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Tesla Model 3 named as vehicle with ‘lowest probability of injury’ by the NHTSA

[Credit: NHTSA]

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The National Highway Traffic Safety Administration (NHTSA) has dubbed the Long Range RWD Tesla Model 3 as the vehicle with the lowest probability of injury among all cars that the agency has tested so far. The Model 3’s low likelihood of injury rating was given after the vehicle went through the NHTSA’s New Car Assessment Program, which involves a series of crash tests determining the likelihood of serious passenger injury for front, side, and rollover crashes. 

The Model 3’s stellar rating from the NHTSA could be seen as yet another testament to the quality of Tesla’s all-electric cars. Immediately following the Model 3’s scores, after all, are the Model S and Model X, which are currently the vehicles considered by the NHTSA with the second and third lowest probabilities of injury. In a blog post announcing the electric sedan’s safety ratings, Tesla noted that it expects the Dual Motor AWD Model 3 to perform just as well in the NHTSA’s tests as its Long Range RWD sibling.

Part of the reason why the Model 3 is so safe is due to the vehicle’s all-electric design. Tesla opted to place the Model 3’s battery pack, the heaviest component of the vehicle, right at the car’s center of gravity. This gives the Model 3 performance and handling that is almost similar to that of mid-engine vehicles, while allowing the electric sedan to have a near 50/50 weight distribution. Other subtle design tweaks, such as the rear motor being placed slightly in front of the axle, further improve the Model 3’s weight distribution, as well as its overall agility and handling.

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In true Tesla tradition, the Model 3’s all-electric architecture comprises of a sturdy, rigid passenger compartment, a fortified battery pack, and a low center of gravity. Just like its larger siblings, the Model S and X, the absence of an internal combustion engine in front and a fuel tank at the rear give the Model 3 extra large crumple zones, which are optimized to absorb energy and crush more efficiently in the event of an accident.

In the event of a frontal crash, the crumple zone at the front of the vehicle controls the deceleration of occupants, while the Model 3’s advanced restraint systems keep occupants safe in place. Passenger airbags are even specially designed to protect an occupant’s head in the event of an angled or offset crash, while active vents enable the vehicle to adjust the internal pressure of the frontal airbags when deploying. These systems optimize protection based on the specifics of an accident.

The Model 3’s energy-absorbing lateral and diagonal beam structures help occupants safe during pole impact crashes. These structures include a high-strength aluminum bumper beam, a sway bar placed close and forward in front of the car, cross members are the front of the steel subframe that are connected to the main crash fails, as well as diagonal beams in the subframe that distribute energy back to the crash rails when they are not directly impacted. An ultra-high-strength martensitic steel beam is further fitted on the front of the suspension to absorb crash energy from severe impacts.

The Tesla Model 3 gets crash tested by the National Highway Traffic Safety Administration. [Credit: NHTSA]

Tesla also designed the Model 3 with a patented pillar structure and side sills to absorb as much energy as possible in a short distance. Coupled with the vehicle’s rigid body construction and fortified battery architecture, these design elements enable the Model 3 to reduce and prevent compartment intrusion in the event of an accident, while allowing its side airbags to have more space to inflate and cushion occupants.

Just like the Model S and Model X, the Model 3’s low center of gravity plays a key role in keeping the vehicle safe from rollover crashes. That said, even if a rollover does occur, Tesla notes that internal tests have shown that the Model 3 is capable of withstanding roof-crush loads equivalent to more than four times the electric sedan’s weight, far more than the NHTSA’s standards that require cars to withstand three times their own weight.

The Model 3 was recently given a flawless 5-Star Safety Rating in all categories and subcategories by the NHTSA. In a follow-up tweet to the NHTSA’s Model 3 results, Elon Musk noted on Twitter that the electric sedan has a shot at being the “safest car ever tested” by the agency. With the Model 3 being dubbed as the vehicle with the lowest probability of injury by the NHTSA, it appears that Musk’s statement has proven to be accurate.

It’s not just the NHTSA that has given the Model 3 its approval, either. Earlier this year, the Insurance Institute for Highway Safety (IIHS), a nonprofit funded by auto insurers aimed at reducing accidents on the road, gave the Model 3 a “Superior” front crash avoidance rating. During the course of its testing, the Model 3 performed well in the crash avoidance and mitigation category, thanks to the vehicle’s Forward Collision Warning, its low-speed autobrake, and its high-speed autobrake systems. The Model 3 was also given a “Recommended” rating by Consumer Reports, after an over-the-air software update reduced the vehicle’s braking distance.

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Tesla’s electric cars are known for their performance and their safety. The Model X, for one, also received 5-Star Safety Ratings in all categories and subcategories during the NHTSA’s tests. The Model S, on the other hand, performed so well during the NHTSA’s safety evaluation that the agency’s crash-testing gear broke while it was testing the electric sedan.

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.

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Elon Musk

Elon Musk claps back at France’s Tesla Full Self-Driving approval delay

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Credit: Tesla

Elon Musk clapped back at France’s decision to withhold the approval for Tesla’s Full Self-Driving (FSD) Supervised system, projecting a clear and blunt message to French Transport Minister Phillippe Tabarot, after he publicly rejected the technology in its current form.

Tabarot outlines several concerns with Tesla Full Self-Driving in a detailed video statement, where he said, “The safety trade-offs are not yet sufficient to authorize it as it currently stands,” he said. He emphasized that FSD is not a true self-driving system and that the driver remains fully responsible.

Key issues Tabarot also brought up included allowing speeding when surrounding traffic exceeds limits and what he believes are insufficient guarantees of driver attention during complex urban maneuvers such as lane changes, intersections, and roundabouts.

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While acknowledging technological progress and France’s support for autonomous innovation, Tabarot stressed that deployment must prioritize road safety. He noted ongoing technical discussions with Tesla, the Netherlands, and other European partners, with further ecosystem meetings planned for the fall.

Musk’s rebuke highlights the human cost of regulatory caution. Tesla’s latest safety reports provide compelling data supporting accelerated adoption. In the most recent 12-month period, vehicles using FSD (Supervised) recorded one major collision per approximately 5.1 million miles driven, dramatically better than the U.S. national average of one crash per 698,000 miles.

Even Tesla vehicles driven manually with active safety features outperform the average by a wide margin. These figures come from billions of real-world miles of telemetry, showing FSD vehicles involved in far fewer incidents than both manual Teslas and the broader U.S. fleet.

Critics argue Tesla’s comparisons require careful scrutiny regarding reporting thresholds and fleet demographics, yet the data consistently positions FSD as a potential lifesaver. With road fatalities remaining a leading cause of death worldwide, Musk contends that proven safer technology should not face prolonged bureaucratic hurdles.

France’s measured approach reflects the broader European regulatory caution, which many, especially Musk, have been critical of in the past. However, as autonomous systems from Tesla and competitors like Waymo demonstrate superior safety in independent studies, pressure is mounting for harmonized approvals.

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Musk’s warning carries the belief that every month of delay may equate to avoidable tragedies on European roads.

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Investor's Corner

Google’s massive stake in SpaceX will shock you

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Credit: SpaceX

In a striking revelation that underscores the lucrative crossover between Big Tech and space exploration, Alphabet Inc., Google’s parent company, disclosed a massive $94.1 billion equity stake in SpaceX following the rocket company’s blockbuster initial public offering earlier this year.

The disclosure came in Alphabet’s quarterly filing, marking the first time the long-held private investment has been publicly valued at market prices. Google was an early backer, investing alongside Fidelity in 2015 with roughly $500-900 million at a time when SpaceX was valued around $12 billion.

That bet has delivered extraordinary returns, roughly a hundredfold, transforming a strategic play on satellite internet and launch capabilities into one of Alphabet’s largest assets.

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Of the total holding, approximately $80 billion remains subject to short-term post-IPO lockup restrictions, preventing near-term sales. An additional $14.1 billion faces longer-term restrictions, extending into the third quarter of 2027. This structure limits immediate liquidity but protects against market volatility as SpaceX transitions into public trading.

The SpaceX position contributed significantly to gains in Alphabet’s broader investment portfolio, which also includes a major stake in AI leader Anthropic. Combined, these holdings helped drive nearly $100 billion in investment gains during the second quarter, providing a substantial boost to net income amid ongoing AI spending pressures.

Elon Musk sends first warning to SpaceX short sellers

Analysts view the disclosure as validation of Alphabet’s venture strategy beyond its core search and cloud businesses. The investment aligns with deeper ties, including reported multi-billion-dollar deals for AI computing capacity on SpaceX infrastructure. As SpaceX advances Starship flights, Starlink expansion, and ambitious Mars goals under Elon Musk, Google’s stake positions it to benefit from the commercialization of space.

For Alphabet, the windfall highlights how patient, forward-looking bets in transformative sectors can yield outsized rewards. While lockups temper short-term impact, the holding cements SpaceX as a cornerstone of Alphabet’s diversified portfolio in an era where aerospace, AI, and connectivity increasingly intersect. Investors will watch closely as restrictions lift and SpaceX’s public performance unfolds.

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Tesla’s switch-up on selling Full Self-Driving has paid off big time

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In early 2026, Tesla made a bold strategic pivot: it largely eliminated the option to purchase Full Self-Driving (FSD) software outright and shifted to a subscription-only model. The change, effective around mid-February, ended the one-time fee that had previously ranged as high as $15,000 and later dropped to $8,000. Instead, customers would access FSD (Supervised) for $99 per month in the U.S.

At the time, skeptics questioned whether locking customers into recurring payments would hurt adoption or alienate buyers who preferred ownership of the feature. Tesla bet that a lower barrier to entry, seamless integration at purchase, and the ability to cancel at any time would drive higher uptake.

The results from Q2 2026 speak for themselves: the decision has been a resounding success, delivering the largest quarterly growth in FSD subscriptions in the company’s history.

According to Tesla’s Q2 shareholder update, active FSD subscriptions reached 1.48 million globally by the end of June 2026. That represents a 56 percent increase year-over-year and a 15.6 percent jump from the prior quarter. Tesla added roughly 200,000 new subscriptions in the period alone—the biggest single-quarter gain on record.

North America led the charge, with more than 55 percent of new vehicle deliveries including an FSD subscription at the time of purchase, a record attach rate for the region.

Tesla explicitly noted that “more customers [are] opting for subscription at the time of vehicle purchase,” crediting the model shift and prominent placement of the option in the ordering process. Subscriptions now contribute meaningfully to ancillary revenue, helping offset pressure elsewhere in the business.

The financial upside is substantial: At $99 per month, 1.48 million active subscriptions generate approximately $146.5 million in monthly recurring revenue. Over a full year, that equates to roughly $1.76 billion in annualized recurring revenue (ARR) from FSD subscriptions alone, assuming steady retention and no major pricing changes.

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These figures represent pure, high-margin software revenue. Unlike vehicle sales, which carry production costs, warranty obligations, and supply-chain risks, FSD subscriptions flow largely to the bottom line once the software is developed and deployed over-the-air.

Tesla does not break out exact FSD subscription revenue in its filings (it sits within “Services and Other”), but the category grew 50 percent year-over-year in Q2, with executives highlighting subscriptions as a key driver.

The subscription model offers several structural advantages. It lowers the upfront cost of a new Tesla, potentially broadening the buyer pool and supporting vehicle demand, especially important amid fluctuating EV market conditions. It creates a predictable revenue stream that compounds as the fleet grows and more owners try (and stick with) the software.

Legacy one-time purchasers still exist, but new growth is overwhelmingly subscription-based following the February cutoff.

Early data also suggests improving retention and satisfaction, as well. Tesla has rolled out iterative FSD updates, including v14 features, and expanded availability to additional markets. Recent regulatory approvals in parts of Europe have further boosted interest, with owners in newly enabled countries eager to activate the software they had been waiting for.

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FSD is still supervised; regulatory hurdles for true unsupervised autonomy persist in many regions, including the United States, and competition in advanced driver-assistance systems is intensifying. Yet the Q2 numbers validate Tesla’s bet: by removing the large upfront commitment and making FSD accessible via subscription, the company has accelerated adoption faster than many anticipated.

What began as a controversial switch-up has become a clear win. With nearly 1.5 million subscribers, record attach rates, and nearly $1.8 billion in potential annual recurring revenue already in view, Tesla’s FSD business is transitioning from a promised future to a tangible, fast-growing profit engine.

If the momentum continues, and especially if unsupervised capabilities unlock robotaxi opportunities, the subscription flywheel could become one of the most valuable assets in Tesla’s portfolio.

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