Tesla rolled out an over-the-air (OTA) software update to almost 55,000 Model X units this week, due to an issue in which a vehicle controller malfunctioned and the car failed to warn drivers of low brake fluid.
The National Highway Traffic Safety Administration (NHTSA) announced a recall on 54,676 Tesla Model X vehicles on Tuesday built between 2021 and 2023, due to vehicle controllers failing to detect low brake fluid and subsequently not displaying a warning light (via Reuters). Tesla deployed a free OTA update to the vehicles to fix the issue.
In the recall document, the NHTSA says the controller failure “may impact braking performance and may increase the risk of a collision.” As for the cause of the issue, the document states that the “vehicle controller’s set threshold range for the sensor may not be set to the correct range at low brake fluid levels.”
As of October 10, Tesla says it isn’t aware of any accidents, injuries or fatalities as a result of the malfunction. The automaker discovered the problem in September and worked with the Brakes Integration Team to identify and fix the set threshold range.
Tesla stores and service centers will be notified, though Tesla software update 2023.32.7 or later will fix the setting, according to the document.
You can read the NHTSA’s full recall notice here, complete with a chronology of Tesla’s discovery and response to the malfunction.
Some have criticized the use of the word “recall” in cases where Tesla or other automakers don’t need to perform any physical maintenance to fix a given problem. CEO Elon Musk criticized the use of the word recall in February, and he called the term “outdated and inaccurate” regarding these kinds of cases last fall.
The terminology is outdated & inaccurate. This is a tiny over-the-air software update. To the best of our knowledge, there have been no injuries.
— Elon Musk (@elonmusk) September 22, 2022
In the past, Tesla has often fixed so-called recalls by deploying an OTA update to the involved vehicles, which the cars then download and install — and often well before the NHTSA can officially send notice letters to them.
Involved Model X owners will still receive letters regarding the brake fluid controller recall notice, which the agency says will be mailed out by December 12. The related recall number is SB-23-00-005.
Tesla-style Over-the-Air updates will save OEMs $1.5B: research
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
Elon Musk
Elon Musk highlights the biggest flaw in X’s monetization program
Elon Musk also stated that YouTube manages creator payments “much better.”
Elon Musk has admitted that X’s creator payout system isn’t living up to expectations, and he has highlighted the current system’s biggest flaw.
Amidst complaints about low and inconsistent payments, the platform’s owner acknowledged that X has been “underpaying and not allocating payment accurately enough.” Musk also stated that YouTube manages creator payments “much better.”
Musk acknowledges payout issues
Recent discussions about the social media platform’s payout issues began when X product head Nikita Bier stated that the company was developing new upgrades for “power users.” This prompted X user Peter Duan to raise ongoing concerns about being “consistently underpaid” compared to his peers. Bier responded candidly, suggesting that “creator payouts do more harm than good and we need to off-ramp to a different system.”
Musk then weighed in on the matter, contradicting Bier’s view. “No,” Musk wrote in his reply, “the issue is that we are underpaying and not allocating payment accurately enough. YouTube does a much better job.” The Tesla CEO’s comment immediately reignited debates about X’s monetization program, which some have criticized for its rather unpredictable nature.
X’s monetization challenges
Since X launched its ad revenue-sharing program in 2023, the system has promised to reward Premium subscribers who generate high engagement with verified accounts, as noted in a WION report. Creators, however, have argued that the company’s payout model has remained inconsistent, with revenue fluctuating even when view counts stay stable. Reports have noted that some users with millions of monthly impressions have received just a few hundred dollars.
By contrast, YouTube’s Partner Program, which takes a 45% cut of ad revenue, is known for more transparent and predictable payments. Musk’s admission that YouTube handles monetization more effectively could then hint at a potential shift towards a new monetization program for X, a platform that has become increasingly critical to social conversations over the years.
News
Tesla exec hints at FSD Mad Max mode’s killer feature
The release notes of Tesla’s v14.1.2 FSD update indicate that Mad Max mode “comes with higher speeds and more frequent lane changes than Hurry.”
Tesla may have just rolled out its boldest Full Self-Driving (FSD) upgrade yet, but the company’s Head of AI, Ashok Elluswamy, hinted at the recently released “Mad Max” mode’s actual killer feature.
As per the Tesla executive, FSD’s Mad Max mode is designed to provide drivers with optimum driving performance during what are commonly the most tedious driving conditions on real-world roads.
Where Mad Max mode truly shines
Tesla drivers and longtime FSD users responded positively to the rollout of Mad Max mode. The performance of the update was so notable that @WholeMarsBlog, a longtime FSD tester, described it as epic. The FSD tester’s comments were posted on X as videos of Mad Max mode’s real-world performance were being shared online.
In response to the Tesla owner and longtime FSD tester, Elluswamy noted that drivers would probably love Mad Max mode even more during daytime hours, when traffic is denser. “You’ll love it more during day time / denser traffic. Really showcases its decision making,” the Tesla executive wrote in his post.
The release notes of Tesla’s v14.1.2 FSD update indicate that Mad Max mode “comes with higher speeds and more frequent lane changes than Hurry.” Videos shared online showed that Mad Max mode, despite its assertive driving style, is still a very cautious and safe driver, similar to past FSD releases.
Made for real-world traffic and long commutes
Traffic congestion typically peaks during daytime hours, when drivers could at times spend hours navigating crowded intersections and fast-changing lanes. For many Tesla owners, having an FSD mode that can confidently manage that chaos could be a game-changer.
Simply put, the feature’s extra assertiveness could allow Mad Max mode to excel in the kind of traffic that tests even the most patient drivers. By improving decision-making in those conditions, the company may be positioning FSD as a true solution for the everyday stress of stop-and-go commutes, packed freeways, and unpredictable city driving.
The “Mad Max” name itself isn’t new. Elon Musk first teased it back in 2018 as a playful nod to aggressive freeway driving. Its reappearance in Tesla’s modern FSD system, however, hints at the notable maturation of Tesla’s autonomous driving efforts over the years.
Tesla (NASDAQ: TSLA) had coverage initiated on it by a new firm this week, and analysts said that the company’s comfort level with taking risks makes it a “must own” for investors.
Melius Research and analyst Rob Wertheimer initiated coverage of the stock this week with a $520 price target and a “Buy” rating. The price target is about 20 percent higher than the current trading price as shares closed at $435 on Wednesday, up 1.38 percent on the day.
Wertheimer said in the note to investors that introduced their opinion on Tesla shares that the company has a lot going for it, including a prowess in AI, domination in its automotive division, and an incredible expertise in manufacturing and supply chain.
He wrote:
“We see Tesla shares as a must-own. The disruptive force of AI will wreck multitrillion-dollar industries, starting with auto. Under Musk’s leadership, the company is comfortable taking risks. It has manufacturing scale and supply chain expertise that robotics startups possess more by proxy. It can rapidly improve and scale autonomy in driving, the first major manifestation of AI in the physical world.”
However, there were some drawbacks to the stock, according to Wertheimer, including its valuation, which he believes is “challenging” given its fundamentals. He said the $1 trillion market cap that the company represented was “guesswork,” and not necessarily something that could be outlined on paper.
This has been discussed by other analysts in the past, too. Yale School of Management Senior Associate Dean Jeff Sonnenfeld recently called Tesla the “biggest meme stock we’ve ever seen,” by stating:
“This is the biggest meme stock we’ve ever seen. Even at its peak, Amazon was nowhere near this level. The PE on this, well above 200, is just crazy. When you’ve got stocks like Nvidia, the price-earnings ratio is around 25 or 30, and Apple is maybe 35 or 36, Microsoft around the same. I mean, this is way out of line to be at a 220 PE. It’s crazy, and they’ve, I think, put a little too much emphasis on the magic wand of Musk.”
Additionally, J.P. Morgan’s Ryan Brinkman said:
“Tesla shares continue to strike us as having become completely divorced from the fundamentals.”
Some analysts covering Tesla have said they believe the stock is traded on narrative and not necessarily fundamentals.
Elon Musk highlights the biggest flaw in X’s monetization program
Tesla exec hints at FSD Mad Max mode’s killer feature
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