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Tesla’s Elon Musk hints that he’s working on a “Master Plan Part 3”
Tesla CEO Elon Musk recently revealed something extremely exciting: he is currently working on Master Plan, Part 3. Musk’s Master Plan, two of which have already been published over the years, outlines his primary long-term goals for Tesla, as the company evolves from a simple startup automaker to something much more.
Musk’s first Master Plan pretty much flew under the radar, though it did reveal the company’s strategy for the coming years. Written in 2006, Musk’s Master Plan, Part 1 discussed how the company intends to enter the affordable vehicle market by gradually evolving its lineup from expensive sports cars like the original Roadster to more affordable, mainstream vehicles like the Model 3. Musk’s first Master Plan also mentioned how electric vehicle owners could become energy positive by charging their EVs from renewable sources like the sun.
Master Plan, Part 2 came ten years later, a time when the company was already producing the Model S and Model X. Published in 2016, Master Plan, Part Deux still highlighted that Tesla intends to enter all vehicle segments like heavy-duty trucks, pickups, and passenger-density urban transport. However, it also emphasized the importance of Tesla Energy and its solar products, as well as the value of advanced driver-assist systems like Autopilot. Musk also touched on the idea of the Tesla Network, which would be possible once autonomous driving is achieved.
Needless to say, Tesla has not completed Musk’s second Master Plan yet. While all the goals highlighted by the CEO in his first Master Plan were met with the launch and ramp of the Model 3, the goals indicated in Master Plan, Part Deux have proven to be far more challenging. Vehicles like the Tesla Semi and Cybertruck are still waiting to be produced, and the Solar Roof ramp has been rife with delays. The deployment of FSD has made some progress with the FSD Beta program, but true autonomy still seems to be a distant goal.
This does not mean to say that Elon Musk’s Master Plan, Part 3, would be ill-timed, however. Musk definitely has a vision for Tesla, and he knows where the company is going. His long tenure as Tesla’s CEO also provides him with a pretty good eye as to what the company could achieve in the future. With this in mind, and while details of Master Plan, Part 3 are yet to be released, speculations are abounding about what Musk’s third grand plan would entail. Some TSLA bulls that have watched the company for years have suggested that Master Plan, Part 3 may involve Tesla’s transition to an Artificial Intelligence and data company.
A focus on AI is not farfetched at all for Tesla, considering the company’s projects like Optimus and the wealth of data it is gathering from its fleet of vehicles every day. And it doesn’t even have to be limited to electric cars only. With products like its humanoid robot, Tesla’s AI projects could expand to a variety of industries. This is something that Musk seems to be quite excited about, as hinted at in a recent post on Twitter. The CEO highlighted that he has so much respect for those who do honest work in creating useful products and services for their fellow humans.
“Working hard to make useful products & services for your fellow humans is deeply morally good. I have so much respect for the associates doing an honest day’s work at Tesla or SpaceX building & servicing cars, rockets, Starlinks, batteries, solar & many other things,” Musk wrote.
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Elon Musk
Tesla’s Elon Musk: 10 billion miles needed for safe Unsupervised FSD
As per the CEO, roughly 10 billion miles of training data are required due to reality’s “super long tail of complexity.”
Tesla CEO Elon Musk has provided an updated estimate for the training data needed to achieve truly safe unsupervised Full Self-Driving (FSD).
As per the CEO, roughly 10 billion miles of training data are required due to reality’s “super long tail of complexity.”
10 billion miles of training data
Musk comment came as a reply to Apple and Rivian alum Paul Beisel, who posted an analysis on X about the gap between tech demonstrations and real-world products. In his post, Beisel highlighted Tesla’s data-driven lead in autonomy, and he also argued that it would not be easy for rivals to become a legitimate competitor to FSD quickly.
“The notion that someone can ‘catch up’ to this problem primarily through simulation and limited on-road exposure strikes me as deeply naive. This is not a demo problem. It is a scale, data, and iteration problem— and Tesla is already far, far down that road while others are just getting started,” Beisel wrote.
Musk responded to Beisel’s post, stating that “Roughly 10 billion miles of training data is needed to achieve safe unsupervised self-driving. Reality has a super long tail of complexity.” This is quite interesting considering that in his Master Plan Part Deux, Elon Musk estimated that worldwide regulatory approval for autonomous driving would require around 6 billion miles.
FSD’s total training miles
As 2025 came to a close, Tesla community members observed that FSD was already nearing 7 billion miles driven, with over 2.5 billion miles being from inner city roads. The 7-billion-mile mark was passed just a few days later. This suggests that Tesla is likely the company today with the most training data for its autonomous driving program.
The difficulties of achieving autonomy were referenced by Elon Musk recently, when he commented on Nvidia’s Alpamayo program. As per Musk, “they will find that it’s easy to get to 99% and then super hard to solve the long tail of the distribution.” These sentiments were echoed by Tesla VP for AI software Ashok Elluswamy, who also noted on X that “the long tail is sooo long, that most people can’t grasp it.”
News
Tesla earns top honors at MotorTrend’s SDV Innovator Awards
MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.
Tesla emerged as one of the most recognized automakers at MotorTrend’s 2026 Software-Defined Vehicle (SDV) Innovator Awards.
As could be seen in a press release from the publication, two key Tesla employees were honored for their work on AI, autonomy, and vehicle software. MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.
Tesla leaders and engineers recognized
The fourth annual SDV Innovator Awards celebrate pioneers and experts who are pushing the automotive industry deeper into software-driven development. Among the most notable honorees for this year was Ashok Elluswamy, Tesla’s Vice President of AI Software, who received a Pioneer Award for his role in advancing artificial intelligence and autonomy across the company’s vehicle lineup.
Tesla also secured recognition in the Expert category, with Lawson Fulton, a staff Autopilot machine learning engineer, honored for his contributions to Tesla’s driver-assistance and autonomous systems.
Tesla’s software-first strategy
While automakers like General Motors, Ford, and Rivian also received recognition, Tesla’s multiple awards stood out given the company’s outsized role in popularizing software-defined vehicles over the past decade. From frequent OTA updates to its data-driven approach to autonomy, Tesla has consistently treated vehicles as evolving software platforms rather than static products.
This has made Tesla’s vehicles very unique in their respective sectors, as they are arguably the only cars that objectively get better over time. This is especially true for vehicles that are loaded with the company’s Full Self-Driving system, which are getting progressively more intelligent and autonomous over time. The majority of Tesla’s updates to its vehicles are free as well, which is very much appreciated by customers worldwide.
Elon Musk
Judge clears path for Elon Musk’s OpenAI lawsuit to go before a jury
The decision maintains Musk’s claims that OpenAI’s shift toward a for-profit structure violated early assurances made to him as a co-founder.
A U.S. judge has ruled that Elon Musk’s lawsuit accusing OpenAI of abandoning its founding nonprofit mission can proceed to a jury trial.
The decision maintains Musk’s claims that OpenAI’s shift toward a for-profit structure violated early assurances made to him as a co-founder. These claims are directly opposed by OpenAI.
Judge says disputed facts warrant a trial
At a hearing in Oakland, U.S. District Judge Yvonne Gonzalez Rogers stated that there was “plenty of evidence” suggesting that OpenAI leaders had promised that the organization’s original nonprofit structure would be maintained. She ruled that those disputed facts should be evaluated by a jury at a trial in March rather than decided by the court at this stage, as noted in a Reuters report.
Musk helped co-found OpenAI in 2015 but left the organization in 2018. In his lawsuit, he argued that he contributed roughly $38 million, or about 60% of OpenAI’s early funding, based on assurances that the company would remain a nonprofit dedicated to the public benefit. He is seeking unspecified monetary damages tied to what he describes as “ill-gotten gains.”
OpenAI, however, has repeatedly rejected Musk’s allegations. The company has stated that Musk’s claims were baseless and part of a pattern of harassment.
Rivalries and Microsoft ties
The case unfolds against the backdrop of intensifying competition in generative artificial intelligence. Musk now runs xAI, whose Grok chatbot competes directly with OpenAI’s flagship ChatGPT. OpenAI has argued that Musk is a frustrated commercial rival who is simply attempting to slow down a market leader.
The lawsuit also names Microsoft as a defendant, citing its multibillion-dollar partnerships with OpenAI. Microsoft has urged the court to dismiss the claims against it, arguing there is no evidence it aided or abetted any alleged misconduct. Lawyers for OpenAI have also pushed for the case to be thrown out, claiming that Musk failed to show sufficient factual basis for claims such as fraud and breach of contract.
Judge Gonzalez Rogers, however, declined to end the case at this stage, noting that a jury would also need to consider whether Musk filed the lawsuit within the applicable statute of limitations. Still, the dispute between Elon Musk and OpenAI is now headed for a high-profile jury trial in the coming months.