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Tesla Cybertruck lead engineer shares insights on deep integration and vehicle development
Tesla Cybertruck Lead Engineer Wes Morrill recently shared some insights on the electric vehicle maker’s deep integration and unique approach to car design in a recent post on social media platform X. As could be seen in the engineer’s post, it is Tesla’s intense attention to detail that ultimately makes the company’s vehicles as disruptive as they are today.
Anyone informed who looks at the Tesla Cybertruck would know that the vehicle is a symphony of automotive engineering. Tesla, however, took some time before it reached this point. As per Morrill in his post, Tesla in its early days utilized different teams with collaborative goals in vehicle design. Adopting this system allowed the company to make great cars, but the designs of the vehicles themselves were not optimal.
“A well known example – early days of Tesla there was a battery team and separately a vehicle structures team. Structures team designed their vehicle body to meet given requirements of strength, crashworthiness, torsional stiffness, etc. Likewise, the battery team designed their part to be self contained, it could survive durability, accidentally being dropped, being hit in a crash, etc.
Good analysis – this is what happens when teams work together to make the best product. https://t.co/XAXf70k3jc— Wes (@wmorrill3) September 14, 2024
“As a result, we ended up with was a super dense battery in a strong box like structure, which was then Installed into the vehicle which had a nice space for it to mate into. There were no issues with integration, everything fit together perfectly and met all product goals. It achieved one of the highest crash safety ratings measured at the time.
“But we had a box full of battery cells that was installed into another empty box shaped receptacle on the body. A box in a box. When you simplify it down that far it sounds obviously wrong. The two organizations had achieved their goals, worked together without friction, and the product met its overall goals. Yet the product ended up with a clear lack of optimization as a result of the organizational boundaries of the two teams working in isolation. Nothing was wrong, but it wasn’t optimal,” Morrill wrote.
The Cybertruck Lead Engineer noted that Tesla learned from these experiences, and the company adapted. This is how innovations such as the structural battery pack—which is now being simulated by electric car makers in China—came about. Morrill stated, however, that such changes may require large organizational changes, and there has to be a drive to make the best product regardless of ego.
Have you heard of Conway's Law? It's an interesting observation about the root cause of why large organizations usually make products worse.
In 1967 Melvin Conway wrote "Organizations which design systems are constrained to produce designs which are copies of the communication… pic.twitter.com/SetWd6OfTe— Wes (@wmorrill3) September 14, 2024
“Before the next product was designed, the battery team gave responsibility of the battery structures also to the vehicle structures team. On this iteration, we ended up with the structural battery, which is an integral part of the body and crash structure. Without it, the vehicle body will not work. It’s the literal floor for the vehicle. But the redundancy is gone and the design is more efficient as a result. This vehicle also achieved one of the highest crash safety ratings measured at the time.
“This is a super obvious example (in retrospect) and solved with a fairly large organizational change but you can also see this happen in small technical decisions and doesn’t require structural change to fix. Someone just needs to question if there is a better solution in a team open to criticism. This mindset to work together to make the best product regardless of ego is where you end up with the most innovative products.
“Some smaller examples have been seen when inspecting Cybertruck design. The chassis air suspension which is used to pressurize the battery pack to prevent water ingress. The subwoofer which utilizes the air volume of the body side instead of making the enclosure larger. Centralized zonal vehicle controllers instead of many small distributed controllers. Doors which use the exterior surface as a crash intrusion beam. The pedestrian warning system used as a horn. The list goes on. The excitement and motivation by everyone involved to work across boundaries and actively break down Conway’s Law is one of the many reasons I love working at Tesla,” Morrill wrote.
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Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.
CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.
Musk said:
“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”
Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”
He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”
Yup. In this case, the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area. They reached a speed of 73 mph during the crash, and had the accelerator pressed even after the crash.
— Ashok Elluswamy (@aelluswamy) June 22, 2026
Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.
The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.
Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”
Tesla alleged “driverless” crash in Texas: What is known so far
“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.
This appears to be a similar situation. However, an investigation will prove what happened for sure.
SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.
The company announced an offering of senior unsecured notes expected to raise at least $20 billion.
The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.
🚨 SpaceX has announced its inaugural offering of senior unsecured notes.
The net proceeds will be used to repay outstanding loans under its bridge loan facility in full.
This inaugural debt offering represents a financing milestone for SpaceX, which previously depended… pic.twitter.com/pcOZuVbTRv
— TESLARATI (@Teslarati) June 22, 2026
According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.
The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.
SpaceX officially acquires xAI, merging rockets with AI expertise
In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.
The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.
SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.
Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Tennessee.
Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.
CNBC first reported the deal.
🚨 SpaceXAI has agreed to a new compute deal with Reflection AI.
Reflection gets access to NIVIDIA GB300s, and will pay $150M per month to SpaceXAI for the compute. pic.twitter.com/bNPare8U5u
— TESLARATI (@Teslarati) June 22, 2026
This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.
SpaceX has previously signed significant compute deals with other major players.
It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.
Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.
SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.
These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.
Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.
The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.
For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
SpaceX makes $20 billion move to optimize its balance sheet
