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Tesla is looking to eliminate contracts for faster vehicle delivery process

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In what appears to be yet another initiative to deliver as many of its electric cars as possible to customers, Elon Musk has announced that Tesla is trying to get rid of paper contracts completely. According to Musk, Tesla’s delivery process should be as simple as a tap on a screen. Under the system, returns for Tesla’s vehicles should be a lot simpler as well.

Musk’s Twitter update came as a response to Tesla enthusiast JD Mankovsky, who noted that his sister-in-law has been in a delivery center for hours waiting for her all-electric SUV’s contracts to be finished. Mankovsky stated that there was a backlog in the delivery center’s contract/legal approval level, causing handovers to be delayed. In classic fashion, Musk promptly responded with an idea in tow.

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If Tesla does employ what could pretty much be described as a tap and drive system, it would be yet another way for the company to separate itself from the conventions of the traditional auto industry. Issuing and signing contracts, after all, are a well-known, time-consuming aspect of the vehicle delivery process, and it is one practice that Tesla still engages in today. By getting rid of paper contracts, Tesla will separate itself even more from traditional auto sales practices. Such a practice will also make the buying experience of Tesla’s vehicles more similar to consumer tech products than conventional cars.

In a way, using a digital signing system for its vehicles is a strategic move for Tesla. The use of digital contracts, after all, has only been growing over the years. In the United States alone, digital signatures are an option for filing tax returns over the internet, and that is valid in every state today. Tesla would likely need to adapt to additional regulations if or when it starts using digital contracts, but the transition could be done.

Elon Musk’s statement about returning vehicles if customers are not satisfied further emphasizes the idea that Tesla’s vehicles are more like computers on wheels than regular vehicles. Elon Musk has, over the years, underscored the idea that Tesla is a different breed of carmaker, not only in terms of its products but also in terms of its business practices. Returning cars to the company in a manner similar to returning an iPhone to Apple definitely falls under that category. Returned vehicles could even give the company a considerable revenue. Apple, for one, usually uses returned units to be sold later on as refurbished devices. Tesla could employ a similar strategy, opening a lineup between its brand new and CPO offerings. 

Looking at Elon Musk’s tweet in the short-term, the removal of traditional paper contracts seems to be yet another way for Tesla to increase its delivery figures. The company, after all, is currently pushing for profitability this third quarter. For Tesla to do this, it would have to deliver as many cars as it can to customers, particularly higher-margin vehicles like the Model 3 Performance, the Model S P100D, and the Model S P100D. Such a system ties in perfectly with the company’s new 5-Minute Sign & Drive system for Model 3 deliveries as well.

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In a way, Tesla’s efforts to expedite the deliveries of its vehicles are in the best interests of the company’s customers. Earlier this month, Tesla announced that it had sold its 200,000th electric car in the United States, triggering the phase-out period for the $7,500 tax credit granted to its customers. The tax credit is set to decrease over the next quarters and fully expire by December 2019. Thus, from this point until the end of next year, it would be up to Tesla to deliver as many vehicles as possible to ensure that its customers qualify for a federal tax credit.

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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Tesla stuns with another FSD approval in Europe, its second in two days

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Tesla has stunned by gaining yet another approval for its Full Self-Driving suite in Europe, its second in two days and its fifth overall.

Belgium will be the latest country to allow Tesla owners to utilize FSD on public roads in Europe, joining a quickly growing list that started with the Netherlands, Lithuania, and Estonia.

On Tuesday, Denmark announced its approval of the FSD suite, which has now been followed by Belgium just one day later.

The country’s Minister of Mobility, Annick De Ridder, announced the approval on her X account, stating that she had just signed the approval of Tesla FSD. It now goes to the country’s homologation department for the last step of the approval process.

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The Belgian approval is one of mighty importance because it truly shows how quickly countries in Europe could greenlight the FSD suite consecutively. Approvals are already coming in relatively quickly, which is a great sign.

Perhaps the next big development that could come from FSD approvals in Europe is an approval from a country like England, Italy, France, Spain, or Germany. It would be something to see how FSD would perform in a major European metro, such as London, Barcelona, Madrid, Paris, Rome, or Berlin.

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Full Self-Driving does an excellent job of roaming around major U.S. cities like New York and Los Angeles, but other high-profile international cities of significance would truly mark a line in the sand for Tesla, which can simply enable any vehicle in its customer-owned fleet to run FSD with the correct approvals.

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SpaceX’s Elon Musk relieves worries about orbital data centers

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Rendering of Elon Musk overlooking a Starship fleet (Credit: Grok)
Rendering of Elon Musk overlooking a Starship fleet (Credit: Grok)

SpaceX CEO Elon Musk recently confronted worries about orbital data centers and launching satellites in mass quantities in space, as some voiced concerns about crowding.

Musk’s SpaceX plans to combat the issue of needing data centers by launching them into space instead of taking up valuable real estate on Earth. It has been a major point of SpaceX’s future, including its looming IPO, which could be the largest ever.

In a recent interview filmed at SpaceX’s Starlink terminal factory in Bastrop, Texas, Elon Musk directly addressed concerns that deploying large numbers of AI satellites for orbital data centers could crowd Earth’s orbit. His message was straightforward and reassuring: space is vast beyond human intuition.

“Space is really big,” Musk said. “It’s not like space is gonna get crowded. Space is enormous. If you actually look at it relative to the Earth, the satellites are so tiny you can’t even see them.” He emphasized that even zooming in makes a satellite appear large, but from a planetary perspective, they are minuscule specks.

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Musk pointed to SpaceX’s real-world experience operating roughly 10,000 Starlink satellites as evidence that large constellations can be managed safely. “We’ve got a pretty good idea of how to operate just really large constellations and do it safely,” he noted. SpaceX remains the only operator with meaningful experience at this scale, giving the company unique insight into tight orbital packing without compromising safety

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The discussion highlighted SpaceX’s plans for “AI1” satellites—essentially orbiting racks of AI compute powered by massive solar arrays and cooled via radiative panels in space’s vacuum.

These satellites leverage proven Starlink V3 technology, making them simpler to design than communications satellites. A first-generation unit targets around 150 kW peak power, with a 70-meter wingspan for solar panels and radiators. Laser links will connect them to each other and the Starlink network, delivering low-latency access (on the order of a few milliseconds from low-Earth orbit).

FCC accepts SpaceX filing for 1 million orbital data center plan

Musk framed orbital data centers as a practical solution to Earth’s constraints on AI growth. Ground-based facilities face power shortages, water demands for cooling, and grid limitations. In space, constant sunlight (no day-night cycle), vacuum radiative cooling, and abundant solar energy offer clear advantages.

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Production will ramp up at an expanded “Gigasat” factory in Bastrop, with solar manufacturing already underway and full AI satellite output expected at reasonable volume by the end of 2027. Starship’s rapid, high-volume launch capability, aiming for multiple flights per hour, will make massive deployment feasible.

Critics sometimes raise risks like space debris or Kessler syndrome, but Musk’s response underscores scale: even a million satellites would represent an imperceptible fraction of available orbital volume when viewed against Earth’s size. SpaceX’s automated collision avoidance and deorbiting designs for Starlink further mitigate concerns.

This vision ties into broader ambitions. Musk sees orbital AI compute as a step toward harnessing more of the Sun’s energy, advancing humanity on the Kardashev scale from a Type 0 civilization toward Type 1 and eventually Type 2. By moving power-hungry data centers off-planet, SpaceX aims to unlock orders-of-magnitude more compute while preserving Earth’s resources.

Musk’s comments should ease public anxiety. With proven operational expertise, incremental engineering, and the immensity of space itself, orbital data centers represent not overcrowding, but smart expansion into the final frontier.

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Investor's Corner

Tesla Full Self-Driving hits Level 4? One analyst says yes

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Credit: Tesla

Tesla Full Self-Driving (Supervised) is currently listed as a Level 2 suite in terms of its passenger cars. As its Robotaxi platform continues to move quickly, it has been recognized as a Level 4 ride-sharing program by the State of Texas, as Tesla recently self-certified itself.

However, a Wall Street analyst is arguing that Tesla (NASDAQ: TSLA) has effectively achieved Level 4 autonomy in most conditions in all of its vehicles, drawing on personal experience and data released by the company.

Alex Potter of Piper Sandler said in a note to investors on Wednesday that “Tesla has solved the self-driving puzzle,” pointing to decisions to offer insurance discounts for FSD-enabled policies as a signal of confidence, which is backed up by stellar safety records compared to human driving.

Investing.com initially reported on Potter’s new note.

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Additionally, Potter looks at the recent start of Cybercab production at Giga Texas as a potential indication that Tesla is ready to offer some level of unsupervised driving at least in the near future. The Cybercab has no steering wheel or pedals, completely eliminating the ability for human input.

He also sees Tesla’s allocation of “several hundred million USD (if not $1B+)” as confidence internally, seeing as it would be tough to set aside that amount of capital toward a project that the company does not see as relatively near-term.

Forward thinking, especially as Cybercab has no human controls, it would make sense that Tesla is at least close to self-driving. How close is another question.

Tesla has routinely teased that unsupervised FSD is close, but there are still a lot of things it feels as if the company has to roll out some more capability, including unsupervised parking features, known as “Banish,” better operation with regional self-driving performance, and other improvements.

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That is not to say that Tesla FSD is super impressive already. It has already completed coast-to-coast drives across the United States and Canada, it routinely takes the stress out of driving for most people, and it has proven through Tesla Safety Reports that it is safer and involved in accidents less frequently than humans.

Even Potter believes it is capable, as he used it to go from Missoula, Montana, to Minneapolis, Minnesota, back in April.

“There’s no substitute for personal experience,” he wrote.

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