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Do autonomous cars make us worse drivers?
Autonomous cars are coming. So is the first fatality associated with them. Statistically, that milestone should occur in the next 18 months. What will happen then?
On May 31, 2009, an Airbus 330 on its way from Rio de Janiero to Paris plunged from an altitude of 35,000 feet into the Atlantic, killing all 228 people on board. Just prior to the crash, the airplane was operating in autopilot mode. A reconstruction of the disaster revealed input from several sensors had been compromised by ice that caused them to give false readings. Updated sensors that were less susceptible to ice accumulation were waiting to be installed after the plane arrived in Paris.
Because of the false readings the autopilot system disengaged returning control to the pilots however the senior pilot was sleeping at the time. The two junior pilots were not as highly trained in high altitude flight as they might have been, partly because the use of machines to control aircraft under those conditions was the norm.
Faced with the unexpected, the pilots behaved poorly. At one point they are heard to say on the cockpit recorder, “We completely lost control of the airplane, and we don’t understand anything! We tried everything!” While they tried to rouse the sleeping senior pilot, the nose of the aircraft climbed until a stall was induced. Stall is the point at which the wings become barn doors instead of airfoils. The Airbus 330 dropped from the sky like a rock.
In his excellent story about the crash published on Vanity Fair, William Langewiesche offered this conclusion: “Automation has made it more and more unlikely that ordinary airline pilots will ever have to face a raw crisis in flight—but also more and more unlikely that they will be able to cope with such a crisis if one arises.”
The Tesla community has seen similar instances lately. The driver in Salt Lake City who accidentally activated Summon, causing his car to drive into the back of a truck. The woman on a freeway in California who rear ended a car that suddenly slowed in front of her. The man in Europe who crashed into the back of a van that had stalled in the high speed lane of a highway. He at least had the courage to admit his error. “Yes, I could have reacted sooner, but when the car slows down correctly 1,000 times, you trust it to do it the next time to. My bad.”
After each of these incidents, the tendency has been for many to defend the machine and blame the human. But in a recent article for The Guardian, author Martin Robbins says, “Combine an autopilot with a good driver, and you get an autopilot with, if not a bad driver, at least not such a good one.” He says that statistically, the time when a car operating in autonomous mode causes a fatality is rapidly approaching.
Tesla Model S owner crashes into the back of a stalled van
On average, a person is killed in a traffic accident in the United States once every 100 million miles. Elon Musk says Tesla’s Autopilot is half as likely to be involved in a collision as a human driver. That would suggest that somewhere around the 200 million mile mark someone will die as a result of an automobile driven by a machine.
Tesla has already passed the 100 million mile mark for cars driving in Autopilot mode and continues to log 2.6 million miles driven per day. Statistically speaking, the time when a self driving car kills somebody is rapidly approaching. And since most autonomous cars on the road are Teslas, the odds are excellent it will be a Tesla that is involved in that first fatality.
What will happen then? Robbins goes back in history to look for an answer to that question. In 1896, Bridgit Driscoll became the first person in England to be killed by a motor car. The reaction among the public and the press was a fatalistic acceptance that progress will have a price. Within a few years, the speed limit in England was raised from 8 mph — which is was when Ms. Driscoll was killed — to 20 mph. This despite the fact that thousands of road deaths were being recorded on English roads by then.
Regulators around the world are racing to catch up with the explosion of new autonomous driving technology. But Robbins concludes, “By the time they do, it’s likely that the technology will already be an accepted fact of life, its safety taken for granted by consumers, its failures written off as the fault of its error-prone human masters.”
The point is that injuries and fatalities will continue to occur as cars come to rely more and more on machines for routine driving chores. But in that transition period between now and the time when Level 4 autonomy becomes the norm — the day when cars come from the factory with no way for humans to control them directly — we need to accept that complacency and an inflated belief in the power of machines to protect us from harm may actually render us less competent behind the wheel.
We will need to remain vigilant, if for no other reason than telling a jury “It’s not my fault! The machine failed!” is not going to insulate us from the legal requirement to operate our private automobiles in a safe and prudent manner.
With the news of a merger between SpaceX and xAI being confirmed earlier this week by CEO Elon Musk directly, the first moves of an umbrella company that combines all of the serial tech entrepreneur’s companies have been established.
The move aims to combine SpaceX’s prowess in launches with xAI’s expanding vision in artificial intelligence, as Musk has detailed the need for space-based data centers that will require massive amounts of energy to operate.
It has always been in the plans to bring Musk’s companies together under one umbrella.
“My companies are, surprisingly in some ways, trending toward convergence,” Musk said in November. With SpaceX and xAI moving together, many are questioning when Tesla will be next. Analysts believe it is a no-brainer.
SpaceX officially acquires xAI, merging rockets with AI expertise
Dan Ives of Wedbush wrote in a note earlier this week that there is a “growing chance” Tesla could be merged in some form with the new conglomeration over the next 12 to 18 months.
“In our view, there is a growing chance that Tesla will eventually be merged in some form into SpaceX/xAI over time. The viewis this growing AI ecosystem will focus on Space and Earth together… and Musk will look to combine forces,” Ives said.
Let’s take a look at the potential.
The Case for Synergies – Building the Ultimate AI Ecosystem
A triple merger would create a unified “Musk Trinity,” blending Tesla’s physical AI with Robotaxi, Optimus, and Full Self-Driving, SpaceX’s orbital infrastructure through Starlink and potential space-based computer, and xAI’s advanced models, including Grok.
This could accelerate real-world AI applications, more specifically, ones like using satellite networks for global autonomy, or even powering massive training through solar-optimized orbital data centers.
The FCC welcomes and now seeks comment on the SpaceX application for Orbital Data Centers.
The proposed system would serve as a first step towards becoming a Kardashev II-level civilization and serve other purposes, according to the applicant. pic.twitter.com/TDnUPuz9w7
— Brendan Carr (@BrendanCarrFCC) February 4, 2026
This would position the entity, which could ultimately be labeled “X,” as a leader in multiplanetary AI-native tech.
It would impact every level of Musk’s AI-based vision for the future, from passenger use to complex AI training models.
Financial and Structural Incentives — and Risks
xAI’s high cash burn rate is now backed by SpaceX’s massive valuation boost, and Tesla joining the merger would help the company gain access to private funding channels, avoiding dilution in a public-heavy structure.
The deal makes sense from a capital standpoint, as it is an advantage for each company in its own specific way, addressing specific needs.
Because xAI is spending money at an accelerating rate due to its massive compute needs, SpaceX provides a bit of a “lifeline” by redirecting its growing cash flows toward AI ambitions without the need for constant external fundraising.
Additionally, Tesla’s recent $2 billion investment in xAI also ties in, as its own heavy CapEx for Dojo supercomputers, Robotaxis, and Optimus could potentially be streamlined.
Musk’s stake in Tesla and SpaceX, after the xAI merger, is also uneven. His ownership in Tesla equates to about 13 percent, only increasing as he achieves each tranche of his most recent compensation package. Meanwhile, he owns about 43 percent of the private SpaceX.
A triple merger between the three companies could boost his ownership in the combined entity to around 26 percent. This would give Musk what he wants: stronger voting power and alignment across his ventures.
It could also be a potential facilitator in private-to-public transitions, as a reverse merger structure to take SpaceX public indirectly via Tesla could be used. This avoids any IPO scrutiny while accessing the public markets’ liquidity.
Timeline and Triggers for a Public Announcement
As previously mentioned, Ives believes a 12-18 month timeline is realistic, fueled by Musk’s repeated hints at convergence between his three companies. Additionally, the recent xAI investment by Tesla only points toward the increased potential for a conglomeration.
Of course, there is speculation that the merger could happen in the shorter term, before June 30 of this year, which is a legitimate possibility. While this possibility exists but remains at low probability, especially when driven by rapid AI/space momentum, longer horizons, like 2027 or later, allow for key milestones like Tesla’s Robotaxi rollout and Cybercab ramp-up, Optimus scaling, or regulatory clarity under a favorable administration.
Credit: Grok Imagine
The sequencing matters: SpaceX-xAI merger as “step one” toward a unified stack, with a potential SpaceX IPO setting a valuation benchmark before any Tesla tie-up.
Full triple convergence could follow if synergies prove out.
Prediction markets are also a reasonable thing to look at, just to get an idea of where people are putting their money. Polymarket, for example, sits at between a 12 and 24 percent chance that a Tesla-SpaceX merger is officially announced before June 30, 2026.
Looking Ahead
The SpaceX-xAI merger is not your typical corporate shuffle. Instead, it’s the clearest signal yet that Musk is architecting a unified “Muskonomy” where AI, space infrastructure, and real-world robotics converge to solve humanity’s biggest challenges.
Yet the path is fraught with execution risks that could turn this visionary upside into a major value trap. Valuation mismatches remain at the forefront of this skepticism: Tesla’s public multiples are unlike any company ever, with many believing they are “stretched.” On the other hand, SpaceX-xAI’s private “marked-to-muth” pricing hinges on unproven synergies and lofty projects, especially orbital data centers and all of the things Musk and Co. will have to figure out along the way.
Ultimately, the entire thing relies on a high-conviction bet on Musk’s ability to execute at scale. The bullish case is transformative: a vertically integrated AI-space-robotics giant accelerates humanity toward abundance and multi-planetary civilization faster than any siloed company could.
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IM Motors co-CEO apologizes to Tesla China over FUD comments
Liu said later investigations showed the accident was not caused by a brake failure on the Tesla’s part, contrary to his initial comments.
Liu Tao, co-CEO of IM Motors, has publicly apologized to Tesla China for comments he made in 2022 suggesting a Tesla vehicle was defective following a fatal traffic accident in Chaozhou, China.
Liu said later investigations showed the accident was not caused by a brake failure on the Tesla’s part, contrary to his initial comments.
IM Motors co-CEO issues apology
Liu Tao posted a statement addressing remarks he made following a serious traffic accident in Chaozhou, Guangdong province, in November 2022, as noted in a Sina News report. Liu stated that based on limited public information at the time, he published a Weibo post suggesting a safety issue with the Tesla involved in the crash. The executive clarified that his initial comments were incorrect.
“On November 17, 2022, based on limited publicly available information, I posted a Weibo post regarding a major traffic accident that occurred in Chaozhou, suggesting that the Tesla product involved in the accident posed a safety hazard. Four hours later, I deleted the post. In May 2023, according to the traffic police’s accident liability determination and relevant forensic opinions, the Chaozhou accident was not caused by Tesla brake failure.
“The aforementioned findings and opinions regarding the investigation conclusions of the Chaozhou accident corrected the erroneous statements I made in my previous Weibo post, and I hereby clarify and correct them. I apologize for the negative impact my inappropriate remarks made before the facts were ascertained, which caused Tesla,” Liu said.
Investigation and court findings
The Chaozhou accident occurred in Raoping County in November 2022 and resulted in two deaths and three injuries. Video footage circulated online at the time showed a Tesla vehicle accelerating at high speed and colliding with multiple motorcycles and bicycles. Reports indicated the vehicle reached a speed of 198 kilometers per hour.
The incident drew widespread attention as the parties involved provided conflicting accounts and investigation details were released gradually. Media reports in early 2023 said investigation results had been completed, though the vehicle owner requested a re-investigation, delaying the issuance of a final liability determination.
The case resurfaced later in 2023 following a defamation lawsuit filed by Tesla China against a media outlet. According to a court judgment cited by Shanghai Securities News, forensic analysis determined that the fatal accident was unrelated to any malfunction on the Tesla’s braking or steering systems. The court also ruled that the media outlet must publish an apology, address the negative impact on Tesla China’s reputation, and pay a penalty of 30,000 yuan.
Elon Musk
SpaceX is exploring a “Starlink Phone” for direct-to-device internet services: report
The update was reportedly shared to Reuters by people familiar with the matter.
SpaceX is reportedly exploring new products tied to Starlink, including a potential Starlink-branded phone.
The update was reportedly shared to Reuters by people familiar with the matter.
A possible Starlink Phone
As per Reuters’ sources, SpaceX has reportedly discussed building a mobile device designed to connect directly to the Starlink satellite constellation. Details about the potential device and its possible release are still unclear, however.
SpaceX has dabbled with mobile solutions in the past. The company has partnered with T-Mobile to provide Starlink connectivity to existing smartphones. And last year, SpaceX initiated a $19.6 billion purchase of satellite spectrum from EchoStar.
Elon Musk did acknowledge the idea of a potential mobile device recently on X, writing that a Starlink phone is “not out of the question at some point.” Unlike conventional smartphones, however, Musk described a device that is “optimized purely for running max performance/watt neural nets.”
Starlink and SpaceX’s revenue
Starlink has become SpaceX’s dominant commercial business. Reuters’ sources claimed that the private space company generated roughly $15–$16 billion in revenue last year, with about $8 billion in profit. Starlink is estimated to have accounted for 50% to 80% of SpaceX’s total revenue last year.
SpaceX now operates more than 9,500 Starlink satellites and serves over 9 million users worldwide. About 650 satellites are already dedicated to SpaceX’s direct-to-device initiative, which aims to eventually provide full cellular coverage globally.
Future expansion of Starlink’s mobile capabilities depends heavily on Starship, which is designed to launch larger batches of upgraded Starlink satellites. Musk has stated that each Starship launch carrying Starlink satellites could increase network capacity by “more than 20 times.”
Will Tesla join the fold? Predicting a triple merger with SpaceX and xAI
IM Motors co-CEO apologizes to Tesla China over FUD comments
