Tesla will reportedly use teleoperations as an extra safety measure when it first deploys its driverless taxi and ride-hailing service, according to an investor’s note from one firm this morning.
On Tuesday, following a meeting with Tesla’s Investor Relations Head Travis Axelrod, Deutsche Bank wrote in a note that the company expects to need teleoperations, at least at first, as an additional safety measure to back the Cybercab’s camera-based self-driving system. The Cybercab, which was unveiled during a Southern California event in October, doesn’t include a steering wheel or pedals, and is based on the company’s Supervised Full Self-Driving (FSD) software, utilizing only cameras and real-time driving scenarios to train its AI neural network to make driving decisions.
“Tesla believes it would be reasonable to assume some type of teleoperator would be needed at least initially for safety/redundancy purposes,” the firm wrote in a Monday note (via Reuters).
Tesla has not responded to Teslarati’s request to confirm the claim or provide additional details.
READ MORE ABOUT THE CYBERCAB: Tesla’s Elon Musk reveals why Cybercab, Cybertruck don’t equip company logos
Tesla Cybercab: fewer parts, autonomy from driving to charging
Teslarati was one of the first few to take a ride in the Cybercab at Tesla’s October 10 “We, Robot” event, which took place at a Warner Brothers studio in Burbank, California. You can get a close-up look at the two-seat Cybercab in our coverage of the event below.
?: Our FULL first ride in the @Tesla Cybercab pic.twitter.com/6gR7OgKRCz
— TESLARATI (@Teslarati) October 11, 2024
Beyond touting the scalability of its FSD software, due to its utilization of a neural network model unlike other companies that are subject to geofencing and pre-mapping, Tesla has regularly highlighted the lower-cost cameras its products use as a major savings benefit compared to companies that use LiDAR and multiple redundant systems at once. While redundancy may be important to Tesla at first with the use of teleoperation, the company is looking long-term at a non-redundant camera-based system used in its other vehicles, which has already been gathering training data from real drivers over the years.
Earlier this month, Tesla’s Principal Mechanical Design Engineer Eric Earley said that the Cybercab has roughly half the parts of a Model 3, highlighting the massive cost-savings the company expects to gain from production of the autonomous vehicle.
“Two seats unlocks a lot of opportunity aerodynamically. It also means we cut the part count of Cybercab down by a substantial margin. We’re gonna be delivering a car that has roughly half the parts of Model 3 today,” Earley said. “It also means when you need to clean the car as a rideshare asset, you really don’t have to worry about navigating multiple doors, multiple seats. You really just have what looks like a bench seat, easy to clean automatically.”
Eventually, Tesla aims to produce two million Cybercabs per year, and in addition to being fully driverless, the company has also shared plans for a wireless charging system, and an autonomous cleaning robot, both of which are expected to allow the vehicle to be completely independent of human input, even beyond driving.
Tesla spotted testing Cybercab in Giga Texas premises
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.


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.