General Motors’ (GM’s) driverless ride-hailing company Cruise has been hit with its latest fine, after the company failed to disclose certain details about an accident involving a pedestrian last October.
Cruise has agreed to pay a $500,000 criminal fine over the record it submitted following an accident with a pedestrian last October, as detailed by the Department of Justice (DOJ) in deferred prosecution that was revealed on November 14 (via Automotive News). The decision was made within the U.S. Attorney’s Office in the Northern District of California, and it comes as the most recent legal penalty the company has had to pay after regulators said it “omitted” and “misrepresented” details about the accident.
According to NHTSA special agent Cory Legars, who is overseeing the Cruise case, the fine is intended to help hold Cruise and its staff accountable, following a “lack of candor” in response to the 2023 crash in which a robotaxi dragged and pinned a pedestrian.
The DOJ echoed the company’s withholding of certain details following the accident, which caused “multiple traumatic injuries” for the pedestrian, according to emergency responders. Cruise has also been criticized over its response to the accident by other agencies, including the California Public Utilities Commission (CPUC) and the state’s Department of Motor Vehicles (DMV).
Along with the fine, Cruise must also implement a safety compliance program, submit yearly reports to the U.S. Attorney’s Office, and cooperate with all government agency investigations.
In a written statement, Cruise Chief Administrative Officer Craig Glidden said that company maintained a “firm commitment to transparency with our regulators.”
Cruise leadership pledges more transparency, greater culture of safety in new letter
Cruise’s October 2023 accident and other crash response fines
In the accident, which took place on October 2, 2023, a Cruise robotaxi struck a pedestrian moments after she had been hit by a car with a human driver. The pedestrian ended up in the path of the Cruise vehicle, which hit her, dragged her about 20 feet, and engaged an emergency stop sequence that caused the vehicle to stop on top of her with hazard lights on until authorities arrived.
Following the accident, the DMV and other agencies noted that Cruise avoided sharing certain details, including exactly what the robotaxi did after it ran over the individual. Weeks later, Cruise disclosed a more full version of events, but it was only after the DMV specifically requested more details. The agency also suspended Cruise’s permit to operate self-driving vehicles, effective immediately.
“Cruise’s omission hinders the ability of the department to effectively and timely evaluate the safe operation of Cruise vehicles and puts the safety of the public at risk,” said Bernard Soriano, DMV deputy director, after the accident.
In the following weeks and months, Cruise would go on to see a significant staff and executive shake-up, with its two co-founders resigning alongside several other high-level employees. The company also went on to let go of around a quarter of its staff, before hiring several new executives in attempts to regain public and regulator trust and relaunch the service.
Cruise is currently aiming to reboot driverless ride-hailing sometime this year, though it has faced multiple fines from agencies and regulators in addition to the $500,000 agreement with the DOJ.
In June, following months of commission deliberation, Cruise was ordered by the CPUC to pay the maximum penalty of $112,500 for its crash response, after the company originally lobbied for a fine of just $75,000. In September, the NHTSA ordered Cruise to pay a $1.5 million fee, along with submitting a corrective action plan and additional details on how the company plans to fulfill reporting standards in any future incidents.
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Cruise robotaxi pedestrian accident review concludes with strange findings
The Tesla Model Y L is arguably the most hyped trim of the all-electric crossover, other than the Performance configuration that comes with white-knuckle speed and sports car-level handling.
However, it is not all perfect. Tesla owners in China who took delivery of the Model Y L, denoted with an L to highlight its longer wheelbase, are experiencing what they are referring to as “collapsing” of the rear wheels, as suspension issues appear to be an issue with some of the builds.
🚨 Model Y L owners in China report rear suspension sag
• Six-seat long-wheelbase Y. Shanghai. On sale since August 2025
• Owners say the rear tire-to-arch gap shrinks after mileage or a full load. Some cases after about 9,000 km loaded. Others near 30,000 km
• Tesla service… pic.twitter.com/Lr6i5Tbi07— Joe Hansen (@joehansen) September 1, 2026
The gap between the wheel arch and tire has narrowed to the point that “not even a single finger” could fit, according to a report from Car News China. The failures are not tied to a specific mileage, as one owner said that after just 9,000 kilometers (5,600 miles), they noticed the suspension issue when their car was fully loaded.
Another one had the issue at 30,000 kilometers (18,640 miles) and noticed that the wheel gap shrank to two fingers, so not as drastic as the person who reported a similar issue at 9,000 km.
Tesla Model Y L is gaining momentum in China’s premium segment
Along with the visual recognition of the issue, others are saying the sagging is causing abnormal wear on the inside of the tires. Extra weight and instant torque already provide additional stress on the tires in electric vehicles during normal operation, so it is no surprise that this is another complaint.
There has been no recall issued by Tesla, and the company has not yet publicly acknowledged the issue.
Some are suggesting that owners use a “finger test” to self-diagnose whether there is an issue with the suspension. There should be four fingers between the tire and the wheel well; anything less than that starts to get dicey.
Tesla is starting to truly tease and hype its groundbreaking Cybercab event, which takes place tomorrow in Austin, Texas. It will be the first time members of the public will be able to ride in a Cybercab, a vehicle without any manual controls, on public roads.
Tesla has been dropping some hype on X over the past several days, but this morning, the excitement has truly started to build up for the event. Although Cybercab has been unveiled before, this is truly Tesla’s announcement that it is ready to start offering autonomous rides for public passengers in its new ride-hailing-geared vehicle for the first time.
The hype has started with a variety of different social media posts that are a true indication that Tesla is preparing for something big. Teasing so much of the potential of Cybercab, including its ability to truly revolutionize how people hail rides for local travel, is what the big idea for the event entails. The time that many Tesla owners, fans, and investors have been waiting for is potentially here:
— Tesla (@Tesla) September 2, 2026
The event has remained slim on details. Even invitees are still awaiting true details about what the event will entail, where they’ll go, and what is in store for the evening. This is pretty typical for an event run by Tesla; they keep things under wraps for the most part until the very last minute.
However, there is no secret about what the real intention of Tesla is for this event: it is going to be a huge reveal party for a vehicle that has no steering wheel and no pedals. It is a truly massive step for the company moving forward.
No steering wheel, no pedals
— Tesla Robotaxi (@robotaxi) September 2, 2026
Speculation persists as to whether this is going to be an event that simply announces that rides will begin with the Cybercab, or it will be something more substantial. Tesla has said in the past that they plan to sell the Cybercab to the general public in what could become a great way to earn passive income by adding it to a more global fleet of Robotaxi-geared vehicles.
Tomorrow, the show begins in Austin, and the Cybercab goes live at some capacity; we just don’t know exactly how quite yet.
News
SpaceX tells the FCC that Starship Flight 14 is going to orbit
SpaceX filed with the FCC for Starship Flight 14, its first true orbital launch attempt.
SpaceX has asked the Federal Communications Commission for permission to fly Starlink terminals during Starship’s fourteenth flight test, and the filing lays out a genuine trip to orbit, something the program has never attempted.
Every Starship flight so far, including Flight 13’s successful splashdown in the Indian Ocean on July 24, has flown a suborbital arc that ends with the ship reentering the atmosphere within the same hour it launches. The FCC paperwork describes a mission profile built around an actual orbital insertion instead.
The payload is the other half of the story. Flight 13 carried 20 production Starlink V3 satellites, but because that mission never reached orbit, the satellites reentered along with the ship rather than joining the constellation, something Teslarati covered in detail after SpaceX released footage shot from one of those satellites as it drifted away from Starship in space. Flight 14 is designed to close that gap. If the orbital insertion holds, the roughly 20 V3 satellites onboard would separate into an operational orbit and could eventually go into service, each one rated for about 1 terabit per second of downlink capacity by SpaceX’s own account.
SpaceX announces new Starbase for ‘thousands of Starship launches annually’
Elon Musk first flagged the orbital attempt during SpaceX’s August 4 earnings call, the company’s first as a public entity following its June IPO under the ticker SPCX. He also floated catching the ship with the Starbase tower on the same flight, an idea he walked back on August 20, saying the catch attempt would more likely come “in a few months,” as Teslarati reported at the time. Flight 14 will instead target a splashdown for the ship in the Indian Ocean, the same recovery method used since Flight 12.
Hardware has been catching up to the ambition. Booster 21 completed a full 33-engine static fire on August 28, and Ship 41 finished its own six-engine test the week before. An airspace briefing circulated to pilots on August 20 listed September 15 as the target date, later than the end of August window Musk mentioned on the earnings call, though SpaceX has not confirmed a launch date publicly and Starship schedules routinely slip while hardware and FAA paperwork line up.
The FCC filing itself does not guarantee a launch date. It covers communications authority, and not flight readiness, considering SpaceX still needs Ship 41 fully stacked and cleared by the FAA before Flight 14 can fly. But the filing is a real marker of intent and it puts a specific regulatory process behind what had so far only been Musk’s word on the earnings call.
Tesla Model Y L gets suspension complaints in over odd issue China
Tesla Cybercab event gains steam ahead of massive launch
