News
Tesla’s $5B giga battery factory will disrupt more than carmakers and utilities

Making sense of Tesla Motors’ giga battery factory means taking a few steps back to see the bigger picture. We invite you to come along this electric ride as we put the pieces together and see just how disruptive Tesla really is.
Tesla is disrupting more than carmakers.
First things first, Tesla Motors isn’t a carmaker. Sorry to break it to you, but Tesla is a statement, an energy company, a lifestyle enabler and much more, wrapping it altogether into sexy computers on wheels. This is the biggest flaw carmakers made, seeing Tesla Motors as competition. Don’t believe us?
Tesla Motors, the energy management company.
Tesla Motors answered all of your electric vehicle (EV) needs, even those you didn’t know you had. What other carmaker offers you free supercharger? What other carmaker gives you soon the possibility to zip from Los Angeles to San Francisco swapping two or three battery packs? And even better, who gives you the option to pick up your original pack or keep the new one for a fee? Tesla is an EV enabler and much more.
Tesla Motors, the energy producing company.
Spending $5 billion on a battery manufacturing plant means serious business. It also means serious competition for a few unsuspecting industries, such as utilities and battery makers. Carmakers can’t make that kind of investment in battery technology, and won’t. It is too far out their business model.
Utilities is the industry segment Tesla is going after. This investment means Tesla will recycle lithium batteries and use them as storage with the solar energy it harvests. Connecting the plant to the grid means deadly competition for utilities, still trying to understand how to use EVs to their advantage. Tesla will force them to buy their energy or create their own micro-grid.
Tesla Motors, the battery company.
Tesla knows the price of lithium batteries has to continue to come down. Traditional companies struck strategic alliances to outlets, but not Tesla. After buying off the shelf, commodity lithium-ion batteries, it now will forgo the middleman to build its own batteries. This is yet another threat to battery makers worldwide. To think of the application this battery manufacturing plant has is staggering.
Tesla Motors, the lifestyle enabler challenges marketing.
More than anything, Tesla is beyond a performance cool car that runs on electrons. Tesla revolutionized the world of marketing and advertising by… not advertising. It’s not only brilliant, it saved the company millions of dollars better spent in R&D. Let’s face it, these advertising campaigns are not efficient. Why would you trust a manufacturer’s claim to be the best? It’s so impartial; everyone knows it and it just doesn’t work. Tesla is shaking the marketing world who is left to figure out what the “next big thing” is.
Tesla simply lets you drive your Model S for others to see that lifestyle statement. Remember that the Model S outsells any other car in its price range. If you think it bothers GM and Ford, imagine how Mercedes, BMW and Audi feel.
Can Tesla do no wrong?
We would be remiss not to point that the company is on a fast track to complete and absolute success in more than one industry. Still, as with such potential success, the opposite is equally valid. Investors are the Achilles heel, as the company’s stock price inflates to ridiculous levels. They could soon make unrealistic demands that could force the company down murky waters. Even Elon Musk agrees Tesla’s stocks are over-inflated.
It’s going to hurt when mainstream carmakers fully understand the wide-reaching scope of the Tesla Motors’ effect. They cannot compete with it, as much as they cannot compete with Apple or IBM. They will desperately try to catch up with a company that isn’t a carmaker. This year, utilities will wake up to the Tesla threat, after they barely get a grasp on what EVs mean for them. They will try to benefit using outdated models, but Tesla will throw a monkey wrench. Remember that if you stand in the way of Tesla, they will remove you by manufacturing it.
As we move away from a national grid to a smart grid system, with localized smart grids, utilities will have to switch from energy producers to energy managers. These are business model changes none of these industries are not equipped to make. Tesla Motors has played a fine chess game, not too many industries fully understand.
Elon Musk
Tesla Robotaxi deemed a total failure by media — even though it hasn’t been released
Nearly two weeks before it is even set for its planned rollout, Tesla Robotaxi has already been deemed a failure — even though it is not even publicly released.

Tesla Robotaxi is among the biggest tech developments of the year, and its June launch date has not yet arrived.
This does not matter to skeptics of the company, as they have already deemed the rollout a “failure,” “an enormous mess,” and plenty of other adjectives. No matter what, several outlets are already leaning on biased opinions and a lack of true evidence that points in any direction.
Futurism posted an article this morning claiming that Robotaxi is “already an enormous mess,” citing the opinions of Dan O’Dowd, perhaps Full Self-Driving’s biggest critic. There is no mention of any of the excitement or prosperity that would come from the opposite side of the argument.
Instead, it included that O’Dowd felt it was a failure in an 80-minute drive around Santa Barbara.
This is fair to include: Full Self-Driving is not perfect, which is why Tesla will implement safeguards like teleoperation at first. However, it’s not like it’s so awful it isn’t even remotely close. Personally, my experience with FSD was incredibly successful, responsible, and it was something I still wish I had on my car to this day. I wish the article would have included a quote from someone who is as equally passionate about FSD, just from the other side of the argument.

Credit: Tesla
There is no mention of Tesla’s most recent Vehicle Safety Report, which showed Autopilot-enabled cars are nearly 10x less likely to be involved in an accident compared to the national average. This might not be the same as Full Self-Driving, but it is still a testament to what Tesla has achieved with its driver assistance systems.
To be fair, Tesla has been a company that has missed timelines, especially when it comes to FSD. I used to roll my eyes a bit when CEO Elon Musk would say, “We’ll have Full Self-Driving finished by the end of the year,” or “We’ll have a million robotaxis on the road next year.” I was always skeptical.
However, Tesla has handled things differently this year. They’ve admitted the Robotaxi rollout will be controlled at first, including a fleet of only 10-20 Model Y vehicles. It will be private at launch, and only the lucky invited will have the opportunity to experience it in Austin in June.
It might be less than a public rollout, which of course, for people like you and me, is disappointing. But let’s be real: if Tesla launched a full-blown Robotaxi platform with no regulations or small-batch testing, there would be criticism of that, too.
Some media outlets are pointing to the recent NHTSA request for more information on how Tesla’s tech will “assess the ability of Tesla’s system to react appropriately to reduced roadway visibility conditions.” This seems more than reasonable as Robotaxi will be among the first driverless ridesharing programs in the United States.
Tesla gets new information request from NHTSA on Robotaxi rollout
It’s no more than a request for information on how things will be handled and how the tech works.
It is sad to see so many outlets already deem something that could be the next big thing as a failure, despite there being no real indication of it being that or a success. Let’s be fair and give Tesla an opportunity to meet its June target and Robotaxi some time to operate and prove to be a reliable ride-share option.
News
Tesla confirms annoying Full Self-Driving feature has been fixed
Tesla has changed one of its driver monitoring features in a request from several owners.

Tesla has confirmed that an annoying Full Self-Driving feature has been fixed.
We reported last week that several owners reported changes in the feature, and now we have confirmation that it has been revised by Tesla.
Tesla Full Self-Driving (Supervised) does not require a driver’s hands to be on the steering wheel. However, eye movements and attentiveness are tracked through a cabin-facing camera, aiming to improve safety and limit loopholes in the system.
Tesla seems to have fixed one of Full Self-Driving’s most annoying features
If the system detects that your eyes are not on the road or you are not paying attention, FSD will nudge you to get them back on the road. Too many occurrences of the driver not paying attention will result in losing access to FSD for the remainder of the drive.
However, many drivers using FSD complained that the system was too quick to alert drivers of inattentiveness. Fixing things like the HVAC temperature or even Autopilot settings on the center touchscreen would get you a nudge, which seemed unreasonably fast. Many drivers said it was a seven-second limit, but it seemed faster than this.
🚨 This is really nice to hear. Tesla said they’d fix it! pic.twitter.com/lFIZGc6PQ5 https://t.co/JE4UFAWEZz
— TESLARATI (@Teslarati) May 15, 2025
In my experience, FSD nudged me to pay attention to the road when I was adjusting the speed offset, which gives the vehicle permission to travel over the speed limit by a percentage. For example, a 10% offset in a 50 MPH zone would let the car travel 55 MPH.
The nudging seemed to be too fast and annoying, and many other Tesla drivers agreed. CEO Elon Musk had even noted that the nudge was too fast and drivers were right to be annoyed with it, especially considering that, in theory, it would be safer to adjust these settings on FSD and not while operating the car manually.
Tesla took the criticism drivers had and turned it into a much-needed and notable change that has now been confirmed by Ashok Elluswamy, Head of AI and Autopilot for the company:
Was much needed
— Ashok Elluswamy (@aelluswamy) May 16, 2025
The change seems to be initiated on vehicles with Hardware 4. It is certainly a welcome change as the nudge was just a tad sensitive and could have been much more reasonable.
The adjustment made by Tesla came just a week after owners truly started becoming more vocal about the issue.
Elon Musk
Tesla bull, ARK head Cathie Wood says brand damage is not long-term
Cathie Wood of ARK Invest does not believe Tesla brand damage is a long-term problem.

Tesla bull and head of ARK Invest, Cathie Wood, admitted during an interview with Bloomberg that she does believe the company has experienced some brand damage due to CEO Elon Musk’s political involvement. However, she does not believe it is a long-term issue.
Over the past eight months, Musk’s involvement in the U.S. political landscape has swayed some to stop supporting Tesla, others to ditch their cars, and some to boycott the brand altogether. Inversely, others have started supporting Musk, Tesla, and its products as a nod of support for what he’s done for government efficiency.
The perspective on how Musk’s involvement has impacted Tesla truly varies. Its impact has been noticeable, especially in Europe, as some countries have seen some pretty drastic declines in deliveries since the start of the year.
However, some of this can be attributed to the company’s switchover to new production lines for the updated Model Y. Some can also be blamed on economic issues, as the cost of living is still relatively high. There is no denying that at least some of the impact has come from those who simply disagree with Musk and are choosing not to buy his companies’ products.
Wood is among Tesla’s most outspoken bulls and has tremendously high expectations for the stock moving into the late 2020s and into the 2030s. In a recent interview, she highlighted the brand’s exceptional potential moving forward, but did address some of the short-term concerns, especially regarding Tesla’s perception amongst the public:
“I think he feels he has a duty to the country to make sure we don’t ‘blow ourselves up’ with these deficits. Brand damage? Yes. I do not believe [it is long-term]. Tesla, we believe, will have a lock on the Robotaxi business in the U.S., and we believe they are going to proliferate through the United States, especially if we remove regulation from a state level to a federal level, which we believe will happen.”
🚨 ARK’s Cathie Wood: “Tesla Brand Damage Has Happened”@CathieDWood breaks down what Elon Musk’s moves mean for $TSLA — from tech updates to falling sales in Europe!
She’s still bullish on US Robotaxis but warns that rules in Europe and China could make things tricky. Big… pic.twitter.com/YzNnc8dUhi
— Herbert Ong (@herbertong) May 19, 2025
Musk announced during the company’s most recent Earnings Call that he would step back from his government duties and return to Tesla in a more consistent role, as his work with the Department of Government Efficiency (DOGE) seemed to be winding down to a certain extent.
Tesla CEO Elon Musk confirms time spent with DOGE will drop ‘significantly’
It was a big win for Tesla investors, as many were interested in Musk returning his focus to the automaker, especially as 2025 is expected to be a year of many catalysts between the Robotaxi launch, affordable models coming into play, production of the Semi starting at the tail-end of the year, and the Optimus robot continuing consistent development.
Wood was quick to point out that Tesla is not the only car company that was suffering with lagging sales, as a macro-level perspective on the automotive industry proves that many automakers are looking for ways to avert disaster due to the ongoing tariff war.
Tesla is still the highest-valued automaker in the world, and it has plenty of bullish points to look forward to as the year nears the halfway point.
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