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Tesla’s former CTO JB Straubel is ramping up his stealthy recycling business
When former CTO JB Straubel announced that he would be taking more of an advisory role in Tesla and that he would be stepping down from his day-to-day responsibilities as the electric car maker’s Chief Technology Officer, he provided a firm assurance that he was not “disappearing” from the company. The ongoing growth of a stealthy recycling startup registered under Straubel’s name suggests that his words back in the Q2 2019 earnings call were no fluke.
JB Straubel is known for being the backbone of Tesla’s battery tech. One of the most notable photos in Tesla history quite literally depicts Straubel assembling a battery module by hand. It would not be a stretch to state that innovations in Tesla Energy and at Gigafactory 1 in Nevada have been possible primarily due to Straubel’s work and genius. Yet, despite Tesla’s batteries being pretty much the best in the market, Straubel has noted that there is something still missing from the puzzle: closed loop battery recycling.
During the 2018 Annual Shareholders Meeting, Straubel addressed an inquiry from an investor about Tesla’s approach to battery waste. The former CTO’s response was brief, stating that Tesla’s priorities lie in recycling its batteries, thereby preventing the company’s old cells from ending up in landfills. Eventually, Straubel stated, Tesla wants to develop a closed loop, using the same materials from batteries that it recycles to create new packs.
“Tesla will absolutely recycle, and we do recycle, all of our spent cells, modules and battery packs. So the discussion about is this waste ending up in landfills is not correct. We would not do that, these are valuable materials. In addition, it’s just the right thing to do. We have current partner companies– on every major continent where we have cars operating– that we work with to do this today. And in addition, we’re developing internally more processes, and we’re doing R&D on how we can improve this recycling process to get more of the active materials back. Ultimately what we want is a closed loop, right, at the Gigafactories that reuses the same, recycled materials,” he said.
As noted by Tesla investor-enthusiast Galileo Russell of YouTube’s HyperChange channel, JB Straubel just so happens to have a startup that appears to address the very same point that he emphasized during the 2018 Shareholder Meeting. Registered to do business in Nevada, Straubel’s startup, called Redwood Materials, is focused on next-generation recycling technologies. A look at Redwood’s bare-bones official website shows a statement that goes very well with Tesla’s mission.
“Advancing sustainability through research and development, engineering, and operational excellence for next generation recycling processes and programs.”
Redwood Materials lists Straubel and fellow Tesla alumni Andrew Stevenson, who served under the former CTO as Head of Special Projects, as executive officers of the stealthy recycling startup. Filings for the recycling company have also shown that Redwood received $2 million worth of investments. Quite interestingly, Straubel provided a response to CNBC last year when the news outlet published a report on the startup, stating that Redwood, at least at that point, was not doing any direct business with Tesla.
“Redwood is not currently doing any business with Tesla and our expansion to Nevada is unrelated to Tesla or to the Gigafactory directly. Northern Nevada has a welcoming business environment, a growing technology presence and gives us a strong foundation for aggressive future growth,” he said.
It’s been over a year since Straubel gave his response to CNBC, and a lot has happened since then. Tesla’s batteries have improved, and if the Cybertruck’s starting price is any indication, the electric car maker appears to have lowered its battery production costs even further. Straubel has also transitioned to an advisory role in Tesla, presumably to focus on other projects. One of these projects could very well be the work being done by Redwood, which just happens to be completely compatible with Tesla’s electric cars and energy storage systems.
The signs definitely are there, and if the HyperChange host’s speculations prove right, it would mean that Tesla could be the auto industry’s first company that can achieve true closed loop battery recycling, a thing that was once considered as the holy grail for electric car production.
Watch HyperChange‘s video about JB Straubel’s stealthy startup in the video below.
Tesla has secured regulatory approval for its Full Self-Driving (Supervised) system in Denmark, marking a significant step in the technology’s expansion across Europe.
Announced on June 9, the approval positions Denmark as the fourth European country to greenlight FSD Supervised, following the Netherlands, Lithuania, and Estonia.
Rollout to Danish vehicle owners is expected to begin soon, the company said.
The Danish Road Traffic Authority granted provisional approval after reviewing the original type approval issued by the Dutch vehicle authority (RDW) on April 10, 2026.
FSD Supervised now approved in Denmark 🇩🇰
Rollout will begin soon pic.twitter.com/Xpxwcme10k
— Tesla Europe, Middle East & Africa (@teslaeurope) June 9, 2026
This national recognition approach allows individual countries to bypass slower EU-wide harmonization processes, accelerating deployment. Lithuania activated the system on May 20, with Estonia following on May 29, demonstrating a rapid domino effect across the region.
FSD Supervised enables advanced driver assistance capabilities, including automatic steering, acceleration, braking, lane changes, and navigation through complex urban and rural environments. The system is designed for supervised use, as its name states, meaning drivers must remain attentive and ready to intervene at all times.
It adapts to diverse conditions, such as rain, night driving, and varied road types common in Denmark, but it is important to note that the tech is not fully autonomous.
Following a launch in Europe just a few months ago, with its first approval coming in the Netherlands, Tesla is just now highlighting the successful start.
Early data from the Netherlands highlights strong safety performance. Between April 10 and June 5, vehicles using FSD Supervised recorded 3.5 times fewer collisions than manual driving overall, with zero crashes reported on highways across more than 16.6 million kilometers driven.
These results underscore the potential of the technology to enhance road safety when properly supervised.
Tesla’s European push builds on its global footprint, now reaching 12 countries with FSD Supervised availability. The software receives continuous over-the-air updates, improving performance based on real-world data from millions of miles.
In Denmark, owners with compatible hardware—particularly newer vehicles equipped with Hardware 4 (HW4)—are anticipated to gain access first, though exact timelines and eligibility details will be confirmed during rollout.
This approval reflects growing regulatory confidence in supervised autonomy across Europe. As more nations recognize the Dutch certification, Tesla continues to demonstrate how its AI-driven approach can navigate real-world driving scenarios effectively. Denmark’s addition strengthens Tesla’s position in the region, paving the way for broader adoption on a continent that his been surprisingly slow to adopt the technology.
With FSD Supervised now approved in four European markets in just two months, the technology is steadily advancing toward wider availability. Tesla aims to refine the system further through ongoing data collection and software iterations, supporting its vision for safer and more efficient transportation.
Tesla has apparently revised the policy it previously had listed for Full Self-Driving transfers on the newest All-Wheel-Drive Cybertruck that the company had sold for a steal price of just $59,000 earlier this year.
After initially stating that customers who bought the pickup would be able to transfer FSD purchases, Tesla recently changed the language in those terms and conditions to reflect that this would no longer be the case.
Tesla launches new Cybertruck trim with more features than ever for a low price
The adjustment in terminology has caused a handful of orderers to cancel their reservations due to the loss of FSD transfer:
Just cancelled my 59k CT order today. My screenshot from that day of order (feb 20th) clearly shows that it would be eligible.
Terms were retroactively modified. Our 2020 Y and 2023 S are just fine for now. pic.twitter.com/D9PFnId1B4
— Ryan Scanlan 👥 (@Xenius) June 8, 2026
Tesla said orders for the new Cybertruck AWD must be placed by March 31, 2026, to qualify for the FSD transfer. The language in the document from earlier this year explicitly states that they “may qualify” for the transfer program, but the date of March 31 is explicitly mentioned.
Additionally, Tesla Delivery Advisors reached out to some orderers of the AWD Cybertruck, who were told there was “an update to the eligibility of the Full Self-Driving (Supervised) transfer.” Tesla stated they could:
- proceed without the transfer,
- upgrade to a Premium or Cyberbeast trim and request an FSD Transfer
- cancel the order and be refunded the $250 order fee.
Tesla turning around and changing these terms will undoubtedly result in a handful of cancellations on the part of those who have placed an order for this truck. They could pay $99 per month for an FSD subscription, which is now the only option available, but having purchased the suite outright on another vehicle and being told the transfer policy would be upheld, only to have it cancelled, is a tough pill to swallow.
These moves were also made by Tesla just before deliveries were set to begin on the Cybertruck AWD configuration. Reservation holders have started receiving VINs for their trucks, and Tesla is preparing to hand over the first units.
It’s a disappointing move from Tesla that will undoubtedly make some of its fans who have bought the truck frustrated.
In the world of autonomous ride-hailing, there are only a handful of names. Among those few companies lies a strategy play by each to keep the opposition on their toes. Tesla, on the other hand, already tipped its hand at where it is headed next.
Tesla has signaled its next major push in the autonomous ride-hailing market by filing for an Autonomous Vehicle Network Company permit in Nevada (Docket 26-05015). Through Tesla Robotaxi, LLC, the company seeks approval to operate up to 5,000 robotaxis in Clark County, including high-traffic areas like Las Vegas and Henderson airports, within the first 12 months of launch.
This filing builds on Tesla’s earlier testing approvals from the Nevada DMV in September 2025 and preparations such as maintenance hubs in the Las Vegas area. Nevada represents a strategic expansion into a major tourist destination, where high visitor volumes could drive strong utilization and showcase the reliability of unsupervised autonomy to a broad audience.
We’d have to assume this means Tesla is targeting Las Vegas, and it’s a great move from a business perspective.
Vegas is such a melting pot of people from all around the country and the world. It will expose people from all corners of the globe to Tesla’s autonomy capabilities https://t.co/Qz3fQmhULF pic.twitter.com/Du5pj2RyWC
— TESLARATI (@Teslarati) June 6, 2026
Approval would mark a significant step toward commercial operations in a new state, following progress in Texas.
Tesla’s shareholder decks and earnings calls have clearly outlined these ambitions. In the Q4 2025 shareholder deck, the company listed planned Robotaxi coverage for the first half of 2026, explicitly naming Las Vegas alongside Phoenix, Miami, Orlando, and Tampa, with Dallas and Houston already advancing. Austin was noted as “ramping unsupervised,” while the Bay Area remained in safety-driver mode.
By Q1 2026, the deck updated statuses to reflect launches in Dallas and Houston, with “preparations underway” for the remaining cities, including Las Vegas. Paid Robotaxi miles nearly doubled sequentially in Q1, underscoring momentum even as broader timelines adjusted slightly for regulatory and operational readiness.
On earnings calls, CEO Elon Musk and executives have emphasized a phased rollout prioritizing safety. Unsupervised operations in Texas have shown strong results with no reported accidents or injuries in the program. Tesla continues groundwork in additional major U.S. metros through testing and permitting, positioning it to scale quickly once approvals clear.
This Nevada move aligns with Tesla’s vision of transforming from an EV maker into an AI and robotics leader. The forthcoming Cybercab, which started production at Giga Texas in April, is expected to eventually dominate the fleet, replacing many Model Y vehicles and driving down costs to enable affordable rides.
For investors and the industry, this signals Tesla’s intent to dominate key Sun Belt and tourist markets where weather, regulations, and demand favor rapid scaling. Success in Las Vegas could validate the model for denser urban and high-tourism environments, accelerating the shift toward a future where robotaxis generate meaningful revenue.
Las Vegas will also expand knowledge among the general public at Tesla’s capabilities, helping people experience driverless ride-hailing from several companies during their time on The Strip.
Tesla Full Self-Driving is taking over Europe: fourth country gets FSD approval
Tesla revises FSD transfer policy on new Cybertruck trim, causing cancellations
