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Tesla reportedly dropped by NTSB from fatal Model X investigation [Updated]

The aftermath of a fatal Tesla Model X accident. [Credit: Mercury News/Twitter]

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Tesla has opted to step back from the ongoing NTSB investigation into the fatal Model X accident last month near Mountain View, CA.

According to Tesla, it has decided to withdraw from its party agreement with the NTSB because it might result in withholding information that affects public safety. In an emailed statement to Bloomberg, the Elon Musk-led electric car maker stated that it believes in transparency.

“Tesla withdrew from the party agreement with the NTSB because it requires that we not release information about Autopilot to the public, a requirement which we believe fundamentally affects public safety negatively. We believe in transparency, so an agreement that prevents public release of information for over a year is unacceptable,” Tesla stated.

Despite not being a formal part of the ongoing NTSB investigation, Tesla stated that it would continue to provide technical assistance to the agency as it continues its probe into the tragic accident.

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Citing a person familiar with the matter, Bloomberg stated that the NTSB is actually removing Tesla from the investigation. Quite unlike the “very constructive conversation” reported by an NTSB spokesman last weekend between Tesla CEO Elon Musk and NTSB Chief Robert Sumwalt, the anonymous Bloomberg source stated that the talk involved Sumwalt informing Musk that his company was being taken off the investigation. The source further claimed that the conversation between Musk and the NTSB chief was “tense” due to the Tesla CEO’s reaction to the agency’s decision. 

Tesla’s decision to release information related to the NTSB’s ongoing probe resulted in the agency stating that it was “unhappy” with the electric car maker. Responding to the NTSB, Musk stated on Twitter that Tesla will immediately release information that can directly affect public safety.

“Lot of respect for NTSB, but NHTSA regulates cars, not NTSB, which is an advisory body. Tesla releases critical crash data affecting public safety immediately & always will. To do otherwise would be unsafe,” Musk tweeted.

Updated: Tesla has issued the following response to a statement made by the NTSB.

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“Last week, in a conversation with the NTSB, we were told that if we made additional statements before their 12-24 month investigative process is complete, we would no longer be a party to the investigation agreement. On Tuesday, we chose to withdraw from the agreement and issued a statement to correct misleading claims that had been made about Autopilot — claims which made it seem as though Autopilot creates safety problems when the opposite is true. In the US, there is one automotive fatality every 86 million miles across all vehicles. For Tesla, there is one fatality, including known pedestrian fatalities, every 320 million miles in vehicles equipped with Autopilot hardware. If you are driving a Tesla equipped with Autopilot hardware, you are 3.7 times less likely to be involved in a fatal accident and this continues to improve.

It’s been clear in our conversations with the NTSB that they’re more concerned with press headlines than actually promoting safety. Among other things, they repeatedly released partial bits of incomplete information to the media in violation of their own rules, at the same time that they were trying to prevent us from telling all the facts. We don’t believe this is right and we will be making an official complaint to Congress. We will also be issuing a Freedom Of Information Act request to understand the reasoning behind their focus on the safest cars in America while they ignore the cars that are the least safe. Perhaps there is a sound rationale for this, but we cannot imagine what that could possibly be.

Something the public may not be aware of is that the NTSB is not a regulatory body, it is an advisory body. The regulatory body for the automotive industry in the US is the National Highway Traffic Safety Administration (NHTSA) with whom we have a strong and positive relationship. After doing a comprehensive study, NHTSA found that even the early version of Tesla Autopilot resulted in 40% fewer crashes. Autopilot has improved substantially since then.

When tested by NHTSA, Model S and Model X each received five stars not only overall but in every sub-category. This was the only time an SUV had ever scored that well. Moreover, of all the cars that NHTSA has ever tested, Model S and Model X scored as the two cars with the lowest probability of injury. There is no company that cares more about safety and the evidence speaks for itself.”

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Just recently, the wife of the ill-fated Model X driver has gone on local news agency ABC7 News to state that her husband had complained about Autopilot multiple times before the March 23 accident. According to Mike Fong, the Huang family’s lawyer, the collision would not have happened had Autopilot not been activated. Fong noted that he would not file a complaint against Tesla while the NTSB investigation is ongoing, though he did state that the carmaker’s responses so far have been to blame the Model X’s driver.

While Tesla could be facing a lawsuit from the Huang family over the fatal incident, Will Huang, the Model X driver’s brother, previously stated to ABC7 News that his brother could have survived the accident had his car collided with a working crash attenuator. During its initial update about the fatal collision, Tesla stated that the crash attenuator that the Model X smashed into had been left unrepaired, causing extensive damage to the vehicle.

“That (the crash attenuator) ultimately should’ve saved my brother’s life. We’ve seen videos of similar crash(es) with cushion, and the driver walked out of it unharmed,” Will said.

Later statements from CalTrans eventually revealed that the highway safety device had been damaged from a collision 11 days before the Model X accident. According to CalTrans, crash attenuators are usually repaired in 7 days or 5 business days, but storms in the area prevented any repair work.

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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 Cybercab has one important piece that AI4 cars might need for FSD

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Credit: @tpgoebel | X

A close-up image of a Cybercab engineering vehicle in Peabody, Massachusetts, reveals a compact triangular side repeater camera housing equipped with an integrated washer mechanism.

This seemingly small hardware addition could prove to be one of the most critical components for achieving reliable, unsupervised Full Self-Driving (FSD) — not just for the dedicated Robotaxi but potentially for existing AI4-equipped vehicles as well.

The washer system’s importance cannot be overstated in Tesla’s vision-only autonomy approach. Cameras are the sole sensory input for the neural networks powering FSD, constantly interpreting the environment for safe navigation. In real-world conditions, however, lenses quickly accumulate rain, snow, mud, dust, or road spray.

Many of us Tesla owners, especially those who deal with any sort of winter weather at all, know the all-too-common alert that pops up when cameras are obstructed:

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Even brief obstructions can drop perception confidence, trigger safety disengagements, or force the vehicle to pull over, although these are relatively rare. Instead, most of the time, the camera will need a wipe from the owner next time they stop the car.

But unlike human drivers who can manually clear their view, a Robotaxi operating 24/7 without a steering wheel or mirrors must maintain pristine vision autonomously. The Cybercab’s side repeater washer delivers targeted cleaning bursts precisely where needed for merging, lane changes, and blind-spot monitoring — functions that demand uninterrupted visibility from the external cameras:

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This hardware directly tackles a known pain point in current FSD deployments. Owners frequently report camera-related alerts during inclement weather, which is understandable, but needs to be solved for a true autonomous experience.

For a production Robotaxi fleet aiming for high utilization and minimal downtime, robust washer systems represent a foundational reliability upgrade; essentially, they’re a must-have. Early sightings suggest the design may extend to rear cameras as well, creating a comprehensive cleaning architecture that keeps the entire vision suite operational in harsh environments.

Without it, even the most advanced neural nets struggle when their “eyes” are compromised.

What Does This Mean for AI4 Cars?

This Cybercab detail raises timely questions for AI4 cars already on the road. While Hardware 4 delivers superior compute and camera resolution compared to earlier versions, production models typically lack dedicated side and rear washers. Tesla has included them on Model Y robotaxis that it is using in the fleet:

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Tesla Robotaxi has a highly-requested hardware feature not available on typical Model Ys

As Tesla refines unsupervised FSD for broader release, the gap in environmental resilience becomes evident. Software improvements can help mitigate issues, but they cannot fully replace physical cleaning in heavy rain or muddy conditions. Analysts and owners increasingly speculate that AI4 vehicles may eventually require similar washer retrofits — or a future AI4.5 variant — to match the Cybercab’s all-weather readiness and support the same level of autonomy.

As testing progresses, the Cybercab’s washer mechanism highlights Tesla’s pragmatic focus on real-world robustness. It may well become the hardware piece that determines how quickly and reliably FSD scales from prototypes to everyday vehicles.

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Elon Musk just upped his Tesla stake further fueling SpaceX merger conversation

Elon Musk just collected a $116 billion Tesla payday and the timing is eye-opening

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Elon Musk quietly collected one of the largest single-transaction paydays in corporate history on Monday. A Form 4 filed with the SEC on June 17, 2026 disclosed that Musk exercised 303,960,630 Tesla stock options from his 2018 compensation package, with the transaction dated June 16. No shares were sold on the open market.

The numbers are straightforward but striking. Musk exercised the options at a split-adjusted strike price of $23.34, with Tesla closing at $404.66 that day, putting the spread at $381.32 per share and generating roughly $115.9 billion in paper gains in a single transaction. To cover the exercise cost, Tesla withheld 17,531,857 shares through a net share settlement, meaning Musk paid nothing out of pocket.

For perspective, in 2018, Elon Musk’s award was originally approved by Tesla shareholders on March 21, 2018, and structured entirely around performance milestones that many analysts at the time called unreachable. Every tranche eventually vested. The original grant covered 20,264,042 shares at $350.02, which after Tesla’s 5-for-1 split in 2020 and 3-for-1 split in 2022 adjusted to 303,960,630 shares at $23.34. A Delaware court rescinded the award in January 2024, ruling the board was conflicted. As Teslarati reported, Tesla shareholders voted to ratify the package anyway in June 2024 by a wide margin. The Delaware Supreme Court reversed the decision in December 2025, finding full cancellation too extreme, and Tesla’s board signed an Implementation Agreement on April 21, 2026 to formally deliver the shares.

The Tesla and SpaceX merger everyone is talking about is quietly building

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The timing and structure of the Form 4 filing carries more weight than a routine stock option exercise typically would. Musk exercised his 2018 Tesla award on June 16, a week into SpaceX completing its IPO and trading publicly, and giving SpaceX a public market valuation and share currency for the first time in the company’s history. A stock-for-stock merger between two companies requires the acquiring entity to have tradeable shares it can offer to the target’s shareholders, and SpaceX now has exactly that. At the same time, Musk just increased his direct Tesla voting power to approximately 20%, giving him greater influence over any shareholder vote that a merger would require. The restricted shares he received cannot be sold until 2033, which removes any near-term incentive to cash out and instead positions this stake as long-term structural collateral in a deal. Additionally, Musk’s two companies are already deeply intertwined through shared semiconductor fabrication at their joint TERAFAB facility in Austin, cross-company supply chain transactions, and Tesla’s $2 billion investment in xAI prior to the SpaceX-xAI merger.

Wedbush analyst Dan Ives has publicly placed the odds of a Tesla and SpaceX combination at 80% to 90% by early 2027. The Implementation Agreement that made Monday’s exercise possible was signed on April 21, 2026, roughly two months before the SpaceX IPO closed. That sequencing, building Musk’s Tesla ownership to its highest point ever immediately before SpaceX gains the public currency needed to acquire it, is either an extraordinary coincidence or a carefully staged foundation for the largest corporate merger in history.

Elon Musk’s TERAFAB project: Everything you need to know

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Tesla Full Self-Driving is getting a major parking upgrade, Elon Musk says

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Credit: Tesla

Tesla Full Self-Driving is going to be getting a major parking upgrade. That’s according to CEO Elon Musk, who detailed a crafty new feature that will improve parking preferences, removing a layer of human input.

Musk said that upcoming releases of Full Self-Driving will “remember your parking preferences.” It will go to the location you prefer, based on where you’ve parked in the past, instead of taking the first spot available, which is where the suite is currently.

The CEO went on to explain that destination parking is “by far” the biggest reason for intervention during FSD operation. We’d have to believe this is true; many takeovers in my Model Y, which runs the latest version of FSD as it is in the Early Access Program, are due to parking because it chooses a spot I do not want to be in.

Many times, as soon as I enter a parking lot, I take over and park manually. I prefer to park away from the entrance of wherever I am, away from cars. Too many lessons learned over the years from people with free-swinging doors.

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We’d imagine these new updates will also solve things like parking orientation. Let’s say when you arrive at work, you always park in the third spot in the third row, and you prefer to back in. It seems as if Musk is implying that your car will now do this, learning from takeovers and aiming to eliminate the need to manually park whenever possible.

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This is a major upgrade because parking is a major shortcoming of FSD currently. We’ve requested things like manual input of parking preferences, choosing to park far away, first available, or away from cars, for example.

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However, some have used the option of dropping a pin at the location you’d like to park at your destination. This has worked some of the time, but FSD will still choose to park in whatever it sees first.

Musk did not give a timetable for when the improvements would be released, but it is likely to come soon. Tesla has been releasing a new FSD version every few weeks, so we may not have to wait long to test it.

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