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Tesla posts stern response to Washington Post’s article on alleged Autopilot dangers
Tesla has posted a stern response to a recent article from The Washington Post that suggested that the electric vehicle maker is putting people at risk because it allows systems like Autopilot to be deployed in areas that it was not designed for. The publication noted that it was able to identify about 40 fatal or serious crashes since 2016, and at least eight of them happened in roads where Autopilot was not designed to be used in the first place.
Overall, the Washington Post article argued that while Tesla does inform drivers that they are responsible for their vehicles while Autopilot is engaged, the company is nonetheless also at fault since it allows its driver-assist system to be deployed irresponsibly. “Even though the company has the technical ability to limit Autopilot’s availability by geography, it has taken few definitive steps to restrict use of the software,” the article read.
In its response, which was posted through its official account on X, Tesla highlighted that it is very serious about keeping both its customers and pedestrians safe. The company noted that the data is clear about the fact that systems like Autopilot, when used safety, drastically reduce the number of accidents on the road. The company also reiterated the fact that features like Traffic Aware Cruise Control are Level 2 systems, which require constant supervision from the driver.
Following is the pertinent section of Tesla’s response.
While there are many articles that do not accurately convey the nature of our safety systems, the recent Washington Post article is particularly egregious in its misstatements and lack of relevant context.
We at Tesla believe that we have a moral obligation to continue improving our already best-in-class safety systems. At the same time, we also believe it is morally indefensible not to make these systems available to a wider set of consumers, given the incontrovertible data that shows it is saving lives and preventing injury.
Regulators around the globe have a duty to protect consumers, and the Tesla team looks forward to continuing our work with them towards our common goal of eliminating as many deaths and injuries as possible on our roadways.
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Below are some important facts, context and background.
Background
1. Safety metrics are emphatically stronger when Autopilot is engaged than when not engaged.
a. In the 4th quarter of 2022, we recorded one crash for every 4.85 million miles driven in which drivers were using Autopilot technology. For drivers who were not using Autopilot technology, we recorded one crash for every 1.40 million miles driven. By comparison, the most recent data available from NHTSA and FHWA (from 2021) shows that in the United States there was an automobile crash approximately every 652,000 miles.
b. The data is clear: The more automation technology offered to support the driver, the safer the driver and other road users. Anecdotes from the WaPo article come from plaintiff attorneys—cases involving significant driver misuse—and are not a substitute for rigorous analysis and billions of miles of data.
c. Recent Data continues this trend and is even more compelling. Autopilot is ~10X safer than US average and ~5X safer than a Tesla with no AP tech enabled. More detailed information will be publicly available in the near future.
2. Autopilot features, including Traffic-Aware Cruise Control and Autosteer, are SAE Level 2 driver-assist systems, meaning –
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a. Whether the driver chooses to engage Autosteer or not, the driver is in control of the vehicle at all times. The driver is notified of this responsibility, consents, agrees to monitor the driving assistance, and can disengage anytime.
b. Despite the driver being responsible for control for the vehicle, Tesla has a number of additional safety measures designed to monitor that drivers engage in active driver supervision, including torque-based and camera-based monitoring. We have continued to make progress in improving these monitoring systems to reduce misuse.
c. Based on the above, among other factors, the data strongly indicates our customers are far safer by having the choice to decide when it is appropriate to engage Autopilot features. When used properly, it provides safety benefits on all road classes.
Tesla also provided some context about some of the crashes that were highlighted by The Washington Post. As per the electric vehicle maker, the incidents that the publication cited involved drivers who were not using Autopilot correctly. The publication, therefore, omitted several important facts when it was framing its narrative around Autopilot’s alleged risks, Tesla argued.
Following is the pertinent section of Tesla’s response.
The Washington Post leverages instances of driver misuse of the Autopilot driver assist feature to suggest the system is the problem. The article got it wrong, misreporting what’s actually alleged in the pending lawsuit and omitting several important facts:
1. Contrary to the Post article, the Complaint doesn’t reference complacency or Operational Design Domain.
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2. Instead, the Complaint acknowledges the harms of driver inattention, misuse, and negligence.
3. Mr. Angulo and the parents of Ms. Benavides who tragically died in the crash, first sued the Tesla driver—and settled with him—before ever pursuing a claim against Tesla.
4. The Benavides lawsuit alleges the Tesla driver “carelessly and/or recklessly” “drove through the intersection…ignoring the controlling stop sign and traffic signal.”
5. The Tesla driver didn’t blame Tesla, didn’t sue Tesla, didn’t try to get Tesla to pay on his behalf. He took responsibility.
6. The Post had the driver’s statements to police and reports that he said he was “driving on cruise.” They omit that he also admitted to police “I expect to be the driver and be responsible for this.”
7. The driver later testified in the litigation he knew Autopilot didn’t make the car self-driving and he was the driver, contrary to the Post and Angulo claims that he was mislead, over-reliant or complacent. He readily and repeatedly admitted:
a. “I was highly aware that was still my responsibility to operate the vehicle safely.”
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b. He agreed it was his “responsibility as the driver of the vehicle, even with Autopilot activated, to drive safely and be in control of the vehicle at all times.”
c. “I would say specifically I was aware that the car was my responsibility. I didn’t read all these statements and passages, but I’m aware the car was my responsibility.”
8. The Post also failed to disclose that Autopilot restricted the vehicle’s speed to 45 mph (the speed limit) based on the road type, but the driver was pressing the accelerator to maintain 60 mph when he ran the stop sign and caused the crash. The car displayed an alert to the driver that, because he was overriding Autopilot with the accelerator, “Cruise control will not brake.”
While there are many articles that do not accurately convey the nature of our safety systems, the recent Washington Post article is particularly egregious in its misstatements and lack of relevant context.
We at Tesla believe that we have a moral obligation to continue…
— Tesla (@Tesla) December 12, 2023
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Elon Musk
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.
Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.
The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.
We made rockets reusable and are rebuilding the internet in space. The next challenge: making life multiplanetary and understanding the true nature of the universe
Watch @ElonMusk deliver a company update to @SpaceX employees pic.twitter.com/5c8rxoCQfu
— SpaceX (@SpaceX) August 11, 2026
Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
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None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.
The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.
Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
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Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
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High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
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Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
Tesla has one big financial question to answer for investors: Morgan Stanley
