Elon Musk recently took aim at Apple, critiquing everything from how the company builds its hardware to the “carpet bombing” tactics it used to lure away his staff.
During a recent interview on the Dwarkesh Podcast, the Tesla CEO took aim at Apple’s manufacturing model, arguing the company no longer physically builds the products it sells. Musk also discussed his view that placing AI satellites in space could become the cheapest option within 36 months, along with broader topics including Optimus robots and energy.
“You know Apple doesn’t make phones,” Musk said. “They send files to China.”
Musk suggested this is part of a broader shift where Silicon Valley giants focus on digital blueprints while outsourcing the heavy lifting of physical production overseas. He noted that the world’s most valuable tech companies now primarily produce digital designs rather than physical goods.
The tension between the two companies peaked during Apple’s now-cancelled electric vehicle project. Musk recalled a period of intense headhunting where Apple recruiters relentlessly targeted Tesla engineers, creating a chaotic environment at his headquarters.
“When Apple had their electric car program they were carpet bombing Tesla with recruiting calls,” Musk said. The outreach was so constant that it began to interfere with daily operations. Musk noted that his team struggled to stay focused amidst the barrage of offers.
“It was engineers just unplugged their phones like it’s just it’s just I’m trying to get work done here,” he said.
The recruitment efforts weren’t just limited to the engineering floor. Musk claimed that he was personally targeted by recruiters who were willing to bypass standard hiring procedures to get him on board. “If I get, you know, one more call from an Apple recruiter,” he said.
According to Musk, the pay days being teased were staggering, often arriving before a single conversation had even taken place “They were their opening offer without any interview with me like double the compensation at Tesla,” Musk said.
In an interview with Bloomberg in 2015, Musk said about Apple, “They hire people we’ve fired. We always joke that Apple is the Tesla graveyard.”
Despite the aggressive hiring, Apple ultimately shut down its car project in 2024. Musk reflected on the failure of the “pixie dust” mindset, the belief that simply hiring talent from a successful rival like Tesla or Google guarantees a win. He argued that “people are people” and there is no “magical pixie dust” that automatically transfers between companies.
Musk emphasized that his own companies approach manufacturing differently by focusing on a “physics-first” philosophy. To ensure success, he believes you cannot rely on standard supply chains. “Everything had to be designed from physics first principles,” Musk explained.
He described his management style as one that focuses on solving the physical limits of production rather than just managing designs. “I just repeatedly tack the limiting factor…Whatever the limiting factor is on speed, I’m I’m going to tackle that,” Musk added.
Check out the full interview below:
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Musk didn’t say that placing AI satellites in space could become the CHEAPEST option within 36 month – he said there isn’t enough capacity to generate the electricity required to power all the AI chips being made.
I lost all trust in his judgment, no matter the subject
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