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Tesla’s new Model Y gets first software update—Here’s what’s in it

Tesla’s new Model Y started delivering over the past few weeks, and its first software update is now here.

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Credit: Tesla

Tesla has officially started deploying its first software update for the recently refreshed Model Y, and it appears to add additional parts of a beta version of the Auto Shift feature, as highlighted by one owner this week.

After Tesla began deploying its software update 2025.8.6 over the past few days, photos from a couple of owners show that the refreshed Model Y has also started receiving the update. One Model Y owner, X user LRESP, posted on Sunday that the update also enables the latest version of Tesla’s beta Auto-Shift feature, as was echoed by another user in the thread.

Although some have pointed out that the new Model Y already had Auto-Shift enabled, the user points out that this update includes the version of the feature that allows three-point turns, though previous versions only allowed it to get out of park.

You can see the message displayed on the Model Y owner’s vehicle below, along with a few other notes about the recent software update.

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Tesla’s Auto Shift (Beta) on Model Y

Auto Shift is currently in Beta.

For parking and multipoint turns, Auto Shift (Beta) can assist with shifting out of Park (P) or between Drive (D) and Reverse (R) drive modes based on your surroundings without you using the touchscreen.

Before you press the accelerator pedal, always check that the proposed drive mode matches your expectations and that it is safe to move in that direction.

Auto Shift (Beta) will only shift between Drive (D) or Reverse (R) drive modes in certain circumstances, and when transitioning out of Park (P) – not any other drive mode or situation. You must manually shift using the drive mode strip if the vehicle doesn’t do so.

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Before you enable this feature, be sure that you understand how to operate the drive mode strip.

Do you want to enable Auto Shift while it is in Beta?

[No][Yes]

Credit: RE_LuisEV | X

READ MORE ON TESLA MODEL Y: Tesla redesigned this crucial piece of hardware on the new Model Y

Tesla’s software update 2025.8.6

Along with Auto-Shift, Tesla has also added a number of other features with software update 2025.8.6, as shared a few days ago by Not a Tesla App. The update is also going out to legacy vehicles and Cybertrucks, and while the Auto-Shift beta addition is the only feature exclusively going out to the new Model Y, a handful of minor improvements are going out to most or all of Tesla’s lineup.

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These include the ability to view the last 10, 100, or 200 miles of energy usage in the Consumption page, and the ability to clear your energy history. Tesla also notes that the battery’s energy estimates now account for all vehicle usage characteristics, along with being adjusted over time based on your driving history.

The update also lets owners run a Battery Health Test, which measures battery energy retention since the vehicle was new. This option can be found in the Controls, Service, and Battery Health menus.

Select Model Y units with model years between 2022 and 2024 have now been updated to use the cabin radar, a feature which is now being deployed standard with the refreshed version of the SUV.

The update also includes security fixes and other improvements that aren’t specifically documented, which went out to the company’s entire lineup.

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These include some improvements to voice guidance and spoken directions, including that they automatically and immediately stop when ending a trip, rather than finishing phrases that have already started being spoken.

Additionally, Tesla improved the rainbow road feature in the update, no longer overlaying the visual overtop of the blue Autopilot visualization as it did in past updates. It also still incorporates certain Autopilot features, such as the display of arrows when the vehicle suddenly slows down.

For the Cybertruck, the update adds steer-by-wire improvements and the ability to adjust air suspension ride height using the Tesla mobile app. Meanwhile, the update also makes it so that Model 3 vehicles automatically transition to Standard Ride & Handling when Autopilot is engaged, though it can be disabled by navigating to Controls, Dynamics, and Use Standard Ride & Handling in Autopilot within the menus.

Tesla has posted owner’s manuals for the new Model Y

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Elon Musk

Tesla ditches India after years of broken promises

Tesla has ditched its plans to build a factory in India after years of failed negotiations.

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Tesla’s long-running effort to establish a manufacturing presence in India is officially over. India’s Minister of Heavy Industries H.D. Kumaraswamy confirmed on May 19, 2026 that Tesla has informed authorities it will not proceed with a manufacturing facility in the country.

Tesla first signaled serious interest in India around 2021, when it began hiring local staff and lobbying the Indian government for lower import tariffs. The ask was straightforward: reduce duties enough for Tesla to test the market with imported vehicles before committing capital to a local factory. India’s position was equally firm, with an ask of Tesla to commit to manufacturing first, then receive tariff relief. Neither side moved, and the talks quietly collapsed.

Tesla to open first India experience center in Mumbai on July 15

India had offered a policy that would reduce import duties from 110% down to 15% on EVs priced above $35,000, provided companies committed at least $500 million toward local manufacturing investment within three years. Tesla declined to participate. The tariff standoff was only part of the problem. Analysts pointed to significant gaps in India’s local supply chain, inadequate industrial infrastructure, and a mismatch between Tesla’s premium pricing and the purchasing power of India’s automotive market as additional factors that made the investment difficult to justify.

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First signs of an unraveling relationship came in April 2024, when Musk abruptly cancelled a planned trip to India where he was set to meet Prime Minister Modi and announce Tesla’s market entry. By July 2024, Fortune reported that Tesla executives had stopped contacting Indian government officials entirely. The government at that point understood Tesla had capital constraints and no plans to invest.

The more fundamental issue is that Tesla’s existing factories are currently operating at approximately 60% capacity, making a commitment to building new manufacturing capacity in a new market difficult to defend to investors. Tesla will continue selling imported Model Y vehicles through its existing showrooms in Mumbai, Delhi, Gurugram, and Bengaluru, but local production is no longer part of the plan.

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SpaceX reveals date for maiden Starship v3 launch

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Credit: SpaceX

SpaceX has revealed the date for the maiden voyage of Starship v3, its newest and most advanced version of the rocket yet.

Starship v3 represents a significant leap forward. At 124 meters tall when fully stacked, it stands taller than previous versions and boasts substantial upgrades.

The vehicle incorporates next-generation Raptor 3 engines, which deliver higher thrust, improved reliability, and simplified designs with fewer parts. Both the Super Heavy booster (Booster 19) and the Starship upper stage (Ship 39) feature these enhancements, along with structural improvements for greater payload capacity—exceeding 100 metric tons to low Earth orbit in reusable configuration.

SpaceX and its CEO Elon Musk have announced that the company aims to push the first launch of Starship v3 this Thursday. Musk included some clips of past Starship launches with the announcement.

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There are a lot of improvements to Starship v3 from past builds. Key hardware changes include a more robust heat shield, upgraded avionics, and modifications optimized for orbital refueling, a critical technology for future missions to the Moon and Mars. This flight marks the first launch from Starbase’s second orbital pad, allowing parallel operations and accelerating the cadence of tests.

This will be the 12th Starship launch for SpaceX. Flight 12 objectives include a full ascent profile, hot-staging separation, in-space engine relights, and reentry testing. The booster is expected to perform a controlled splashdown in the Gulf of Mexico, while the ship will deploy 20 Starlink simulator satellites and a pair of modified Starlink V3 units before attempting reentry.

Success would validate V3’s design for operational use, paving the way for rapid reusability and higher flight rates.

The rapid evolution from V2 to V3 underscores SpaceX’s iterative approach. Previous flights demonstrated booster catches, ship landings, and heat shield advancements. V3 builds on these with nearly every component refined, supported by an expanding production line at Starbase that churns out vehicles at an unprecedented pace.

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Starship V3 is here putting SpaceX closer to Mars than it has ever been

This launch comes amid growing momentum for SpaceX’s ambitious goals. Starship is central to NASA’s Artemis program for lunar landings and Elon Musk’s vision of making humanity multiplanetary. A successful V3 debut would boost confidence in achieving orbital refueling and crewed missions in the coming years.

As excitement builds, enthusiasts and engineers alike await liftoff. Weather and technical readiness will determine the exact timing, but the community is optimistic. Starship V3 is poised to push the boundaries of spaceflight once again, bringing reusable interplanetary transport closer to reality.

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Elon Musk breaks silence on OpenAI trial decision

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Gage Skidmore, CC BY-SA 4.0 , via Wikimedia Commons

Elon Musk broke his silence regarding the jury decision to throw out the case against OpenAI and Sam Altman. The Tesla, SpaceX, and xAI frontman has already indicated that an appeal will be filed regarding the decision, which went against him yesterday.

A Federal jury dismissed this high-profile lawsuit after less than two hours of deliberation due to a statute-of-limitations issue.

In a strongly worded post on X on May 18, Musk addressed the federal jury’s dismissal of his high-profile lawsuit against OpenAI, vowing to appeal the ruling to the Ninth Circuit Court of Appeals. The decision, according to Musk, was centered not on the substantive claims but on a statute-of-limitations technicality.

Musk’s lawsuit, filed in 2024, accused OpenAI co-founders Sam Altman and Greg Brockman of breaching the organization’s original nonprofit mission. OpenAI was established in 2015 as a non-profit dedicated to developing artificial intelligence for the benefit of all humanity, with Musk as a key early donor and co-founder before departing in 2018.

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Musk alleged that Altman and Brockman improperly shifted the company toward a for-profit model, enriched themselves through massive valuations and partnerships (including with Microsoft), and betrayed founding agreements.

In his post, Musk emphasized that the judge and jury “never actually ruled on the merits of the case, just on a calendar technicality.” He stated unequivocally: “There is no question to anyone following the case in detail that Altman & Brockman did in fact enrich themselves by stealing a charity. The only question is WHEN they did it!”

Musk argued that allowing such actions to stand without review sets a dangerous precedent. “I will be filing an appeal with the Ninth Circuit, because creating a precedent to loot charities is incredibly destructive to charitable giving in America,” he wrote. He reiterated OpenAI’s founding purpose: “OpenAI was founded to benefit all of humanity.”

The jury’s unanimous advisory verdict found that Musk’s claims of breach of charitable trust and unjust enrichment were filed outside California’s three-year statute of limitations. U.S. District Judge Yvonne Gonzalez Rogers adopted the finding and dismissed the case. OpenAI hailed the outcome as vindication, while Musk’s legal team immediately signaled plans to appeal.

The trial, which featured testimony from Musk, Altman, Brockman, Microsoft CEO Satya Nadella, and others, exposed deep rifts in Silicon Valley over AI’s direction.

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Musk has long warned that profit-driven AI development, especially with closed models and powerful corporate ties, risks endangering humanity—contrasting it with OpenAI’s original open, safety-focused charter. OpenAI countered that the suit stemmed from business rivalry and that Musk himself had explored for-profit paths earlier.

Musk’s appeal could prolong the saga, potentially affecting OpenAI’s valuation (reportedly over $800 billion) and IPO ambitions. Supporters view his stance as defending nonprofit integrity, while critics see it as sour grapes from a competitor whose own xAI is racing in the AI arena.

Regardless of the legal outcome, the case has spotlighted critical questions about trust, governance, and mission drift in the rapidly evolving AI industry. Musk’s willingness to fight on suggests this chapter is far from closed, with broader implications for how charitable organizations—and the tech giants born from them—operate in the future.

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