News
The Tesla Autopilot Excuse: How EV ignorance created the perfect storm for a misinformation nightmare
It was only a few hours after the accident and a bold statement was already making its rounds in the mainstream media. Another Tesla has crashed, and this time, it took the lives of two individuals from Texas. Facing inquiries from journalists eager for some clarity as to what happened in the tragic incident, Harris County Pct. 4 Constable Mark Herman shared a surprisingly confident and bold statement: there was no one in the ill-fated Model S’ driver seat when it crashed.
“They are 100% certain that no one was in the driver seat driving that vehicle at the time of impact. They are positive. And again, the height from the back seat to the front seat, that would be almost impossible, but again our investigators are trained. They handle collisions. Several of our folks are reconstructionists, but they feel very confident just with the positioning of the bodies after the impact that there was no one driving that vehicle,” Herman said, also noting that the electric car’s fire was out of control for four hours.
This statement, as well as the headlines that followed it, have since been proven false. And today, they stand as a remarkable case study on how misinformation spreads, and how the truth — even if it eventually emerges from legitimate sources — becomes largely ignored. This is the story of a Model S crash, rushed statements, and how general ignorance of electric vehicles could result in a massive misinformation nightmare.
But to get a complete view of this story, one has to go back to that fateful night on April 17, 2021, when two men, a 59-year-old Tesla owner and his 69-year-old passenger, crashed after traveling just about 550 feet, before departing the road on a curve, driving over a curb, hitting a drainage culvert and a raised manhole, and smashing into a tree. The vehicle was ablaze following its crash.

The Accident
As it is with other Tesla crashes, the Model S crash in Texas immediately caught the attention of national media. It did not take long before even foreign outlets were running with the story. It was during this initial wave of media attention that Constable Mark Herman noted that investigators were 100% sure that there was no one driving the car when it crashed. This statement was gold to numerous media outlets, with some like the New York Post posting a tweet noting that the ill-fated Tesla was on Autopilot. It’s pertinent to note that the Constable never mentioned Autopilot, though his statement declaring that there was no one in the driver’s seat seemed like a strong enough link to the driver-assist suite.
Soon, even organizations such as Consumer Reports joined the fray, graciously demonstrating that Autopilot could indeed be “fooled” into operating without a human in the driver’s seat. Consumer Reports‘ walkthrough was thorough, showing audiences exactly what needs to be done to defeat Autopilot’s safety measures. This stunt caught the eye of both national and international media as well, and by this time, the narrative was set: Teslas can drive themselves without a driver, and Autopilot could kill. It’s a chilling thought, but it is one that seemed to be casually supported by Ford CEO Jim Farley, who shared Consumer Reports‘ Autopilot defeat device walkthrough on his personal Twitter page.
This does not mean to say the narrative surrounding the fatal Model S crash in Texas was ironclad, however. Just days after the initial crash, Palmer Buck, fire chief for The Woodlands Township Fire Department, told the Houston Chronicle that contrary to some reports in the media, the ill-fated Model S was not ablaze for four hours. The fire chief also stated that firefighters did not call Tesla for help, and he was unaware of any hotlines for tips on how to control a battery fire.
Opinion: Consumer Reports’ Tesla Autopilot stunt crossed a line in an already-heated EV climate
The First Cracks — And A Persistent Misunderstanding
Interestingly enough, even Constable Herman himself seemed less sure about his information later on, noting in a statement to Reuters that his investigators were “almost 99.9% sure” that there was no one in the driver’s seat of the ill-fated car. This was despite Herman noting that they had executed a search warrant on Tesla to secure data about the tragic incident. Meanwhile, Elon Musk went on Twitter to state that data logs so far showed that the ill-fated vehicle was not on Autopilot when it crashed.
Tesla’s online community took it upon themselves to make sense of the situation, which seemed to have red flags all over the place. The Constable’s statements seemed premature at best, and reports about the vehicle’s fire had been proven false by the fire chief. Couple this with Elon Musk noting that Autopilot was not involved, and it was no surprise that the crash became a topic for analysis and conversations among Tesla supporters. These efforts, however, were largely dismissed if not mocked, with media outlets such as VICE stating that the behavior of the Tesla sleuths was akin to those who believe in conspiracy theories.
“Rather than waiting for the two different federal authorities investigating the crash to publish their findings, some Tesla owners are engaging in the classic behavior of conspiracy theorists and amateur internet sleuths in an apparent attempt to cast doubt on even the most basic facts surrounding the crash,” the publication noted.
More cracks about the initial “Autopilot crash” narrative emerged during the company’s Q1 2021 earnings call. Lars Moravy, Tesla’s vice president of vehicle engineering, stated that the company had conducted tests with investigators, and they have determined that Autosteer could not be engaged in the area. He also stated that judging by the distance of the vehicle from the owner’s home to the crash site, the Model S would have only accelerated to 30 mph before covering the entire 550-foot distance using Adaptive Cruise Control. This is undoubtedly a clarification about the incident, but like many things in this story, this was also misunderstood.
Not long after Tesla’s Q1 2021 earnings call, CBS published a piece titled “At Least One Tesla Autopilot Feature Was Active During Texas Crash That Killed 2.” It’s definitely a catchy headline and one that was sure to draw a decent amount of eyes. There was only one problem: the whole premise of the article was false. To add salt to the wound, Texas Rep. Kevin Brady shared the CBS piece on Twitter, noting that “Despite early claims by (Tesla and Elon Musk), Autopilot WAS engaged in (the) tragic crash in The Woodlands. We need answers.”
Despite early claims by #Tesla #ElonMusk, autopilot WAS engaged in tragic crash in The Woodlands.
We need answers. https://t.co/e3TQTRv72Z
— Kevin Brady (@RepKevinBrady) April 28, 2021
A Grassroots Movement
In a world where misinformation is prevalent from media outlets that may or may not be incentivized to publish reports that are completely accurate, citizen journalism has the potential to become the voice of reason. And in the case of the Tesla Texas crash, this was certainly the case. After conversations with sources, some of whom have opted to remain anonymous, Teslarati could surmise that it was the efforts of regular people, from electric vehicle advocates and space enthusiasts who were inspired by Elon Musk’s SpaceX, that may have ultimately helped get the right information about the incident to the right place.
Days after the incident, and a few weeks before the release of the National Transportation Safety Board (NTSB) preliminary report, @GoGundam1, a Texas-based SpaceX advocate, felt alarm bells in his head after Constable Herman declared confidently that he was 100% sure there was no one in the driver’s seat of the ill-fated Model S. Having been familiar with Elon Musk’s companies, the SpaceX enthusiast was also knowledgeable about Tesla and its products, which made the Constable’s statements seem disingenuous at best. Annoyed by the noticeably false narrative that was being formed, the space advocate sent out some feelers to test out the waters.
The story that emerged was quite remarkable. Information gathered by citizen informants suggested that by April 22, Constable Herman’s office was already in possession of video evidence that was in direct contradiction to the narrative that was initially presented to the media. It was a disturbing thought, but informants also suggested that the office of the Constable had intentions to sit on the information for as long as possible. Granted, these events may seem like they came from the plot of a semi-decent movie, but considering the relative silence from the Constable following his statements of a search warrant being submitted to Tesla, it does seem like the motivations for a follow-up report clarifying the incident were not really there.
Pertinent information about the Tesla Texas crash, no matter how valuable, would be next to useless if it did not catch the attention of the right entities. And thus, with the information gathered, the SpaceX enthusiast decided to reach out to members of the Tesla community for help. It was a challenging task, but eventually, @LordPente, a longtime Tesla advocate, decided to lend a hand. After numerous messages to other members of the Tesla community, the longtime EV advocate appeared to hit a breakthrough by (seemingly) reaching someone at Tesla. The SpaceX enthusiast, for his part, failed to get in touch with Tesla but was able to send a report to the NTSB, tipping off the agency about the additional video evidence in the Constable’s office.
During Teslarati’s conversation with the informant and the Tesla advocate, both noted that they were not really sure if their information reached the right entities. However, something happened not long after which suggested that it did.

The Lie Unravels
On May 10, 2021, the National Transportation Safety Board (NTSB) published its preliminary report about the Tesla Model S’ fatal Texas crash. As per the NTSB’s report, “footage from the owner’s home security camera shows the owner entering the car’s driver’s seat and the passenger entering the front passenger seat.” Apart from this, the NTSB also noted that tests of a similar vehicle at the crash location showed that Autopilot could not be engaged in the area, just as Tesla and the electric vehicle community suggested amidst the initial wave of “Autopilot crash” reports. The investigation is ongoing, of course, but based on what the NTSB has published so far, it appears that Autopilot has been absolved in the incident.
The findings presented in the NTSB’s report all but confirmed what Elon Musk and Tesla supporters were arguing online. It may be disappointing to media outlets like VICE, but as it turned out, the conspiracy theorist-like behavior exhibited by some Tesla sleuths online turned out to be justified. There really was misinformation being floated around, and if it wasn’t for the efforts of a few individuals, pertinent information about the incident might not have been submitted to Tesla or the NTSB on time.
Interestingly enough, Harris County Pct. 4 Constable Mark Herman has remained silent for now. Teslarati has attempted to reach out to his office through email but was unsuccessful. The Constable, at least for now, seems yet to issue a correction or retraction of his initial and now-debunked statements about the incident. Individuals such as Texas Rep. Kevin Brady have not admitted to making a mistake either.
How Misinformation Becomes Truth
Tesla, being a rather unorthodox company led by an equally unorthodox man, tends to fall victim to misinformation — lots and lots of it. The story of the Texas crash is a great example, but it is one drop in a whole bucket full of inaccurate reports about the company. Tesla CEO Elon Musk has seemingly thrown the towel with mainstream media coverage, reportedly abolishing Tesla’s PR department last year. This, of course, has pretty much opened the doors to even more misinformation — and to a point, even disinformation — which, in turn, becomes the general public’s truth.
For professional insights on how misinformation becomes accepted, Teslarati reached out to Stephen Benning, a Professor of Psychology at the University of Las Vegas. Professor Benning explained that humans tend to have an anchoring bias, in which the first information used to make a judgment influences it. While anchoring bias is typically considered in numerical judgments (like estimates on how much something is worth), it could also play out when people hear the first reports of what happened. This is most notable if the event were memorable, like a fatal Tesla crash. The initial information would likely stick on people’s minds and create an initial framework that sets their beliefs about an event.
“Because initial reports set people’s prior beliefs, additional information has to weigh against established beliefs. People might have additional biases at play, like the confirmation bias that filters out information that isn’t consistent with a previous set of beliefs. It’s as if people put up filters to help themselves maintain the consistency of their beliefs at the expense of their potential correspondence with reality. The initial crash reports were also likely more vivid than the drier details of the subsequent investigation, so the availability heuristic might make those initial reports more vivid and accessible in people’s memories when they think about the crash – even if they’ve followed the subsequent reports,” he wrote.
Tesla owner apologizes for staging “brake failure” incident in China
Emma Frances Bloomfield (Ph.D.), currently an Assistant Professor of Communication Studies at the University of Nevada, Las Vegas with an expertise in strategies for combatting misinformation, explained to Teslarati that ultimately, misinformation and disinformation travel very quickly because they tend to be compelling and engaging, all while confirming an audience’s biases. This made the Texas crash a perfect storm of sorts, as it had a compelling event that catered to biases against Tesla and its Autopilot system. Unfortunately, Assistant Professor Bloomfield also highlighted that once misinformation sets in, it takes a ton of effort to overturn.
“To address misinformation, people can create more complete stories that replace the incorrect one, provide trustworthy authority figures to deliver the message, and not repeat the false information when making the correction. You can also emphasize the importance of accurate information to make the best decisions moving forward and highlight how those changes might benefit the audience/consumer. We also say, ‘correct early and correct often’ to try and get ahead of the temporal advantage misinformation has and to counter the repetition of the false information,” she wrote.
A Battle That Tesla Doesn’t Need To Lose
If there is something highlighted by Professor Benning and Assistant Professor Bloomfield, it is that misinformation is hard to battle once it’s settled in. And for a lie to settle in, it has to be repeated. The Texas crash demonstrated this. It didn’t start with a lie, but it started with a premature, careless statement that could be easily twisted into one.
The Constable’s certainty that there was no one in the driver’s seat was premature at best, and reports about the incident being an Autopilot crash were also premature then, or a lie at worst. Reports about an uncontrollable blaze burning for four hours were false as well. Yet the narrative was so hammered down and unchallenged that even when the NTSB preliminary report came out, the needle barely moved.
Elon Musk’s reservations about maintaining a relationship with the media are understandable. Years of inaccurate reports tend to do that to a person. However, Tesla could also adopt a much more assertive anti-misinformation strategy. Tesla China has been doing this as of late, to great results. Anyone following the Tesla China story would know that the company was embroiled in a PR storm that involved alleged reports of “brake failure” incidents surrounding the company’s vehicles. But after an assertive legal campaign from Tesla China, media outlets have issued apologies for misreporting on the company and social media personalities have admitted to making up alleged incidents that painted the company’s vehicles in a negative light. Granted, such strategies may not be as effective in the United States, but something has to be done. What this something is remains up for question.
Do you have anything to share with the Teslarati Team? We’d love to hear from you, email us at tips@teslarati.com.
Elon Musk
Elon Musk is not happy about this Tesla Full Self-Driving approval delay
Elon Musk clapped back at France’s decision to withhold the approval for Tesla’s Full Self-Driving (FSD) Supervised system, projecting a clear and blunt message to French Transport Minister Phillippe Tabarot, after he publicly rejected the technology in its current form.
Tabarot outlines several concerns with Tesla Full Self-Driving in a detailed video statement, where he said, “The safety trade-offs are not yet sufficient to authorize it as it currently stands,” he said. He emphasized that FSD is not a true self-driving system and that the driver remains fully responsible.
Key issues Tabarot also brought up included allowing speeding when surrounding traffic exceeds limits and what he believes are insufficient guarantees of driver attention during complex urban maneuvers such as lane changes, intersections, and roundabouts.
Delaying the approval of FSD in France will cost lives
— Elon Musk (@elonmusk) July 22, 2026
While acknowledging technological progress and France’s support for autonomous innovation, Tabarot stressed that deployment must prioritize road safety. He noted ongoing technical discussions with Tesla, the Netherlands, and other European partners, with further ecosystem meetings planned for the fall.
Musk’s rebuke highlights the human cost of regulatory caution. Tesla’s latest safety reports provide compelling data supporting accelerated adoption. In the most recent 12-month period, vehicles using FSD (Supervised) recorded one major collision per approximately 5.1 million miles driven, dramatically better than the U.S. national average of one crash per 698,000 miles.
Even Tesla vehicles driven manually with active safety features outperform the average by a wide margin. These figures come from billions of real-world miles of telemetry, showing FSD vehicles involved in far fewer incidents than both manual Teslas and the broader U.S. fleet.
Critics argue Tesla’s comparisons require careful scrutiny regarding reporting thresholds and fleet demographics, yet the data consistently positions FSD as a potential lifesaver. With road fatalities remaining a leading cause of death worldwide, Musk contends that proven safer technology should not face prolonged bureaucratic hurdles.
France’s measured approach reflects the broader European regulatory caution, which many, especially Musk, have been critical of in the past. However, as autonomous systems from Tesla and competitors like Waymo demonstrate superior safety in independent studies, pressure is mounting for harmonized approvals.
Musk’s warning carries the belief that every month of delay may equate to avoidable tragedies on European roads.
Investor's Corner
Google’s massive stake in SpaceX will shock you
In a striking revelation that underscores the lucrative crossover between Big Tech and space exploration, Alphabet Inc., Google’s parent company, disclosed a massive $94.1 billion equity stake in SpaceX following the rocket company’s blockbuster initial public offering earlier this year.
The disclosure came in Alphabet’s quarterly filing, marking the first time the long-held private investment has been publicly valued at market prices. Google was an early backer, investing alongside Fidelity in 2015 with roughly $500-900 million at a time when SpaceX was valued around $12 billion.
That bet has delivered extraordinary returns, roughly a hundredfold, transforming a strategic play on satellite internet and launch capabilities into one of Alphabet’s largest assets.
Google, $GOOGL, has said they hold $94 billion in SpaceX, $SPCX, shares after IPO.
— unusual_whales (@unusual_whales) July 23, 2026
Of the total holding, approximately $80 billion remains subject to short-term post-IPO lockup restrictions, preventing near-term sales. An additional $14.1 billion faces longer-term restrictions, extending into the third quarter of 2027. This structure limits immediate liquidity but protects against market volatility as SpaceX transitions into public trading.
The SpaceX position contributed significantly to gains in Alphabet’s broader investment portfolio, which also includes a major stake in AI leader Anthropic. Combined, these holdings helped drive nearly $100 billion in investment gains during the second quarter, providing a substantial boost to net income amid ongoing AI spending pressures.
Analysts view the disclosure as validation of Alphabet’s venture strategy beyond its core search and cloud businesses. The investment aligns with deeper ties, including reported multi-billion-dollar deals for AI computing capacity on SpaceX infrastructure. As SpaceX advances Starship flights, Starlink expansion, and ambitious Mars goals under Elon Musk, Google’s stake positions it to benefit from the commercialization of space.
For Alphabet, the windfall highlights how patient, forward-looking bets in transformative sectors can yield outsized rewards. While lockups temper short-term impact, the holding cements SpaceX as a cornerstone of Alphabet’s diversified portfolio in an era where aerospace, AI, and connectivity increasingly intersect. Investors will watch closely as restrictions lift and SpaceX’s public performance unfolds.
News
Tesla’s switch-up on selling Full Self-Driving has paid off big time
In early 2026, Tesla made a bold strategic pivot: it largely eliminated the option to purchase Full Self-Driving (FSD) software outright and shifted to a subscription-only model. The change, effective around mid-February, ended the one-time fee that had previously ranged as high as $15,000 and later dropped to $8,000. Instead, customers would access FSD (Supervised) for $99 per month in the U.S.
At the time, skeptics questioned whether locking customers into recurring payments would hurt adoption or alienate buyers who preferred ownership of the feature. Tesla bet that a lower barrier to entry, seamless integration at purchase, and the ability to cancel at any time would drive higher uptake.
The results from Q2 2026 speak for themselves: the decision has been a resounding success, delivering the largest quarterly growth in FSD subscriptions in the company’s history.
Tesla FSD subscriptions went up 56% in Q2 2026 to 1.48 million, an increase of 200,000 from Q1 2026.
Tesla added more FSD subscribers in Q2 than in any quarter in its history. pic.twitter.com/jTciTD2JqW
— Sawyer Merritt (@SawyerMerritt) July 22, 2026
According to Tesla’s Q2 shareholder update, active FSD subscriptions reached 1.48 million globally by the end of June 2026. That represents a 56 percent increase year-over-year and a 15.6 percent jump from the prior quarter. Tesla added roughly 200,000 new subscriptions in the period alone—the biggest single-quarter gain on record.
North America led the charge, with more than 55 percent of new vehicle deliveries including an FSD subscription at the time of purchase, a record attach rate for the region.
Tesla explicitly noted that “more customers [are] opting for subscription at the time of vehicle purchase,” crediting the model shift and prominent placement of the option in the ordering process. Subscriptions now contribute meaningfully to ancillary revenue, helping offset pressure elsewhere in the business.
The financial upside is substantial: At $99 per month, 1.48 million active subscriptions generate approximately $146.5 million in monthly recurring revenue. Over a full year, that equates to roughly $1.76 billion in annualized recurring revenue (ARR) from FSD subscriptions alone, assuming steady retention and no major pricing changes.
These figures represent pure, high-margin software revenue. Unlike vehicle sales, which carry production costs, warranty obligations, and supply-chain risks, FSD subscriptions flow largely to the bottom line once the software is developed and deployed over-the-air.
Tesla does not break out exact FSD subscription revenue in its filings (it sits within “Services and Other”), but the category grew 50 percent year-over-year in Q2, with executives highlighting subscriptions as a key driver.
The subscription model offers several structural advantages. It lowers the upfront cost of a new Tesla, potentially broadening the buyer pool and supporting vehicle demand, especially important amid fluctuating EV market conditions. It creates a predictable revenue stream that compounds as the fleet grows and more owners try (and stick with) the software.
Legacy one-time purchasers still exist, but new growth is overwhelmingly subscription-based following the February cutoff.
Early data also suggests improving retention and satisfaction, as well. Tesla has rolled out iterative FSD updates, including v14 features, and expanded availability to additional markets. Recent regulatory approvals in parts of Europe have further boosted interest, with owners in newly enabled countries eager to activate the software they had been waiting for.
FSD is still supervised; regulatory hurdles for true unsupervised autonomy persist in many regions, including the United States, and competition in advanced driver-assistance systems is intensifying. Yet the Q2 numbers validate Tesla’s bet: by removing the large upfront commitment and making FSD accessible via subscription, the company has accelerated adoption faster than many anticipated.
What began as a controversial switch-up has become a clear win. With nearly 1.5 million subscribers, record attach rates, and nearly $1.8 billion in potential annual recurring revenue already in view, Tesla’s FSD business is transitioning from a promised future to a tangible, fast-growing profit engine.
If the momentum continues, and especially if unsupervised capabilities unlock robotaxi opportunities, the subscription flywheel could become one of the most valuable assets in Tesla’s portfolio.