News
Tesla introduces Safety Score (Beta) system that incentivizes safe driving
As Tesla starts the rollout of its “Request Full Self Driving” button to more members of its fleet, the company has also introduced its Safety Score (Beta) system to evaluate driving behaviors. With this new system on hand, Tesla has effectively incentivized and gamified safe driving, which would likely make the rollout of programs such as FSD Beta a lot smoother and less likely to result in accidents.
Safety Scores are an assessment of driving behavior based on five metrics that the company calls “Safety Factors.” These factors are Forward Collision Warnings (FCW) per 1,000 Miles, Hard Braking, Aggressive Turning, Unsafe Following, and Forced Autopilot Disengagement. Tesla utilizes a Predicted Collision Frequency (PCF) formula based on statistical modeling using 6 billion miles of fleet data to predict how many collisions may occur per 1 million miles driven. The PCF is converted into a Safety Score between 0 and 100, which are then viewed through the Tesla App.

Tesla released some tips on how drivers could improve their Safety Score. To improve ratings on Forward Collision Warnings per 1,000 Miles, drivers are advised to maintain a following distance that gives enough time to react to slower or stationary vehicles ahead. Hard Braking scores, on the other hand, could be improved by engaging the brake pedal early when slowing down and using regen braking whenever possible and safe to do so. Hard Braking scores should also improve when drivers maintain a safe distance from the vehicle in front of them.
Aggressive Turning is defined as left/right acceleration in excess of 0.4g. Thus, drivers could improve their numbers in this metric by taking turns gradually, reducing their speed heading into a turn, and gradually accelerating afterward. Unsafe Following scores would likely be easy to improve, as drivers simply need to maintain a following distance worth several car lengths to the vehicle in front. This way, drivers could have enough time to react just in case something untoward happens.
Forced Autopilot Disengagement highlights the need to use the company’s advanced driver-assist features in a responsible manner. Proper Autopilot use is outlined in vehicles’ Owner’s Manual, and it requires drivers to have their hands on the wheel and pay close attention to the road. Tesla notes that the Forced Autopilot Disengagement metric is a 1 or 0 indicator, with the value being 1 if Autopilot forcibly disengages during a drive and 0 if the system is operated nominally.
- An example of a high Safety Score, reflecting generally good driving behaviors. (Credit: Jason DeBolt/Twitter)
- An example of a low Safety Score, reflecting some unsafe driving behaviors. (Credit: Tesla Raj/Twitter)
Safety Scores are updated every time a trip is taken on a Tesla vehicle. Provided that a Tesla is connected to the internet, Safety Scores should provide immediate feedback on a driving session. Vehicles that are not connected to the internet would update their Safety Scores as soon as cellular connectivity is secured. It should also be noted that all trips over 0.1 miles are considered as a valid driving session that could affect a driver’s rating.
Safety Scores are vehicle-specific as well, so drivers with multiple Teslas could have varying ratings for each of their cars. Lastly, Safety Scores should reset when a vehicle is sold, which means that a Tesla’s new owner should not be affected by the ratings of the previous driver. Drivers could also not carry over their Safety Scores from one vehicle if they purchase a new Tesla.
A full and extensive discussion of how Tesla’s Safety Scores work could be found here.
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Investor's Corner
Tesla stock tumbles after earnings, one of its sharpest single-day declines
Tesla stock (NASDAQ: TSLA) endured one of its sharpest single-day declines in years on July 23, tumbling approximately 14.5 percent and closing near $320 after opening the session around $374. The drop erased more than $140 billion in market value amid heavy trading volume and left the shares at multi-week lows.
The sell-off followed the company’s second-quarter 2026 results, released the previous evening. Tesla reported record revenue of $28.2 billion, up 26 percent year over year, driven by a Q2-record 480,126 vehicle deliveries. Energy storage deployments also rose strongly.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Yet profitability disappointed sharply. Operating income fell 57 percent to $398 million, compressing the operating margin to just 1.4 percent. Non-GAAP earnings per share came in at $0.33, well below the roughly $0.53 analysts had expected. Free cash flow turned negative by $1.1 billion as capital expenditures surged 142 percent to $5.8 billion, largely tied to accelerated spending on artificial intelligence, robotics, and autonomous systems.
The losses on capex were expected, as Tesla said it would be spending heavily in 2026.
Investors also reacted to lingering uncertainty surrounding key product timelines. During the Earnings Call, management reiterated ambitions for Robotaxi deployment and the Optimus humanoid robot, but offered limited new concrete milestones, renewing questions about execution pace that have long accompanied Tesla’s ambitious roadmap.
The magnitude of the decline places it among Tesla’s more severe one-day percentage losses since its 2010 initial public offering. Historically, the two largest single-day drops (split-adjusted) remain September 8, 2020, when shares fell 21.1 percent amid broader market volatility and valuation concerns, and January 13, 2012, with a 19.3 percent plunge during the company’s early growth struggles.
Other notable declines include an 18.6 percent drop on March 16, 2020, at the onset of pandemic-related market turmoil. Thursday’s move ranks roughly ninth on the all-time list but stands out as the steepest in more than a year.
Despite the short-term pain, Tesla’s long-term trajectory has repeatedly recovered from such volatility. The latest results underscore both the strength of its core automotive and energy businesses and the near-term costs of heavy investment in next-generation technologies.
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.

