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Tesla Model 3 earns ‘Superior’ front crash prevention rating by IIHS in safety test
The Tesla Model 3 has attained a “Superior” front crash avoidance rating from the Insurance Institute for Highway Safety, a nonprofit organization funded by auto insurers dedicated to reducing the number of accidents and injuries on the road. The Model 3’s headlights were also given an “Acceptable” rating, due to some glare from the vehicle’s low beams.
The IIHS’s front crash avoidance ratings for the Model 3 are only part of the vehicle’s safety results. The IIHS conducts its full evaluation on several vehicle samples, some of which would be destroyed due to crash tests.
The Model 3 has managed to earn a “Superior” score for front crash prevention in the crash avoidance and mitigation category. The IIHS evaluates the automatic braking functions of vehicles in two tests — one at 12 mph and the other at 25 mph — on its Vehicle Research Center. As noted on the nonprofit’s website, the IIHS awards points based on how emergency systems can slow a vehicle down before coming into contact with an object — in this case, an inflatable car dummy.
The Tesla Model 3 was granted a perfect score, earning points for its Forward Collision Warning, its low-speed autobrake, and its high-speed autobrake systems. During its 12 mph collision avoidance test, the Model 3 was able to reduce its speed by more than 10 mph, and in in the 25 mph test, the compact electric car was able to exhibit a speed reduction of over 22 mph.
While the Model 3 earned a perfect rating for front collision avoidance, the electric car’s headlights were only dubbed as “Acceptable” by the IIHS. Headlights are evaluated based on the lamps’ reach as the vehicle travels on straight and curved lines. Low beams are measured on five approaches — straightaways, left and right curves on an 800-foot radius, and sharp left and right curves on a 500-foot radius.
As noted by the IIHS, low beams are weighted more heavily than high beams because they are used more often during driving. During the tests, the Model 3’s low beams exhibited a 15.2% glare during straightaways, preventing the vehicle from earning a “Good” score from the IIHS.
Overall, the vehicle’s scores in the forward collision avoidance tests are encouraging, and the less-than-perfect headlights score is understandable. The IIHS, after all, is the organization that dubbed the Model S’ headlights as “Poor.” The 2018 Chevy Bolt EV, a car with bright headlights, was also given a “Poor” headlights rating.
Tesla’s electric cars are among the safest vehicles on the road. Thanks to their construction from a hybrid of aluminum and ultra-high strength steel and the vehicle’s all-electric design, Teslas have generous crush zones that protect drivers and passengers in the event of a collision. Back in February, this was showcased when a Model 3 crashed while traveling at 60 mph. During the incident, the compact electric car was completely totaled, but its driver was able to walk away with only a swollen ankle.
The Model S and Model X are equally safe as well. The electric SUV, for one, has a perfect 5-star safety rating in every category of the NHTSA. The Model S also performed so well during crash testing back in 2013; it quite literally broke the NHTSA’s crash-testing gear.
Elon Musk
Elon Musk confirms xAI’s purchase of five 380 MW natural gas turbines
The deal, which was confirmed by Musk on X, highlights xAI’s effort to aggressively scale its operations.
xAI, Elon Musk’s artificial intelligence startup, has purchased five additional 380 MW natural gas turbines from South Korea’s Doosan Enerbility to power its growing supercomputer clusters.
The deal, which was confirmed by Musk on X, highlights xAI’s effort to aggressively scale its operations.
xAI’s turbine deal details
News of xAI’s new turbines was shared on social media platform X, with user @SemiAnalysis_ stating that the turbines were produced by South Korea’s Doosan Enerbility. As noted in an Asian Business Daily report, Doosan Enerbility announced last October that it signed a contract to supply two 380 MW gas turbines for a major U.S. tech company. Doosan later noted in December that it secured an order for three more 380 MW gas turbines.
As per the X user, the gas turbines would power an additional 600,000+ GB200 NVL72 equivalent size cluster. This should make xAI’s facilities among the largest in the world. In a reply, Elon Musk confirmed that xAI did purchase the turbines. “True,” Musk wrote in a post on X.
xAI’s ambitions
Recent reports have indicated that xAI closed an upsized $20 billion Series E funding round, exceeding the initial $15 billion target to fuel rapid infrastructure scaling and AI product development. The funding, as per the AI startup, “will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products.”
The company also teased the rollout of its upcoming frontier AI model. “Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and 𝕏 to transform how we live, work, and play,” xAI wrote in a post on its website.
Elon Musk
Elon Musk’s xAI closes upsized $20B Series E funding round
xAI announced the investment round in a post on its official website.
xAI has closed an upsized $20 billion Series E funding round, exceeding the initial $15 billion target to fuel rapid infrastructure scaling and AI product development.
xAI announced the investment round in a post on its official website.
A $20 billion Series E round
As noted by the artificial intelligence startup in its post, the Series E funding round attracted a diverse group of investors, including Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group, among others.
Strategic partners NVIDIA and Cisco Investments also continued support for building the world’s largest GPU clusters.
As xAI stated, “This financing will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products reaching billions of users, and fuel groundbreaking research advancing xAI’s core mission: Understanding the Universe.”
xAI’s core mission
Th Series E funding builds on xAI’s previous rounds, powering Grok advancements and massive compute expansions like the Memphis supercluster. The upsized demand reflects growing recognition of xAI’s potential in frontier AI.
xAI also highlighted several of its breakthroughs in 2025, from the buildout of Colossus I and II, which ended with over 1 million H100 GPU equivalents, and the rollout of the Grok 4 Series, Grok Voice, and Grok Imagine, among others. The company also confirmed that work is already underway to train the flagship large language model’s next iteration, Grok 5.
“Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and 𝕏 to transform how we live, work, and play,” xAI wrote.
Investor's Corner
Tesla gets price target bump, citing growing lead in self-driving
Tesla (NASDAQ: TSLA) stock received a price target update from Pierre Ferragu of Wall Street firm New Street Research, citing the company’s growing lead in self-driving and autonomy.
On Tuesday, Ferragu bumped his price target from $520 to $600, stating that the consensus from the Consumer Electronics Show in Las Vegas was that Tesla’s lead in autonomy has been sustained, is growing, and sits at a multiple-year lead over its competitors.
CES 2026 validates Tesla’s FSD strategy, but there’s a big lag for rivals: analyst
“The signal from Vegas is loud and clear,” the analyst writes. “The industry isn’t catching up to Tesla; it is actively validating Tesla’s strategy…just with a 12-year lag.”
The note shows that the company’s prowess in vehicle autonomy is being solidified by lagging competitors that claim to have the best method. The only problem is that Tesla’s Vision-based approach, which it adopted back in 2022 with the Model 3 and Model Y initially, has been proven to be more effective than competitors’ approach, which utilizes other technology, such as LiDAR and sensors.
Currently, Tesla shares are sitting at around $433, as the company’s stock price closed at $432.96 on Tuesday afternoon.
Ferragu’s consensus on Tesla shares echoes that of other Wall Street analysts who are bullish on the company’s stock and position within the AI, autonomy, and robotics sector.
Dan Ives of Wedbush wrote in a note in mid-December that he anticipates Tesla having a massive 2026, and could reach a $3 trillion valuation this year, especially with the “AI chapter” taking hold of the narrative at the company.
Ives also said that the big step in the right direction for Tesla will be initiating production of the Cybercab, as well as expanding on the Robotaxi program through the next 12 months:
“…as full-scale volume production begins with the autonomous and robotics roadmap…The company has started to test the all-important Cybercab in Austin over the past few weeks, which is an incremental step towards launching in 2026 with important volume production of Cybercabs starting in April/May, which remains the golden goose in unlocking TSLA’s AI valuation.”
Tesla analyst breaks down delivery report: ‘A step in the right direction’
Tesla has transitioned from an automaker to a full-fledged AI company, and its Robotaxi and Cybercab programs, fueled by the Full Self-Driving suite, are leading the charge moving forward. In 2026, there are major goals the company has outlined. The first is removing Safety Drivers from vehicles in Austin, Texas, one of the areas where it operates a ride-hailing service within the U.S.
Ultimately, Tesla will aim to launch a Level 5 autonomy suite to the public in the coming years.