Connect with us

News

Elon Musk wants the Government to be a referee, not a player in the game of industry and innovation

Published

on

Elon Musk is one of the most innovative minds to ever exist in the tech community. With his multiple companies providing successful changes in how some industries, like automotive, are looked at, Musk is a proven CEO with a track record to back it up. His many ideas basically changed the idea of what it is like to drive a car, which many of us thought would be dominated by gas and diesel-powered engines for years to come. An innovative mind and a lot of hard work undoubtedly contributed to Tesla’s success, and Musk has no interest in giving credit to anyone who didn’t earn it.

With the election coming to a close and a new Presidential campaign being selected to run the United States for the next four years, Musk was recently asked during an interview with the Wall Street Journal whether President-Elect Joe Biden’s plans to spend big on industry and innovation were a good thing. Musk doesn’t seem to have a problem with the idea, but he is vocal about the fact that the government should do more regulating than contributing. The role of Government, after all, is to enact laws and make sure they are abided by citizens. Additionally, assisting with companies’ innovation is something the Government shouldn’t stick its nose up at. Still, Musk just hopes that it plays more of an administrative role instead of becoming a “player in the game.”


A big thanks to our long-time supporters and new subscribers! Thank you.


“It’s the Government’s role to establish the rules of the game and then ensure that those rules are properly enforced,” Musk said. The CEO even compared the Government’s role to that of a referee in a game of football: Know the rules, enforce them correctly, make sure the game is fair.

Advertisement

What the Government doesn’t need to do is stay out of the way of the big companies who are working to innovate the processes of daily life to benefit them and their objectives. “I think when the Government does not do a great job is when they want to not just be a referee on the field, they want to be a player on the field. This does not end up in a good situation.”

The issue with the Government overreaching into the field of industry and innovation is that they will “pick technology winners and losers” instead of letting companies play out their innovation themselves. This could lead to small companies being undermined even if they have ideas or technology that larger companies don’t have access to.

This scenario, if Government was overly involved in tech and innovation, could have crippled Tesla’s efforts when the company was just starting to churn out vehicles in 2008. Even though Tesla had established itself as a player in electric vehicles, it was a small, relatively unknown company that faced massive problems due to lack of funds. Nearly shutting its doors after issues with the original Roadster, Tesla somehow overcame the adversity and received more investor money.

Now, imagine if the Government would have been a player instead of a referee in this scenario. It would have likely given a large financial assistance package to a well-developed, large scale automaker like Ford or GM to develop EVs. Instead, it stayed out of the innovation portion of the equation and let the players decide the game for themselves. Tesla ended up becoming the leader in EVs, while GM and Ford are failing to catch up. It’s fairly safe to say that without Tesla, EVs would not be what they are today. The legacy automakers that exist in the universe of automotive manufacturing would likely have cranked out one or two low-range models because their primary focus is still on gas-powered cars and not on electrification.

Advertisement

This whole picture perfectly aligns with how Tesla’s story has played out thus far. It is fairly obvious that the Government in 2008 would have sided with a company with proven infrastructure, and not some company who had a shot in the dark to change the entire framework of vehicle manufacturing. This is where Musk made his next point: Make the rules that incentivize the outcome, not the path.

The ultimate goal is to let companies figure out issues on their own. There is no reason to have Government programs essentially hold the hands of private industry. There needs to be more of a focus on the end goal and not the path a company takes to get there. Rarely is the road to success a straight and narrow path. Many companies, Tesla being a prime example, have to fight and struggle to create a new, innovative project. Tesla’s story is perfect evidence that the end goal takes a lot of persistence and it doesn’t need to be filled with hand-holding from large Government entities. While Biden’s plan to pump money into innovation and industry may help some companies get back on their feet in dire times of need, it shouldn’t hold the hands of these large companies whose job it is to figure out the answer to problems.

When large car companies begin to manufacture and deliver electric vehicles that are good for consumers, then they should be rewarded. Riding on the coattails of Government assistance packages that don’t necessarily guarantee innovation is the wrong way to go about things. When companies prove that they are in the business of creating a great product, then the rewards should come in. It’s that simple.

On behalf of the entire Teslarati team, we’re working hard behind the scenes on bringing you more personalized members benefits, and can’t thank you enough for your continued support!

Advertisement

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

Advertisement
Comments

Lifestyle

Tesla Semi hauls fresh Cybercab batch as Robotaxi era takes hold

A Tesla Semi was filmed hauling Cybercab units out of Giga Texas for the first time.

Published

on

By

A Tesla Semi loaded with Cybercab units was recently filmed leaving Gigafactory Texas, marking what appears to be the first documented delivery run of Tesla’s autonomous two-seater. The footage shows multiple Cybercabs secured on a flatbed trailer being hauled by a production Tesla Semi, a truck rated for a gross combination weight of 82,000 lbs. The location is consistent with Giga Texas in Austin, where Cybercab production has been ramping since February 2026.

The sighting follows a wave of Cybercab activity at the Austin facility. In late April, drone operator Joe Tegtmeyer spotted approximately 60 Cybercabs parked in two organized groups in the factory’s outbound lot, the largest concentration observed to date. Units being staged in an outbound lot is a standard pre-delivery step, and the Semi footage is the logical next frame in that sequence.


This is not the first time Tesla has used its own Semi to move Tesla products. When the Semi was unveiled in 2017, Musk noted it would be used for Tesla’s own operations, and over the years Semi prototypes were spotted carrying cargo ranging from concrete weights to Tesla vehicles being delivered to consumers. In 2023, a Semi was photographed transporting a Cybertruck on a trailer ahead of that vehicle’s delivery launch.

Advertisement

The Cybercab itself was first revealed publicly at Tesla’s “We, Robot” event on October 10, 2024, at Warner Bros. Studios in Burbank, where 20 pre-production units gave attendees rides around the studio lot. Musk stated at the event that Tesla intends to produce the Cybercab before 2027. The first production unit rolled off the Giga Texas line on February 17, 2026, with Musk posting on X: “Congratulations to the Tesla team on making the first production Cybercab.”

Tesla’s annual production goal is 2 million Cybercabs per year once multiple factories reach full design capacity, with the company targeting a price under $30,000 per unit. Tesla has confirmed plans to expand its robotaxi service to seven cities in the first half of 2026, including Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas, building on the unsupervised service already running in Austin. Musk has said he expects robotaxis to cover between a quarter and half of the United States by end of year.

Continue Reading

Cybertruck

Tesla Cybertruck too safe for even Musk’s biggest critics to ignore

Krassenstein’s decision reveals that superior safety isn’t a partisan issue. For parents prioritizing family protection over personal or political grudges, the Cybertruck has become too safe to ignore.

Published

on

Credit: Tesla

The Tesla Cybertruck is an extremely polarizing vehicle because of its potential symbolism as a political stance instead of just a pickup truck — or at least that is what many would want you to believe.

Of course, the Cybertruck is an icon of Tesla culture, and it is one of those things that never has a middle ground: you love it, or you don’t.

But maybe there is an establishment of that “grey area” happening.

In a striking illustration of engineering triumph over political tribalism, prominent Elon Musk critic Brian Krassenstein has purchased a Tesla Cybertruck, openly citing its exceptional safety as the deciding factor for his family.

Advertisement

The announcement on X triggered predictable backlash, yet it underscores a growing reality: the Cybertruck’s safety credentials are proving impossible for even Musk’s fiercest detractors to dismiss.

Advertisement

Krassenstein, who has repeatedly clashed with Musk over issues ranging from content moderation and “wokeness” to public health figures, made no attempt to hide his reservations. In his May 6 post, he acknowledged the coming criticism: “I might get hate for this too but I bought a Cybertruck.”

He stressed that the decision had “nothing to do with Elon or politics,” pointing instead to practical advantages—his existing Tesla charger, eligibility for Full Self-Driving upgrades, a returning-owner discount, and crucially, the vehicle’s strong safety profile.

With gasoline prices hovering near $5 a gallon in some areas, he also highlighted the environmental benefit of switching from a polluting combustion engine.

The numbers, data, and awards validate Krassenstein’s choice.

Advertisement

The 2025 Cybertruck earned the Insurance Institute for Highway Safety’s (IIHS) elite Top Safety Pick+ award—the only pickup truck to achieve this highest rating. It delivered “Good” scores across every crashworthiness category, including the challenging updated moderate overlap front crash test, while excelling in crash avoidance and mitigation systems.

The National Highway Traffic Safety Administration (NHTSA) awarded it a perfect 5-star overall rating, with top marks in frontal, side, and rollover categories. No other pickup truck holds both distinctions simultaneously.

Tesla Cybertruck crash test rating situation revealed by NHTSA, IIHS

Beyond lab results, the Cybertruck’s stainless-steel exoskeleton and ultra-rigid structure have demonstrated remarkable real-world resilience. Owners have reported surviving high-speed collisions with minimal cabin intrusion.

Advertisement

In one widely discussed incident, a Cybertruck endured a 70 mph sideswipe on the interstate; the driver reported barely feeling the impact while the other vehicle was heavily damaged.

Tesla’s crash demonstrations and independent analyses consistently show how the vehicle’s design prioritizes occupant protection through a fortified passenger cell rather than traditional crumple zones, giving families superior safeguarding in many common crash scenarios.

The online pile-on following Krassenstein’s post focused on aesthetics, politics, and perceived hypocrisy rather than the data. Critics called the angular truck “ugly” or accused him of selling out.

Yet his purchase highlights an inconvenient truth for polarized discourse: when objective safety metrics—IIHS awards, NHTSA ratings, and documented crash performance—point decisively toward one vehicle, even Musk’s biggest critics are forced to confront its merits.

Advertisement

Krassenstein’s decision reveals that superior safety isn’t a partisan issue. For parents prioritizing family protection over personal or political grudges, the Cybertruck has become too safe to ignore.

Continue Reading

News

SpaceXAI signs agreement with Anthropic for massive AI supercomputer access

Published

on

Credit: SpaceX

SpaceXAI announced today that it had signed an agreement with Anthropic to give the company access to its Colossus 1 data center in Memphis, Tennessee.

It is a monumental deal as Anthropic will gain access to all of the compute at the plant, delivering more than 300 megawatts of power and over 220,000 NVIDIA GPUs within the month.

Anthropic’s Claude AI account on X announced the partnership:

We’ve agreed to a partnership with SpaceX that will substantially increase our compute capacity. This, along with our other recent compute deals, means that we’ve been able to increase our usage limits for Claude Code and the Claude API.”

Advertisement

The company is also:

  • Doubling Claude Code’s 5-hour rate limits for Pro, Max, and Team plans;
  • Removing the peak hours limit reduction on Claude Code for Pro and Max plans; and
  • Substantially raising its API rate limits for Opus models.

Advertisement

SpaceX also published its own release on the new agreement, noting that it is “the only organization with the launch cadence, mass-to-orbit economics, and constellation operations experience to make orbital compute a near-term engineering program rather than a research concept.”

CEO Elon Musk also commented on the partnership and shed light on intense meetings he had with senior members of Anthropic last week, stating, “nobody set on my evil detector.”

This has turned the argument that SpaceX is as much an AI company as a space exploration company into a very valid argument:

SpaceX is following in Tesla’s footsteps in a way nobody expected

Advertisement

Nevertheless, this is an incredibly valuable and important move in the grand scheme of things. AI scaling is fundamentally bottlenecked by compute, and demand for Claude has surged, bringing terrestrial power grids, land, and cooling operations hitting limits everywhere.

Anthropic has been aggressively signing multiple large-scale deals to be competitive in the space, including:

  • Up to 5GW with Amazon
  • 5GW with Google and Broadcom
  • Strategic $30b Azure deal with Microsoft/NVIDIA
  • $50b U.S. infrastructure investment with Fluidstack

Access to Colossus 1 gives Anthropic immediate relief on NVIDIA GPU capacity. For SpaceXAI, it turns its rapid buildout into revenue. It also showcases its ability to deliver at world-leading speed and scale.

Most importantly, it plants the seed that its much larger vision, orbital AI compute, is totally viable.

Starlink V3 satellites could enable SpaceX’s orbital computing plans: Musk

Advertisement

Within the month, Anthropic will begin using 100 percent of Colossus 1’s compute, directly expanding capacity for Claude Pro and Max subscribers and the API. This means fewer limits, faster responses, and support for heavier workloads.

In the long term, meaning 2026 and beyond, there will be a continued rollout of other multi-GW deals Anthropic has signed, and an early exploration of orbital compute with SpaceXAI.

Continue Reading