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Tesla is leasing new land as part of its California expansion — for $1 per year

Credit: Troopr1023/YouTube

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True to CEO Elon Musk’s word, Tesla is expanding its presence in California despite the company officially moving its headquarters to Texas. And amidst this California expansion, Tesla has leased nine acres of land to support its operations in Lathrop — all for a very reasonable price of $1 per year. 

As noted in a Manteca Bulletin report, Tesla has been deliberately expanding its footprint in Lathrop since the company came to the city in 2014. During that time, Tesla was hoping to convert an old Mopar distribution center into a manufacturing facility for car parts. Tesla has since expanded its activities in Lathrop, with the company building an 870,000 square foot warehouse in the city. More recently, Tesla also broke ground on an upcoming “Megafactory” for its flagship battery storage unit, the Megapack.

With Tesla poised to employ an estimated 1,500 people working in two shifts at the “Megafactory,” the need for a space where the facility’s employees could park their vehicles while at work arose. With this in mind, the Lathrop City Council voted unanimously last week to lease nine acres of city-owned land to the electric vehicle maker. Tesla is expected to pay for all improvements, infrastructure, and maintenance for the new land, but this would likely be no issue.

This was because the City of Lathrop opted to lease the nine acres of land to Tesla for just one dollar per year. Not one dollar per acre per year. One dollar for the entire plot of land per year. 

While the one-dollar deal for the upcoming “Megafactory’s” parking space may seem quite shocking to some, the city wrote in a staff report prepared for the council that Tesla’s presence in the city results in more jobs and tax revenue. And these would likely be quite evident once the “Megafactory” begins its operations. 

“Tesla’s presence in Lathrop promotes growth throughout the City by providing jobs and tax revenue. The manufacturing facility at 700 D’ Arcy will create roughly 1,500 jobs in the City as well as additional tax revenue, and therefore staff is working to facilitate the maximum operation by providing a parking solution for Tesla employees,” the city noted in its report. 

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Tesla and the City of Lathrop have been working together for years. Even before the company completed its massive warehouse, the EV maker has utilized several sites in the city to store vehicles produced in the Fremont Factory. And considering Elon Musk’s promise to expand Tesla’s presence in California despite the company’s decision to move its headquarters to Texas, Lathrop’s Tesla expansion may only be beginning. 

*Quotes courtesy of the Manteca Bulletin.

Don’t hesitate to contact us with news tips. Just send a message to tips@teslarati.com to give us a heads up.

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 primes Cybercabs for 4K streaming and high bandwidth gaming with Starlink integration

Tesla is now shipping Cybercabs from Giga Texas with Starlink hardware built in as standard.

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tesla cybercab with no manual controls showing a movie with two employees inside

Tesla’s Cybercabs are now leaving Gigafactory Texas with Starlink hardware on the rear hatch in significant numbers, according to drone footage captured Tuesday by longtime Austin drone observer Joe Tegtmeyer. Production at the factory ramped back up after the Labor Day weekend, and his flyover of the outbound lot showed rows of gold Cybercabs alongside Model Y Long Wheelbase units, many carrying the satellite module for the first time as standard equipment rather than a one off retrofit.

Tesla first showed Starlink built into an actual Cybercab on August 10, when the Robotaxi account posted images of a single gold unit with the antenna integrated into the roofline above the taillights and called it the first Cybercab with Starlink integration. That followed a July reveal where Tesla and Starlink jointly posted a cutaway diagram of the antenna placement without a working vehicle to back it up. Ashok Elluswamy, Tesla’s VP of AI software, said at the time that the connection isn’t required for the car to drive itself. It exists mainly for navigation, customer service and keeping tabs on the fleet.

Musk has made a different case in public. During Tesla’s Q2 earnings call, he said the company can’t afford robotaxis stranded in what he called “Bermuda Triangles of lack of cellular connectivity,” and he separately claimed on X that Starlink will eventually reach every Tesla built, calling it the only way to deliver high bandwidth to billions of vehicles. He has also pitched the antenna as an entertainment upgrade, telling riders they would be able to stream 4K video or play games during a trip.

The rollout has moved fast since. Robotaxi service opened to the public in Austin on September 3, and Cybercabs had already been spotted with Starlink hardware in Houston and near Miami International Airport in the weeks before Tuesday’s factory footage showed the module shipping at volume rather than on scattered test units. Whether the satellite link earns its keep is still an open question. Tesla’s unsupervised service currently runs in dense metro geofences in Texas and Florida, markets where cellular coverage is already strong, which is not where the rural dead zones Musk describes tend to show up.

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Elon Musk hints at Tesla Cybercab’s next market

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(Credit: Teslarati)

After launching in Austin, Texas, last week, Tesla is looking to expand the Cybercab to new parts of the United States in an effort that will see the driverless, steering wheel-less, and pedal-less vehicle chauffeur people around as part of the Robotaxi ride-hailing service.

However, the expansion will go far beyond the United States, and CEO Elon Musk revealed he hopes Europe will be the next market where Cybercab will be operational.

Musk has publicly expressed hope that Tesla’s Cybercab robotaxi will reach Europe in the near future.

On September 8, Tesla’s Chief Executive quoted a German rider who had just completed a trip in Austin, Texas, and wrote that he hoped the vehicle would not take years to arrive in Germany. Musk replied with a short but notable message: “Hopefully soon in Europe too.”

The comment arrived only days after Tesla opened Cybercab ride-hailing to the public in Austin. The two-seat vehicle has no steering wheel or pedals and relies entirely on Tesla’s Full Self-Driving software. Early passengers have described the rides as quiet, smooth, and more stylish than competing robotaxis such as Waymo.

Austin is currently the only city where members of the public can hail a Cybercab through Tesla’s Robotaxi app. The initial fleet is small; Texas registration records show only a few dozen of the purpose-built vehicles on the road.

Tesla set to open Cybercab rides to the public, with no steering wheel or pedals

Tesla has also been operating a larger number of conventional Model Y robotaxis in the same area, but the Cybercab itself represents the company’s first dedicated, controls-free taxi design.

Europe presents a different regulatory picture. The European Union does not permit manufacturers to self-certify vehicles the way Tesla did in the United States.

Type-approval rules and a small-series limit of 1,500 automated vehicles per type per year apply across the bloc.

Supervised Full Self-Driving has gained provisional approval in several member states through national recognition of Dutch certification, yet unsupervised robotaxi operation remains a separate and more distant step. Tesla has not announced a European launch city, date, or approval pathway for the Cybercab.

Musk himself has previously cautioned that the company does not control European regulators. In an earnings call earlier in 2026, he noted that even supervised FSD took an “immense amount of time” to clear and that unsupervised service would be “somewhat at the mercy of the governments in Europe and the EU.”

The latest social-media remark therefore functions more as an expression of intent than a timetable.

If the Cybercab eventually reaches European streets, it would mark a significant expansion of Tesla’s robotaxi ambitions beyond the United States. For now, the vehicle remains an Austin-only experience, and the gap between Musk’s hope and actual deployment will be decided by regulators rather than by engineering alone.

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Tesla Cybercab improvements are already on the minds of company engineers

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Credit: Tesla Europe & Middle East | X

Tesla Cybercab might have just rolled out to the public as it entered the company’s Robotaxi suite in Austin this past week. However, the vehicle might already be on its way to becoming even better, as the company is asking riders to describe what they’d like to see improved with the Cybercab.

Tesla sent a rider experience survey to Cybercab passengers only days after paid rides began in Austin. The questionnaire asks how satisfied riders were with the overall trip. Then it requests star ratings for availability and wait time, door functionality, vehicle touchscreen, mobile app experience, seat comfort, interior space, ride comfort, cleanliness, and cargo space.

A later section asks which features riders would most like to have and allows selection of up to three items from a list that includes heated seats, ventilated seats, fully reclining seats, a tray table, a wireless phone charger, a better sound system, and more storage. Respondents may also choose none of these or write in another idea. The survey closes with a recommendation score from zero to ten.

This rapid request for input illustrates Tesla’s habit of treating early users as collaborators rather than mere customers. The company has long refined vehicles through software updates and hardware changes informed by real-world use across its passenger cars.

Collecting structured opinions so soon after commercial service started shows the same mindset applied to a purpose-built autonomous taxi. The questions themselves reveal an openness to cabin changes even after the first vehicles reached public streets, which is no surprise.

Tesla has always hoped to cater a great experience to anyone in its vehicles, which is why so many fan-requested features have made it into its vehicles.

Replies already circulating online favor reclining seats, tray tables, wireless charging, improved audio, and extra room when seats fold back.

Tesla Cybercabs narrowly miss deadly Amazon cargo plane crash

Those preferences point toward comfort upgrades that Tesla can implement in later production batches or through cabin revisions. Because the Cybercab is designed around software first principles, many requested amenities can arrive faster than in traditional automakers.

Tesla’s willingness to survey riders immediately after launch therefore makes near-term cabin and experience improvements likely as the team reviews responses and iterates toward a more refined robotaxi people will choose daily.

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