Core Viewpoint - The establishment of the "Starship Base" in Boca Chica, Texas, has been approved, marking a significant development for SpaceX and its operations in the area [1][4]. Group 1: Starship Base Development - The local vote resulted in 173 votes in favor and 4 against, surpassing the required 143 votes for approval [1]. - The area designated for the Starship Base covers 3.9 square kilometers and is located near the U.S.-Mexico border [4]. - Elon Musk announced on social media that the Starship Base is now officially a city [3]. Group 2: Regulatory and Environmental Concerns - SpaceX has previously needed to close a nearby road to facilitate rocket testing and launches, which has led to protests from environmentalists and local residents due to the inconvenience and environmental impact [6][7]. - The Texas state legislature is considering transferring regulatory responsibilities to the new local government once the Starship Base is established [7]. Group 3: Challenges Facing Tesla - Tesla's first-quarter revenue declined by 9% year-over-year, with automotive revenue down by 20% and net profit plummeting by 71% [10]. - In Europe, Tesla's new car sales dropped by 45% in the first quarter [10]. - Due to poor performance, Tesla retracted its annual growth guidance for 2024, with projected deliveries for 2025 now expected to be between 215,000 and 233,000 units, indicating a significant shortfall from previous targets [10]. Group 4: Investor Sentiment and Future Outlook - Investors are adopting a cautious stance towards Tesla, with analysts adjusting their price targets downward amid concerns over Musk's focus on government roles and the impact on Tesla's performance [12][13]. - Deutsche Bank forecasts a 5% decline in Tesla's delivery volume for 2025, which is considered optimistic given the current performance [13]. - Wells Fargo analysts believe Tesla's stock remains overvalued due to potential profit erosion from the introduction of a new economy model [13].