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Cruise to reduce self-driving fleet by 50% in SF following robotaxi crash
The California Department of Motor Vehicles (DMV) has asked General Motors’ self-driving unit, Cruise, to temporarily reduce its robotaxi fleet by 50% in San Francisco. The request came after one of the company’s driverless vehicles was involved in a crash with a fire truck last week.
The California DMV noted that its is investigating “recent concerning incidents” involving autonomous robotaxis in the city. With this in mind, the DMV has advised that Cruise must reduce its San Francisco fleet by half until the investigation is completed and the self-driving company takes appropriate actions to improve road safety.
Following is the CA DMV’s statement about Cruise’s recent robotaxi incidents.
“Safety of the traveling public is the California DMV’s top priority. The primary focus of the DMV’s regulations is the safe operation of autonomous vehicles and safety of the public who share the road with these vehicles.
“The DMV is investigating recent concerning incidents involving Cruise vehicles in San Francisco. The DMV is in contact with Cruise and law enforcement officials to determine the facts and requested Cruise to immediately reduce its active fleet of operating vehicles by 50% until the investigation is complete and Cruise takes appropriate corrective actions to improve road safety. Cruise has agreed to a 50% reduction and will have no more than 50 driverless vehicles in operation during the day and 150 driverless vehicles in operation at night.
“The DMV reserves the right, following investigation of the facts, to suspend or revoke testing and/or deployment permits if there is determined to be an unreasonable risk to public safety.”
With Cruise agreeing to reduce its fleet by 50%, the company also released a blog post explaining the circumstances that led up to the accident. As per Cruise, the robotaxi identified the emergency vehicle almost immediately as it came into video. The robotaxi operator also noted that the vehicle initiated a braking maneuver and reduced its speed, but it was ultimately unable to avoid the collision.
All in all, the damage is super light. Good learning experience. A deaf, colorblind, human driver would have probably also gotten clipped.
In this situation, if you don't hear the truck and you don't notice the approaching scattered red light, reflecting on the buildings/street… pic.twitter.com/mTAGEQkAEk
— oFFMetaSweat (@oFFMetaSweat) August 18, 2023
Following is Cruise’s post about the incident.
“While our investigation is ongoing and we remain in contact with city officials and regulators, we wanted to provide an update on our preliminary analysis on the incident involving an emergency vehicle colliding with a Cruise AV.
“First and foremost, our primary concern remains with our passenger and their well-being. We have been in contact to offer support and will remain in touch.
“In terms of what occurred around the scene of the collision there are many aspects that looked typical from the AV’s perspective and several factors that added complexity to this specific incident.
“The AV positively identified the emergency vehicle almost immediately as it came into view, which is consistent with our underlying safety design and expectation. It is worth noting, however, that the confines of this specific intersection make visual identification more challenging – for humans and AVs alike – as it is significantly occluded by buildings, meaning that it is not possible to see objects around the corner until they are physically very close to the intersection.
“The AV’s ability to successfully chart the emergency vehicle’s path was complicated by the fact that the emergency vehicle was in the oncoming lane of traffic, which it had moved into to bypass the red light.
“Cruise AVs have the ability to detect emergency sirens, which increase their ability to operate safely around emergency vehicles and accompanying scenes. In this instance, the AV identified the siren as soon as it was distinguishable from the background noise.
“The Cruise AV did identify the risk of a collision and initiated a braking maneuver, reducing its speed, but was ultimately unable to avoid the collision.
“During the course of more than 3 million miles of fully autonomous driving in San Francisco we’ve seen an enormous number of emergency vehicles – more than 168,000 interactions just in the first 7 months of this year alone. Our first responders are trying to balance keeping all of us safe while quickly responding to emergency scenes and we’re grateful for their work and dedication.
“We realize that we’ll always encounter challenging situations, which is why continuous improvement is central to our work. We will continue to work in partnership with regulators and city departments on EMV interactions to reduce the likelihood of incidents like these happening again.”
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Tesla launched the slightly larger Model Y L in China last year, and it became a hit in no time. The longer wheelbase, larger interior, and slightly more forgiving legroom area in the Model Y L became a sought-after possibility for U.S. buyers, who have been begging the company for a larger SUV.
Now, Tesla needs it more than ever, especially considering the Model X was discontinued alongside its Model S sibling earlier this year. It looks to be more likely than ever, and based on recent reports, it will fall in line with CEO Elon Musk’s prediction that it would arrive in the United States in late 2026.
Recent reports from Forbes and Not a Tesla App both have indicated Tesla plans to bring the Model Y L to the U.S. this year. The reports cite “credible sources,” and an analyst from AutoForecast Solutions named Sam Fiorani stated that the car would enter production later this year.
Fiorani said:
“China, Australia, and India are supplied by the factory in China, which will not supply vehicles to the U.S. Production of the Model Y L is expected to begin in the U.S. in September, which will lead to sales beginning before the end of 2026.”
Production would take place at Gigafactory Texas.
Additionally, a few Model Y L units have been spotted under wraps in the United States, giving more indication that Tesla plans to bring the vehicle to the U.S. When Tesla is close to launching a vehicle in the U.S., it is not uncommon to see these models with the exact car covers that you see below:
Looks like another Tesla Model Y L was spotted in the U.S.! pic.twitter.com/jhsdkcN5Go
— TESLARATI (@Teslarati) June 26, 2026
It makes sense, especially considering Musk hinted the Model Y L would make it to the U.S. in late 2026, but it was up in the air. The CEO said the advent of self-driving might not warrant a larger SUV coming to the U.S. market specifically.
The problem is, consumers do not want to hear that. They love Tesla’s tech, FSD, and other features, but they need more space for growing families. The Model X is gone, and the most anyone can fit in a Tesla right now is seven people in the seven-seat Model Y. That back row is truly only large enough to fit small children comfortably.
Tesla fans have requested a full-size SUV, and the company has made some hints that it could be in the plans.
The Model Y and Model Y L differ noticeably in size, with the Model Y L being a stretched, six-seat variant designed for great interior room. The Standard Model Y measures approximately 4,790mm in length, 1,982 mm in width with the mirrors folded, 1,624mm in height, and 2,890mm in wheel base.
In contrast, the Model Y L extends to be about 4,969–4,976mm long (roughly 179mm or 7 inches longer), stands 1,668mm tall (+44mm), and features a significantly longer 3,040 mm wheelbase (+150mm), while maintaining the same width.
This elongation primarily benefits rear passenger space and enables a 2+2+2 seating layout with captain’s chairs, though it slightly reduces maximum cargo capacity behind the rearmost seats and adds a bit of overall mass and turning radius. The result is a more spacious family hauler that still shares the core footprint and agile character of the original Model Y.
In a major development that will inevitably strengthen Tesla’s dominant position in the American EV market, Polestar has been effectively banned from selling new vehicles in the United States, starting with the 2027 model year.
The U.S. Department of Commerce denied Polestar authorization under the Connected Vehicle Rule, which prohibits vehicles containing certain connected technologies (Cellular, Wi-Fi, Bluetooth, etc.) linked to China or Russia due to national security risks, including potential data collection on American drivers.
🚨 A Tesla competitor goes down
Polestar will no longer sell new vehicles in the United States starting with the 2027 model year.
The U.S. Department of Commerce denied the brand authorization under the Connected Vehicle Rule, which restricts the sale of cars with software and… pic.twitter.com/TrwnQeoiES
— TESLARATI (@Teslarati) June 25, 2026
Polestar, which is majority-owned by China’s Geely Holding, could not obtain the required exemption despite producing some models domestically.
Polestar confirmed it will sell off any remaining inventory of the Polestar 3 and Polestar 4 models, while continuing service and warranty support for existing customers. No new models or major refreshes will reach U.S. buyers, and the company is pivoting its growth strategy to Europe, where it already generates the vast majority of its sales.
The outcome removes a direct premium EV competitor that had positioned itself as a stylish, performance-oriented alternative to Tesla’s lineup. The Polestar 2 challenged the Model 3, while the Polestar 3 and 4 targeted segments overlapping with the Model Y and upcoming Tesla offerings. Polestar’s U.S. sales had already been sluggish amid intense competition and slower demand, representing just 6 percent of its global volume in the first quarter of 2026.
While Polestar was not on Tesla’s level in the U.S., it still places a dent in the evergrowing field of Tesla competitors in the country, where it has long dominated EV sales.
Tesla faces none of these hurdles. As a U.S.-founded and U.S.-headquartered company with major manufacturing in Fremont, Austin, and Nevada, Tesla’s vehicles are built with compliant domestic and allied supply chains. Its Full Self-Driving technology, over-the-air software updates, and vertically integrated ecosystem were developed entirely in-house without foreign ownership entanglements that trigger national security reviews, at least in the U.S.
Of course, it did face a similar threat in China a few years back:
Elon Musk responds to reports of Tesla ban among China’s military over security concerns
The Connected Vehicle Rule, first advanced under the prior administration and upheld under the current one, is part of a broader U.S. effort to protect the domestic auto industry and critical technology from Chinese influence. High tariffs on Chinese-made EVs and related restrictions have already reshaped the market. Tesla benefits directly: it avoids these barriers while continuing to lead in U.S. EV sales volume, Supercharger network expansion, and energy storage integration.
By clearing Polestar from the new-vehicle playing field, the policy reduces competitive pressure in the premium and performance EV segments where Tesla has invested billions. American consumers seeking cutting-edge electric vehicles now have one fewer option tied to foreign adversaries — and one clearer path to the market leader that has driven the EV transition from the start.
For Tesla, this is more than regulatory relief. It is a strategic tailwind that reinforces its position as America’s premier EV innovator at a time when domestic manufacturing and technological independence matter most.
Tesla Cybercab stands to gain from new rules that the Trump Administration is aiming to enforce on autonomous vehicles. On Thursday, NHTSA, under the Trump Administration’s U.S. Department of Transportation, commenced rulemaking on the Federal Motor Vehicle Safety Standards (FMVSS).
This effort aims to eliminate the mandate for manual brake pedals in vehicles that are designed to be driven exclusively by automated driving systems. This would impact the Tesla Cybercab, which the company has stated would operate without a steering wheel or pedals.
Tesla Cybercab launch is imminent after latest sighting at Giga Texas
The Trump Administration is looking to revise FMVSS No. 135, which requires standard braking systems on light-duty vehicles.
Currently, the regulation requires light-duty cars to use traditional manual braking systems that allow operators to slow the vehicle. With the advent of self-driving in the U.S., these regulations need updating, and these are the changes that could come to FMVSS No. 135:
- Removes requirements for hand- or foot-operated brake controls for vehicles designed never to be operated by a human. Existing rules still apply to AVs that retain manual controls.
- All subject vehicles must still meet the same stopping distance performance criteria via alternative testing procedures.
- While this update ensures AVs can physically stop when commanded, NHTSA is separately developing safety performance requirements for AVs in real-world driving scenarios.
- NHTSA will continue to use its broad defect enforcement authority to investigate unsafe ADS behavior and oversee recalls.
As autonomy becomes a greater part of passenger travel, these types of rule adjustments will be more than reasonable. It will give manufacturers the ability to self-certify their vehicles and avoid any red tape that could ultimately delay the deployment of these vehicles.
Administrators are also incredibly excited about the opportunity to play a role in the advancement of self-driving vehicles.
“We are at the cusp of the greatest technological revolution in vehicle technology since the innovation of the Model T,” NHTSA Administrator Jonathan Morrison said. “If we want America to lead the way, we have to reimagine our regulatory framework. That’s why under Secretary Sean Duffy’s AV Framework, NHTSA is tearing down pointless barriers to innovative designs while strengthening the fundamental safety requirements that matter and holding AV developers accountable for safe performance.”
The Cybercab entered mass production at Gigafactory Texas in April. Tesla ultimately plans to push the vehicle into its Robotaxi fleet, potentially when frameworks like these are established.
Tesla looks keen to bring larger Model Y L to the U.S.
One of Tesla’s biggest threats just got banned in the U.S.
