This article discusses the controversy surrounding TuSimple, a self-driving truck company founded by Mo Chen. Here are some key points:
TuSimple’s pivot to AI animation and gaming: The company has announced that it will be shifting its focus from autonomous trucks to developing AI animation and gaming technology. This decision was made after a shareholder letter raised concerns about the company’s potential business dealings with Hydron, another company founded by Chen.
Shareholder concerns: The shareholder letter alleged that TuSimple had not disclosed enough information about its new subsidiaries in the "cultural and art industry" category, which may be related to Chen’s other business ventures. The shareholders also pointed out that employees at TuSimple were working on projects for Hydron during paid work hours.
TuSimple’s lack of disclosure: The company has been accused of not disclosing enough information about its new subsidiaries and potential business dealings with Chen’s other companies, including Hydron. This lack of transparency led to a class action lawsuit from shareholders in 2022.
Mo Chen’s connections to other businesses: Chen is the founder of multiple private businesses, including Beijing BearBear Nation Cultural Media Co., which lists him as the manager and legal representative. Another company, Shanghai Xia Dao Cultural Communication Co., shares the same filing address as TuSimple Beijing when it was founded in December 2023.
Investigation and controversy: The overlap between Hydron and TuSimple has been under investigation since 2022, after a Committee on Foreign Investment in the United States probe. In 2022, TuSimple revealed that its employees spent paid hours working for Hydron and that confidential information was shared with the company.
Company’s response: Mo Chen and his team have responded to the allegations by pointing out that companies often explore new opportunities internally without publicly disclosing them. They compared their situation to Apple’s Project Titan car project, which the company also never divulged to shareholders publicly.
Overall, this article suggests that TuSimple has been embroiled in controversy due to concerns about its lack of transparency and potential business dealings with Chen’s other companies.
