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Uber forced to stop self-driving pilot program in San Francisco by DMV
No longer will Uber’s self-driving cars be seen on San Francisco’s streets. The company announced on Wednesday that it was ending its autonomous car service, which began just a week ago, after clashes with state regulators and amidst much public concern.
The state’s Department of Motor Vehicles revoked Uber’s registrations, saying they “were improperly issued for these vehicles because they were not properly marked as test vehicles.” While competitors such as Tesla Motors, Google, and Nvidia have complied with state testing requirements, Uber claimed it didn’t need a permit, as it says its cars were not fully autonomous.
The sixteen Uber Volvo XC90s were equipped with a suite of roof-mounted sensors and dual driver controls. Two humans were onboard, one who was required to keep hands on the steering wheel at all times and another who monitored the technology.
Self-driving vehicles steer and brake independently but generally operate with a human in the driver’s seat who is prepared to assume driving responsibilities should the situation merit it. California law defines autonomous vehicles as those that drive “without the active physical control or monitoring of a natural person.” Under threat of legal action, Uber shut down the pilot program.
From the moment that Uber’s small self-driving fleet entered San Francisco’s traffic patterns, controversy arose. Videos emerged of Uber pilot cars running a red light and stopped in the middle of an intersection. Uber blamed red light incidents on human driver error, not the cars’ technology.
Brian Wiedenmeir, executive director of the San Francisco Bicycle Coalition, wrote on the organization’s website that, prior to Uber’s official launch, he encountered self-driving Ubers make multiple illegal and unsafe “right-hook” turns across bicycle lanes. “Those vehicles are not yet ready for our streets.” Uber, however, countered, explaining that a software fix for right hooks “has already been fixed operationally.” In other words, the two humans aboard were instructed to assume vehicle control when making these more complicated turns.
San Francisco Mayor Ed Lee commended the DMV for taking enforcement action against Uber. “I have always been a strong supporter of innovation and autonomous vehicle development and testing,” he wrote Wednesday in an emailed statement, “but only under conditions that put human, bicyclist, and pedestrian safety first.”
In a letter to Uber, DMV Director Jean Shiomoto assured the company that the department is a proponent of autonomous technologies. “We are committed to assisting Uber in their efforts to innovate and advance this ground-breaking technology.”
“Uber is welcome to test its autonomous technology in California like everybody else, through the issuance of a testing permit that can take less than 72 hours to issue after a completed application is submitted,” a DMV spokesman wrote in an emailed statement. “The department stands ready to assist Uber in obtaining a permit as expeditiously as possible.”
“We’re now looking at where we can redeploy these cars,” an Uber spokeswoman said in a provided statement, “but remain 100 percent committed to California and will be redoubling our efforts to develop workable statewide rules.”
Uber’s reveal of its San Francisco self-driving car rollout was quite the spectacle, intended to position the company as a keen rivals to its competitors. Anthony Levandowski, vice president for Uber’s self-driving technology, blogged that “the promise of self-driving is core to our mission of reliable transportation, everywhere for everyone.”
Now Pittsburgh is the only U.S. city which allows Uber’s self-driving carshare service. No major incidents have been reported from the Pittsburgh test program, which began in September.
Elon Musk
Elon Musk’s net worth is nearing $800 billion, and it’s no small part due to xAI
A newly confirmed $20 billion xAI funding round valued the business at $250 billion, adding an estimated $62 billion to Musk’s fortune.
Elon Musk moved within reach of an unprecedented $800 billion net worth after private investors sharply increased the valuation of xAI Holdings, his artificial intelligence and social media company.
A newly confirmed $20 billion funding round valued the business at $250 billion, adding an estimated $62 billion to Musk’s fortune and widening his lead as the world’s wealthiest individual.
xAI’s valuation jump
Forbes confirmed that xAI Holdings was valued at $250 billion following its $20 billion funding round. That’s more than double the $113 billion valuation Musk cited when he merged his AI startup xAI with social media platform X last year. Musk owned roughly 49% of the combined company, which Forbes estimated was worth about $122 billion after the deal closed.
xAI’s recent valuation increase pushed Musk’s total net worth to approximately $780 billion, as per Forbes’ Real-Time Billionaires List. The jump represented one of the single largest wealth gains ever recorded in a private funding round.
Interestingly enough, xAI’s funding round also boosted the AI startup’s other billionaire investors. Saudi investor Prince Alwaleed Bin Talal Alsaud held an estimated 1.6% stake in xAI worth about $4 billion, so the recent funding round boosted his net worth to $19.4 billion. Twitter co-founder Jack Dorsey and Oracle co-founder Larry Ellison each owned roughly 0.8% stakes that are now valued at about $2.1 billion, increasing their net worths to $6 billion and $241 billion, respectively.
The backbone of Musk’s net worth
Despite xAI’s rapid rise, Musk’s net worth is still primarily anchored by SpaceX and Tesla. SpaceX represents Musk’s single most valuable asset, with his 42% stake in the private space company estimated at roughly $336 billion.
Tesla ranks second among Musk’s holdings, as he owns about 12% of the EV maker’s common stock, which is worth approximately $307 billion.
Over the past year, Musk crossed a series of historic milestones, becoming the first person ever worth $500 billion, $600 billion, and $700 billion. He also widened his lead over the world’s second-richest individual, Larry Page, by more than $500 billion.
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Tesla Cybercab sighting confirms one highly requested feature
The feature will likely allow the Cybercab to continue operating even in conditions when its cameras could be covered with dust, mud, or road grime.
A recent sighting of Tesla’s Cybercab prototype in Chicago appears to confirm a long-requested feature for the autonomous two-seater.
The feature will likely allow the Cybercab to continue operating even in conditions when its cameras could be covered with dust, mud, or road grime.
The Cybercab’s camera washer
The Cybercab prototype in question was sighted in Chicago, and its image was shared widely on social media. While the autonomous two-seater itself was visibly dirty, its rear camera area stood out as noticeably cleaner than the rest of the car. Traces of water were also visible on the trunk. This suggested that the Cybercab is equipped with a rear camera washer.
As noted by Model Y owner and industry watcher Sawyer Merritt, a rear camera washer is a feature many Tesla owners have requested for years, particularly in snowy or wet regions where camera obstruction can affect visibility and the performance of systems like Full Self-Driving (FSD).
While only the rear camera washer was clearly visible, the sighting raises the possibility that Tesla may equip the Cybercab’s other external cameras with similar cleaning systems. Given the vehicle’s fully autonomous design, redundant visibility safeguards would be a logical inclusion.
The Cybercab in Tesla’s autonomous world
The Cybercab is Tesla’s first purpose-built autonomous ride-hailing vehicle, and it is expected to enter production later this year. The vehicle was unveiled in October 2024 at the “We, Robot” event in Los Angeles, and it is expected to be a major growth driver for Tesla as it continues its transition toward an AI- and robotics-focused company. The Cybercab will not include a steering wheel or pedals and is intended to carry one or two passengers per trip, a decision Tesla says reflects real-world ride-hailing usage data.
The Cybercab is also expected to feature in-vehicle entertainment through its center touchscreen, wireless charging, and other rider-focused amenities. Musk has also hinted that the vehicle includes far more innovation than is immediately apparent, stating on X that “there is so much to this car that is not obvious on the surface.”
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Tesla seen as early winner as Canada reopens door to China-made EVs
Tesla had already prepared for Chinese exports to Canada in 2023 by equipping its Shanghai Gigafactory to produce a Canada-specific version of the Model Y.
Tesla seems poised to be an early beneficiary of Canada’s decision to reopen imports of Chinese-made electric vehicles, following the removal of a 100% tariff that halted shipments last year.
Thanks to Giga Shanghai’s capability to produce Canadian-spec vehicles, it might only be a matter of time before Tesla is able to export vehicles to Canada from China once more.
Under the new U.S.–Canada trade agreement, Canada will allow up to 49,000 vehicles per year to be imported from China at a 6.1% tariff, with the quota potentially rising to 70,000 units within five years, according to Prime Minister Mark Carney.
Half of the initial quota is reserved for vehicles priced under CAD 35,000, a threshold above current Tesla models, though the electric vehicle maker could still benefit from the rule change, as noted in a Reuters report.
Tesla had already prepared for Chinese exports to Canada in 2023 by equipping its Shanghai Gigafactory to produce a Canada-specific version of the Model Y. That year, Tesla began shipping vehicles from Shanghai to Canada, contributing to a sharp 460% year-over-year increase in China-built vehicle imports through Vancouver.
When Ottawa imposed a 100% tariff in 2024, however, Tesla halted those shipments and shifted Canadian supply to its U.S. and Berlin factories. With tariffs now reduced, Tesla could quickly resume China-to-Canada exports.
Beyond manufacturing flexibility, Tesla could also benefit from its established retail presence in Canada. The automaker operates 39 stores across Canada, while Chinese brands like BYD and Nio have yet to enter the Canadian market directly. Tesla’s relatively small lineup, which is comprised of four core models plus the Cybertruck, allows it to move faster on marketing and logistics than competitors with broader portfolios.