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Tesla’s next-gen Autopilot and infotainment hardware already in development: report

(Credit: Tesla Joy/Twitter)

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Tesla is not done rolling out its Hardware 3 retrofits to vehicles with HW2 and HW2.5 yet, but the company is already at work developing its next-generation hardware, according to a recent report from Chinese media. This new hardware will reportedly be produced using the 7 nm process, and it will be utilized for numerous functions, from Autopilot and Full Self-Driving to infotainment features. 

A new report from China Times has noted that Tesla is working with Taiwan Semiconductor Manufacturing Co. (TSMC) to develop its next-generation hardware. Elon Musk alluded to these efforts last year during Autonomy Day, when he stated that while Hardware 3 will be revolutionary, Tesla is already working on a next-generation chip that will be around 3x better than HW3. Musk noted then that the yet-to-be-announced chip was about two years from production. 

Interestingly enough, the report from the Times mentioned that the next-gen 7 nm Tesla chip will be set for mass production in the fourth quarter of 2021, over two years after Autonomy Day. The report also suggested that a trial production run for the next-generation chips could begin as early as the fourth quarter of this year, though these units will likely be used for validation. 

“Broadcom and Tesla are cooperating to develop ultra-large HPC chips for automotive use. They are produced using TSMC’s 7nm process and are the first to use TSMC’s SoW advanced packaging technology. Each 12-inch wafer can only be cut out. 25 chips. Production of the new chips will begin in the fourth quarter, with an initial production of about 2,000 wafers. It is expected to enter the full mass production stage after the fourth quarter of next year,” the report read. 

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According to the Times, Tesla’s next-gen chip will be utilized for a variety of in-vehicle functions, including Autopilot’s driver-assist features and entertainment functions. Thanks to its efficient design, the 7 nm next-gen chip will likely be optimized for full self-driving as well, which should benefit the company’s ramp of its planned Robotaxi network. 

“It is understood that the HPC chip created by Broadcom for Tesla will become the core computing special application chip (ASIC) for Tesla electric vehicles in the future, which can be used to control and support advanced driving assistance systems, electric vehicle power transmission, and car entertainment. The four major application areas of automotive electronics such as systems and car body electronic components will further support the real-time computing required for self-driving cars. The HPC chip jointly developed by Broadcom and Tesla should be an important cooperation project from electric vehicles to self-driving cars,” the Times wrote. 

Tesla is yet to complete the Hardware 3 retrofit of vehicles that were bought with the Full Self-Driving suite and Hardware 2 and 2.5, with owners from areas such as Europe and Australia noting that they are yet to receive the promised HW3 unit. Considering that the company appears to be making progress on the development of its next-generation hardware, it would benefit the EV community greatly if Tesla could expedite its HW3 retrofit ramp to vehicles across the globe. This is especially notable considering that the company is making headway in its efforts to roll out a feature-complete version of its FSD suite as soon as possible. 

Read the China Times‘ full report on Tesla’s next-generation hardware here.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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NTSB findings on fatal Tesla crash tell a very different story

The NTSB confirmed the driver, not Tesla’s FSD, caused the fatal Texas house crash.

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The National Transportation Safety Board released preliminary findings Wednesday confirming that a Tesla driver, not the vehicle’s software, caused a fatal crash in Katy, Texas in June. The driver, 44-year-old Michael Butler, had engaged Full Self-Driving Supervised mode on Rose Hollow Lane, a residential street with a 30 mph speed limit, before manually overriding the system by pressing the accelerator pedal all the way to 100%. Data recovered from the 2025 Tesla Model 3 showed the vehicle was traveling over 70 miles per hour when it struck a home and killed 76-year-old Martha Avila, who was inside. Weather was clear, the road was dry, and it was daylight.

Texas man charged in fatal Tesla crash where he blamed Autopilot

Butler told authorities he had passed out at the wheel. But security camera footage obtained by the NTSB told a different story, and showed the car accelerating through an intersection before leaving the road entirely. Police also found that Butler’s phone had Google searches including the terms “Tesla FSD not aggressive enough 2026” and “Tesla FSD too timid,” raising serious questions about how he was using the system before the crash. Butler has since been charged with manslaughter. The victim’s family has filed a lawsuit against both Butler and Tesla, alleging negligence.

The NTSB findings aligned directly with what Tesla VP of AI Software Ashok Elluswamy had already stated publicly on X in the weeks after the crash, writing that “the driver manually overrode self-driving by pressing the accelerator all the way to 100%.” The data confirmed his account.

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Investor's Corner

Lucid CEO dispels any rumors of bankruptcy: ‘So far from the facts’

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Credit: Lucid

Lucid CEO Silvio Napoli responded to rumors of an imminent bankruptcy that was reportedly being mulled after a report stated the automaker was working with the firm AlixPartners to iron out its next steps.

The company felt a massive loss on Wall Street yesterday, as the report essentially pushed the stock down as much as 55 percent on Tuesday.

The report, published initially by Eletric-Vehicles.com, claimed Lucid was essentially in dire straits and was told by AlixPartners, a commonly used restructuring advisor, to either take shares private or file for Chapter 11 bankruptcy protection.

Lucid denies rumors of bankruptcy after over 40% stock drop

Lucid’s head of Communications, Nick Twork, immediately challenged the report and stated the company “has sufficient liquidity to carry its operations well into next year.”

Now, the company’s CEO is chiming in as well, stating that the report is “so far from the facts that they require a direct response.”

Napoli said:

“Lucid is not considering bankruptcy or a transaction to take the company private. Those reports are false. The Board did not explore either scenario. Period.

As disclosed in our most recent quarterly filing, Lucid has sufficient liquidity to fund its operations well into next year.

We work with outside advisors to improve operational performance and execution. They are not advising Lucid on a take-private transaction or bankruptcy, and any suggestion that they have recommended either course of action to management or the Board is false.

My priority is clear: turn this company around. That is where the leadership team and I are focused.

I look forward to providing a full update during our quarterly earnings call on August 4th.”

It seems pretty clear that Lucid is confident things will be okay, and, to be honest, they should not have much to worry about, especially considering the company has been backed by the Saudi Public Investment Fund (PIF) for years. It has solid financial backing, and its sales, while weak, are pretty much right on par with a company of this age.

Lucid also sent a Cease & Desist letter to the publication for their report.

Lucid shares have rebounded nicely and are up nearly 21 percent at the time of publication. As soon as the company dispelled the rumors of bankruptcy yesterday, the stock began to climb back toward more reasonable levels.

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Tesla responds to strange Supercharging pricing error with classy move

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(Credit: Tesla)

Tesla has once again demonstrated strong customer focus by swiftly addressing and fully refunding a bizarre Supercharger pricing glitch that affected drivers in Atlantic Canada.

The issue surfaced earlier this month when the Tesla app began displaying dramatically inflated per-minute charging rates at stations in Prince Edward Island and parts of New Brunswick.

One widely shared screenshot from a Charlottetown, PEI Supercharger showed rates reaching ridiculous levels: $6.00 per minute for the 180-250 kW tier, along with $3.57/min for 100-180 kW and $2.29/min for 60-100 kW.

These figures were several times higher than normal Supercharger pricing in the region.

To put the error in perspective, charging at the highest incorrect rate would have been shockingly expensive.

At 250 kW, a common charging speed at Superchargers, a vehicle pulls roughly 4.17 kWh per minute. Under the glitch, a driver spending just 10 minutes at peak power would face a $60 bill. A typical 20- to 30-minute session to add meaningful range could have cost $120 to $180 or more, before any congestion fees.

Tesla gets another layer of gamification with Free Supercharging on the line

By comparison, standard Canadian Supercharger rates usually fall between $0.25 and $0.60 per kWh, making a similar session cost roughly $15–$40. The erroneous per-minute structure, combined with the inflated numbers, turned what should be a convenient stop into a potential financial shock.

The glitch appears to have started sometime around early July, and quickly drew attention on social media as owners questioned whether Tesla had implemented steep hidden increases. Some drivers even reported seeing $0 charges in their history, indicating broader billing confusion.

Tesla’s official Charging account on X stated that correct pricing would roll out at midnight on July 13, so the fix is already in effect. More importantly, the company announced it would waive all fees for every Supercharger session since July 2. This blanket waiver covers the entire affected period without requiring users to file individual claims, with automated refunds expected soon. The decision affects stations in PEI and nearby areas in New Brunswick and Nova Scotia.

It’s a classy move, and rather than issuing partial credits or forcing owners to submit support tickets, Tesla simply absorbed the cost of the system error and made drivers whole. In an industry where hidden fees and bill disputes are common, Tesla’s proactive, no-questions-asked approach reinforces owner trust and highlights the company’s commitment to service excellence.

The incident, while disruptive for a short time, ultimately showcases Tesla’s ability to own mistakes and prioritize customer satisfaction. Atlantic Canada Tesla owners can now charge with confidence again, knowing the company has their back when technology glitches occur.

In an era of complex EV billing, such transparency and generosity are refreshing and set a positive example for the industry.

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