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Read: Tesla’s full cease-and-desist letter to The Dawn Project over its anti-FSD campaign
After weeks of Dan O’Dowd’s The Dawn Project aggressively pushing its new anti-FSD ad, Tesla has sent a cease-and-desist letter demanding that the campaign be stopped immediately.
A full copy of Tesla’s cease-and-desist letter was recently shared online courtesy of FSD Beta tester @WholeMarsCatalog. As could be seen in the document, Tesla was quite thorough in its arguments against O’Dowd’s anti-FSD campaign. The electric vehicle maker also made it a point to highlight that its vehicles consistently rank among the safest in the industry, as validated by international testing agencies.
Following is the text of Tesla’s cease-and-desist letter.
AUGUST 11, 2022
VIA EMAIL AND OVERNIGHT MAIL
Mr. Daniel O’Dowd, Founder and CEO
The Dawn Project, Inc.
Re: Cease and Desist
Dear Mr. O’Dowd:
It has come to our attention that you, personally, and The Dawn Project have been disparaging Tesla’s commercial interests and disseminating defamatory information to the public regarding the capabilities of Tesla’s Full Self Driving (FSD) (Beta) technology. We demand that you immediately cease and desist further dissemination of all defamatory information, issue a formal public retraction within 24 hours and provide Tesla with the below demanded documentation.
Californians soundly rejected a political campaign, which was based on the single issue of spreading misinformation about Tesla, with barely 1% of voters in California’s U.S. Senate Race showing support for this platform. Despite the public’s very clear rejection, you and The Dawn Project continue to spread misinformation about Tesla, by falsely claiming that Tesla’s FSD (Beta) technology will not recognize children and by falsely stating that the feature will run over children when it is engaged. The purported tests misuse and misrepresent the capabilities of Tesla’s technology, and disregard widely recognized testing performed by independent agencies as well as the experiences shared by our customers. In fact, unsolicited scrutiny of the methodology behind The Dawn Project’s tests has already (and within hours of you publicly making defamatory allegations) shown that the testing is seriously deceptive and likely fraudulent.
First, to be clear, FSD Beta incorporates safety by design and does recognize pedestrians, including children, and when utilized properly, the system reacts to prevent or mitigate a collision. In addition, every Tesla is equipped with Forward Collision Warning to warn drivers of an impending frontal collision; Automatic Emergency Braking to apply braking when an obstacle is detected that the Tesla may impact; and Obstacle-Aware Acceleration to reduce acceleration when an obstacle ahead is in the driving path.
Second, the totality of these safety features are the reason why Tesla vehicles have earned a reputation for being the safest on the road. Contrary to the obviously results-driven bias of your purported tests, independent safety agencies have rated Tesla’s safety at the highest levels. For example, the Insurance Institute for Highway Safety (IIHS), an independent nonprofit scientific organization dedicated to reducing death and injuries on the roadways, rates current tested Tesla models with “superior” Automatic Emergency Braking for both vehicle-to-pedestrian prevention and vehicle-to-vehicle collisions. Notably, the IIHS conducted tests simulating crossing children for the 2022 Tesla Model 3 and 2022 Tesla Model Y, and in the tests, both models avoided collisions with the child dummies.
In contrast, your testing and methodology have already received swift and public rebukes from multiple sources. For example, the commercial you released claims that the tests shown were performed with Tesla’s FSD Beta engaged. But Electrek reported that your our own videos clearly show that FSD Beta was not engaged at times. Similarly, Electrek reports that The Dawn Project manipulated its video after being confronted with the defamatory nature of its advertisement. Despite your clear knowledge of the misleading nature of the advertisements, you continue to promote and disseminate these advertisements on multiple mediums.
While you and The Dawn Project purport to advocate for safety, the videos portray unsafe and improper use of FSD Beta and active safety features. Your actions actually put consumers at risk.
Accordingly, we demand the following:
1. Immediately cease and desist the dissemination of all defamatory advertisements;
2. Immediately remove the videos under the caption “Test Track” from The Dawn Project
website and any website where you or The Dawn Project disseminated a copy;
3. Issue a public retraction of all defamatory and false claims within 24 hours of receipt of this correspondence;
4. Disclose all sources of funding for the purported “tests” in the commercial, including whether any campaign funds were used or whether you were funded by Tesla’s competitors;
5. Disclose all recognized regulatory agencies that endorsed your testing methodology and/or results.
Furthermore, you and The Dawn Project, including any and all employees, officers, directors, and agents, are hereby placed on notice that Tesla demands that you preserve all documents, including communications, videos, and data, related to your purported tests and advertisements (including print and video) along with any and all communications surrounding the same. Tesla will exercise all legal remedies available to it in the event of your non-compliance with the above and reserves all rights. Please adjust your actions accordingly.
Very truly yours,
Dinna Eskin, Esq.
Sr. Director and Deputy General Counsel
Tesla, Inc.
Cc: The Dawn Project, Inc. Registered Agent
1505 Corporation
986
National Registered Agents, Inc.
🦇 💩 crazy
— Elon Musk (@elonmusk) August 25, 2022
While Tesla’s cease-and-desist letter shows that Tesla is dead serious about stopping The Dawn Project’s anti-FSD campaign, Elon Musk himself appears to be taking the events in stride, at least for now. In a response on Twitter, Musk simply posted a couple of emojis suggesting that the whole scenario is “bat sh*t crazy.”
Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.
Elon Musk
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Tesla’s Optimus factory in Texas targets 10 million robots yearly, with 5.2 million square feet under construction.
Tesla’s Q1 2026 Update Letter, released today, confirms that first generation Optimus production lines are now well underway at its Fremont, California factory, with a pilot line targeting one million robots per year to start. Of bigger note is a shared aerial image of a large piece of land adjacent to Gigafactory Texas, that Tesla has prominently labeled “Optimus factory site preparation.”
Permit documents show Tesla is seeking to add over 5.2 million square feet of new building space to the Giga Texas North Campus by the end of 2026, at an estimated construction investment of $5 billion to $10 billion. The longer term production target for that facility is 10 million Optimus units per year. Giga Texas already sits on 2,500 acres with over 10 million square feet of existing factory floor, and the North Campus expansion is being built to support multiple projects, including the dedicated Optimus factory, the Terafab chip fabrication facility (a joint Tesla/SpaceX/xAI venture), a Cybercab test track, road infrastructure, and supporting facilities.
Credit: TESLA
Texas makes strategic sense beyond the existing infrastructure. The state’s tax structure, lower labor costs relative to California, and the proximity to Tesla’s AI training cluster Cortex 1 and 2, both located at Giga Texas and now totaling over 230,000 H100 equivalent GPUs, means the Optimus software stack and the factory producing the hardware will share the same campus. Tesla’s Q1 report also confirmed completion of the AI5 chip tape out in April, the inference processor designed specifically to power Optimus units in the field.
As Teslarati reported, the Texas facility is intended to house Optimus V4 production at full scale. Musk told the World Economic Forum in January that Tesla plans to sell Optimus to the public by end of 2027 at a price between $20,000 and $30,000, stating, “I think everyone on earth is going to have one and want one.” He has previously pegged long term demand for general purpose humanoid robots at over 20 billion units globally, citing both consumer and industrial use cases.
Tesla (NASDAQ: TSLA) reported its earnings for the first quarter of 2026 on Wednesday afternoon. Here’s what the company reported compared to what Wall Street analysts expected.
The earnings results come after Tesla reported a miss on vehicle deliveries for the first quarter, delivering 358,023 vehicles and building 408,386 cars during the three-month span.
As Tesla transitions more toward AI and sees itself as less of a car company, expectations for deliveries will begin to become less of a central point in the consensus of how the quarter is perceived.
Nevertheless, Tesla is leaning on its strong foundation as a car company to carry forward its AI ambitions. The first quarter is a good ground layer for the rest of the year.
Tesla Q1 2026 Earnings Results
Tesla’s Earnings Results are as follows:
- Non-GAAP EPS – $0.41 Reported vs. $0.36 Expected
- Revenues – $22.387 billion vs. $22.35 billion Expected
- Free Cash Flow – $1.444 billion
- Profit – $4.72 billion
Tesla beat analyst expectations, so it will be interesting to see how the stock responds. IN the past, we’ve seen Tesla beat analyst expectations considerably, followed by a sharp drop in stock price.
On the same token, we’ve seen Tesla miss and the stock price go up the following trading session.
Tesla will hold its Q1 2026 Earnings Call in about 90 minutes at 5:30 p.m. on the East Coast. Remarks will be made by CEO Elon Musk and other executives, who will shed some light on the investor questions that we covered earlier this week.
You can stream it below. Additionally, we will be doing our Live Blog on X and Facebook.
Q1 2026 Earnings Call at 4:30pm CT https://t.co/pkYIaGJ32y
— Tesla (@Tesla) April 22, 2026
News
SpaceX is following in Tesla’s footsteps in a way nobody expected
In the span of just months in early 2026, SpaceX has transformed itself into one of the world’s most ambitious AI companies. The catalyst: its February acquisition of xAI.
When Elon Musk founded Tesla in 2003, it was a plucky electric car startup betting everything on lithium-ion batteries and a niche luxury Roadster.
Two decades later, Tesla is far more than a car company. Its valuation increasingly hinges on Full Self-Driving software, the Optimus humanoid robot, the Robotaxi program, and the Dojo supercomputer cluster purpose-built for AI training.
Musk has repeatedly described Tesla as an AI and robotics company that happens to sell vehicles. The cars, in this view, are merely the first scalable platform for real-world AI.
Now, SpaceX is tracing an eerily similar path, only faster and in a direction almost no one anticipated. Founded in 2002 to make spaceflight routine and eventually multiplanetary, SpaceX spent its first two decades perfecting reusable rockets, landing Falcon 9 boosters, and building the Starlink megaconstellation.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
It was an engineering and manufacturing powerhouse, not a software play. Yet, in the span of just months in early 2026, SpaceX has transformed itself into one of the world’s most ambitious AI companies. The catalyst: its February acquisition of xAI.
The xAI deal, announced on February 2, was structured as an all-stock transaction that valued the combined entity at roughly $1.25 trillion—SpaceX at $1 trillion and xAI at $250 billion. In a memo to employees, Musk framed the merger as the creation of “the most ambitious, vertically-integrated innovation engine on (and off) Earth.”
The new SpaceX now owns Grok, the large language model family that powers the chatbot of the same name, along with xAI’s massive training infrastructure. More importantly, it has a declared mission to move AI compute off-planet.
Earth-based data centers are hitting hard limits on power, cooling, and land. Musk’s solution is orbital data centers, or constellations of solar-powered satellites that act as supercomputers in the sky.
SpaceX has already asked regulators for permission to launch up to one million such satellites. Starship, the company’s fully reusable heavy-lift vehicle, is the only rocket capable of delivering the necessary mass at the required cadence.
Each orbital node would enjoy near-constant sunlight, vast radiator surfaces for passive cooling, and zero terrestrial real-estate costs. Musk has predicted that within two to three years, space-based AI inference and training could become cheaper than anything possible on the ground.
This is not a side project; it is the strategic centerpiece Musk has envisioned for SpaceX. Starlink already provides the global low-latency backbone; next-generation V3 satellites will carry onboard AI accelerators. Rockets deliver the hardware, while AI optimizes every aspect of launch, landing, and constellation management.
The feedback loop is self-reinforcing, too. Better AI makes better rockets, which launch more AI infrastructure.
Just yesterday, on April 21, SpaceX doubled down.
It secured an option to acquire Cursor—the fast-growing AI coding tool beloved by software engineers—for $60 billion later this year, or pay a $10 billion partnership fee if the full deal does not close.
Cursor’s models already help engineers write code at superhuman speed. Pairing that technology with SpaceX’s Colossus-scale training clusters (the same ones powering Grok) positions the company to dominate AI developer tools, much as Tesla dominates autonomous driving software.
Why SpaceX just made a $60 billion bet on AI coding ahead of historic IPO
The parallels with Tesla are striking. Both companies began in a single, capital-intensive sector: Tesla with EVs, SpaceX with launch vehicles. Both used early hardware success to fund AI at scale. Tesla’s Dojo supercomputers train neural nets on billions of miles of real-world driving data; SpaceX now trains on telemetry from thousands of orbital assets and re-entries.
Tesla’s FSD chip runs inference on cars; SpaceX’s future satellites will run inference in orbit.
Tesla’s Optimus robot will work in factories; SpaceX envisions lunar factories manufacturing more AI satellites, eventually using electromagnetic mass drivers to fling them into deep space.
Critics once dismissed Musk’s multi-company empire as unfocused. The 2026 moves reveal the opposite: deliberate convergence.
SpaceX is no longer merely a rocket company that sells internet from space. It is an AI company whose competitive moat is literal orbital infrastructure and the only vehicle that can service it at scale. The forthcoming IPO, expected later this year, will almost certainly be pitched not as a space play but as the purest bet on AI infrastructure the public market has ever seen.
Whether the orbital data-center vision survives regulatory scrutiny, astronomical concerns about light pollution, or the sheer engineering challenge remains to be seen.
Yet the strategic direction is unmistakable. Just as Tesla proved that software and AI could redefine the century-old automobile, SpaceX is proving that rockets are merely the delivery mechanism for the next great computing platform—one that floats above the clouds, powered by the sun, and limited only by the physics of orbit.
In that unexpected sense, history is repeating. Tesla stopped being “just a car company” years ago. SpaceX has now stopped being “just a rocket company.” Both are becoming something far larger: AI powerhouses with hardware moats so deep that competitors will need their own reusable megaconstellations to keep up.
The age of terrestrial AI is ending. The age of space-based AI is beginning—and SpaceX is building the launchpad.
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Tesla (TSLA) Q1 2026 earnings results: beat on EPS and revenues
