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UPDATED: Tesla prepares to launch ride-hailing service in California

Credit: Teslarati

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2/28 7:44 a.m. – Updated the article for accuracy.

Tesla has applied for a Transportation Charter-Party Carrier, or TCP, permit, which would allow it to own and control vehicles in a ride-hailing service.

Tesla applied for a “transportation charter-party carrier permit” from the California Public Utilities Commission, which would see the company own and control a fleet of ride-sharing vehicles in the Golden State.

It will use human drivers for the application. It did not apply for what the California Public Utilities Commission calls a Transportation Networth Company permit, or TNC, which, according to the agency, provides prearranged transportation services for compensation using an app, such as Lyft and Uber.

Bloomberg was the first to spot the application, which was filed in November 2024, its report said.

It could eventually lead to participation in the CPUC’s Autonomous Vehicle Passenger Service, as the TCP is a prerequisite to go into that program.

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However, as of now, Tesla has not applied to participate in the Autonomous Vehicle Service Program, and even if their current application was granted, it would not allow the company to offer drivered or driverless autonomous vehicle rides to the public in any way.

The move also is a direct blow to competitors like Uber, Waymo, and others, who offer ride-hailing and/or autonomous vehicle transportation programs.

If approved, Tesla would gain the same type of permit used by Waymo, the report confirmed.

Of course, this is all pending regulatory approval, and Tesla is not planning to start its self-driving offerings in California, but Texas, instead.

During Tesla’s Q4 2024 Earnings Call, CEO Elon Musk unveiled plans for the company to launch the program in Texas this year:

“So, we’re going to be launching unsupervised full self-driving as a paid service in Austin in June. So, I talked to the team. We feel confident in being able to do an initial launch of unsupervised, no one in the car, Full Self-Driving in Austin in June.”

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He went on to say that Tesla would launch this in “many cities in America by the end of this year” in early February. Still, a lot of work is left to do, because there have been no approvals for Tesla to begin these operations in Austin or any other city.

Tesla does plan, however, on rolling out the Cybercab it unveiled in early October in Los Angeles as the first vehicle to give driverless rides in Austin. Tesla’s Head of Design Franz von Holzhausen and VP of Vehicle Engineering Lars Moravy confirmed in a recent interview with Jay Leno that the Cybercab would be rolling around the streets of Austin in June:

Need accessories for your Tesla? Check out the Teslarati Marketplace:

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Please email me with questions and comments at joey@teslarati.com. I’d love to chat! You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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

Elon Musk follows Trump’s lead, says a SpaceX name change is coming

Elon Musk says SpaceXAI will become SpaceXSI, marking its second rebrand in under three months.

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Elon Musk wants to rename his artificial intelligence company again, less than three months after its last rebrand.

In a string of posts on X early Sunday morning, Musk wrote “No more AI,” followed by “SI” and “It’s better.” He then added, “SpaceX is a super intelligence company.” When a user asked whether SpaceXAI could become SpaceXSI, Musk replied, “Yes, we will make that change.”

The posts extend a terminology push that began at the White House last week. On September 29, President Donald Trump signed an executive order directing federal agencies to replace “artificial intelligence” and “AI” with “Super Intelligence” and “SI” on government websites, policy documents and press releases. The same day, Musk sat beside Trump as the heads of the largest AI companies signed a voluntary safety accord, as Teslarati reported. Speaking to reporters afterward, Musk caught himself mid sentence: “I think it is worth highlighting the positive benefits of A.I. … S.I., pardon me.”

Elon Musk and Trump are closer than ever, and Tesla could be the big winner

SpaceXSI would be the third name for the business since February. SpaceX acquired xAI on February 2 in a deal that valued the combined company at $1.25 trillion. In May, Musk said xAI would be dissolved as a separate company, and on July 6 the division adopted the SpaceXAI name and a new logo that placed the xAI letters inside the SpaceX identity.

Musk gave no timeline. He did not say whether SpaceXSI would be a legal name change or a branding update, whether the @SpaceXAI handle on X would change, or how the shift would apply to products like Grok. The company had not issued a formal announcement as of Sunday morning.

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The change would reach well beyond a chatbot. SpaceXAI now houses Grok, the X platform, the Colossus training clusters in Memphis and the coding tool Cursor, which SpaceX acquired in August. It also runs the orbital compute effort SpaceX is building around Nvidia hardware, which Musk said during the company’s first earnings call would be exclusive to Nvidia.

It’s unclear if rivals like Anthropic, OpenAI, Google, Meta and Nvidia have plans to also rename their companies or products. OpenAI CEO Sam Altman has continued to say “AI” in public, while Nvidia CEO Jensen Huang has gone partway, describing data centers as “super intelligence factories.”

The rename would also line up SpaceX’s AI branding with the federal government’s language as Musk takes on a new advisory role at the Pentagon, where he is helping lead the Project Meridian study on the future of warfare.

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Starlink launches Communities Program for passive income through internet sharing

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(Credit: Starlink | X)

Starlink is launching a new beta path for ordinary property owners and local operators to turn a single Starlink kit into a small shared-access business for passive income.

Under the Starlink for Communities program, a host installs one dish and router setup in a location with nearby demand: an apartment complex, campground, rural crossroads, or event site. Neighbors or local users can buy short-term passes rather than full individual subscriptions, giving the Starlink provider a potential path to passive income.

Hour, day, and week passes cover one device. A month pass covers up to four. Starlink handles account creation, payments, access controls, and the satellite link itself. The host’s role is mainly placement, power, and basic upkeep, with earnings tied to each paid connection.

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The model echoes the passive-income vision long attached to Tesla’s Robotaxi plans, and it seems like it’s something Musk has hinted toward in the past as he believes AI will make the need to work relatively optional. In both cases, the platform owns the hard parts of matching, billing, and network management, while an individual supplies a physical asset that sits idle much of the time.

A Starlink host’s dish can serve multiple nearby users without each household buying and installing its own terminal. A Tesla owner, under the stated Robotaxi concept, would leave a vehicle enrolled in the fleet during unused hours so the car generates rides while the owner is at work or asleep.

Both arrangements convert under-utilized hardware into a revenue stream. They also let the company scale coverage or capacity without owning every endpoint.

Differences are practical. A Starlink kit is a fixed, relatively low-cost terminal whose main constraint is local congestion and line-of-sight. A Tesla Robotaxi is a mobile, high-value vehicle whose earnings depend on demand density, utilization rates, insurance, cleaning, and charging.

Starlink’s program is already accepting host applications in multiple countries and describes the revenue split as ongoing. Tesla’s owner-network version remains more aspirational.

The company currently operates a limited company-controlled robotaxi service in select areas and has solicited interest from fleet buyers for Cybercab vehicles, while private Full Self-Driving owners have not yet been able to dispatch their own cars for paid rides at scale.

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Tesla primes Cybercabs for 4K streaming and high bandwidth gaming with Starlink integration

Starlink is a satellite broadband service operated by SpaceX that uses a constellation of low-Earth-orbit satellites to deliver internet to locations where terrestrial broadband is slow, expensive, or absent. It has grown to millions of subscribers worldwide by selling direct residential, mobile, and enterprise terminals, and have become widely available at a wide array at retail locations like Target and Best Buy.

The Communities program extends that reach by letting hosts resell short bursts of capacity to people nearby, while also providing high-speed internet access to those who are simply around a Starlink user.

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Tesla just made its headlights even better through a software update

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Credit: @jojje167 on X

Tesla just upgraded its headlights through a software update, making them even better without any physical or hardware upgrade.

Tesla’s latest software update is quietly improving nighttime driving for a small number of owners. Version 2026.38 includes a new capability called Dynamic Headlight Leveling.

The feature automatically adjusts the aim of the low beams in response to driving conditions and nearby traffic, with the goal of giving the driver more usable light on the road while reducing glare for oncoming vehicles and traffic ahead.

Unlike Tesla’s matrix high-beam system, which selectively dims individual LED segments to create shadows around other cars, Dynamic Headlight Leveling physically tilts the low-beam projectors. Internal motors respond to changes in vehicle pitch.

When the car accelerates hard, climbs a steep grade, or carries extra weight in the rear, the headlights can otherwise point higher than intended. The software counters that movement in real time so the beam stays aimed at the road surface rather than into the eyes of other drivers.

Early indications reveal the update is reaching a limited set of vehicles, including certain Model 3 and Cybertruck examples in the United States and the United Arab Emirates. The rollout does not appear tied to a single hardware revision, and Tesla has not published a broader schedule. It is simply a common waiting game until your car receives it.

The change arrives against a backdrop of wider complaints about headlight glare. Some earlier Model 3 and Model Y vehicles were the subject of an NHTSA recall related to excessive low-beam glare; the software adjustment offers a potential mitigation for cars equipped with the necessary leveling hardware. It does not replace adaptive high beams where those are already available, nor does it alter the basic low-beam pattern itself.

Instead, it keeps an existing beam pointed where it is most useful.

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For drivers who have received the update, the system requires no new settings or user input. The headlights simply respond as road conditions and traffic change. As the feature reaches more vehicles, it adds another example of Tesla using over-the-air software to refine existing hardware rather than waiting for a new model year. Nighttime visibility and reduced glare for others are the practical results owners are expected to notice first.

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