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Tesla driver who drove Model Y off a cliff with family onboard will not stand trial
A California doctor who drove his family’s Tesla Model Y off Devil’s Slide in January last year will not stand trial. As per Judge Susan Jakubowski, Dharmesh Patel is suitable for mental health diversion. All criminal charges filed against Patel have also been indefinitely suspended.
The incident surrounding Patel and his family shocked social media, particularly since the family’s Tesla Model Y ended up falling over 250 feet at Devil’s Slide. The area is dangerous, and rescuers noted that they were expecting the worst since the all-electric crossover fell from such a great height. Thanks in no small part to the Model Y’s safety, Patel, his wife, and his two children were able to survive the fall.
As per previous reports, Patel’s wife informed authorities that the incident was not an accident. Patel himself admitted that he intentionally drove his Model Y off Devil’s Slide while his family was inside, as noted in a KRON4 report. In a comment to the news outlet, District Attorney Steve Wagstaffe stated that prosecutors made a “very strenuous objection” to the idea of Patel receiving a mental health diversion.
During the hearing, Deputy District Attorney Dominique Davis stated that Patel has schizoaffective disorder. Davis also noted that Patel should stand trial because he attempted to kill his family. The lawyer also argued that Patel would pose a danger to society.
UPDATE: California radiologist who drove car off cliff with family inside will not face trial because he was granted a mental health diversion by a court due to "evidence that he has major depressive disorder," according to the San Mateo County District Attorney’s Office.… https://t.co/A1z0tuegm3— Sawyer Merritt (@SawyerMerritt) June 25, 2024
“(Patel) was hearing footsteps at night. He feared his children would be sold into sex slavery. He carried a knife around for three days. None of this was based on reality… and the defendant felt compelled to act. He drove his entire family over a cliff. It’s a very high and deathly drop. What is most frightening is, no one saw this coming,” the attorney said.
While the case against Patel seemed strong, his wife testified that she did not want her husband to be prosecuted. She also noted that her children miss their father and they want Patel to come back home. Defense attorney Joshua Bentley took such an angle during the case, arguing that “not everyone who commits a crime is a criminal.”
Following a three-day trial in Mental Health Diversion Court, Judge Susan Jakubowski ruled in Patel’s favor. She also agreed that the right diagnosis for Patel’s mental illness was major depressive disorder. The District Attorney’s Office described Judge Jakubowski’s decision in the following.
“Weighing all factors, the court determined the defendant was suitable and granted the defense request for mental health diversion. Judge Jakubowski also ruled that the defendant will remain in the county jail for several weeks for what was called a ‘bridging period’ before release in the community,” the District Attorney’s Office wrote.
Following his release from jail, Patel will be required to wear a GPS monitor. He is also expected to live in his parents’ house in Belmont and test twice every week to show medication compliance. He must also abstain from alcohol and drugs, and surrender his driver’s license and passport. Patel is expected to return to court on July 1, 2024.
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Even Tesla China is feeling the Optimus V3 fever
As per Tesla China, Optimus V3 is “about to be unveiled.”
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.
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.”
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.
Elon Musk
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.
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.
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.
Elon Musk
SpaceX-xAI merger discussions in advanced stage: report
The update was initially reported by Bloomberg News, which cited people reportedly familiar with the matter.
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.
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.
Even Tesla China is feeling the Optimus V3 fever
Tesla director pay lawsuit sees lawyer fees slashed by $100 million
