News
Tesla’s race to autonomy: No one said it would be easy
Need to type up a quick memo before work? Forgot to eat breakfast before driving to school? In just a few years, driving may be a more hands-off endeavor than ever before if companies like Tesla, Uber, Volvo, Alphabet, General Motors, or Ford have anything to do about it. You could be a passenger in your own self-driving car, weaving in and out of traffic with ease and parallel parking like a pro every time. It seems like most every company even tangentially related to cars is pouring money into the race for autonomy.
The freedom of self-driving cars is still heavily dependent on regulatory whim and technological availability, but some are setting demanding goals in an effort to finish first in that race. Tesla for example, plans to showcase its Full Self-Driving Capability by driving one of its fleet cars from California to New York, without human involvement, by the end of this year. But their competitors are moneyed, motivated and many.
The Self-Driving Battle Arena
For Uber, success in autonomous driving research could be a sweet distraction from the recent troubles of the company. Its self-driving program has been based in Pittsburgh, right next to Carnegie Mellon with its highly regarded robotics program since it began in 2015. Then-CEO Travis Kalanick was determined to stay on top of the industry. “It starts with understand that the world is going to go self-driving and autonomous,” Kalanick said in a 2016 interview with Business Insider. “So if that’s happening, what would happen if we weren’t a part of that future? If we weren’t part of the autonomy thing? Then the future passes us by basically, in a very expeditious and efficient way.”
Plagued by lawsuits, investigations, and subsequent executive upheaval that saw Kalanick’s resignation from the enterprise he founded, Uber is still one of the best places for researchers and engineers to work on their projects. The company has armies of vehicles across the country, vast datasets of information from the millions of miles its cars have covered through its ride-hailing branch, and the money to fund its engineers’ work.
This does not mean that Uber’s self-driving program has remained untouched. Waymo, the autonomous car division of Google’s parent company, Alphabet, is currently suing Uber over files allegedly by Anthony Levandowski when he moved from Waymo to Uber. According to Reuters, in recent court filings, Waymo has claimed that Uber knew of the stolen intellectual property and even conspired with Levandowski to use it. Uber denies the allegations and actually fired Levandowski on May 30, claiming he had not cooperated with their internal investigation– and probably hoping to win some goodwill from the judge who has already said Waymo had produced a convincing case.
It is unlikely the scandals will affect the decisions of most researchers to stay with the company. As Wired’s Aarian Marshall points out, the long timeline of building a safe autonomous car makes engineers less likely to leave at a moment’s notice in a period of executive instability. And the branch’s position in Pittsburgh rather than Silicon Valley means the roiling news is less sensationalized and the researchers less affected. The ride-sharing company’s failure to live up to certain promises, including backing one of Pittsburgh’s federal grant proposals or hiring from neighborhoods near its test tracks, have drawn ire from many local activists and politicians, as reported by the New York Times. Even so, it has helped the city break away from its steel past and into a high-tech future.
Meanwhile, Uber’s main competitor in the ride-sharing industry, Lyft, has been making strides to continue chipping away Uber’s monopoly in any field, including self-driving cars, as Uber deals with scandal after scandal. As reported by Recode, Lyft is steadily gaining ground on Uber in terms of the share of ride-hailing app downloads as its ratings in the IOS App Store rise and Uber’s falls. This recent shift in market share comes as Waymo and Lyft start a new partnership that will combine Waymo’s advanced technology with Lyft’s vast amounts of data on people, where and how they drive. “Lyft’s vision and commitment to improving the ways cities move with help Waymo’s self-driving technology reach more people, in more places,” a Waymo spokesperson told Wired. Extending Waymo’s dataset beyond the few cities, including Phoenix and Pittsburgh, allows the enterprise to collect the small details of average people’s driving habits much faster and accurately than its test drives around Silicon Valley will.
But despite Waymo’s eight years of self-driving research, it still has to play catch up to Uber in some regards. Waymo just started testing autonomous trucks earlier this month, while Uber first used a self-driving truck to deliver a shipment last August, advancing its technology quickly after it snatched up the self-driving truck startup Otto—founded by Anthony Levandowski after he left Waymo— in January of 2016. Yet, Waymo has the benefit of its parent company’s huge cash reserves and data.
Growing Pains
Tesla is moving its autonomous program forward at an increasingly demanding pace, trying to meet that goal of driving from Los Angeles to New York by the end of this year. It, like Uber, is going through some executive shakeup: after just six months with Tesla, Chris Lattner, Vice President of its Autopilot Software program, left the company after reported tensions with Elon Musk. Tesla explained that the former Apple engineer was not a “good fit.” It stands to mention that working under Musk is notoriously a high-pressure gig. According to LinkedIn Insights, the average tenure of a Tesla employee is only 2.2 years, while companies like General Motors keeps its employees for almost 9. But Lattner’s exit is just one example of many of talented Tesla self-driving engineers leaving the company or being poached by the competition, like Waymo.
While Autopilot can do many impressive things— change lanes, brake before obstacles, and generally act as a rational human driver— it is far from perfect. The program is still technically in “public beta” testing, and rated by the National Transportation Safety Board as a 2 out of 5 on its scale of autonomy.
The fatal crash of a Model S owner Joshua Brown in May 2016 serves as a good reminder that drivers are cautioned to pay attention and keep their hands on the wheel at all times while using Autopilot. Tesla’s driving-assist feature, at the time, could not distinguish the difference between the bright sky and the white truck. Tesla and Autopilot were cleared of responsibility by the NTSB because Brown was given several warnings to take back control of the wheel. But it is a poignant example that Autopilot does not function as a self-driving car and still requires a driver’s full attention. After the accident, Tesla was forced to start developing its own hardware for Autopilot. Mobileye, which previously supplied Tesla’s image processing chips, ended its partnership in a public spat with Musk.
According to Lattner’s public resume, the transition to its own hardware presented “many tough challenges” to the Tesla team. Musk commented to shareholders in June that Tesla is “almost there in terms of exceeding the ability” of the original hardware. All of Tesla’s vehicles in production, including the upcoming Model 3, have the capability to engage Autopilot (for a price) and the necessary hardware to enable full self-driving someday. Autopilot will continue using the camera-based system that Tesla swears by, even as most of the industry focuses on developing LiDAR technology based on light and lasers.
And while Tesla prefers to work mostly alone, the rest of the industry is also pairing up, making deals, partnerships, and contracts between manufacturers, data giants, and service teams. Musk is taking a move out of Steve Jobs’ playbook by vertically integrating everything within the business, from top-to-bottom. Waymo and Honda, Lyft and Waymo, Autoliv and Volvo, Hertz and Apple, Intel and Mobileye, Audi and NVIDIA, and almost every other combination you could think of. Predictions for when the first company will reach the finish line range from within a year to two decades from now. And even if the car is made, there is still the question of if cities and states will allow autonomous vehicles to drive on their streets. The technology is closer than ever, but for now, please keep your eyes on the road.
Investor's Corner
New drone video shows Tesla’s Optimus Factory reaching a turning point
New drone footage shows Tesla’s dedicated Optimus factory steel frame nearing completion at Giga Texas.
Tesla’s dedicated Optimus factory at Gigafactory Texas is closing in on a finished steel frame, according to drone footage posted Thursday afternoon by longtime site observer Joe Tegtmeyer. In the video, Tegtmeyer said structural steel assembly is now about five column grids away from reaching the building’s north perimeter beam, putting the primary skeleton in its final stretch roughly six months after Tesla broke ground on the North Campus site in late March.
The Giga Texas Optimus Factory latest update … construction keeps moving fast!
Steel assembly is now only about 5 column grids from the north perimeter beam. Concrete is going in on the three upper floors, rebar is still being laid for more pours, and footing / grade-beam work… pic.twitter.com/qvFPvwnYzW
— Joe Tegtmeyer 🚀 🤠🛸😎 (@JoeTegtmeyer) September 17, 2026
Tegtmeyer’s footage shows concrete already going in on three upper floors while crews continue laying rebar and pouring grade beam footings at ground level. That kind of parallel work, steel rising at one end of the site while concrete sets at the other, is a scheduling approach Tesla used at the original Giga Texas building and appears to be repeating here to save time before the plant’s targeted 2027 production start.
Teslarati has tracked the building’s progress since Tesla confirmed construction was officially underway in May, when the first steel structure went up on what was then bare, reclaimed land. The facility is part of a more than 5.2 million square foot expansion of Giga Texas’s North Campus that Tesla has said will eventually run nearly the length of the existing vehicle factory, over 4,000 feet, while sitting somewhat narrower. Musk has pegged the long term output target at 10 million Optimus units a year once the line is running at full capacity, a volume that would dwarf the one million unit pilot line Tesla is standing up separately at its Fremont, California factory.
Tesla Giga Texas to feature massive Optimus V4 production line
The Texas facility sits alongside another major buildout on the same campus. Terafab, the joint Tesla and SpaceX chip fabrication plant that will eventually supply the silicon running Optimus units in the field. Housing robot assembly and chip production on the same grounds is a deliberate supply chain decision, cutting down on the shipping and lead time that would otherwise sit between the two.
Tesla has not given an updated timeline beyond its previously stated goal of bringing high volume Optimus production online at the site in the summer of 2027. Fremont’s smaller pilot line began mass producing the current Gen 3 robot in January, with that plant expected to build tens of thousands of units this year primarily to generate the real world data Tesla needs to refine the robot’s software before Giga Texas ramps up. Six months of visible construction progress, tracked almost entirely through Tegtmeyer’s recurring drone flights, gives the clearest outside look yet at how seriously Tesla is treating that 2027 deadline.
Investor's Corner
Tesla and SpaceX take “Terafab” Trademark fight to Federal Court
Tesla and SpaceX sue a small Illinois firm after cease and desist letters over Terafab.
Tesla and SpaceX are asking a federal judge to rule that their planned Terafab chip factory does not infringe a small Illinois company’s trademark, a request that arrives only after months of quiet negotiation broke down this summer.
The dispute traces to May 18, when Tesla filed three U.S. trademark applications for “Terafab” and “Tesla Terafab,” covering semiconductor chips and related chip making services. TERA-print LLC, a nanotechnology company that has held a federal trademark for “Tera-Fab” since 2021, responded five days later with a cease and desist letter. According to the lawsuit, first reported by Reuters, TERA-print argued that Tesla and SpaceX’s use of “Terafab” would confuse consumers familiar with its own trademark, which covers a desktop photolithography printer sold to researchers for sensor and bioengineering work.
What stands out in the filing is the timing of TERA-print’s own paperwork. One day before sending that cease and desist letter, on May 22, TERA-print applied to expand its existing registration to cover semiconductor materials, silicon chips, nanoelectronic devices and AI design services, categories it had not previously claimed. Tesla and SpaceX call that filing opportunistic in their complaint, noting it arrived two months after Tesla’s public Terafab announcement and just days after Tesla’s own trademark applications went in.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
By June 10, TERA-print was threatening to sue for federal trademark infringement, false designation of origin and unfair competition, the complaint states. Rather than wait to be sued, Tesla, SpaceX and SpaceXAI met with TERA-print six separate times between June and August trying to resolve the dispute directly. Those talks collapsed, and the companies filed for declaratory judgment this week in the U.S. District Court for the Western District of Texas, asking a judge to find that “Terafab” does not infringe TERA-print’s mark before TERA-print can file a claim of its own.
TERA-print isn’t backing down. The company told PCMag it discussed a settlement with Tesla as recently as September 2 and feels misled by what it called Tesla’s professed interest in settling. Its CTO, Andrey Ivankin, said TERA-print holds a Defense Department contract to fabricate semiconductors and partially owns Mattiq Inc., an AI company built on TERA-print’s products, and that the company will vigorously defend its rights.
Tesla and SpaceX argue the overlap is superficial. Terafab is planned as a $16.8 billion complex spanning roughly 100 million square feet at the Grimes County site SpaceX confirmed last month, built to produce chips for Optimus robots, Tesla’s AI computing needs and SpaceX’s orbital data center ambitions, a scale and purpose the companies say no reasonable consumer would confuse with a tabletop lab printer. TERA-print’s product line has stayed focused on lithography tools for biological and sensor research since it registered its mark in 2021.
The trademark fight is the second legal dispute tied to the Terafab project in the past week, following a separate SpaceX suit aimed at keeping company records about the facility out of public view, as KBTX reported. Whether construction proceeds under the Terafab name now depends on a federal judge in Austin.
News
NHTSA just escalated its Tesla Cybercab investigation in a big way
NHTSA escalated its Cybercab audit into a sworn Special Order with a September 30 deadline.
Federal regulators have moved from asking Tesla questions about its Cybercab to demanding sworn answers. The National Highway Traffic Safety Administration issued a Special Order that requires a Tesla officer to sign an affidavit attesting to the completeness of the company’s responses, with a deadline of September 30.
The order builds on Audit Query AQ26002, which NHTSA opened on September 3, the same day Tesla began commercial Cybercab service in Austin. Teslarati covered that initial inquiry when it surfaced, noting the agency wanted to understand how Tesla certified a vehicle with no permanently attached steering wheel, pedals, or mirrors as compliant with Federal Motor Vehicle Safety Standards. A Special Order is a different tool and converts a fact finding review into a legally enforceable demand, the same mechanism NHTSA used against Tesla in 2023 during its Autopilot investigation.
Several of the 21 requests target a specific gap in Cybercab’s design. One asks whether Tesla used temporarily attached human controls at any point to help certify the vehicle, and if so, which standards depended on that equipment being present. Another quotes an existing rule directly: “The service brakes shall be activated by means of a foot control.” Cybercab has no foot pedal. NHTSA wants a detailed explanation of how the vehicle satisfies that requirement, and how it complies without the kind of exemption granted to Zoox in July under Part 555, the regulatory pathway built for steering wheel free vehicles.
The order does not claim Cybercab is unsafe or that Tesla broke a rule. It requires Tesla to explain, under oath, the reasoning behind decisions the company already made when it self-certified the vehicle. That distinction matters, but so does the exposure. Motor1’s reporting, summarized here, put potential civil penalty exposure as high as $139 million if NHTSA later finds the certification was flawed, on top of whatever criminal risk comes with a false sworn statement.
Tesla has not said publicly how it plans to respond. Cybercab is still carrying passengers in Austin through the Robotaxi app while the September 30 deadline approaches, and the company has continued expanding the vehicle’s footprint even as the regulatory question remains open. The Special Order does not pause any of that and just sets a date by which Tesla has to put its certification logic on the record, with a company officer’s name attached to it.


