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Tesla challenged by CR advocacy group to release detailed Autopilot data

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Consumers Union, the advocacy division of Consumer Reports, recently called on Tesla to publicly release detailed Autopilot data behind the company’s safety claims. In a statement published on Thursday, the advocacy group stated that Tesla must improve Autopilot’s safety systems, considering that another life was lost while the driver-assist feature was engaged.

Experts from CR have determined that Tesla’s current safety systems for Autopilot is inadequate. The CR experts also noted that Tesla’s contingencies for Autopilot “fails to effectively address the safety risks of foreseeable uses of the system,” unlike other driver-assist features involving automated steering and braking.

Consumers Union Director of Cars and Product Policy and Analysis David Friedman explicitly called on Tesla to stop using consumers as “beta testers” of unproven technology. Friedman also stated that Tesla should not make broad safety claims without providing detailed Autopilot data.

“After another tragedy involving Autopilot, Tesla should commit to put safety first—and to stop using consumers as beta testers for unproven technology. While the results of the crash investigations will be critical to understanding all that contributed to this tragedy, previous NTSB findings already showed that Autopilot should do more to protect consumers. We see no excuse: Tesla should improve the safety of Autopilot without delay.

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“Tesla markets itself as an innovator. It should not put lives at risk, damage its reputation, or risk the success of its systems—or driver assist technology as a whole—by failing to take steps that would better protect consumers’ safety. Further, the company should not make either specific or broad safety claims without providing the detailed data to back them up. They should show, not just tell, us how safe their system is,” Friedman said.

 

Friedman also criticized Tesla’s response to the ongoing NTSB investigation into the fatal Model X accident last month near Mountain View, CA. According to the Consumers Union executive, Tesla should improve Autopilot’s design instead of issuing defensive statements that put the blame on the driver of the ill-fated electric SUV.

“Instead of issuing a defensive Friday evening blog post or statements blaming the victim, Tesla should fix Autopilot’s design and be transparent about their safety claims. The company should publicly provide detailed data to demonstrate conditions for which its Autopilot system can safely operate.

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“It should limit Autopilot’s operation only to those conditions and have a far more effective system to sense, verify, and safely react when the human driver’s level of engagement in the driving task is insufficient or when the driver fails to react to warnings. If other companies can do it, Tesla should as well.”

Just yesterday, Tesla and the NTSB issued statements about the Elon Musk-led company’s departure from the investigation into the fatal Model X accident. According to the NTSB, Tesla was removed from the probe due to the company’s insistence on releasing data to the public despite the investigation not being complete.

Responding to these reports, Tesla issued a statement stating that it has chosen to withdraw from the NTSB’s investigation due to the agency’s handling of the probe. The electric car maker and energy company also noted that it would be issuing a Freedom of Information Act request on the NTSB’s apparent focus on Tesla. Here are excerpts from Tesla’s statement.

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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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Even Tesla China is feeling the Optimus V3 fever

As per Tesla China, Optimus V3 is “about to be unveiled.”

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Credit: Tesla Optimus/X

Even Tesla China seems to have caught the Optimus V3 fever, with the electric vehicle maker teasing the impending arrival of the humanoid robot on its official Weibo account. 

As per Tesla China, Optimus V3 is “about to be unveiled.”

Tesla China hypes up Optimus V3

Tesla China noted on its Weibo post that Optimus V3 is redesigned from first principles and is capable of learning new tasks by observing human behavior. The company has stated that it is targeting annual production capacity of up to one million humanoid robots once manufacturing scales.

During the Q4 and FY 2025 earnings call, CEO Elon Musk stated that Tesla will wind down Model S and Model X production to free up factory space for the pilot production line of Optimus V3. 

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Musk later noted that Giga Texas should have a significantly larger Optimus line, though that will produce Optimus V4. He also made it a point to set expectations with Optimus’ production ramp, stating that the “normal S curve of manufacturing ramp will be longer for Optimus.”

Credit: Tesla China

Tesla China’s potential role

Tesla’s decision to announce the Optimus update on Weibo highlights the importance of the humanoid robot in the company’s global operations. Giga Shanghai is already Tesla’s largest manufacturing hub by volume, and Musk has repeatedly described China’s manufacturers as Tesla’s most legitimate competitors.

While Tesla has not confirmed where Optimus V3 will be produced or deployed first, the scale and efficiency of Gigafactory Shanghai make it a plausible candidate for future humanoid robot manufacturing or in-factory deployment. Musk has also suggested that Optimus could become available for public purchase as early as 2027, as noted in a CNEV Post report.

“It’s going to be a very capable robot. I think long-term Optimus will have a very significant impact on the US GDP. It will actually move the needle on US GDP significantly. In conclusion, there are still many who doubt our ambitions for creating amazing abundance. We are confident it can be done, and we are making the right moves technologically to ensure that it does,” Musk said during the earnings call.

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Tesla director pay lawsuit sees lawyer fees slashed by $100 million

The ruling leaves the case’s underlying settlement intact while significantly reducing what the plaintiffs’ attorneys will receive.

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Credit: Tesla China

The Delaware Supreme Court has cut more than $100 million from a legal fee award tied to a shareholder lawsuit challenging compensation paid to Tesla directors between 2017 and 2020. 

The ruling leaves the case’s underlying settlement intact while significantly reducing what the plaintiffs’ attorneys will receive.

Delaware Supreme Court trims legal fees

As noted in a Bloomberg Law report, the case targeted pay granted to Tesla directors, including CEO Elon Musk, Oracle founder Larry Ellison, Kimbal Musk, and Rupert Murdoch. The Delaware Chancery Court had awarded $176 million to the plaintiffs. Tesla’s board must also return stock options and forego years worth of pay. 

As per Chief Justice Collins J. Seitz Jr. in an opinion for the Delaware Supreme Court’s full five-member panel, however, the decision of the Delaware Chancery Court to award $176 million to a pension fund’s law firm “erred by including in its financial benefit analysis the intrinsic value” of options being returned by Tesla’s board.

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The justices then reduced the fee award from $176 million to $70.9 million. “As we measure it, $71 million reflects a reasonable fee for counsel’s efforts and does not result in a windfall,” Chief Justice Seitz wrote.

Other settlement terms still intact

The Supreme Court upheld the settlement itself, which requires Tesla’s board to return stock and options valued at up to $735 million and to forgo three years of additional compensation worth about $184 million. 

Tesla argued during oral arguments that a fee award closer to $70 million would be appropriate. Interestingly enough, back in October, Justice Karen L. Valihura noted that the $176 award was $60 million more than the Delaware judiciary’s budget from the previous year. This was quite interesting as the case was “settled midstream.”

The lawsuit was brought by a pension fund on behalf of Tesla shareholders and focused exclusively on director pay during the 2017–2020 period. The case is separate from other high-profile compensation disputes involving Elon Musk.

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Tesla Litigation by Simon Alvarez

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SpaceX-xAI merger discussions in advanced stage: report

The update was initially reported by Bloomberg News, which cited people reportedly familiar with the matter.

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Gage Skidmore, CC BY-SA 4.0 , via Wikimedia Commons

SpaceX is reportedly in advanced discussions to merge with artificial intelligence startup xAI. The talks could reportedly result in an agreement as soon as this week, though discussions remain ongoing.

The update was initially reported by Bloomberg News, which cited people reportedly familiar with the matter.

SpaceX and xAI advanced merger talks

SpaceX and xAI have reportedly informed some investors about plans to potentially combine the two privately held companies, Bloomberg’s sources claimed. Representatives for both companies did not immediately respond to requests for comment.

A merger would unite two of the world’s largest private firms. xAI raised capital at a valuation of about $200 billion in September, while SpaceX was preparing a share sale late last year that valued the rocket company at roughly $800 billion.

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If completed, the merger would bring together SpaceX’s launch and satellite infrastructure with xAI’s computing and model development. This could pave the way for Musk’s vision of deploying data centers in orbit to support large-scale AI workloads.

Musk’s broader consolidation efforts

Elon Musk has increasingly linked his companies around autonomy, AI, and space-based infrastructure. SpaceX is seeking regulatory approval to launch up to one million satellites as part of its long-term plans, as per a recent filing. Such a scale could support space-based computing concepts.

SpaceX has also discussed the feasibility of a potential tie-up with electric vehicle maker Tesla, Bloomberg previously reported. SpaceX has reportedly been preparing for a possible initial public offering (IPO) as well, which could value the company at up to $1.5 trillion. No timeline for SpaceX’s reported IPO plans have been announced yet, however.

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