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Tesla Model 3 wins hearts as famed NYC Taxi, picks up where Nissan Leaf couldn’t

(Credit: drive_sally/Twitter)

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Images of a Tesla Model 3 being used as a New York City taxi cab, complete with the fleet’s iconic yellow paint scheme, have started making the rounds online. The vehicle, which was sighted in Manhattan near a Tesla store, signifies what could very well be an upcoming shift towards sustainability for NYC’s taxi fleet. It also symbolizes a second chance of sorts for all-electric vehicles, especially considering the failure of the Nissan Leaf taxis in previous years.

Back in 2013, New York City launched a pilot program for all-electric taxis with a fleet of six first-gen Nissan Leafs. The vehicles were let loose in the city on Earth Day to much optimism and acclaim, but by 2015, the Leafs were decommissioned. In its final report, the NYC Taxi & Limousine Commission noted that the Nissan Leaf required drivers to significantly alter their driving habits due to the vehicles’ EPA-estimated 84-mile range. This handicap was highlighted further when the weather was hot, since the use of air conditioners was required for NYC taxis.

First Model 3 Taxi in NYC from r/teslamotors

The failure of the Leaf as a New York taxi was a cloud above all-electric cars until 2019, when reports emerged stating that the Tesla Model 3 had been approved for taxi service in the city. The all-electric sedan more than meets the minimum requirements for NYC cabs. These requirements include ample interior space, air conditioning for rear-seat passengers, seats that are easy to clean, and enough cabin space to install the clear partition that separates the driver from passengers in the backseat.

More importantly, the Model 3 does not have the same weakness as the first-gen Leafs from 2013. Unlike the 84-mile Leaf, the shortest-range Model 3 boasts at least 220 miles per charge, and that’s if customers specifically request for the non-Autopilot Standard Range version. Otherwise, the Standard Range Plus, the more affordable variant that could be ordered directly on Tesla’s website, offers an EPA-estimated range of 263 miles for $37,990. Autopilot also comes as a standard feature on variants from the Standard Range Plus and above.

Considering the power and range of the Tesla Model 3, there seems to be a good chance that the vehicle will not have the same feedback from taxi drivers as the first-gen Leafs from 2013. The Model 3, if any, would likely outperform the city’s other, conventional taxis, and its fast-charging capabilities through Tesla’s Supercharger Network would allow the vehicle to replenish most of its range while drivers take a brief break. The vehicle’s sizable cargo space from its trunk and frunk would likely be appreciated by commuters as well.

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New York’s Tesla Model 3 taxi drivers would best be advised to take it easy on the all-electric sedan’s accelerator, however. Electric cars are famed for their instant torque, and the Model 3 is no exception, with even the Standard Range Plus variant having a 0-60 mph time that rivals muscle cars. If NYC taxi drivers develop a habit of punching the Model 3’s accelerator at every chance, history might end up repeating itself innumerable times. The first speeding infraction ever committed in the United States back in 1899, after all, was from a New York City cabbie who was driving 12 mph down Lexington Street in Manhattan, 4 mph above the legal speed limit at the time.

The NYC taxi driver, Jacob German, was driving a battery-electric car.

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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Tesla looks to upgrade Matrix Headlights with new features

According to the update, Tesla will work on improving the headlights when coming into contact with highly reflective objects, including road signs, traffic signs, and street lights. Additionally, pixel-level dimming will happen in two stages, whereas it currently performs with just one, meaning on or off.

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Credit: @jojje167 on X

Tesla is looking to upgrade its Matrix Headlights, a unique and high-tech feature that is available on several of its vehicles. The headlights aim to maximize visibility for Tesla drivers while being considerate of oncoming traffic.

The Matrix Headlights Tesla offers utilize dimming of individual light pixels to ensure that visibility stays high for those behind the wheel, while also being considerate of other cars by decreasing the brightness in areas where other cars are traveling.

Here’s what they look like in action:

As you can see, the Matrix headlight system intentionally dims the area where oncoming cars would be impacted by high beams. This keeps visibility at a maximum for everyone on the road, including those who could be hit with bright lights in their eyes.

There are still a handful of complaints from owners, however, but Tesla appears to be looking to resolve these with the coming updates in a Software Version that is currently labeled 2026.2.xxx. The coding was spotted by X user BERKANT:

According to the update, Tesla will work on improving the headlights when coming into contact with highly reflective objects, including road signs, traffic signs, and street lights. Additionally, pixel-level dimming will happen in two stages, whereas it currently performs with just one, meaning on or off.

Finally, the new system will prevent the high beams from glaring back at the driver. The system is made to dim when it recognizes oncoming cars, but not necessarily objects that could produce glaring issues back at the driver.

Tesla’s revolutionary Matrix headlights are coming to the U.S.

This upgrade is software-focused, so there will not need to be any physical changes or upgrades made to Tesla vehicles that utilize the Matrix headlights currently.

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xAI’s Grok approved for Pentagon classified systems: report

Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations. 

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Credit: xAI

Elon Musk’s xAI has signed an agreement with the United States Department of Defense (DoD) to allow Grok to be used in classified military systems.

Previously, Anthropic’s Claude had been the only AI system approved for the most sensitive military work, but a dispute over usage safeguards has reportedly prompted the Pentagon to broaden its options, as noted in a report from Axios.

Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations. 

The publication reported that xAI agreed to the Pentagon’s requirement that its technology be usable for “all lawful purposes,” a standard Anthropic has reportedly resisted due to alleged ethical restrictions tied to mass surveillance and autonomous weapons use.

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Defense Secretary Pete Hegseth is scheduled to meet with Anthropic CEO Dario Amodei in what sources expect to be a tense meeting, with the publication hinting that the Pentagon could designate Anthropic a “supply chain risk” if the company does not lift its safeguards. 

Axios stated that replacing Claude fully might be technically challenging even if xAI or other alternative AI systems take its place. That being said, other AI systems are already in use by the DoD. 

Grok already operates in the Pentagon’s unclassified systems alongside Google’s Gemini and OpenAI’s ChatGPT. Google is reportedly close to an agreement that will result in Gemini being used for classified use, while OpenAI’s progress toward classified deployment is described as slower but still feasible. 

The publication noted that the Pentagon continues talks with several AI companies as it prepares for potential changes in classified AI sourcing.

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Elon Musk denies Starlink’s price cuts are due to Amazon Kuiper

“This has nothing to do with Kuiper, we’re just trying to make Starlink more affordable to a broader audience,” Musk wrote in a post on X.

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Credit: Starlink

Elon Musk has pushed back on claims that Starlink’s recent price reductions are tied to Amazon’s Kuiper project.

In a post on X, Musk responded directly to a report suggesting that Starlink was cutting prices and offering free hardware to partners ahead of a planned IPO and increased competition from Kuiper.

“This has nothing to do with Kuiper, we’re just trying to make Starlink more affordable to a broader audience,” Musk wrote in a post on X. “The lower the cost, the more Starlink can be used by people who don’t have much money, especially in the developing world.”

The speculation originated from a post summarizing a report from The Information, which ran with the headline “SpaceX’s Starlink Makes Land Grab as Amazon Threat Looms.” The report stated that SpaceX is aggressively cutting prices and giving free hardware to distribution partners, which was interpreted as a reaction to Amazon’s Kuiper’s upcoming rollout and possible IPO.

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In a way, Musk’s comments could be quite accurate considering Starlink’s current scale. The constellation currently has more than 9,700 satellites in operation today, making it by far the largest satellite broadband network in operation. It has also managed to grow its user base to 10 million active customers across more than 150 countries worldwide. 

Amazon’s Kuiper, by comparison, has launched approximately 211 satellites to date, as per data from SatelliteMap.Space, some of which were launched by SpaceX’s Falcon 9 rocket. Starlink surpassed that number in early January 2020, during the early buildout of its first-generation network.

Lower pricing also aligns with Starlink’s broader expansion strategy. SpaceX continues to deploy satellites at a rapid pace using Falcon 9, and future launches aboard Starship are expected to significantly accelerate the constellation’s growth. A larger network improves capacity and global coverage, which can support a broader customer base.

In that context, price reductions can be viewed as a way to match expanding supply with growing demand. Musk’s companies have historically used aggressive pricing strategies to drive adoption at scale, particularly when vertical integration allows costs to decline over time.

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