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Hydrogen Cars Were Supposed to Be the Future. Now Owners Are Suing Toyota
Several Mirai drivers have found themselves still paying for cars they don’t even drive anymore.
The promise of a hydrogen-fueled future has turned into a nightmare for hundreds of car owners in California. Drivers who purchased Toyota’s flagship fuel cell vehicle, the Mirai, are now suing the automaker and other key players, alleging they were misled about the viability of the hydrogen fueling network. With infrastructure collapsing and hydrogen prices surging, several Mirai drivers have found themselves still paying for cars they don’t even drive anymore.
The legal backlash comes as Toyota and other early champions of hydrogen-powered mobility face growing criticism over whether they pushed a technology too soon into an unprepared market.
A green gamble gone wrong
Sam D’Anna had barely driven his $75,000 Toyota Mirai in July 2022 when he realized something was wrong. His Mirai’s hydrogen tank was nearly empty. A dealership staffer at Roseville Toyota ran over to inform him that the nearest fueling station, in Citrus Heights, was offline. The next closest one was in West Sacramento, nearly 25 miles away. That should not be a problem for the Mirai due to its 402-mile EPA-estimated range, but since the car was almost empty, his range indicator showed only 22 miles.

“I’ve already signed,” D’Anna told the Sacramento Bee. He ended up driving off the lot with the air conditioning turned off to conserve fuel. “This is bad. My heart was dropping into my stomach.”
D’Anna is now one of the plaintiffs in a class action lawsuit against Toyota, hydrogen station operator FirstElement Fuel, the Hydrogen Fuel Cell Partnership, and California Governor Gavin Newsom.
The complaint, filed in Los Angeles Superior Court, accuses the defendants of fraud, negligence, and violations of consumer protection laws, among others. It alleges that Toyota knowingly sold vehicles reliant on a fueling ecosystem that was more than subpar, trapping buyers in loans for cars they can barely use.
D’Anna’s Mirai now sits unused under a tarp at his father’s house in El Dorado County. He still pays nearly $1,100 a month on the car, on top of a $1,200 monthly payment for a Ford F-150 hybrid he purchased in 2023 as a replacement.

Infrastructure that never materialized
At its peak, California’s hydrogen vision appeared ambitious but achievable. The state pledged tens of millions of dollars to build a network of fueling stations. Automakers like Toyota, Hyundai, and Honda introduced sleek zero-emission vehicles powered by compressed hydrogen gas.
The pitch was compelling. Drivers could refuel in a few minutes and emit only water vapor, a seemingly reasonable if not preferable alternative to electric vehicles, which were still gaining traction.
But the real-world rollout failed to keep pace with the marketing. California currently has about 50 hydrogen fueling stations, as per data from the Hydrogen Fuel Cell Partnership. And in 2024, Shell exited the market and shuttered multiple locations.
Even when hydrogen stations are available, they are often plagued by maintenance issues and inconsistent supply. Hydrogen prices have tripled too, and what once cost $70 to fill now runs closer to $200, the Bee noted.

In a statement to Teslarati, Patrick Peterson, auto expert at GoodCar.com, said, “Toyota and Hyundai were among the first to push hydrogen forward, and their vehicles are genuinely impressive. But the issue isn’t the tech, it’s everything around it. The infrastructure just isn’t ready. Most drivers aren’t willing to gamble on whether they’ll find a working hydrogen station or deal with issues like frozen fuel nozzles.”
Peterson said hydrogen’s biggest flaw is its lack of consistency. “EVs, for all their early bumps, have earned consumer trust. You’ve got widespread charging access, predictable performance, and fewer question marks. Hydrogen hasn’t hit that point yet. One bad fill-up can sour someone’s view of the entire platform.”
The price of faith in an idea
Ricky Yap of West Sacramento bought his 2016 Toyota Mirai in 2020 from Roseville Toyota. The vehicle, priced at $16,000, came with a prepaid fuel card worth the same amount. Initially, the fueling experience was “a bit cumbersome and confusing but not so bad,” Yap told the Bee. Then things got a lot worse.

Shell’s closure of hydrogen stations led to long lines at the only remaining site in Sacramento. Hydrogen prices soared, and fueling, thanks to long lines at the station, ended up taking as long as four hours. Yap eventually stopped using the car altogether. He canceled the insurance and registered it as a non-operational vehicle.
“I used it very seldom just because of the fact I don’t like the stress,” he said. “I don’t want to pay insurance on a car that I can’t use every day.”
The lawsuit claims that Toyota and its partners misled consumers about the viability of the hydrogen ecosystem. Many owners were driven by environmental motivations, enticed by generous incentives and Toyota’s reputation. But the resale value of hydrogen cars has collapsed.
One plaintiff, Parita Shah, a physician assistant from Sacramento County, told the Bee that her dealership offered her only $2,000 for her $36,000 Mirai after stations near her home shut down just months after purchase.

Consumers’ legal action turns up the pressure
In July 2025, frustrated Mirai owners organized a demonstration in Los Angeles to draw attention to what they called a broken promise. Protesters held signs reading “Mirai is a Lie,” “Toyota Made a Big Mistake,” and “Mirai Left Me Dry.”
Jason Ingber, attorney for D’Anna, Yap, and several other Mirai owners, spoke at the event. He accused the automaker of knowingly selling a product into a failing infrastructure.
“These are brands they thought they could rely on, and they go in, and they’re told ‘This is the next best thing!’ and it turns out, it’s not,” Ingber told KTLA 5.
Ingber also shared a comment to Teslarati: “Toyota is still selling this car. It makes no damn sense. No fuel for drivers. The car doesn’t work as advertised,” he said.

Automakers offer limited relief
Toyota has acknowledged the fueling issues and confirmed that it stopped selling new Mirais in the Sacramento area over a year ago. In a statement to the Bee, the company said it is “working with affected Mirai customers to identify ways to help them on a case-by-case basis.”
Rental cars and service credits are among the remedies offered, but plaintiffs argued that these are not sustainable solutions. Shah stated that the rental process is quite cumbersome. In her case, she has been relying on a series of short-term rental cars provided by Toyota, which she must exchange every 25 days. She continues to make $326 monthly payments on he Mirai, which she cannot use.
Hyundai, whose Nexo SUV also relies on hydrogen fuel, has offered similar 21-day rental options. The company also issued a recall for about 1,600 Nexo SUVs in late 2024 due to possible hydrogen leaks and potential fires, warning owners to park their cars outside until repairs were made.
A shrinking market
Since 2012, just under 18,000 hydrogen-powered vehicles have been sold in California. Toyota accounts for the vast majority of them, but the pace of adoption has slowed dramatically. For comparison, California now has millions of battery electric and hybrid vehicles on the road.

Policies have also seen a notable shift. California initially committed about $20 million annually to develop hydrogen fueling infrastructure. That number has since dropped to $15 million, and it’s no longer limited to light-duty stations.
Josh Newman, a former state senator and current Mirai owner, told the Bee that government support has fallen short. “I blame the state. We were supposed to have 200 stations up and running for light-duty hydrogen vehicles by 2025,” he said.
In a statement to Teslarati, Alex Black, Chief Marketing Officer at EpicVIN, said the problem now extends beyond infrastructure. “Yes, hydrogen cars do have an image problem right now,” he said.
“Many just do not have confidence in the technology, largely because they have not seen very many out there, there are not many places to fill them up, and have heard about previous recall problems or problems. That tends to stick with them.”
Black added that public sentiment plays a powerful role. “When public sentiment turns, all activity comes to an end: reduced demand, reduced investment, and fewer stations are built. It’s a vicious circle.”

A clean tech cautionary tale
Toyota’s investment in hydrogen was bold and well-intentioned. The technology offers apparent advantages, especially for long-haul or commercial use cases where quick refueling and long range are critical. But for personal mobility, hydrogen’s future remains uncertain, if not questionable, today.
The technology may still find its place in transportation. But for now, at least, consumer trust in hydrogen vehicles has been undermined, and infrastructure is still unreliable for those who have opted to become early adopters of the technology. For those who bought into the vision early, the experience has turned into a cautionary tale.
“People want something they can rely upon,” said Black in his statement to Teslarati. “And they want it to be easy. Hydrogen is not quite there yet.”
For Mirai owners still making monthly payments on cars they cannot drive, the idea of a hydrogen powered future is very sobering.
News
Tesla plans for largest Australian Supercharger yet
The company has a 20-stall site in the city of Goulburn in New South Wales, which is an ideal location for trips between Sydney and Canberra, two major cities.
Tesla is planning to build its largest Supercharger in Australia yet, expanding on the infrastructure the company has built for electric vehicles.
The company has a 20-stall site in the city of Goulburn in New South Wales, which is an ideal location for trips between Sydney and Canberra, two major cities.
However, according to The Driven, a new Australian Supercharger is on the way, and it is going to be the biggest in the country, accounting for more than 25 stalls total. They will likely be V4 Superchargers, Tesla’s fastest piles that enable some serious range for cars that will plug in.
@LudicrousFeed Before I forget, one for tonight. Highway service centre near Mackay with 25+ charging stalls!
Website has a couple of video renders too.https://t.co/WkuklxE7tk pic.twitter.com/BxKQ8bDUZ7— ⚡chuqtas (@chuqtas) March 11, 2026
Tesla is operating 148 active Supercharger sites in Australia, with 80 of those being available to non-Tesla EVs as a part of the company’s initiative to make things accessible for all electric vehicle owners.
The expansion of Tesla Superchargers is welcome for all EV owners, especially as there are so many automakers that have access to the network. It is widely reliable and extremely dependable; it is tough to find a Supercharger location that is completely out of service.
The opening of the stalls will be welcome for the Tesla owners of Australia, especially as the Model Y continues to be a major contributor to the company’s prowess in the market.
Tesla’s sales performance in Australia showed a mixed but challenging picture in 2025, with the company delivering 28,856 new vehicles, marking a significant 24.8% decline from 38,347 units in 2024.
This represented the brand’s largest annual drop on record and the second consecutive year of decline, amid intensifying competition from Chinese EV makers like BYD and shifting buyer preferences toward SUVs. The Tesla Model Y remained a standout performer and Australia’s best-selling electric vehicle, with 22,239 deliveries, up 4.6percent year-over-year, accounting for about 77 percent of Tesla’s total sales.
The mid-year launch of the updated “Juniper” Model Y helped sustain momentum in the popular mid-size SUV segment.
In contrast, the Model 3 sedan struggled sharply, plummeting 61.3 percent to just 6,617 units, as consumers favored SUVs and faced growing options in the sedan category.
Despite the overall dip, Tesla held onto leadership in the EV segment, capturing roughly 28 percent of the BEV market. Australia’s EV market grew robustly, surpassing 156,000 sales and reaching 13 percent market share, up 38.7 percent from 2024, highlighting strong broader adoption even as Tesla faced headwinds.
Early 2026 data suggests a rebound, with EV sales nearly doubling year-over-year in February and the Model Y showing strong gains, positioning Tesla for potential recovery amid ongoing competition.
News
Tesla Model Y L gets new entertainment feature
Beyond audio quality, Immersive Sound X aligns with Tesla’s ecosystem of over-the-air updates, potentially allowing future refinements.
Tesla is including a new entertainment feature in the Model Y L, improving the vehicle even further and making it what appears to be the best configuration of the all-electric crossover globally.
Unfortunately, we in the U.S. do not yet have access to the vehicle, and the plans for it to enter the market remain up in the air, as CEO Elon Musk has said it could appear late this year. However, there is nothing concrete at this time.
Tesla’s latest enhancement to the Model Y L is a new Immersive Sound X feature, exclusive to the Model Y L.
Model YL has new sound system setting. Immersive Sound X. This is NOT on the new Y and 3 pic.twitter.com/7OpJuzyoGf
— Electric Future (@electricfuture5) March 16, 2026
It aims to transform the in-car listening experience into something truly cinematic. First introduced by Tesla China in October 2025, this advanced audio mode is now rolling out to deliveries in Australia and New Zealand, highlighting Tesla’s approach to region-specific premium upgrades.
At its core, Immersive Sound X leverages real-time sound extraction technology to create a customizable 3D soundstage. Using advanced algorithms, it analyzes audio tracks to separate direct sounds, such as vocals or lead instruments, from ambient elements like echoes and reverb.
The system then positions direct sounds front and center while diffusing ambient sounds to the side and rear speakers, simulating an expansive virtual environment. This results in a heightened sense of depth and spatial awareness, making listeners feel as if they’re in a concert hall or studio.
What sets Immersive Sound X apart from the standard Immersive Sound found in other Tesla models is its hardware dependency and enhanced processing. The Model Y L boasts an 18-speaker system with a subwoofer, compared to the 15-speaker setup, plus a subwoofer, in the Model Y Long Range’s previous premium audio configuration.
This upgrade provides more “kick” and precision, enabling finer control over the soundstage. Unlike traditional surround sound, which requires multi-channel mixes like Dolby Atmos, Immersive Sound X works with any stereo source from platforms like Spotify or Apple Music, so every owner will be able to use it.
Tesla Model Y lineup expansion signals an uncomfortable reality for consumers
You can fine-tune the experience via an adjustable immersion slider, scaling the “size” of the virtual space to personal preferences. This caters to a more custom sound.
An Auto mode intelligently adapts based on media type, whether it’s music, podcasts, or videos, ensuring optimal immersion without manual tweaks. This feature is unavailable on standard Model Y variants (with 7 or 15 speakers) or Model 3 trims, underscoring Tesla’s strategy to differentiate higher trims through superior hardware and software integration.
Beyond audio quality, Immersive Sound X aligns with Tesla’s ecosystem of over-the-air updates, potentially allowing future refinements.
For audiophiles and casual listeners alike, it elevates mundane commutes into immersive journeys, proving Tesla’s commitment to blending cutting-edge tech with user-centric design.
Elon Musk
Elon Musk teases crazy outlook for xAI against its competitors
Musk’s response was vintage hyperbole, designed to rally supporters and dismiss doubters, something his responses on social media often do.
Elon Musk has never been one to shy away from crazy timelines, massive expectations, and outrageous outlooks. However, his recent plans for xAI and where he believes it will end up compared to its competitors are sure to stimulate conversation.
In a bold and characteristic response on X, Elon Musk fired back at a recent analysis that positioned his AI venture, xAI, as lagging behind industry frontrunners.
The post, from March 14, came as a direct reply to forecaster Peter Wildeford’s assessment, which drew from benchmarks and reporting to rank AI developers.
xAI will catch up this year and then exceed them all by such a long distance in 3 years that you will need the James Webb telescope to see who is in second place
— Elon Musk (@elonmusk) March 14, 2026
Wildeford placed Anthropic, Google, and OpenAI in a virtual tie at the top, with xAI and Meta trailing by about seven months. Chinese players like Moonshot, Deepseek, zAI, and Alibaba were estimated to be nine months behind, while France’s Mistral lagged by about a year and a half.
Musk’s response was vintage hyperbole, designed to rally supporters and dismiss doubters, something his responses on social media often do.
He claimed xAI would “catch up this year,” meaning by the end of 2026, erasing that seven-month deficit against the leaders. But he didn’t stop there.
Musk escalated his vision to 2029, predicting xAI would “exceed them all by such a long distance” that observers would need the James Webb Space Telescope, NASA’s orbiting observatory stationed about 930,000 miles from Earth, to spot whoever lands in second place. This analogy underscores Musk’s confidence in xAI’s trajectory, implying an astronomical lead that could redefine the AI landscape.
Breaking down these claims reveals Musk’s strategic optimism. First, the short-term catch-up: xAI, launched in 2023, has already released models like Grok, but recent benchmarks, including those for Grok 4.2, have shown it falling short in capabilities compared to rivals.
Anthropic’s Claude series, Google’s Gemini, and OpenAI’s GPT models dominate in areas like reasoning, coding, and multimodal tasks. Musk’s assertion suggests aggressive scaling in compute, talent, or architecture, perhaps leveraging xAI’s ties to Tesla’s Dojo supercomputers or Musk’s vast resources, to close the gap swiftly.
The longer-term dominance by 2029 paints an even more audacious picture. Musk envisions xAI not just parity but supremacy, outpacing competitors in innovation speed and model sophistication.
This could involve breakthroughs in energy-efficient training, real-world integration, like Tesla’s robotics, or ethical AI alignment, aligning with Musk’s stated goal of “understanding the universe.”
Critics, however, point to parallels with Tesla’s Full Self-Driving delays; one reply highlighted Musk’s 2023 promise of FSD readiness. Musk has made this promise for many years, and although the system has been strong and improving, it is still a ways off from the completely autonomous operation that was expected by now.
Tesla Full Self-Driving v14.2.2.5 might be the most confusing release ever
Musk’s comment highlights the intensifying U.S.-centric AI race, with xAI challenging the “three-way” dominance noted by Wharton professor Ethan Mollick, whom Wildeford quoted. As geopolitical tensions rise—evident in the Chinese firms’ lag—Musk’s tease could spur investment and talent wars.
Yet, it also invites scrutiny: Will xAI deliver, or is this another telescope-needed mirage? In an industry where timelines slip but stakes soar, Musk’s words keep the spotlight on xAI’s ambitious path forward.