes. The Three Dimensional Services Group helps clients accelerate product development timelines and bring their products to market faster.

Overview of Capabilities:
The company has 18 new machines coming, including brands like Fouke, Starag, Bavius, Hermley, Haas, and YCM, expanding their total to 88 machines for various applications. Metal stamping is their core business, with 127 presses ranging from 20 tons to 5,000 tons, allowing them to take on a variety of jobs. The company has significant vertical integration, including tool design, parts running, and laser cutting, all handled in-house.

Laser Cutting:
The company has 25 Trump 5-axis systems, including a 6-kilowatt machine. The laser cutting equipment is the finest available on the market. Its software is integrated with their 2D lasers, allowing for efficient cutting and bending of parts. This allows for high-precision and rapid production of parts.

Welding:
The company has a Trump TrueStore system with a twin tower feeding a butterfly configuration. It has 250, 40, and 12 kilowatt 2D lasers running off the automation system, maximizing laser efficiency. The automation is necessary given the high speed and power of the lasers.

Assessment by Sandy Munro:
Munro is impressed by the pre-production facility and its capabilities. He believes that OEMs and tier ones should be doing what 3-Dimensional Services Group is doing. He emphasizes the importance of working with innovative companies that want to change the world.

Conclusion:
The company provides a wide range of services, including metal stamping, precision CNC machining, laser cutting, welded assembly, and plastic injection molding. They aim to transform EV, aerospace, appliance, or technology designs into reality, serving as a bridge to the start of production.

Challenges in Increasing Bus Voltage:
Increasing bus voltage from 12 to 48 volts is a complex task due to the large number of peripheral items that interface with the low voltage bus. All electronics, window motors, airbags, seat adjustments, headlamps, and other components are designed for 12 volts. The entire supply chain and design infrastructure are set for 12 volts, making it difficult to change.

Benefits of Higher Voltage:
Higher voltage reduces resistance losses in wires. Heating in wires is proportional to the square of the current, so increasing voltage reduces heating and allows for thinner wires. Less copper is needed for wire harnesses, resulting in weight reduction.

Adoption of the New Bus System:
Tesla moved from the CAN bus to Ethernet, which allows for a much higher data rate. This change enabled the elimination of approximately 70% of the communication wires, significantly reducing the weight of the wire harness.

Key Decision-Making:
The decision to move to 48 volts and adopt the new bus system was not solely driven by the 48-volt discussion. It involved a combination of factors, including the need for a higher data rate and the desire to reduce weight.

Benefits of Ethernet in Cars:
Ethernet’s high bandwidth allows for fewer point-to-point wires, reducing complexity and weight. Higher data rate and voltage reduce the number of wires needed. Transitioning to Ethernet is seen as bringing car electronics to the present, rather than as a groundbreaking advancement.

Leadership and Innovation:
Sandy Munro attributes Tesla’s decision to adopt Ethernet to strong leadership. He emphasizes the importance of leaders having a good understanding of the field they lead in, especially in technology-driven industries. Elon Musk highlights the need for CEOs to understand the technology behind their products.

I Squared R Heating:
Elon Musk emphasizes the importance of understanding even seemingly trivial aspects of technology, such as I squared R heating, to make informed decisions. Sandy Munro agrees, stating that few technology company CEOs would understand this concept.

Steer-by-Wire:
Elon Musk briefly mentions the benefits of steer-by-wire, noting that it becomes immediately apparent when driving the car. He explains that steer-by-wire eliminates mechanical linkages, making the steering system more responsive and precise.

Steering Yoke:
The steering yoke is not mechanically connected to the wheels but is a command to the computer, allowing for variable gain. Variable gain adjusts the amplification of steering yoke movement based on speed, enabling precise maneuvering at low speeds and stability at high speeds.

Rear-Wheel Steering:
The Cybertruck’s rear-wheel steering enhances maneuverability, allowing it to turn in tight spaces like a small car. This feature has been discussed by engineers for years but has not been implemented until now.

Cabin Space:
The Cybertruck’s backseat is spacious and can comfortably accommodate five large adults. The cabin’s overall roominess is impressive, providing ample legroom and headroom.

Windshield Wipers:
The Cybertruck’s single massive windshield wiper uses a cam action to effectively clear both sides of the windshield. The wiper’s performance was tested in rain, fog, and mud, demonstrating its functionality in various weather conditions.

Body Construction:
The Cybertruck’s stainless steel body is a custom 300 series alloy designed to resist rust. The austenitic stainless steel is work-hardened to transform it into martensite, explaining its resistance to bullets.

Production Delays:
Elon Musk and Sandy Munro discussed the reasons behind the Cybertruck’s production delays. The worldwide pandemic and global chip shortage significantly impacted Tesla’s production capabilities. Tesla faced shortages of numerous parts, making it impossible to bring a car to market without the necessary components. Tesla prioritized production of existing models like the Model Y and Model 3 due to production constraints.

Production Forecast:
Musk emphasized the difficulty in forecasting production ramp-up for new vehicles. Production ramp-up follows an S-curve, with slow initial production due to constraints and dependencies on various parts and processes. Tesla has at least 10,000 unique parts and processes required for scaling production, and the least reliable or efficient component can limit the output rate. Predicting the slope of the S-curve is challenging, and even a few months’ difference can significantly affect unit volume.

Cybertruck’s Financial Impact:
Musk stated that the Cybertruck will not materially impact Tesla’s financials in the upcoming year. The Cybertruck’s production volume will initially be low, and it will not be a significant contributor to Tesla’s overall vehicle sales.

Sandy Munro’s Assessment of Tesla’s Production:
Tesla’s Gigafactory in Texas has the potential to produce a vehicle every 60 seconds, resulting in an output of 60 vehicles per hour. Munro highlights the uniqueness of Tesla’s production speed compared to other manufacturers, with the Model Y previously achieving a production rate of 43 seconds per vehicle.

Tesla’s Cybertruck as an Iconic Vehicle:
Munro expresses his admiration for the Tesla Cybertruck, describing it as the most iconic vehicle he has seen in 30 to 40 years. He envisions the Cybertruck as a futuristic vehicle that resembles something from the movie Blade Runner.

Comparison with Land Rover and Judge Dredd:
Munro recalls his time working with Land Rover and his desire to create a vehicle similar to Judge Dredd’s car. He praises Tesla’s Cybertruck for its innovative design and features, such as the self-cleaning camera lenses.

Tesla’s Advanced Technology:
Munro emphasizes the exceptional engineering and technology incorporated into the Cybertruck. He marvels at the clear camera views and the ability to wash the camera lenses, highlighting Tesla’s innovative approach.

Tesla’s Future Plans:
Munro inquires about Tesla’s $25,000 electric vehicle project and expresses his eagerness to see it come to fruition. He recognizes the need for a more affordable Tesla to cater to a broader audience.

Elon Musk’s Response:
Musk confirms that Tesla is actively working on a low-cost electric vehicle with a high production volume. He describes the manufacturing process for this vehicle as revolutionary and mind-blowing, unlike anything seen before.

Sandy Munro’s Curiosity:
Munro cautiously asks if the low-cost electric vehicle will feature Tesla’s “unboxed” system, but Musk refrains from providing specific details due to potential financial implications.

Production System and Facility:
The Gigafactory in Texas will house the first production line for the Cybertruck. The facility is vast and undergoing significant expansions, occupying a large portion of the 2,000-acre property. The building is designed to optimize production flow, with lighter components starting at the top and moving down to heavier ones before exiting the facility.

Sandy Munro’s Perspective:
Munro praises Tesla’s production system, particularly the innovative seat system, which he finds exceptionally comfortable and beneficial for his back issues. He expresses admiration for Tesla’s approach to manufacturing, emphasizing the importance of bold leadership in driving innovation.

Elon Musk’s Thoughts on Adventurous Design:
With the Cybertruck, Tesla has the freedom to be adventurous in design and technology, as it is no longer a make-or-break situation for the company.

Sandy Munro’s Predictions for the Car Industry:
Munro believes BYD may become the largest car company globally due to its early lead in the electric vehicle market. He acknowledges criticisms of this prediction but maintains his belief in BYD’s potential dominance.

Musk’s Vision for the Future of Transportation:
Elon Musk believes that the future of transportation is electric and that companies not investing in electric vehicles will face a similar fate to buggy whip manufacturers in the 1920s.

Sandy Munro’s Gratitude to Musk:
Sandy Munro expresses gratitude to Musk for putting his company, Munro & Associates, on the map and helping them through a tough first half of the year. Munro presents Musk with a gift, a fridge magnet, as a token of appreciation.

Musk and Munro’s Shared Identity as Aliens:
Munro emphasizes their shared experience as aliens, having come from different countries before settling in the United States. Munro references Thomas Jefferson’s quote about following fashion in matters of fashion but standing firm on principles.

Praise for Musk’s Resilience:
Munro commends Musk for his unwavering stance during a difficult situation, possibly referring to a humiliating incident, and expresses admiration for his resilience. Munro criticizes an unnamed entity, possibly Disney, for its current state and expresses his belief that Walt Disney would be deeply disappointed with the company today.

Belief in an Impending Change:
Munro predicts that people will eventually recognize the current situation as absurd and demand a change, but acknowledges that this change will take time. He expresses concern about the current state of education and the difficulty in hiring people due to misguided thinking.

Comparison to Nazi Germany:
Munro draws a parallel between the current societal situation and the mass hysteria that gripped Nazi Germany, leading to disastrous consequences. He hopes that a third world war can be avoided as a catalyst for change and emphasizes the need to address issues in the education system.

The Decline of the Meritocracy:
Sandy Munro expresses concern about the diminishing value of meritocracy in the United States. He believes that the shift away from rewarding individuals based on skill and hard work is a significant problem. Munro highlights that America was built on the principle of opportunity and progress through individual effort.

Politically Correct Culture:
Munro suggests that the adoption of politically correct philosophies may have contributed to the decline of meritocracy. He believes this culture encourages individuals to compromise their integrity to fit in. This culture of dishonesty, according to Munro, eventually leads to a collapse of trust and credibility.

Historical Parallels:
Munro draws parallels between the current situation in the United States and the downfall of past civilizations. He cites examples such as the Roman Empire, the Greeks, and the Egyptians, emphasizing the consequences of a decline in societal values. Munro questions the intelligence of individuals who ignore history and fail to learn from past mistakes.

The Consequences of Societal Collapse:
Munro expresses concern about the potential consequences of a societal collapse due to a decline in integrity. He wonders who will suffer the most during such a collapse and if there is a possibility of recovery.

Learning from History:
Munro emphasizes the importance of studying history to understand the patterns and consequences of societal decline. He believes that examining past civilizations can provide valuable insights for addressing current challenges.

Internal Weakness Leads to Collapse:
Civilizations collapse when people neglect their own affairs, focusing on distractions rather than important issues.

External Forces Rarely Cause Collapse:
Empires often collapse due to internal issues rather than external forces.

United States’ Potential Downfall:
The United States could face collapse if it continues to tear itself apart from within.

Current Internal Issues in the United States:
There is a sense that internal strife and division are prevalent in the United States.

Sandy Munro’s Concern for the Future:
Munro expresses concern that things may come to a head in the near future due to ongoing internal problems.

Gratitude for the Conversation:
Munro thanks Elon Musk and the audience for their time and participation in the conversation.