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BMW terminates self-driving tech partnership with Mercedes-Benz

(Credit: BMW)

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5 years ago

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German automaker BMW has announced that it will freeze its self-driving technology development program with Mercedes-Benz after a steep plunge in demand for its vehicles due to the coronavirus. BMW will also get rid of 6,000 jobs, which accounts for 5% of its global employment force of 120,000 people.

The halted partnership between the two German giants will delay the development of self-driving software that was agreed upon nearly one year ago on July 4, 2019. The two companies had put together a team of 1,200 technicians in an attempt to chase Tesla, which holds a dominating lead in the self-driving sector.

Plans initially had intended for BMW and Mercedes-Benz to introduce semi-autonomous driving capabilities into its vehicles by 2024. However, those intentions have been derailed, giving Tesla an even more significant advantage in the race towards autonomy.

In a joint statement between the two companies, BMW and Mercedes-Benz announced that they “are putting their cooperation on development of next-generation technology for automated driving temporarily on hold.” After reviewing the partnership extensively, the correct move based on current economic conditions warranted an amicable split between the two companies, at least for the time being.

It has become evident that Tesla is undoubtedly the leader in electric vehicles. In terms of technology, battery capabilities, performance specifications, and self-driving software, Tesla is the golden standard, and nobody comes close.

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The scrapping of the partnership between BMW and Mercedes pushes back the two companies’ capability to introduce self-driving vehicles, delaying the competition for Tesla in the market. It has been clear that competition drives technology improvements as a whole, and when one company develops a new capability, others try and replicate it.

However, BMW appears to be on survival mode at this point, and their plan includes the unfortunate downsizing of the company’s workforce. According to an announcement from company executives to Reuters, the decision appears to be based on the direct impact that the coronavirus has had on automotive sales, especially in Germany.

“Further steps are needed to make the BMW Group more resilient to external influences and market fluctuations,” the executives stated. Workers who will remain employed will have their capacity adjusted “by reducing employment contracts with extended weekly working hours for exempt employees.”

The coronavirus has had an undeniable impact on the automotive sector as a whole, and it seems that, for the time being, BMW and Mercedes are taking steps to ensure that a future of manufacturing luxury vehicles is certain — even if that means taking a step back from  the development of autonomous driving systems.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Elon Musk

Tesla CEO Elon Musk hits back at drug use claims, calls publications ‘hypocrites’

Elon Musk showed a clean drug test, dispelling any rumors of drug use that came from unfounded reports from two large media outlets.

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1 hour ago

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June 17, 2025

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Credit: Elon Musk

Tesla CEO Elon Musk has responded to a report from the Wall Street Journal and the New York Times, as both publications claimed he was abusing drugs while being involved with President Trump on both the campaign trail and while he was active within the administration after the election.

A bombshell report from the New York Times, published in late May, stated that Musk was regularly using things like ketamine, ecstasy, and psychedelic mushrooms, and also stimulants like Adderall, during his time within the Trump administration.

The reports cited inside sources who claimed the Tesla and SpaceX frontman was using substances during his time with the government.

However, Musk published the results of a recent drug test performed at Fastest Labs of South Austin. They showed ‘Negative’ results across the board:

Musk was not done there.

He went on to say the New York Times “lies as easy as breathing. It’s normal for them.” He also said both the Times and Wall Street Journal reporters should also publish their own drug test results, stating, “They won’t, because those hypocrites are guilty as sin.”

Musk said years ago that he received ketamine prescriptions from doctors to treat depression. He said he had it “years ago and said so on X, so this is not even news.” He also said that ketamine “helps for getting out of dark mental holes, but haven’t taken it since then.”

Tesla fans and Musk enthusiasts have joked for days now that, if Musk were to be on drugs, other CEOs should also do them, considering his persistence on work-related projects, long hours, and commitment to his job.

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Musk has now proven that there has been no drug use with this test, and it seems as if the reports could have some sort of legal impact, although he has not said he will take any action.

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Tesla’s Grok integration will be more realistic with this cool feature

Tesla is preparing Grok for its first integration into vehicles, but it’s making it more robust than ever, firmware shows.

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2 hours ago

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June 17, 2025

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Credit: Tesla

Tesla has not yet integrated the AI assistant Grok into its vehicles, but when it does, it will be even more realistic with a new feature that firmware coding shows.

CEO Elon Musk teased a few months back that Grok would be making its way into vehicles in the near future. The implementation has not yet occurred, but we are confident it will be rolling out soon, especially as Tesla has its sights set on a near-term rollout of the Robotaxi platform.

Tesla’s vehicles expected to get Grok voice assistant—but when?

Grok will enable AI assistance for drivers who are both manually operating Tesla vehicles or using the company’s Full Self-Driving suite. It has been widely popular and extremely useful for users on X, Musk’s social media platform.

However, Tesla hacker green has revealed through firmware that the company is planning to roll out Grok into vehicles with personalities, giving it an even more realistic tone that is totally customizable and catered to whatever the driver wants.

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There are also a handful of kids’ versions that will do things like tell stories or play trivia:

The true capabilities of Grok are nearly limitless. Back in January, Musk said on a livestream on X that, “You’ll be able to talk to your Tesla and ask for anything.”

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Grok appears to only be available on AMD-based vehicles, according to other things green found in the firmware. This means that Intel-based Teslas, which are usually older models, will not enable Grok support for right now.

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Tesla dominates Cars.com’s Made in America Index with clean sweep

Tesla continues to dominate Cars.com’s Made in America Index with a clean sweep of the Top 4 spots.

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5 hours ago

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June 17, 2025

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Credit: Tesla

Tesla has dominated the Cars.com Made-in-America Index with a clean sweep of the top four spots. All four Tesla vehicles that were eligible for the analysis placed in the top four.

The Model 3 overtook the Model Y for first place this year. The all-electric crossover was first in 2024, but the Model 3 managed to overtake its sibling vehicle to claim the top spot in 2025. The Model Y took second, while the Model S took third, and the Model X took fourth.

This is an improvement from last year, as the Model Y took first, but the Model S and Model X placed fourth and ninth, respectively. The Model 3 was not in the Top 10 in 2024.

“Tesla continues to lead, claiming the top four spots and showcasing its commitment to domestic production. About 25% of the more than 400 vehicles on sale in the U.S. made this year’s AMI, and whether a vehicle is No. 1 or No.99, it contributes to the U.S. economy,” Patrick Masterson, lead researcher for the program, said.

More than 400 vehicles were analyzed for this year’s study, with Cars.com officially ranking 117 of them. There were two other EVs in the Top 10, as the Kia EV6 took sixth place, and the Volkswagen ID.4 finished in tenth.

This year’s study reflected major geographic and strategic shifts across the automotive industry. Of the 117 vehicles ranked in the program, they were produced at 36 domestic factories, leaving only 11 total factories that did not yield a car on the list. There are 47 assembly plants in operation in the U.S.

However, there still has not been a vehicle to quite reach the 100 percent domestic parts content, something that is extremely elusive. Masterson says the global supply chain is still extremely crucial to even the most American-built cars on the market.

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The average domestic parts content of the Top 10 cars was 83.4 percent in 2006, but that number has shrunk to 70.3 percent in this year’s rankings.

Some might wonder where cars like the Tesla Cybertruck or Rivian R1T are on the list. However, these vehicles did not qualify because the study only considers cars under a gross weight of 8,500 pounds.

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