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Tesla files recall for 9,136 2015-2016 Model X over adhesive issue: NHTSA

A Tesla Model X. (Photo: Andres GE)

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Tesla has filed a recall for 9,136 Model X that were produced between September 17, 2015 and July 31, 2016, according to an announcement from the National Highway Traffic Safety Administration (NHTSA) on Wednesday.

Tesla described the description of the Model X’s defect as follows:

“The Model X is equipped with a cosmetic applique at the front of the roof just behind the windshield, known as the front applique, as well as an applique at the center of the roof in between the upper falcon door roof glass, known as the spine applique. Both appliques are adhered to the vehicle using urethane. If the applique-to-urethane interface lacks primer, then, over time, the adhesion may weaken, causing the applique to separate from the vehicle,” the electric car maker wrote.

While Tesla noted that it is not aware of any injuries or accidents that were caused by the Model X’s adhesive issue, the applique could separate from the vehicle when it is driving. This could create a road hazard for following motorists and increases the risk of injury or a crash. Model X owners whose vehicles are part of the recall are likely to detect noise inside the cabin or observe the applique coming loose.

Tesla provided some background on the recall as well, and how the fault in the Model X’s applique adhesive was determined.

“On September 21, 2020, Field Quality was made aware of a field event involving a 2016 Model X with missing applique. Field Quality initiated an investigation into the root cause and frequency of the condition. On October 28, 2020, after conducting parts recovery, service bay reviews, and engineering fleet analysis, Tesla tentatively concluded that the failed components did not have sufficient primer at the urethane-to-applique interface when produced by the supplier.

“Field Quality then commenced a review of production records and supplier process information for evidence of primer application to understand the possible scope. Field quality reviewed the findings with the executive team and, on November 10, 2020, Tesla determined that a safety-related defect exists for the affected population,” Tesla wrote.

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To address the issue, Tesla Service will be inspecting affected vehicles and applying a retention test on them. If the Model X’s applique passes the retention test, then no action would be necessary. Otherwise, Tesla Service would apply primer at the all-electric SUV’s urethane-to-applique interface as needed. Tesla Service Centers and Stores were notified about the Model X recall around November 17, 2020. Owners affected by the recall could expect to receive messages from the electric car maker about the issue.

The documentation on Tesla’s Model X recall could be viewed below.

RCLRPT-20V710-9316 by Simon Alvarez on Scribd

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 CEO Elon Musk says flying cars are coming

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Credit: Grok Imagine

Tesla CEO Elon Musk said that flying cars will be coming to the market, something that his own company has hinted at previously.

Musk said on X, in response to a post that read, “We were promised flying cars and all we got is infinite superintelligence for everyone,” “You will get flying cars.”

The post rang back to when Musk teased flying and hovering capabilities for the Tesla Roadster, the company’s supercar that has been delayed more times than anyone cares to count. It was set for an unveiling earlier this year, but it was then pushed back to August. There is still no sign of it coming.

However, that does not mean it won’t. But one of the biggest features of the Roadster that was teased was a SpaceX package that featured cold gas thrusters on the rear end that would help with white-knuckle acceleration. Another set would face the ground and would help the Roadster gain small bits of altitude, potentially helpful to jump over obstacles.

Elon Musk hints at Tesla Roadster’s “hovering” abilities in SpaceX package

But it is not a straightforward thing for Musk. As a serial entrepreneur, he tends to spend his time on major disruptors; currently, his largest projects are artificial intelligence and compute power, as well as SpaceX’s launches that will eventually make life multiplanetary.

In the past, he has been critical of flying cars and has been in favor of tunnels, one of the big reasons he started the Boring Company. In 2017 at a TED talk, he said:

“There is a challenge with flying cars in that they’ll be quite noisy. The wind force generated will be very high. Let’s just say that if something’s flying over your head, if there are a whole bunch of flying cars all over the place, that is not an anxiety-reducing situation…You’re thinking, ‘Did they service their hubcap? Or is it going to come off and guillotine me as they’re flying past?'”

However, he’s never been against them. He has also said he’s in favor of both tunnels and flying cars.

Most recently, Musk said that anyone who wants a flying car should be able to get one. This was stated last October on the Joe Rogan Experience:

“My friend Peter Thiel once reflected that the future was supposed to have flying cars, but we don’t have flying cars… I think if Peter wants a flying car, we should be able to buy one.”

Whether the Roadster will be Tesla’s flying car or potentially another one remains in the mind of Musk. Of course, the Roadster will have to make its way to production lines before we find out.

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SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff

Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.

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Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.

The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.

Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.

Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry

None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.

The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.

Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.

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Investor's Corner

Tesla has one big financial question to answer for investors: Morgan Stanley

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Credit: Tesla

In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.

Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.

Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue

Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.

The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”

Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”

Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”

Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.

Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.

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