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One Tweet From Elon Musk Made $580 Million Disappear

Rumors had been swirling that Samsung SDI, a company associated with Samsung that makes batteries and displays, was working with Musk’s company Tesla for batteries in the upcoming Model 3 electric car. But Musk set the record straight on Twitter last night, explaining that the company was working exclusively with Panasonic.

“Would like to clarify that Tesla is working exclusively with Panasonic for Model 3 cells. News articles claiming otherwise are incorrect,” Musk tweeted, dispelling the rumors. The belief had been that if Panasonic couldn’t handle producing enough batteries for the new Model 3, then perhaps Samsung’s SDI division would pick up the slack.

That single clarifying tweet from Musk sent Samsung SDI’s stock plunging 8 percent this morning, losing roughly $580 million. Panasonic added about $800 million in the same period.

Investors, much like many car consumers, are obsessed with the potential for Tesla’s Model 3. The car is slated to be relatively affordable by luxury car standards. Until now, Tesla electric vehicles had largely been the realm of the super-rich. But if Tesla can figure out how to take their tremendous branding cachet and turn it into something that middle-class people can afford (without sacrificing its luxury appeal) then many investors are going to get very, very rich. 

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