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TX fire chief slams inaccurate Tesla crash coverage with firsthand details on Model S fire
Immediately following the fatal Tesla crash in Texas this weekend, reports from both local and national media outlets emerged citing the statements of Harris County Pct. 4 Constable Mark Herman, who remarked that police were 100% certain that there was no one in the driver seat of the ill-fated Model S when it crashed. Herman also commented that the Tesla fire was so severe that it took over 30,000 gallons of water and four hours to extinguish the flames from the crash, and that firefighters had to reach out to the EV maker for help in battling the fire.
These statements have since been debunked (at least to some degree) by Tesla CEO Elon Musk, who noted that data logs that have been recovered so far from the ill-fated Model S indicate that Autopilot was not enabled during the crash, and that the vehicle did not have any Full Sell-Driving functions activated. Musk’s update essentially threw a wrench on the pervading narrative that Autopilot likely caused the tragic crash.
Your research as a private individual is better than professionals @WSJ!
Data logs recovered so far show Autopilot was not enabled & this car did not purchase FSD.
Moreover, standard Autopilot would require lane lines to turn on, which this street did not have.
— Elon Musk (@elonmusk) April 19, 2021
And now, even the reports about the Tesla fire have been thrown into question–by the man whose team extinguished the blaze no less. In a statement to the Houston Chronicle, Palmer Buck, fire chief for The Woodlands Township Fire Department, noted that contrary to some reports in the media, the Tesla Model S fire did not burn out of control for four hours.
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Interestingly enough, Buck remarked that his team actually managed to put down the fire within two to three minutes, which was enough for authorities to see that there were occupants in the vehicle. After these first two to three minutes, it was only a matter of keeping the batteries as cool as possible by pouring small amounts of water into the damaged battery pack. Buck described the fire department’s strategy in the following statement.
“With respect to the fire fight, unfortunately, those rumors grew way out of control. It did not take us four hours to put out the blaze. Our guys got there and put down the fire within two to three minutes, enough to see the vehicle had occupants. After that, it was simply cooling the car as the batteries continued to have a chain reaction due to damage.
“We could not tear it apart or move it around to get ‘final extinguishment’ because the fact that we had two bodies in there and it was then an investigation-slash-crime scene. We had to keep it cool, were on scene for four hours, but we were simply pouring a little bit of water on it. It was not because flames were coming out. It was a reaction in the battery pan. It was not an active fire,” Buck said.
As for the rumors that the fire department had to call a Tesla hotline for tips on how to handle a battery fire, the Fire Chief stated that these reports were untrue. “We did not (call Tesla), and I do not know where (that rumor) came from. There is a chance someone else did, maybe the Harris County Fire Marshal, but we did not call (Tesla). Tesla has an emergency manual for first responders,” Buck said. He also noted that he is not aware of Tesla having a hotline for tips on how to control a battery fire.
Buck also provided some new details about the Model S crash and how the fire department was involved. According to the fire chief, the first calls about the incident did not involve reports about a car at all. Instead, initial reports were about a fire in the woods. And while the Model S fire was notable when the firefighters arrived, it only took minutes to control the blaze from the vehicle.
“The first calls that came in were a fire in the woods. Then we got at 9:30 p.m. where we got the first call when someone said, ‘I see a car in a tree, and it is on fire. They reported a car hit a tree, and it had exploded… That is when we added extra units (to the response). There is a big lake, and (the accident) was just to the left of the lake, closer to the exiting part of the street, not the end of the cul de sac. It was at an undeveloped lot.
“(The Tesla) was heavily involved in flames. When the fire was put out, it was noticed there were two bodies (inside), and they were deceased. They continued extinguishment of the woods around (the car), putting out the trees and pine needles and what have you. I was there probably five to 10 minutes after that and at that point, every once in a while, the (battery) reaction would flame and it was mainly keeping water pouring on the battery,” Buck explained, adding that this was a process recommended by Tesla in cases of burning batteries.
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While a number of the initial reports about the tragic Tesla crash this weekend have been debunked by Elon Musk and now, the fire chief for The Woodlands Township Fire Department, the incident continues to attract some degree of drama. As per recent reports, Harris County Pct. 4 Constable Mark Herman has stated that investigators would be serving a search warrant on Tesla to gain all data from the ill-fated Model S. Federal regulators from the NHTSA and NTSB have also launched an investigation into the crash.
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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.”
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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.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
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High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
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Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
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However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
