Newly unsealed Epstein files reveal startling connections between convicted sex offender Jeffrey Epstein and Silicon Valley's EV startups.
Businessman David Stern, linked to Epstein and Prince Andrew, aggressively pitched investments in Faraday Future, Lucid Motors, and Canoo between 2017 and 2019.
Silicon Valley's Hidden EV Funding History
The 2010s saw a surge of Chinese capital into Silicon Valley EVs, with many startups relying on opaque, undisclosed investors amid intense hype around electric and autonomous vehicles.
Stern, a German financier with China ties, approached Epstein in 2008 for investments and maintained a close relationship, using it to source deal intelligence post-Epstein's guilty plea.
In emails, Stern sought Epstein's help to gather insider info on Lucid Motors' funding from Morgan Stanley, uncovering rumors of a Ford acquisition during the company's desperate Series D round.
Impacts on Struggling EV Pioneers
Stern proposed hundreds of millions for Faraday Future and a 30% stake in Lucid Motors, aiming for quick flips rather than long-term building, though Epstein never invested.
Stern did pour money into Canoo, becoming a key early backer revealed only through later lawsuits, as the startup emerged from stealth with mysterious Chinese and international funders.
Now-bankrupt Canoo exemplifies how shadowy figures exploited EV funding gaps, contributing to industry volatility and investor losses.
These revelations highlight Silicon Valley's tolerance for questionable associates in pursuit of capital during the mobility boom.
Historically, such networks fueled rapid scaling but masked risks, from production delays at Lucid to Faraday's chronic funding woes.
Looking ahead, the files could trigger fresh scrutiny of past deals, eroding trust in EV sector leadership and prompting calls for transparent funding disclosures.
As Silicon Valley pivots to AI-driven mobility, this scandal underscores the need to confront its speculative underbelly to build a sustainable future.
Andrew Lee
