As if Tesla’s lead over other automakers in battery and electric vehicle technology wasn’t enough, one Wall Street firm says that Over-the-Air updates are also causing legacy car manufacturers problems.
Oppenheimer & Co. Inc, a full-service brokerage based out of the center of the U.S. Financial Market on Wall Street, stated in an interview with Yahoo Finance that OTA updates are yet another advantage that Tesla has over its competitors.
Colin Rusch, a Senior Research Analyst for Oppenheimer, says that the firm expected automakers to be able to figure out OTA functionality relatively quickly. However, the task is proving to become troublesome for the world’s oldest car companies, and there doesn’t appear to be an end in sight.
“Over-the-air updates, we expected a lot of the OEMs to catch up on that functionality & it’s really taking them far far longer than we expected, they’re at least a couple of years behind on that functionality,” Rusch said.
Oppenheimer on @Tesla: “Over-the-air updates, we expected a lot of the OEMs to catch up on that functionality & it’s really taking them far far longer than we expected, they’re at least a couple years behind…” $TSLA #Tesla #EV #OTA #FSD #Microgrids pic.twitter.com/8Ksqz11JHz
— Tesla New York (@TeslaNY) August 12, 2020
Even though some manufacturers, like Ford and Porsche, have announced their intentions to apply OTA capabilities to their vehicles, no company has been able to offer a practical usage of the functionality. Nobody, except Tesla.
“And it doesn’t look like we’re going to see that, really, in a widespread way for another two to three years,” Rusch added.
Tesla has used OTA updates to improve its vehicles for nearly eight years. The Tesla Model S received the first-ever OTA update in September 2012 with Software Version 1.9.11 rolled out to over 100 owners, The Verge reported.
The upgrades to vehicle software improve everything from Autopilot functionality to settings with a car’s air conditioning.
Tesla also has purchasable vehicle upgrades, like an Acceleration Boost that was available for the Model 3.
However, other car companies have not been able to figure out an effective way to communicate with their vehicles to improve the functionality or performance of their cars using an internet connection.
Software has proven to be an issue for some car companies in the past. Volkswagen, for example, struggled with its initial software rollout for its ID series of electric cars. The ID.3 was plagued with several issues that dealt with vehicle software, which put into question whether the vehicle would be produced and delivered to pre-orderers on time.
In terms of EV tech as a whole, car companies know they are behind Tesla in every category. Performance, battery capabilities, range, and technology are all owned by Tesla, and other manufacturers are struggling to keep up.
Tesla’s advantage lies in twelve years of EV focused automotive manufacturing. While other car companies were not interested in developing a fleet of electric cars, Tesla worked quietly for years to emerge as not only the leader in electric vehicle production but as the most valuable automaker on the planet.
H/t: @TeslaNY on Twitter
Elon Musk
SpaceX secures win as US labor board drops oversight case
The NLRB confirmed that it no longer has jurisdiction over SpaceX.
SpaceX scored a legal victory after the National Labor Relations Board (NLRB) decided to dismiss a case which accused the company of terminating engineers who were involved in an open letter against founder Elon Musk.
The NLRB confirmed that it no longer has jurisdiction over SpaceX. The update was initially shared by Bloomberg News, which cited a letter about the matter it reportedly reviewed.
In a letter to the former employees’ lawyers, the labor board stated that the affected employees were under the jurisdiction of the National Mediation Board (NMB), not the NLRB. As a result, the labor board stated that it was dismissing the case.
As per Danielle Pierce, a regional director of the agency, “the National Labor Relations Board lacks jurisdiction over the Employer and, therefore, I am dismissing your charge.”
The NMB typically oversees airlines and railroads. The NLRB, on the other hand, covers most private-sector employers, as well as manufacturers such as Boeing.
The former SpaceX engineers have argued that the private space company did not belong under the NMB’s jurisdiction because SpaceX only offers services to “hand-picked customers.”
In an opinion, however, the NMB stated that SpaceX was under its jurisdiction because “space transport includes air travel” to get to outer space. The mediation board also noted that anyone can contact SpaceX to secure its services.
SpaceX had previously challenged the NLRB’s authority in court, arguing that the agency’s structure was unconstitutional. Jennifer Abruzzo, the NLRB general counsel under former United States President Joe Biden, rejected SpaceX’s claims. Following Abruzzo’s termination under the Trump administration, however, SpaceX asked the labor board to reconsider its arguments.
SpaceX is not the only company that has challenged the constitutionality of the NLRB. Since SpaceX filed its legal challenge against the agency in 2024, other high-profile companies have followed suit. These include Amazon, which has filed similar cases that are now pending.
News
Tesla accuses IG Metall member of secretly recording Giga Berlin meeting
The union has denied the electric vehicle maker’s allegations.
Police seized the computer of an IG Metall member at Tesla Giga Berlin on Tuesday amid allegations that a works council meeting was secretly recorded.
The union has denied the electric vehicle maker’s allegations.
In a post on X, Gigafactory Berlin plant manager André Thierig stated that an external union representative from IG Metall attended a works council meeting and allegedly recorded the session. Thierig described the event as “truly beyond words.”
“What has happened today at Giga Berlin is truly beyond words! An external union representative from IG Metall attended a works council meeting. For unknown reasons he recorded the internal meeting and was caught in action! We obviously called police and filed a criminal complaint!” Thierig wrote in his post on X.
Police later confirmed to local news outlet rbb24 that officers did seize a computer belonging to an IG Metall member at the Giga Berlin site on Tuesday afternoon. Tesla stated that employees had contacted authorities after discovering the alleged recording.
IG Metall denied Tesla’s accusations, arguing that its representative did not record the meeting. The union alleged that Tesla’s claim was simply a tactic ahead of upcoming works council elections.
The next works council election at Giga Berlin is scheduled for March 2 to 4, 2026. The facility’s management had confirmed the dates to local news outlets. The official announcement marks the start of the election process and campaign period.
Approximately 11,000 employees are eligible to participate in the vote.
The previous works council election at the plant took place in 2024, and it was triggered by a notable increase in workforce size. Under German labor law, regular works council elections must be held every four years between March 1 and May 31.
Elon Musk
Elon Musk’s xAI plants flag in Bellevue AI hotspot
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Elon Musk’s artificial intelligence company xAI has leased a full floor at Lincoln Square South in downtown Bellevue, WA, as per city permit filings.
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Public records indicate that xAI leased roughly 24,800 square feet in Lincoln Square South. The location was previously occupied by video game company Epic Games. Lincoln Square South is part of the Bellevue Collection, which is owned by Kemper Development Co.
The lease was first referenced in January by commercial real estate firm Broderick Group, which noted that an unnamed tenant had secured the space, as stated in a report from the Puget Sound Business Journal. Later filings identified xAI as the occupant for the space.
xAI has not publicly commented on the lease.
xAI hinted at plans to open an office in the Seattle area back in September, when the startup posted job openings with salaries ranging from $180,000 to $440,000. At the time, the company had narrowed its location search to cities on the Eastside but had not finalized a lease.
xAI’s Bellevue expansion comes as Musk continues consolidating his businesses. Last week, SpaceX acquired xAI in a deal that valued the artificial intelligence startup at $250 billion. SpaceX itself is now valued at roughly $1.25 trillion and is expected to pursue an initial public offering (IPO) later this year.
Musk already has a significant presence in the region through SpaceX, which employs about 2,000 workers locally. That initiative, however, is focused largely on Starlink satellite development.
Bellevue has increasingly become a center for artificial intelligence companies. OpenAI has expanded its local office footprint to nearly 300,000 square feet. Data infrastructure firms such as Crusoe and CoreWeave have also established offices downtown.