News
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
Musk bankers looking to trim xAI debt after SpaceX merger: report
xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. A new financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year.
Elon Musk’s bankers are looking to trim the debt that xAI has taken on over the past few years, following the company’s merger with SpaceX, a new report from Bloomberg says.
xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. Bankers are trying to create some kind of financing plan that would trim “some of the heavy interest costs” that come with the debt.
The financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year. Musk has essentially confirmed that SpaceX would be heading toward an IPO last month.
The report indicates that Morgan Stanley is expected to take the leading role in any financing plan, citing people familiar with the matter. Morgan Stanley, along with Goldman Sachs, Bank of America, and JPMorgan Chase & Co., are all expected to be in the lineup of banks leading SpaceX’s potential IPO.
Since Musk acquired X, he has also had what Bloomberg says is a “mixed track record with debt markets.” Since purchasing X a few years ago with a $12.5 billion financing package, X pays “tens of millions in interest payments every month.”
That debt is held by Bank of America, Barclays, Mitsubishi, UFJ Financial, BNP Paribas SA, Mizuho, and Société Générale SA.
X merged with xAI last March, which brought the valuation to $45 billion, including the debt.
SpaceX announced the merger with xAI earlier this month, a major move in Musk’s plan to alleviate Earth of necessary data centers and replace them with orbital options that will be lower cost:
“In the long term, space-based AI is obviously the only way to scale. To harness even a millionth of our Sun’s energy would require over a million times more energy than our civilization currently uses! The only logical solution, therefore, is to transport these resource-intensive efforts to a location with vast power and space. I mean, space is called “space” for a reason.”
The merger has many advantages, but one of the most crucial is that it positions the now-merged companies to fund broader goals, fueled by revenue from the Starlink expansion, potential IPO, and AI-driven applications that could accelerate the development of lunar bases.
News
Tesla pushes Full Self-Driving outright purchasing option back in one market
Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.
Tesla has pushed the opportunity to purchase the Full Self-Driving suite outright in one market: Australia.
The date remains February 14 in North America, but Tesla has pushed the date back to March 31, 2026, in Australia.
NEWS: Tesla is ending the option to buy FSD as a one-time outright purchase in Australia on March 31, 2026.
It still ends on Feb 14th in North America. https://t.co/qZBOztExVT pic.twitter.com/wmKRZPTf3r
— Sawyer Merritt (@SawyerMerritt) February 13, 2026
Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.
If you have already purchased the suite outright, you will not be required to subscribe once again, but once the outright purchase option is gone, drivers will be required to pay the monthly fee.
The reason for the adjustment is likely due to the short period of time the Full Self-Driving suite has been available in the country. In North America, it has been available for years.
Tesla hits major milestone with Full Self-Driving subscriptions
However, Tesla just launched it just last year in Australia.
Full Self-Driving is currently available in seven countries: the United States, Canada, China, Mexico, Australia, New Zealand, and South Korea.
The company has worked extensively for the past few years to launch the suite in Europe. It has not made it quite yet, but Tesla hopes to get it launched by the end of this year.
In North America, Tesla is only giving customers one more day to buy the suite outright before they will be committed to the subscription-based option for good.
The price is expected to go up as the capabilities improve, but there are no indications as to when Tesla will be doing that, nor what type of offering it plans to roll out for owners.
Elon Musk
Starlink terminals smuggled into Iran amid protest crackdown: report
Roughly 6,000 units were delivered following January’s unrest.
The United States quietly moved thousands of Starlink terminals into Iran after authorities imposed internet shutdowns as part of its crackdown on protests, as per information shared by U.S. officials to The Wall Street Journal.
Roughly 6,000 units were delivered following January’s unrest, marking the first known instance of Washington directly supplying the satellite systems inside the country.
Iran’s government significantly restricted online access as demonstrations spread across the country earlier this year. In response, the U.S. purchased nearly 7,000 Starlink terminals in recent months, with most acquisitions occurring in January. Officials stated that funding was reallocated from other internet access initiatives to support the satellite deployment.
President Donald Trump was aware of the effort, though it remains unclear whether he personally authorized it. The White House has not issued a comment about the matter publicly.
Possession of a Starlink terminal is illegal under Iranian law and can result in significant prison time. Despite this, the WSJ estimated that tens of thousands of residents still rely on the satellite service to bypass state controls. Authorities have reportedly conducted inspections of private homes and rooftops to locate unauthorized equipment.
Earlier this year, Trump and Elon Musk discussed maintaining Starlink access for Iranians during the unrest. Tehran has repeatedly accused Washington of encouraging dissent, though U.S. officials have mostly denied the allegations.
The decision to prioritize Starlink sparked internal debate within U.S. agencies. Some officials argued that shifting resources away from Virtual Private Networks (VPNs) could weaken broader internet access efforts. VPNs had previously played a major role in keeping Iranians connected during earlier protest waves, though VPNs are not effective when the actual internet gets cut.
According to State Department figures, about 30 million Iranians used U.S.-funded VPN services during demonstrations in 2022. During a near-total blackout in June 2025, roughly one-fifth of users were still able to access limited connectivity through VPN tools.
Critics have argued that satellite access without VPN protection may expose users to geolocation risks. After funds were redirected to acquire Starlink equipment, support reportedly lapsed for two of five VPN providers operating in Iran.
A State Department official has stated that the U.S. continues to back multiple technologies, including VPNs alongside Starlink, to sustain people’s internet access amidst the government’s shutdowns.