Connect with us

News

Tesla’s “hardcore litigation department” is already taking shape

Credit: Tesla

Published

on

There will be blood — probably sooner than expected. Back in May, Elon Musk stated that Tesla is building a “hardcore litigation department” to initiate and execute lawsuits. This team is now well on its way to being formed. 

Musk made the comments during his interview at the Getting Stoned podcast. When asked how Tesla’s litigation team is coming along, Musk noted that the company is now in the process of hiring some lawyers for the team. The CEO even mentioned that some of the applicants include those that responded to his post on Twitter. 

“Tesla’s just under a relentless attack from so many. So I think we just have to have like a strong litigation group that fights back, essentially. A lot of really talented lawyers have sort of sent in their resume, and we’re actually going through that. We’re going to be hiring a bunch of people who responded to my tweet. We’re under constant attack. It’s insane,” Musk said

The creation of Tesla’s “hardcore litigation department” came in the aftermath of reports alleging that Musk sexually harassed a former SpaceX employee. The allegations have been outright denied by Musk, and SpaceX President Gwynne Shotwell has stated that she is not aware of the alleged incident taking place. 

Advertisement

During his May announcement, Musk noted that Tesla’s “hardcore litigation department” will be in charge of initiating and executing lawsuits. It will also be a team that reports directly to him. When prodded further, the CEO highlighted that he is looking for “hardcore streetfighters” and not “white-shoe lawyers” that thrive on corruption. Instead, Tesla’s team will be out for blood. 

Elon Musk is correct that Tesla is a constant punching bag for critics, from regular netizens convinced that the CEO is part of a class that should not exist to short-sellers who are on a crusade to bring down the stock price of TSLA. Attacks against the company have not abated over the years, and sometimes, they go too far — at times even including minors from Musk’s family. 

https://twitter.com/JohnnaCrider1/status/1543707345024417794?s=20&t=VzIZR2KUN0T8L4Ua7KLOgg

As a recent example, TSLAQ member and known Tesla skeptic @passthebeano openly mocked Elon Musk’s children’s appearance, saying that not even convicted child sex trafficker Ghislaine Maxwell “could not get them laid.” The tweet, which has since been reported because some of Musk’s children are still minors, has not been taken down by Twitter as of writing.  

Musk’s colorful words aside, an assertive litigation department has worked wonders for Tesla, just not in the United States. Tesla China was actually subjected to an aggressive smear campaign as well. But after several lawsuits were filed by the electric vehicle maker, it was able to set the record straight. Online personalities that alleged “brake failure” incidents issued open apologies after admitting to faking videos, and a Huawei exec who called Teslas “killing machines” was even terminated after Tesla China’s legal complaint

Advertisement

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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.

Advertisement
Comments

Elon Musk

Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story

Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.

Published

on

By

tesla autopilot

Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.

The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.

The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.

For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.

Continue Reading

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.

Published

on

By

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.

Continue Reading

Investor's Corner

Tesla (TSLA) Q1 2026 earnings results: beat on EPS and revenues

Published

on

Credit: Tesla

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.

Continue Reading