“I think generally all input is error,” said Tesla CEO Elon Musk when he explained the Model S Plaid’s Auto Shift feature. Tesla removed the stalks when reinventing the Tesla Model S Plaid’s design. “If you have to do something that the car could have done already, that should be taken care of; the software should just do it,” Musk remarked.
This approach was evident in the Model S Plaid’s Auto Shift feature, which uses software to determine if the vehicle should be in Drive, Park, Neutral, or Reverse. The new Tesla Model S manual goes further into detail about Auto Shift and the vehicle’s gears.
Touchscreen Gear Shift
For drivers who would still prefer shifting gears manually, the new Model S has a gear strip available on the car’s touchscreen under “Controls.” The gear strip will be displayed on the left side of the touchscreen when a driver presses the brake pedal while parked.
- Drive – Swipe up on the gear strip on the touchscreen. Drivers can only shift into “D” when the Model S is stopped or moving less than 5 mph or 8 km/h in Reverse.
- Reverse – Swipe down on the gear strip. Drivers can only shift into “R” when the Model S is stopped or moving less than 5 mph or 8 km/h in Drive. Drivers can manually close the park assist view on the touchscreen by touching the “X” in the upper corner.
- Neutral: To shift into Neutral, drivers should touch the “Controls,” then press and hold the Neutral icon until the Model S engages the “N” gear. When the Model S is traveling over 5 mph or 8 km/h and swipes up or down on the gear strip, a Neutral icon will appear at the top of the gear strip that drivers can engage.
Model S Park
The Park button is only displayed when the brake pedal is pressed. Shifting into Park is allowed when the vehicle’s driving speed is less than 5 mph or 8km/h.
The Model S will automatically shift to Park when it observes signs that drivers are about to exit the vehicle, like when the driver unbuckles his/her seat belt and the car is stopped. Other instances the Model S will shift into Park would be when the driver’s door is open or the vehicle hasn’t moved within one minute of shifting into Drive gear.
Auto Shift Out of Park
Auto Shift Out of Park allows the Model S to shift out of Park on its own, providing more convenience. In the Model S owner’s manual, Tesla notes that Auto Shift out of Park is a BETA feature and is disabled by default.
“When Auto Shift out of Park is enabled, Model S is designed to use inputs from various sensors to automatically select a driving gear when you are ready to drive. The selected gear is displayed on the instrument panel when the driver’s door is closed, and the seatbelt is buckled,” said the manual.
Drivers can override the selected gear by pressing the brake pedal, then use the touchscreen to choose the gear they prefer. Drivers must always press the brake pedal to shift out of Park.
Tesla cautions drivers to follow the instructions on the panel before pressing on the accelerator after confirming their gear selection. The Model S will not shift out of Park if it is still plugged into a charging port.
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Model S in Drive Gear
The Model S automatically selects the driving gear when the following conditions are met:
- Auto Shift out of Park is enabled (touch Controls > Pedals & Steering > Auto Shift out of Park).
- The vehicle is in Park.
- The driver’s seat belt is fastened.
- The brake pedal is pressed.
- All doors and trunks are closed.
- The gear selector on the center console is not activated.
Emergency Gear Shift Controls
Drivers can use the gear selector on the center console in the unlikely event that the touchscreen is unavailable and the gear shift is unaccessible. The letters “P,” “R,” “N,” and “D” are displayed in the center console and can be activated when pressed. The frunk, trunk, and doors must be closed to select a gear in the center console.
Tesla notes that the gear selector in the center console activates when the touchscreen is unavailable or the Model S in Valet or Transport Mode. Otherwise, drivers must press the letter buttons to activate the gear selector.
“If you try to shift into a gear that the current driving speed prohibits, the instrument panel displays an alert, a chime sounds, and the gear does not change,” Tesla states in the manual.
As a side note, Tesla stated that drivers could also activate the gear selector by briefly pressing the scroll buttons on the yoke steering wheel simultaneously. Holding the scroll buttons for a longer time would activate the gear selector in the center console and restart the touchscreen as well.
Model S Owners Manual North America en Us by Maria Merano on Scribd
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Tesla CEO Elon Musk said that flying cars will be coming to the market, something that his own company has hinted at previously.
Musk said on X, in response to a post that read, “We were promised flying cars and all we got is infinite superintelligence for everyone,” “You will get flying cars.”
You will get flying cars
— Elon Musk (@elonmusk) August 12, 2026
The post rang back to when Musk teased flying and hovering capabilities for the Tesla Roadster, the company’s supercar that has been delayed more times than anyone cares to count. It was set for an unveiling earlier this year, but it was then pushed back to August. There is still no sign of it coming.
However, that does not mean it won’t. But one of the biggest features of the Roadster that was teased was a SpaceX package that featured cold gas thrusters on the rear end that would help with white-knuckle acceleration. Another set would face the ground and would help the Roadster gain small bits of altitude, potentially helpful to jump over obstacles.
Elon Musk hints at Tesla Roadster’s “hovering” abilities in SpaceX package
But it is not a straightforward thing for Musk. As a serial entrepreneur, he tends to spend his time on major disruptors; currently, his largest projects are artificial intelligence and compute power, as well as SpaceX’s launches that will eventually make life multiplanetary.
In the past, he has been critical of flying cars and has been in favor of tunnels, one of the big reasons he started the Boring Company. In 2017 at a TED talk, he said:
“There is a challenge with flying cars in that they’ll be quite noisy. The wind force generated will be very high. Let’s just say that if something’s flying over your head, if there are a whole bunch of flying cars all over the place, that is not an anxiety-reducing situation…You’re thinking, ‘Did they service their hubcap? Or is it going to come off and guillotine me as they’re flying past?'”
However, he’s never been against them. He has also said he’s in favor of both tunnels and flying cars.
Contrary to press reports, I’m not against flying cars. Just said it was important to consider both pros and cons.
— Elon Musk (@elonmusk) March 24, 2015
Most recently, Musk said that anyone who wants a flying car should be able to get one. This was stated last October on the Joe Rogan Experience:
“My friend Peter Thiel once reflected that the future was supposed to have flying cars, but we don’t have flying cars… I think if Peter wants a flying car, we should be able to buy one.”
Whether the Roadster will be Tesla’s flying car or potentially another one remains in the mind of Musk. Of course, the Roadster will have to make its way to production lines before we find out.
Elon Musk
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.
Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.
The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.
We made rockets reusable and are rebuilding the internet in space. The next challenge: making life multiplanetary and understanding the true nature of the universe
Watch @ElonMusk deliver a company update to @SpaceX employees pic.twitter.com/5c8rxoCQfu
— SpaceX (@SpaceX) August 11, 2026
Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.
The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.
Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
Tesla CEO Elon Musk says flying cars are coming
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
