News
Tesla’s former CTO JB Straubel is ramping up his stealthy recycling business
When former CTO JB Straubel announced that he would be taking more of an advisory role in Tesla and that he would be stepping down from his day-to-day responsibilities as the electric car maker’s Chief Technology Officer, he provided a firm assurance that he was not “disappearing” from the company. The ongoing growth of a stealthy recycling startup registered under Straubel’s name suggests that his words back in the Q2 2019 earnings call were no fluke.
JB Straubel is known for being the backbone of Tesla’s battery tech. One of the most notable photos in Tesla history quite literally depicts Straubel assembling a battery module by hand. It would not be a stretch to state that innovations in Tesla Energy and at Gigafactory 1 in Nevada have been possible primarily due to Straubel’s work and genius. Yet, despite Tesla’s batteries being pretty much the best in the market, Straubel has noted that there is something still missing from the puzzle: closed loop battery recycling.
During the 2018 Annual Shareholders Meeting, Straubel addressed an inquiry from an investor about Tesla’s approach to battery waste. The former CTO’s response was brief, stating that Tesla’s priorities lie in recycling its batteries, thereby preventing the company’s old cells from ending up in landfills. Eventually, Straubel stated, Tesla wants to develop a closed loop, using the same materials from batteries that it recycles to create new packs.
“Tesla will absolutely recycle, and we do recycle, all of our spent cells, modules and battery packs. So the discussion about is this waste ending up in landfills is not correct. We would not do that, these are valuable materials. In addition, it’s just the right thing to do. We have current partner companies– on every major continent where we have cars operating– that we work with to do this today. And in addition, we’re developing internally more processes, and we’re doing R&D on how we can improve this recycling process to get more of the active materials back. Ultimately what we want is a closed loop, right, at the Gigafactories that reuses the same, recycled materials,” he said.
As noted by Tesla investor-enthusiast Galileo Russell of YouTube’s HyperChange channel, JB Straubel just so happens to have a startup that appears to address the very same point that he emphasized during the 2018 Shareholder Meeting. Registered to do business in Nevada, Straubel’s startup, called Redwood Materials, is focused on next-generation recycling technologies. A look at Redwood’s bare-bones official website shows a statement that goes very well with Tesla’s mission.
“Advancing sustainability through research and development, engineering, and operational excellence for next generation recycling processes and programs.”
Redwood Materials lists Straubel and fellow Tesla alumni Andrew Stevenson, who served under the former CTO as Head of Special Projects, as executive officers of the stealthy recycling startup. Filings for the recycling company have also shown that Redwood received $2 million worth of investments. Quite interestingly, Straubel provided a response to CNBC last year when the news outlet published a report on the startup, stating that Redwood, at least at that point, was not doing any direct business with Tesla.
“Redwood is not currently doing any business with Tesla and our expansion to Nevada is unrelated to Tesla or to the Gigafactory directly. Northern Nevada has a welcoming business environment, a growing technology presence and gives us a strong foundation for aggressive future growth,” he said.
It’s been over a year since Straubel gave his response to CNBC, and a lot has happened since then. Tesla’s batteries have improved, and if the Cybertruck’s starting price is any indication, the electric car maker appears to have lowered its battery production costs even further. Straubel has also transitioned to an advisory role in Tesla, presumably to focus on other projects. One of these projects could very well be the work being done by Redwood, which just happens to be completely compatible with Tesla’s electric cars and energy storage systems.
The signs definitely are there, and if the HyperChange host’s speculations prove right, it would mean that Tesla could be the auto industry’s first company that can achieve true closed loop battery recycling, a thing that was once considered as the holy grail for electric car production.
Watch HyperChange‘s video about JB Straubel’s stealthy startup in the video below.
Tesla executive Lars Moravy appeared today in front of the U.S. Senate Commerce Committee to highlight the importance of modernizing autonomy standards by establishing a federal framework that would reward innovation and keep the country on pace with foreign rivals.
Moravy, who is Tesla’s Vice President of Vehicle Engineering, strongly advocated for Congress to enact a national framework for autonomous vehicle development and deployment, replacing the current patchwork of state-by-state rules.
These rules have slowed progress and kept companies fighting tooth-and-nail with local legislators to operate self-driving projects in controlled areas.
Tesla already has a complete Robotaxi model, and it doesn’t depend on passenger count
Moravy said the new federal framework was essential for the U.S. to “maintain its position in global technological development and grow its advanced manufacturing capabilities.
He also said in a warning to the committee that outdated regulations and approval processes would “inhibit the industry’s ability to innovate,” which could potentially lead to falling behind China.
Being part of the company leading the charge in terms of autonomous vehicle development in the U.S., Moravy highlighted Tesla’s prowess through the development of the Full Self-Driving platform. Tesla vehicles with FSD engaged average 5.1 million miles before a major collision, which outpaces that of the human driver average of roughly 699,000 miles.
Moravy also highlighted the widely cited NHTSA statistic that states that roughly 94 percent of crashes stem from human error, positioning autonomous vehicles as a path to dramatically reduce fatalities and injuries.
🚨 Tesla VP of Vehicle Engineering, Lars Moravy, appeared today before the U.S. Senate Commerce Committee to discuss the importance of outlining an efficient framework for autonomous vehicles:
— TESLARATI (@Teslarati) February 4, 2026
Skeptics sometimes point to cybersecurity concerns within self-driving vehicles, which was something that was highlighted during the Senate Commerce Committee hearing, but Moravy said, “No one has ever been able to take over control of our vehicles.”
This level of security is thanks to a core-embedded central layer, which is inaccessible from external connections. Additionally, Tesla utilizes a dual cryptographic signature from two separate individuals, keeping security high.
Moravy also dove into Tesla’s commitment to inclusive mobility by stating, “We are committed with our future products and Robotaxis to provide accessible transportation to everyone.” This has been a major point of optimism for AVs because it could help the disabled, physically incapable, the elderly, and the blind have consistent transportation.
Overall, Moravy’s testimony blended urgency about geopolitical competition, especially China, with concrete safety statistics and a vision of the advantages autonomy could bring for everyone, not only in the U.S., but around the world, as well.
Tesla launched a new configuration of the Model Y this week, bringing more complexity to its lineup of the vehicle and adding a new, lower entry point for those who require an All-Wheel-Drive car.
However, the broadening of the Model Y lineup in the United States could signal a somewhat uncomfortable reality for Tesla fans and car buyers, who have been vocal about their desire for a larger, full-size SUV.
Tesla has essentially moved in the opposite direction through its closure of the Model X and its continuing expansion of a vehicle that fits the bill for many, but not all.
Tesla brings closure to Model Y moniker with launch of new trim level
While CEO Elon Musk has said that there is the potential for the Model Y L, a longer wheelbase configuration of the vehicle, to enter the U.S. market late this year, it is not a guarantee.
Instead, Tesla has prioritized the need to develop vehicles and trim levels that cater to the future rollout of the Robotaxi ride-hailing service and a fully autonomous future.
But the company could be missing out on a massive opportunity, as SUVs are a widely popular body style in the U.S., especially for families, as the tighter confines of compact SUVs do not support the needs of a large family.
Although there are other companies out there that manufacture this body style, many are interested in sticking with Tesla because of the excellent self-driving platform, expansive charging infrastructure, and software performance the vehicles offer.
Additionally, the lack of variety from an aesthetic and feature standpoint has caused a bit of monotony throughout the Model Y lineup. Although Premium options are available, those three configurations only differ in terms of range and performance, at least for the most part, and the differences are not substantial.
Minor Expansions of the Model Y Fail to Address Family Needs for Space
Offering similar trim levels with slight differences to cater to each consumer’s needs is important. However, these vehicles keep a constant: cargo space and seating capacity.
Larger families need something that would compete with vehicles like the Chevrolet Tahoe, Ford Expedition, or Cadillac Escalade, and while the Model X was its largest offering, that is going away.
Tesla could fix this issue partially with the rollout of the Model Y L in the U.S., but only if it plans to continue offering various Model Y vehicles and expanding on its offerings with that car specifically. There have been hints toward a Cyber-inspired SUV in the past, but those hints do not seem to be a drastic focus of the company, given its autonomy mission.
Model Y Expansion Doesn’t Boost Performance, Value, or Space
You can throw all the different badges, powertrains, and range ratings on the same vehicle, it does not mean it’s going to sell better. The Model Y was already the best-selling vehicle in the world on several occasions. Adding more configurations seems to be milking it.
The true need of people, especially now that the Model X is going away, is going to be space. What vehicle fits the bill of a growing family, or one that has already outgrown the Model Y?
Not Expanding the Lineup with a New Vehicle Could Be a Missed Opportunity
The U.S. is the world’s largest market for three-row SUVs, yet Tesla’s focus on tweaking the existing Model Y ignores this. This could potentially result in the Osborne Effect, as sales of current models without capturing new customers who need more seating and versatility.
Expansions of the current Model Y offerings risk adding production complexity without addressing core demands, and given that the Model Y L is already being produced in China, it seems like it would be a reasonable decision to build a similar line in Texas.
Listening to consumers means introducing either the Model Y L here, or bringing a new, modern design to the lineup in the form of a full-size SUV.
Elon Musk
Elon Musk reiterates Tesla Optimus’ most sci-fi potential yet
Musk shared his comments in a series of posts on social media platform X.
Elon Musk recently reiterated one of the most ambitious forecasts for Tesla’s humanoid robot, Optimus, stating it could become the first real-world example of a Von Neumann machine. He also noted once more that Optimus would be Tesla’s biggest product.
Musk shared his comments in a series of posts on social media platform X.
Optimus as a von Neumann machine
In response to a post on X that pondered on sci-fi timelines becoming real, Musk wrote that “Optimus will be the first Von Neumann machine, capable of building civilization by itself on any viable planet.” In a separate post, Musk wrote that Optimus will be Tesla’s “biggest product ever,” a phrase he has used in the past to describe the humanoid robot’s importance to the electric vehicle maker.
A Von Neumann machine is a class of theoretical self-replicating systems originally proposed in the mid-20th century by the mathematician John von Neumann. In his concept, von Neumann described machines that could travel to other worlds, use local materials to create copies of themselves, and carry out large-scale tasks without outside intervention.
Elon Musk’s broader plans
Considering Musk’s comments, it appears that Optimus would eventually be capable of performing complex work autonomously in environments beyond Earth. If Optimus could achieve such a feat, it could very well unlock humanity’s capability to explore locations beyond Earth. The idea of space exploration becomes more than feasible.
Elon Musk has discussed space-based AI compute, large-scale robotic production, and the role of SpaceX’s Starship in transporting hardware and materials to other planets. While Musk did not detail how Optimus would fit with SpaceX’s exploration activities, his Von Neumann machine comments suggest he is looking at Tesla’s robotics as part of a potential interplanetary ecosystem.
Tesla exec pleads for federal framework of autonomy to U.S. Senate Committee
Tesla Model Y lineup expansion signals an uncomfortable reality for consumers
