Money

California tax refund for car owners

I’m honestly perplexed by this decision. Even the electric car users will get this. I don’t own a car so I wouldn’t be eligible. This is just a really strange proposal considering that electric car owners would get this offset and people who rely on MUNI and other public transport are not getting this money.

Newsom proposes $400 debit cards to offset soaring gas prices for car owners

Newsom’s announcement is part of an $11 billion package his office said would help residents deal with the high price of gasoline, which has soared to a statewide average of $5.87 per gallon.

The debit cards would be mailed to the registered owners of vehicles, with a maximum of $800 per person for those who own more than one vehicle. In addition, Newsom wants to provide relief to non-drivers by making rail and mass transit service free for three months.

Millions of people could get $400 debt cards if the plan is approved. According to the DMV, there are more than 35.8 million registered vehicles in California, though that number includes people with multiple titles. Rebates would also go to drivers who have electric cars or those with lease agreements.

The governor proposed providing refunds to all vehicle owners, regardless of their income. 

SF Chronicle
Stocks

SEC to require climate-change risk disclosures

I’m still a little confused how this would manifest but I’m glad SEC is mandating companies think about climate change as a risk to their businesses.

SEC to Require Climate-Change Risk Disclosures Under New Plan

Companies will need to reveal detailed information about their greenhouse gas pollution under a new U.S. Securities and Exchange Commission plan, portending a major shift in how corporations must show they are dealing with climate change. 

For the first time ever, the agency plans to require businesses to outline the risks a warming planet poses to their operations when they file registration statements, annual reports or other documents. Some large companies will have to provide information on emissions they don’t make themselves, but come from other firms in their supply chain. 

Bloomberg

Stocks

Bird continues to face challenges

Bird sold a vision of micro-mobility and got me excited. I thought it would really worked out initially. In the next year I saw their vehicles trashed into lakes, vandalized and I encountered one that isn’t functional. I realized this wasn’t going to work out. Not in Oakland and San Francisco at least.

Bird Stock Plummets After Electric Scooter Firm Gives Weak Guidance

Bird rents electric scooters and bikes in over 400 cities in more than 30 countries. It also sells its micro-electric vehicles to consumers. Last year, those hardware sales made up 9% of total revenue.

In the December quarter, Bird lost an adjusted $21.5 million on sales of $54 million. Wall Street was modeling a loss of $31 million on sales of $50.8 million.

For the full-year, Bird lost an adjusted $66.9 million on sales of $205 million. Analysts were projecting Bird to lose an adjusted $77 million on sales of $201.9 million in 2021, according to FactSet.

In 2021, Bird’s sales rose 117% year over year due to easy comparisons to the Covid-hampered 2020. Compared with 2019, sales were up 60%.

Investors Business Daily
Technology, Travel

Kia EV6 smashes Tesla’s world record

Kia EV6

Recently, the Kia EV6 was also taken on a coast-to-coast road trip from New York to Los Angeles and set another new world record in the process.

During the seven-day trip, the Kia EV6 was charged for a total of seven hours, 10 minutes, and one second. That was fast enough for it to set a new Guinness World Record for shortest charging time to cross the United States in an electric vehicle. Impressively, it shattered the previous record set by Tesla by more than five and a half hours. For reference, the Tesla needed to be charged for a total of 12 hours, 48 minutes, and 19 seconds.

CarBuzz

That’s huge for Kia. And the car is gorgeous. I really welcome the competition here. EV by 2035!

Stocks

Peloton reports wider-than-expected loss

Peloton shares tumbled more than 25% on Thursday, after the company reported weakening sales growth and a wider-than-expected loss in its fiscal first quarter.

The company slashed its outlook for the full fiscal year amid softened demand for its exercise equipment and ongoing supply chain challenges. More consumers are opting to return to gyms such as Planet Fitness and Equinox, or fitness junkies are purchasing another at-home option from the flurry of companies that sell everything from rowing machines to connected mirrors.

In August, Peloton slashed the price of its original Bike by 20% to $1,495. On Thursday, Chief Financial Officer Jill Woodworth said that while Bike sales accelerated after the change, the results haven’t entirely met Peloton’s expectations.

CNBC

Loss per share: $1.25 vs. $1.07 expected

Revenue: $805.2 million vs. $810.7 million expected

With gyms reopening, I think Peloton’s gonna be a bear case.

Stocks, Technology

Lime raises $500M and public plans

Lime raises over $500 million, confirms plans to take its electric scooter company public.

Now, Lime says that its most recent funding round was oversubscribed, with $418 million in debt financing led by Abu Dhabi Growth Fund, Fidelity Management & Research, Uber, and certain funds managed by Highbridge Capital Management. The company also received a $105 million senior secured term loan facility from a private equity group at UBS O’Connor. (These bank loans are typically made to companies that have below investment-grade credit ratings.)

Going public would certainly help raise cash in the near term, but it also carries big risks. Lime’s main rival, Bird, recently went public via a SPAC merger that valued the Santa Monica-based company at $2.3 billion. That deal just closed, and as soon as they were publicly listed, shares in the newly merged company fell sharply.

But while Bird relies on its business model of sending fleets of scooters to small operators to handle deployment and charging, Lime will likely rely on its scale and global status to attract investor interest. The company claims to be the top scooter operator in the US and Europe. It hit 250 million rides over the summer (recall it was at 200 million a year ago) and recently rolled out the fourth-generation version of its electric scooter.

The Verge

I am a Lime user and I can’t wait to see them go public. We are still not seeing financial filings to judge whether they have a sound business model.

Technology

Uber partners with Hertz to offer 50,000 Tesla

Uber Technologies Inc on Wednesday said it is launching a new partnership with rental car company Hertz to offer 50,000 Tesla Inc vehicles as a rental option for its ride-hail drivers by 2023.

The announcement comes after Hertz on Monday said it would order 100,000 Tesla vehicles by the end of 2022, meaning that half of the rental company’s Tesla fleet would be reserved exclusively for Uber drivers.

For Uber drivers, Tesla rentals will start out at $334 a week, including insurance and maintenance, and consist mostly of the company’s Model 3 sedan. Uber said the rental cost would drop to $299 per week or lower as the program expands in the coming year.

Yahoo

I think this is a right step to electrification in automobiles. Also great news for Hertz being relevant again with electric cars. And of course, sweet win for Tesla.

This is also related to Newsom’s executive order to have California state to require that, by 2035, all new cars and passenger trucks sold in California be zero-emission vehicles.

Following the order, the California Air Resources Board will develop regulations to mandate that 100 percent of in-state sales of new passenger cars and trucks are zero-emission by 2035 – a target which would achieve more than a 35 percent reduction in greenhouse gas emissions and an 80 percent improvement in oxides of nitrogen emissions from cars statewide. In addition, the Air Resources Board will develop regulations to mandate that all operations of medium- and heavy-duty vehicles shall be 100 percent zero emission by 2045 where feasible, with the mandate going into effect by 2035 for drayage trucks.

California gov
Stocks

AMD beats revenue estimates with $4.31B

Advanced Micro Devices reported its revenues and earnings for the third quarter ended September 30 exceeded expectations, with revenue growing 54% to a record $4.3 billion.

Non-GAAP net income for the quarter was $893 million, or 73 cents a share, beating expectations of 67 cents a share on a non-GAAP basis. AMD said it was increasing its annual earnings forecast and its shares are up slightly to $123.15 a share in after-hours trading.

The Santa Clara, California-based company has had a good run on momentum behind its Zen and Zen 2 architectures for processors, which can generate 50% or more better performance per clock cycle than the previous generation. This architecture put AMD ahead of Intel in performance for the first time in a decade, and it has helped the perennial No. 2 PC chip maker into a fast-growing contender against Intel.

VentureBeat

AMD is doing so well. They were $14 like 5 years ago and they are rocking at $120. They’ve done so many things right and they profited on Intel’s missteps.

Technology

Intel readies 12th-gen Alder Lake chips

Intel’s 12th Gen Alder Lake chips have finally arrived, ushering in a new era of the company’s chips, lead by the flagship Core i9-12900K CPU, which Intel promises is the “world’s best gaming processor.”

Intel is also heavily pushing Windows 11 as a key part of its Alder Lake lineup, noting that it’s worked with Microsoft to optimize its Intel Thread Director software to better manage tasks across threads when using the new OS. We’ll have to do some testing ourselves to see whether Windows 11 offers a notable boost in performance, however, along with how well the new chips stack up against competition from AMD and Apple.

Preorders for the new Intel 12th Gen chips start today, with the chips available on November 4th.

The Verge

Intel needs this success badly.