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Tesla’s Yoke Steering Wheel: NHTSA gives new statement

(Credit: Tesla)

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The National Highway Traffic Safety Administration (NHTSA) has given an updated statement regarding Tesla’s new Yoke Steering Wheel, which comes as an option with the refreshed Model S and Model X.

The NHTSA told Teslarati this morning:

NHTSA is aware of the recently launched Tesla steering yoke in certain Model S vehicles. We requested and received information from Tesla about the steering yoke and we remain actively engaged with the company during our review. NHTSA routinely engages with auto manufacturers and suppliers to better understand the new technologies and features they develop and introduce to the U.S. fleet.”

Since early February, the NHTSA has been actively reviewing the Yoke Steering Wheel when the agency indicated that it “cannot determine if the steering wheel meets Federal Motor Vehicle Safety Standards. We will be reaching out to the automaker for more information.” Since then, Tesla has been communicating with the NHTSA to determine whether the Yoke lines up with its safety standards.

Any car or equipment used with a vehicle that will operate on U.S. roads must comply with the NHTSA’s FMVSS, or Federal Motor Vehicle Safety Standards. Tesla and any other car company has the right and ability to determine internally whether a vehicle or piece of vehicle equipment is compliant with the FMVSS, and can use any means necessary to determine this. Manufacturers can use testing procedures, engineering analytics, or standard testing procedures to determine whether a vehicle or piece of equipment meets the NHTSA’s FMVSS standards. Ultimately, the NHTSA gets the final say, and if a vehicle or piece of equipment is in violation of any of the FMVSS regulations, the agency has the ability to act if it sees a reason to believe that it is noncompliant or has the possibility of causing a safety-related defect.

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The NHTSA’s FMVSS regulations are available here.

Tesla is priming customers for a disappearing steering wheel

Tesla unveiled its Yoke steering wheel on January 27th, 2021, during the release of its Q4 2020 Earnings Call Update Letter, when the manufacturer revealed updated pictures of the refreshed Model S interior. Along with several other updates, the most notable and arguably the most talked about feature was the addition of a Yoke steering wheel, giving the Model S an even more sporty interior. First glimpses of the Yoke steering wheel were uncovered this past weekend by The Kilowatts, which showed the newly-designed wheel within a Model S interior.

It has been speculated whether Tesla would be able to keep the Yoke design within its Model S and Model X vehicles. As of now, it appears the NHTSA is still communicating with Tesla, but the Yoke has not given the NHTSA an indication that Tesla has committed any noncompliance or safety-related defects with the new steering wheel design.

Tesla’s new Yoke steering wheel has been approved for use in several regions, including the United Kingdom and the Netherlands.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

Elon Musk

Elon Musk gives key update on plans for Tesla Diner outside of LA

More Tesla Supercharger Diners are on the way, Elon Musk says, as long as the initial one is successful.

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tesla diner supercharger in los angeles california at night
Credit: Tesla

Elon Musk has given a key update on its plans for the Tesla Supercharger Diner, as the first location in Los Angeles is set to open today, July 21.

The idea for the Supercharger Diner, which resembles a 50s-style eatery with elements of futuristic technology, is seven years in the making. Many wondered whether Tesla would expand its idea for a Supercharger restaurant outside of LA, and now we have an answer directly from Musk.

Elon Musk confirms awesome new features at Tesla Diner Supercharger

The Tesla CEO said that the company will establish these types of experiences “in major cities around the world, as well as at Supercharger sites on long distance routes.”

The Supercharger Diner has plenty of ways to draw in customers, and although the food and merchandise sold at the location will not be a major contributor to Tesla’s balance sheet, where investors want to see it, it could pay off in other ways.

The Diner is not exclusive to Tesla owners, so those who drive gas cars can still stop in for a burger, fries, and a shake while roaming around Los Angeles. The features of the Diner, however, do require a Tesla vehicle.

In-car ordering and movie screens syncing to the center touchscreen are two things that Tesla owners will enjoy that other drivers will not. These might be trivial, but the experience on its own could be a way that some consider buying a Tesla.

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It might sound crazy that a singular diner experience would flip someone to buy a car, but it’s not the most outlandish thing we’ve ever come across.

The question is where Tesla will plan to build these Supercharger Diners. Musk has already indicated that Starbase, Texas, will be one location, which fits with one of his other companies, SpaceX.

Austin could be an ideal location, but New York, Miami, Washington D.C., Boston, and plenty of other popular metro areas within the U.S. could see their own diners in the coming years.

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Investor's Corner

Tesla analyst says this stock concern is overblown while maintaining $400 PT

Tesla reported $2.763 billion in regulatory credit profits last year.

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Credit: Tesla

One Tesla analyst is saying that a major stock concern that has been discussed as the Trump administration aims to eliminate many financial crutches for EV and sustainable industries is overblown.

As the White House continues to put an emphasis on natural gas, coal, and other fossil fuels, investors are concerned that high-powered sustainability stocks like Tesla stand to take big hits over the coming years.

However, Piper Sandler analyst Alexander Potter believes it is just the opposite, as a new note to investors released on Monday says that the situation, especially regarding regulatory credits, is “not as bad as you think.”

Tesla stacked emissions credits in 2023, while others posted deficits

There have been many things during the Trump administration so far that have led some investors to consider divesting from Tesla altogether. Many people have shied away due to concerns over demand, as the $7,500 new EV tax credit and $4,000 used EV tax credit will bow out at the end of Q3.

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The Trump White House could also do away with emissions credits, which aim to give automakers a threshold of emissions to encourage EV production and cleaner powertrains. Companies that cannot meet this threshold can buy credits from other companies, and Tesla has benefitted from this program immensely over the past few years.

As the Trump administration considers eliminating this program, investors are concerned that it could significantly impact Tesla’s balance sheet. Potter believes the issue is overblown:

“We frequently receive questions about Tesla’s regulatory credits, and for good reason: the company received ~$3.5B in ‘free money’ last year, representing roughly 100% of FY24 free cash flow. So it’s fair to ask: will recent regulatory changes threaten Tesla’s earnings outlook? In short, we think the answer is no, at least not in 2025. We think that while it’s true that the U.S. government is committed to rescinding financial support for the EV and battery industries, Tesla will still book around $3B in credits this year, followed by $2.3B in 2026. This latter figure represents a modest reduction vs. our previous expectation…in our view, there’s no need for drastic estimate revisions. Note that it’s difficult to forecast the financial impact of regulatory credits — even Tesla itself struggles with this — but the attached analysis represents an honest effort.”

Tesla’s regulatory credit profitability by year is:

  • 2020: $1.58 billion
  • 2021: $1.465 billion
  • 2022: $1.776 billion
  • 2023: $1.79 billion
  • 2024: $2.763 billion

Potter and Piper Sandler maintained an ‘Overweight’ rating on the stock, and kept their $400 price target.

Tesla shares are trading at $329.63 at 11:39 a.m. on the East Coast.

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Tesla rolls out update to Robotaxi service that makes pickups so much better

The update was confirmed by CEO Elon Musk in a post on social media platform X.

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Credit: Joe Tegtmeyer/X

Tesla has rolled out a minor update to its Robotaxi service that will likely make the driverless ride-hailing system notably better and more convenient for consumers. The update was confirmed by CEO Elon Musk in a post on social media platform X.

Robotaxi service updates

The Robotaxi update was observed by users of the driverless ride-hailing service over the weekend. As observed by Tesla enthusiast Owen Sparks, the Austin Robotaxi fleet no longer strictly navigates to the pickup point listed on the app. Instead, the Robotaxis now stop in the exact location of a user’s phone.

Elon Musk confirmed the update, noting in a post on X that the change was an upgrade to the service. It’s a reactively minor update in the grand scheme of things, but it should make the Robotaxi service feel more organic and humanlike.

https://twitter.com/OwenSparks_/status/1947124143989923955
https://twitter.com/elonmusk/status/1947163583592452482

Driverless taxis

Tesla’s Robotaxi service in Austin has been receiving good reviews from users since it was launched, with many praising the vehicles for their cautious and humanlike behavior. Some users on social media even noted that Tesla’s Robotaxis feel safer on the road than cars from services like Uber, which are manually driven.

Tesla’s minor updates to its Robotaxi service are expected to make the customer experience of the driverless ride-hailing service more refined. By doing so, Tesla could ease customers into its service, even if only a fraction of ride-hailing users are familiar with fully autonomous cars. With this in mind, even small updates like picking up customers based on their specific phone location will likely go a long way towards making Tesla’s Robotaxis more accepted by the general public. 

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