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Earlier this week, NTSB Chief Jennifer Homendy made some disparaging comments regarding Tesla’s use of “Full Self-Driving” to explain its semi-autonomous driving suite. The remarks from Homendy show that Tesla may not have a fair chance when it ultimately comes to proving the effectiveness of its FSD program, especially considering agency officials, who should remain impartial, are already making misdirected comments regarding the name of the suite.
In an interview with the Wall Street Journal, Homendy commented on the company’s use of the phrase “Full Self-Driving.” While Tesla’s FSD suite is admittedly not capable of Level 5 autonomy, the idea for the program is to eventually roll out a fully autonomous driving program for those who choose to invest in the company’s software. However, instead of focusing on the program’s effectiveness and commending Tesla, arguably the leader in self-driving developments, Homendy concentrates on the terminology.
Homendy said Tesla’s use of the term “Full Self-Driving” was “misleading and irresponsible,” despite the company confirming with each driver who buys the capability that the program is not yet fully autonomous. Drivers are explicitly told to remain vigilant and keep their hands on the wheel at all times. It is a requirement to use Autopilot or FSD, and failure to do so can result in being locked in “Autopilot jail” for the duration of your trip. Nobody wants that.
However, despite the way some media outlets and others describe Tesla’s FSD program, the company’s semi-autonomous driving functionalities are extraordinarily safe and among the most complex on the market. Tesla is one of the few companies attempting to solve the riddle that is self-driving, and the only to my knowledge that has chosen not to use LiDAR in its efforts. Additionally, Tesla ditched radar just a few months ago in the Model Y and Model 3, meaning cameras are the only infrastructure the company plans to use to keep its cars moving. Several drivers have reported improvements due to the lack of radar.
These comments regarding FSD and Autopilot are simple: The terminology is not the focus; the facts are. The truth is, Tesla Autopilot recorded one of its safest quarters, according to the most recently released statistics that outlined an accident occurring on Autopilot just once every 4.19 million miles. The national average is 484,000 miles, the NHTSA says.
It isn’t to say that things don’t happen. Accidents on Autopilot and FSD do occur, and the NHTSA is currently probing twelve incidents that have shown Autopilot to be active during an accident. While the conditions and situations vary in each accident, several have already been proven to be the result of driver negligence, including a few that had drivers operating a vehicle without a license or under the influence of alcohol. Now, remind me: When a BMW driver is drunk and crashes into someone, do we blame BMW? I’ll let that rhetorical question sink in.
Of course, Homendy has a Constitutional right to say whatever is on her mind. It is perfectly reasonable to be skeptical of self-driving systems. I’ll admit, the first time I experienced one, I was not a fan, but it wasn’t because I didn’t trust it. It was because I was familiar with controlling a vehicle and not having it manage things for me. However, just like anything else, I adjusted and got used to the idea, eventually becoming accustomed to the new feelings and sensations of having my car assist me in navigating to my destination.
To me, it is simply unfortunate for an NTSB official to claim that Tesla “has clearly misled numerous people to misuse and abuse technology.” One, because it isn’t possible, two, because it would be a massive liability for the company, and three, because Tesla has never maintained that its cars can drive themselves. Tesla has never claimed that its cars can drive themselves, nor has Tesla ever advised a driver to attempt a fully autonomous trek to a destination.
The numerous safety features and additions to the FSD suite have only solidified Tesla’s position as one of the safest car companies out there. With in-cabin cameras to test driver attentiveness and numerous other safety thresholds that drivers must respond to with the correct behaviors, Tesla’s FSD suite and its Autopilot program are among the safest around. It isn’t favorable for NTSB head Homendy to comment in this way, especially as it seems to be detrimental to not only Tesla’s attempts to achieve Level 5 autonomy but the entire self-driving effort as a whole.
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Tesla shared a striking video showcasing the decommissioning of the original Model S and Model X assembly line at its Fremont Factory in Northern California. Completed in just 46 days, the teardown involved heavy machinery dismantling concrete pits, removing robotic arms and conveyors, and clearing the space for new production.
The post, captioned “End of an era,” captured both the end of a historic chapter and Tesla’s aggressive pivot toward its next major initiative, Optimus.
End of an era: Decommissioning the original Model S & X assembly line in just 46 days pic.twitter.com/kGEdfhl62h
— Tesla Manufacturing (@gigafactories) July 10, 2026
The decision to retire the Model S and Model X originated during Tesla’s Q4 2025 Earnings Call in late January 2026. CEO Elon Musk announced that production of the company’s flagship sedan and SUV would wind down by the end of Q2 2026, describing it as bringing the programs to an “honorable discharge.”
Custom orders ceased around early April 2026, with the final vehicles rolling off the line in early May. A special signature delivery ceremony on May 20 marked the emotional close for these vehicles, which had defined Tesla’s early success and luxury EV segment since the Model S launch in 2012.
The primary reason for tearing down the lines was to repurpose the valuable factory floor space for high-volume production of Tesla’s Optimus humanoid robot. Musk had indicated on Earnings Calls that the Fremont S/X line would be replaced by a dedicated Optimus manufacturing line targeting a capacity of one million units per year.
This move aligns with Tesla’s broader strategic shift from traditional vehicle manufacturing toward robotics and artificial intelligence, leveraging the company’s expertise in autonomy, AI training, and high-volume production.
Optimus, Tesla’s general-purpose humanoid robot, is designed to perform repetitive or dangerous tasks in factories, warehouses, and eventually homes. Powered by Tesla’s AI and Neural Networks, it aims to be a versatile, affordable platform. Production of Optimus Gen 3 is already underway in limited form at Fremont, with full-scale output on the converted line expected to begin in late July or August.
Tesla is targeting rapid scaling, with internal ambitions pointing toward tens or even hundreds of thousands of units annually by the end of 2026.
Longer-term, Tesla is constructing a much larger second-generation Optimus facility at Giga Texas, with potential capacity reaching millions of units per year. The company views Optimus as a transformative product that could eventually surpass its automotive business in scale and value, enabling widespread deployment of useful robots across industries. CEO Elon Musk has even predicted it would be the most popular product of all-time.
As one era closes at Fremont, another is rapidly taking shape.
Elon Musk posted a candid admission on his social media platform X on June 9, declaring that he had been “clearly wrong” about Anthropic. The statement marked a notable reversal from his earlier skepticism toward the AI company.
In September, Musk had written, “Winning was never in the set of possible outcomes for Anthropic,” reflecting his view at the time that the startup had lacked the foundation or even the trajectory to succeed in what is an incredibly intense race for advanced artificial intelligence.
Musk’s latest post came amid discussion of Anthropic’s reliance on external compute resources. He praised the company’s progress, stating that Anthropic is “obviously currently the leader in AI” and that “no company has released a model as good as Mythos/Fable,” with expectations of a strong follow-up in Mythos 2.
The tone shifted dramatically from dismissal to acknowledgement of superior performance.
I was clearly wrong about Anthropic. They are obviously currently the leader in AI. No company has released a model as good as Mythos/Fable and they will undoubtedly have Mythos 2 ready soon.
And I would never cut them off in a way that hurt them badly, even as a competitor.…
— Elon Musk (@elonmusk) July 9, 2026
The context of Musk’s comments added significance. Anthropic has been operating under a recent compute deal with SpaceXAI, Musk’s AI infrastructure-focused venture. The pair entered a short-term GPU lease agreement initiated in May, providing Anthropic access to critical computing power for training and deploying its frontier models.
SpaceXAI signs agreement with Anthropic for massive AI supercomputer access
Some observers had speculated that Musk could leverage this dependency to disadvantage a rival. Musk directly addressed the possibility, writing, “I would never cut them off in a way that hurt them badly, even as a competitor. That’s not my style.”
To support his commitment to ethical competition, Musk referenced concrete examples from his other companies. Tesla famously open-sourced its entire portfolio of electric vehicle patents in 2014. The move was designed to accelerate the global adoption of sustainable transportation technology rather than protect proprietary advantages.
Tesla also made its Supercharger network available to competing electric vehicle manufacturers, transforming what could have remained an exclusive charging ecosystem into a shared infrastructure that benefits the broader industry and reduces barriers for EV adoption.
Musk further pointed to SpaceX’s practices, noting that the company launches satellites for competing commercial systems “with no increase in price or use of unfair terms.” He extended the principle to his social platform, observing that “even my worst enemies attack me on this platform,” underscoring preference for open discourse over retaliation.
These examples have illustrated Musk’s long-standing philosophy that long-term technological progress is best served by open competition and infrastructure sharing rather than leveraging market power to stifle rivals. In the fast-evolving AI sector, where compute resources and model capabilities determine leadership, Musk’s stance suggests a willingness to compete on innovation and performance alone.
Musk’s admission arrives as SpaceXAI itself advances its own frontier models while maintaining business relationships across the ecosystem. By publicly correcting his earlier assessment and reaffirming principles of fair play, Musk highlights a model of competition that prioritizes advancement of the field over short-term tactical advantages.
A Tesla analyst believes the company’s Full Self-Driving suite is close to an “inflection point,” where people will finally realize that it is more than what it appears, similar to how many view the iPhone.
Pierre Ferragu, an analyst who has covered Tesla for many years at New Street Research, says the Full Self-Driving suite is one piece of evidence supporting the view that a Tesla is more than a car. He compared it to the iPhone and noted that the high price tag seemed like a lot for a phone early on. Then people realized the iPhone was more than just something you make calls with. It made their lives simpler.
🚨 Analyst @p_ferragu says Tesla Full Self-Driving is at an “inflection point” in a recent commentary:
“A Tesla is not a car, the same way an iPhone was not a phone. As a tool that gets you to work peacefully every morning, it is not expensive. Give us 2 more quarters to see… pic.twitter.com/tm6xFrjVPV
— TESLARATI (@Teslarati) July 10, 2026
Suddenly, that price tag was justified.
Tesla offers several models under the average transaction price for a new vehicle, which was above $49,000, according to Kelley Blue Book. However, that does not take into account that many people can still not afford a $35,000 vehicle. Ferragu offers his thoughts:
“Remember when the addressable market of the iPhone was 10 million units? Then people realized how good it was, and now, nearly 250m are sold every year.
A similar evolution for Tesla is still on the table. A Tesla is not a car, the same way an iPhone was not a phone.
A model 3 at $35k + $100 per month is too expensive for most, but only as a car, the same way a $600 iPhone was too expensive for most, until most realized it was much more than a phone.
As a tool that gets you to work peacefully every morning, it is not expensive.”
This point is valid, especially considering the iPhone’s impact on the cell phone market. There are still a handful of players, but most people you know have an iPhone. The iPhone ties into Apple’s other ecosystem of products.
This is how Tesla plans to infiltrate the automotive market, and once the company offers a fully autonomous suite, or something that can allow for unsupervised self-driving, more and more people will flock to Tesla.
Ferragu believes Tesla needs two additional quarters of development before things will truly change. He didn’t elaborate on what will happen in two quarters, but he said it will give us all time to “see where this is heading.”
It is really quite interesting to see people’s reactions when they find out what a Tesla is capable of. Full Self-Driving is a great tool for taking stress out of travel; I use it daily, and it has made it really difficult to consider taking any other car on a drive of practically any length.
To me, it is really hard to believe that people will not at least seriously consider a Tesla as their next car if they experience Full Self-Driving. This is a major point for those who argue that Tesla should advertise in some way.
Tesla shows rapid teardown of Model S and X lines, paving the way for Optimus at Fremont
Elon Musk admits he was ‘clearly wrong’ about Anthropic
