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Tesla has a misinformation problem, and silence may no longer be enough
During the first quarter earnings call, Lars Moravy, Tesla’s vice president of vehicle engineering, stated that the company is hard at work cooperating with local authorities and agencies like the NTSB and the NHTSA to investigate a fatal Model S crash in Texas earlier this month. Moravy’s statements provided some new insights into the ongoing investigation, particularly when he mentioned that Tesla did a study to see how the company’s technologies operate in the area of the accident.
“We did a study with them over the past week to understand what happened in that particular crash. And what we’ve learned from that effort was that Autosteer did not and could not engage on the road condition that — as it was designed. Our adaptive cruise control only engages when a driver was buckled in about 5 miles per hour. And it only accelerated to 30 miles per hour with the distance before the car crashed,” he said.
A look at Moravy’s statements shows that Tesla’s adaptive cruise control could only accelerate to 30 mph in the distance that the ill-fated Model S covered before it smashed into a tree. This goes against initial reports stating that the vehicle had been involved in a high-speed crash. The state of the Model S when authorities found it also hinted that the car collided with the tree at speeds beyond 30 mph. Moravy’s statement was clear enough, but apparently, it was not clear enough for some — and it’s causing even US congressmen to become misinformed about the issue.
Despite early claims by #Tesla #ElonMusk, autopilot WAS engaged in tragic crash in The Woodlands.
We need answers. https://t.co/e3TQTRv72Z
— Kevin Brady (@RepKevinBrady) April 28, 2021
Misreporting Spreads Quickly
Rep. Kevin Brady recently shared an article on his Twitter page which featured Moravy’s statement from the Q1 earnings call. The only problem was that the article Brady shared misunderstood the Tesla executive’s statement, with the article alleging that “at least one Tesla Autopilot feature was active” during the fatal Tesla crash. This, of course, is completely inaccurate, and EV owners and Tesla Twitter pointed it out as such. Moravy, after all, was referring to a test that the company ran, not the findings of the investigation, which is still ongoing.
Unfortunately, the US congressman seemed unconvinced. Despite the wave of corrections from the EV community and Tesla owners, or just Twitter users who actually bothered to listen and read the Q1 earnings call transcript, Brady argued in a later tweet that the source of his information was Tesla itself. And this, in a lot of ways, brings up a can of worms for the electric car maker and its longtime supporters.
Uh…Tesla. (Read the article, Sparky)
— Kevin Brady (@RepKevinBrady) April 28, 2021
Misinformation must be corrected
This is not the first time that Tesla has found itself on the receiving end of inaccurate reporting. Tesla has always battled misinformation since its early days, from reports claiming that the Model S was vaporware to ones claiming that Giga Shanghai was just an empty shell where Model 3s from Fremont were being stored. But while most of the misreporting surrounding Tesla is now expected by those following the company, and while some of this misinformation is almost humorous — such as a usually-critical Tesla reporter arguing that the Powerwall does not exist because she has never seen one in person — some stories require a more active hand.
Granted, Elon Musk has made his stance clear on advertising, or, as the CEO noted on Twitter, “manipulating public opinion.” However, it is not too difficult to see that Tesla will be fighting an unnecessarily uphill battle against misinformation if it does not have a way to make the correct information public. Musk has also stated on Twitter that “I trust the people,” which is no surprise considering his optimism. However, people are also very easy to manipulate, especially if they are immersed, for the most part, in misinformation.
Other companies spend money on advertising & manipulating public opinion, Tesla focuses on the product.
I trust the people.
— Elon Musk (@elonmusk) April 27, 2021
Not-a-PR Team
If there is anything that the ongoing misinformation surrounding the tragic Texas crash has shown, it is that Tesla may need a better strategy than just staying silent until an inaccurate story dies. This does not have to come in the form of a dedicated PR team or advertisements either, as those are strategies that have worked for companies that are almost antithetical to Tesla. Either way, the EV community may find it advantageous if something could be done about the ongoing inaccurate reports and allegations being thrown against the company. Perhaps Tesla could find a solution that meets these needs while staying true to its out-of-the-box character.
Tesla is a creative company that is unorthodox and bold enough that it decided to build a vehicle assembly line in a sprung structure to meet its goals. With this in mind, there is a pretty good chance that Tesla could find a workaround for its misinformation problem. Before this could happen, of course, Tesla would first have to admit that something more than silence is needed to usher in the company towards new heights.
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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.
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.
🚨 Our LIVE updates on the Tesla Earnings Call will take place here in a thread 🧵
Follow along below: pic.twitter.com/hzJeBitzJU
— TESLARATI (@Teslarati) April 22, 2026
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.
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
Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
