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Former Tesla CTO’s battery recycling startup secures funding from Amazon
Redwood Materials, the battery recycling startup founded by former Tesla CTO JB Straubel, recently secured some funding from Amazon as part of the e-commerce giant’s efforts to reduce its emissions. Redwood is one of five companies that Amazon is investing in as part of its Climate Pledge Fund, which was announced last year and expected to cost about $2 billion.
In a statement about the five companies that received funding, Amazon CEO Jeff Bezos stated that firms like Redwood are “channeling their entrepreneurial energy into helping Amazon and other companies reach net zero by 2040 and keep the planet safer for future generations.” Amazon, for its part, appears to be interested in Redwood’s recycling technology, which could allow materials like lithium, cobalt, and nickel to be extracted from old smartphones and other consumer devices.
Redwood was founded by the former Tesla CTO in 2017 after seeing that the global shift to electric vehicles will likely cause unnecessary environmental damage from a surge in mining. Such a scenario would only happen, however, if there is no recycling system in place that would allow EV producers to reuse the materials that have already been used in their cars’ batteries. Speaking with the Financial Times, Straubel shared his vision for the transportation sector, which involves the mass adoption of EVs and a closed-loop battery recycling system.
“(My vision is a) world where all of the transportation is done by electric vehicles and we have batteries powering a sustainable world. And all of those batteries are able to be recycled and remanufactured many, many times so that we can have a nearly closed-loop,” Straubel said.
This same concept stands just as true in the consumer electronics sector, according to the former Tesla CTO. Straubel remarked that while batteries are bound to degrade with repeated use, the underlying elements that comprise them remain sealed from the environment. This meant that the batteries’ materials, most of which are very valuable, could be broken down and repurposed once more. If this is accomplished, the former Tesla executive believes that mining would not be as necessary anymore.
“There are a phenomenal amount of cell phones in the world that currently are being discarded as trash or thrown into a landfill. It’s a massive, untapped resource. If we can recover 98 or 99% of those materials and reuse them, we don’t need very much new material to keep that whole process running… Even though the battery is internally degraded, all of the same materials are still in there — all of the same atoms of lithium, nickel, and cobalt. You can still harness all of those same materials, but they need to be reprocessed and brought back to a state where they could be used again and built into a new battery,” Straubel remarked.
The exact amount of funding that Redwood Materials has acquired from Amazon has not been disclosed by either company, through the former Tesla executive noted that there was a potential for “partnership on a number of different levels” between the recycling startup and the e-commerce giant. One of these levels may include aiding Amazon in building and developing an end-of-life process for consumer electronics that are sold through its e-commerce platform so that the devices and their components could be reused.
Redwood Materials has remained mostly in stealth mode since its founding, though signs have emerged that the company may be part of Tesla’s efforts to develop its own battery recycling processes. One of these involves an existing partnership with Panasonic to reclaim the scrap that is generated from the battery cells currently produced at Tesla’s Gigafactory Nevada facility. Reports have indicated that Panasonic initially started a trial run with Redwood to reclaim more than 400 pounds of scrap from Giga Nevada, and the results were so successful that the Japanese firm raised its contract to 2 tons not long after.
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Tesla Cybercab spotted next to Model Y shows size comparison
The Model Y is Tesla’s most-popular vehicle and has been atop the world’s best-selling rankings for the last three years. The Cybercab, while yet to be released, could potentially surpass the Model Y due to its planned accessible price, potential for passive income for owners, and focus on autonomy.
The Tesla Cybercab and Tesla Model Y are perhaps two of the company’s most-discussed vehicles, and although they are geared toward different things, a recent image of the two shows a side-by-side size comparison and how they stack up dimensionally.
The Model Y is Tesla’s most-popular vehicle and has been atop the world’s best-selling rankings for the last three years. The Cybercab, while yet to be released, could potentially surpass the Model Y due to its planned accessible price, potential for passive income for owners, and focus on autonomy.
Geared as a ride-sharing vehicle, it only has two seats. However, the car will be responsible for hauling two people around to various destinations completely autonomously. How they differ in terms of size is striking.
In a new aerial image shared by drone operator and Gigafactory Texas observer Joe Tegtmeyer, the two vehicles were seen side by side, offering perhaps the first clear look at how they differ in size.
Tesla Model Y vs. Tesla Cybercab:
✅ Overall Length:⁰Model Y: 188.7 inches (4,794 mm)⁰Cybercab: ~175 inches (≈4,445 mm)⁰→ Cybercab is about 13–14 inches shorter (roughly the length of a large suitcase).
✅ Overall Width (excluding mirrors):⁰Model Y: 75.6 inches (1,920 mm)… https://t.co/PsVwzhw1pe pic.twitter.com/58JQ5ssQIO
— TESLARATI (@Teslarati) March 25, 2026
Dimensionally, the differences are striking. The Model Y stretches roughly 188 inches long, 75.6 inches wide, excluding its mirrors, and stands 64 inches tall on a 113.8-inch wheelbase. The Cybercab measures approximately 175 inches in length, about a foot shorter, and just 63 inches wide.
That narrower stance gives the Cybercab a dramatically more compact silhouette, making it easier to maneuver in tight urban environments and park in standard spaces that would feel cramped for the Model Y. Height is also lower on the Cybercab, contributing to its sleek, coupe-like profile versus the Model Y’s taller crossover shape.
Visually, the contrast is unmistakable. The Model Y presents as a family-friendly SUV with conventional doors, a prominent hood, and a spacious glass roof.
The Cybercab eliminates the steering wheel and pedals entirely, creating a clean, futuristic cabin that feels more lounge than cockpit.
Its doors open in a distinctive, wide-swinging motion, and the body features smoother, more aerodynamic lines optimized for autonomy. Parked beside a Model Y, the Cybercab appears almost toy-like in width and length, yet its low-slung stance and minimalist design emphasize agility over bulk.
🚨 We caught up with the Tesla Cybercab today in The Bay Area: pic.twitter.com/9awXiK26ue
— TESLARATI (@Teslarati) March 24, 2026
Cargo capacity tells another part of the story. The Model Y offers generous real-world utility: 4.1 cubic feet in the front trunk and 30.2 cubic feet behind the rear seats, expanding to 72 cubic feet with the second row folded flat.
It comfortably swallows groceries, luggage, or sports equipment for five passengers. The Cybercab, designed for two riders, trades that volume for targeted efficiency.
It features a rear hatch with enough space for two carry-on suitcases and personal items, plenty for the typical robotaxi trip, while maintaining impressive legroom and headroom for its occupants.
In short, the Model Y prioritizes versatility and family hauling with its larger footprint and abundant storage. The Cybercab sacrifices size for simplicity, cost, and urban nimbleness.
At roughly 12 inches shorter and 12 inches narrower, it embodies Tesla’s vision for scalable, affordable autonomy: smaller on the outside, smarter inside, and ready to redefine how we move through cities.
The Cybercab and Model Y both will contribute to Tesla’s fully autonomous future. However, the size comparison gives a good look into how the vehicles are the same, and how they differ, and what riders should anticipate as the Cybercab enters production in the coming weeks.
Elon Musk
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
It sounds as if Tesla could be considering a new vehicle to fit the mold of what a larger family would need, and as fans have been demanding it for several years and the company is phasing out the Model X, its only family-geared vehicle, it sounds as if it could be the perfect time.
Tesla CEO Elon Musk said the company is developing a new vehicle, and it will be “way cooler than a minivan.”
It sounds as if Tesla could be considering a new vehicle to fit the mold of what a larger family would need, and as fans have been demanding it for several years and the company is phasing out the Model X, its only family-geared vehicle, it sounds as if it could be the perfect time.
There are a handful of things Musk could be talking about, and as many Tesla owners have wanted a vehicle along the lines of a minivan for hauling around their family, speculation has persisted about what the company would do in terms of developing something for that exact use case.
There were several options, and some of them seemed to be already available. Musk posted on X yesterday that the Cybertruck has three sets of isofix attachments and could fit three child seats or three adults, and it seemed to be a way to deflect plans for a new, larger vehicle as a Model Y L appeared to be present at Giga Texas.
There is also the Robovan, the large people mover that Tesla unveiled at the “We, Robot” back in 2024.
Something way cooler than a minivan is coming
— Elon Musk (@elonmusk) March 25, 2026
However, it seems Tesla could be developing something like a CyberSUV, something that is going to be large enough to haul around a car full of kids, but could be developed with the company’s aesthetic of the company’s most recent releases: this would likely include a light bar and a more sleek, futuristic look.
We’ve mocked up some potential looks for Tesla’s speculative vehicle in the past:
Tesla has teased the potential of a CyberSUV in the past, showing off clay models that it developed back in September in a teaser video called “Sustainable Abundance.”
Fans and owners have been calling for this development for a very long time, and it seems like Tesla might be ready to finally answer the call on a large SUV. With the segment being dominated by combustion engine vehicles, Tesla could truly disrupt the large SUVs that have been mainstays.
The Chevrolet Tahoe and GMC Yukon would feel some additional pressure, and it would be possible for Tesla to infiltrate some of those sales and pull consumers to electric powertrains.
As the Model S and Model X sunset process is truly hitting full swing, it might be time to consider Tesla’s next option in terms of vehicle development.
Elon Musk
Elon Musk’s $10 Trillion robot: Inside Tesla’s push to mass produce Optimus
Tesla’s surging Optimus job listings reveal a company sprinting from prototype to one million robot production.
Tesla is accelerating its push to bring the Optimus humanoid robot to high volume production, and its recent job listings tells the story as clearly as any earnings call.
With well over 100 Optimus related job openings now posted across its U.S. facilities, Tesla is signaling a critical pivot for the program, moving it from a captivating tech demo to a serious manufacturing endeavor. Roles span the full spectrum of the product lifecycle, from Robotics Software Engineers and Manufacturing Engineers to Mechanical Integration Engineers and AI Engineers focused on world modeling and video generation. One active listing for a Software Engineer on the Optimus team asks candidates to build scalable and reliable data pipelines for Optimus manufacturing lines and develop automation tools that accelerate analysis and visualization for mass manufacturing.
Tesla is racing toward a one million unit annual production target. The clearest signal yet that Tesla is treating Optimus as its primary business came on January 28, 2026, during the company’s Q4 2025 earnings call. Musk announced that Tesla is ending production of the Model S and Model X, and will repurpose those lines at its Fremont, California factory to build Optimus humanoid robots.
A production intent prototype of Optimus Version 3 is planned to be ready in early 2026, after which Tesla intends to build a one million unit production line with a targeted production start by the end of 2026. To support that ramp, Tesla broke ground on a massive new Optimus manufacturing facility at Gigafactory Texas in late 2025, with ambitions to eventually reach 10 million units per year.
Tesla Giga Texas to feature massive Optimus V4 production line
The business case for scaling this aggressively is rooted in labor economics. Musk has stated that “Optimus has the potential to be the biggest product of all time,” reasoning that if Tesla can produce capable humanoid robots at scale and reasonable cost, every task currently performed by human labor becomes a potential application. In a separate statement, Musk framed Optimus’s long term importance even more bluntly, saying it could surpass Tesla’s vehicle business in scale with the potential to generate $10 trillion in revenue.
The industries Tesla is targeting first are those most burdened by repetitive physical labor. Early applications include manufacturing assembly, material handling and quality inspection, as well as logistics tasks like loading, unloading, sorting, and transporting goods in warehouses and distribution centers. Longer term, Tesla’s vision is for Optimus to penetrate household, medical, and logistics scenarios at the scale of a smartphone rollout.
Tesla Cybercab spotted next to Model Y shows size comparison
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
Elon Musk’s $10 Trillion robot: Inside Tesla’s push to mass produce Optimus
What is Digital Optimus? The new Tesla and xAI project explained
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