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California judge rules that Tesla has to rename “Autopilot” because it’s misleading

The California Department of Motor Vehicles ruled Tuesday that Tesla violated state law by marketing its driver assistance features using “misleading” terms like “Autopilot” and “Full Self-Driving Capability.”

The DMV adopted an administrative law judge’s findings but softened some of the penalties: instead of suspending Tesla’s manufacturing license, the agency is giving the company 60 days to revise how it uses the term “Autopilot.” If it doesn’t, Tesla could be barred from selling cars in California, its largest US market, for 30 days.

Regulators said Tesla’s marketing suggested something much closer to autonomy — including claims that its system could “conduct short and long-distance trips with no action required by the person in the driver’s seat” — even though the features still require active driver supervision. “...vehicles equipped with those ADAS features could not at the time of those advertisements, and cannot now, operate as autonomous vehicles,” the agency wrote. After the DMV filed accusations against the company in November 2023, Tesla already discontinued use of the term “Full Self-Driving Capability,” replacing it with “Full Self-Driving (Supervised),” and now it must find something else to call “Autopilot.”

Tesla is currently testing its Austin Robotaxis, which use versions of its FSD software, without a safety monitor.

Regulators said Tesla’s marketing suggested something much closer to autonomy — including claims that its system could “conduct short and long-distance trips with no action required by the person in the driver’s seat” — even though the features still require active driver supervision. “...vehicles equipped with those ADAS features could not at the time of those advertisements, and cannot now, operate as autonomous vehicles,” the agency wrote. After the DMV filed accusations against the company in November 2023, Tesla already discontinued use of the term “Full Self-Driving Capability,” replacing it with “Full Self-Driving (Supervised),” and now it must find something else to call “Autopilot.”

Tesla is currently testing its Austin Robotaxis, which use versions of its FSD software, without a safety monitor.

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$100B

Waymo, Alphabet’s autonomous driving subsidiary, is in talks to raise more than $15 billion in a funding round that would value the company near $100 billion, Bloomberg reports. That’s more than double the valuation from its last round in October 2024, reflecting its lead in driverless ride-hailing.

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Tesla closes at all-time high

Tesla closed at an all-time high today of over $489. The company has been riding high as it tests its autonomous Robotaxi service without safety monitors and takes a bigger chunk of shrinking EV market share. Its previous high was $479 on December 17 last year.

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Tesla competitor Slate has 150,000 reservations and its mid-$20,000 price is “firm”

So-called Tesla killer Slate Auto now has 150,000 reservations, up 50% from this summer, for the company’s low-cost electric truck, according to CEO Chris Barman, who posted an “ask me anything” today. While that’s not exactly gangbusters interest for the truck, which is expected to come out late next year, it shows that new reservations are outpacing attrition.

The interest has kept up even as EV interest wanes following the end of the government’s $7,500 tax credit.

“The Slate is still affordable,” Barman said of the credit’s effect on the truck’s mid-$20,000 price point. “It doesn’t matter.”

She also noted that the SUV kit will cost $5,000 and test drives will start next year.

As we reported yesterday, typical automakers are rolling back their EV production, leaving room for EV-only companies like Tesla and Slate to gain market share.

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Instagram Reels is coming to a TV near you

Move over, Netflix. Meta is bringing Instagram Reels to a TV near you. The company on Tuesday unveiled its first dedicated TV app, letting users watch its short-form, user-generated videos on bigger screens. The app will debut on Amazon’s Fire TV before expanding to other platforms.

Instagram now competes not only with social video rivals like TikTok and YouTube, but increasingly with long-form streaming entertainment as well. Netflix, for instance, has argued that it needs to buy Warner Bros. Discovery in order to better compete with platforms like YouTube, which people spend more time watching on TV than anything else. YouTube may offer traditional streaming bundles, but much of its content still comes from user uploads — underscoring how deeply social video has encroached on the living room.

Instagram’s new TV app suggests Meta sees the same opportunity: if social video is already capturing big-screen attention, it wants a larger share of it.

Instagram now competes not only with social video rivals like TikTok and YouTube, but increasingly with long-form streaming entertainment as well. Netflix, for instance, has argued that it needs to buy Warner Bros. Discovery in order to better compete with platforms like YouTube, which people spend more time watching on TV than anything else. YouTube may offer traditional streaming bundles, but much of its content still comes from user uploads — underscoring how deeply social video has encroached on the living room.

Instagram’s new TV app suggests Meta sees the same opportunity: if social video is already capturing big-screen attention, it wants a larger share of it.

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Rani Molla

Tesla CEO Elon Musk is getting back into politics

Tesla CEO Elon Musk is cutting big checks to the GOP for the midterm elections as he dives back into politics, Axios reports.

Students of history might remember when Tesla’s stock tanked in the first half of the year thanks in part to Musk’s political machinations with DOGE. Or when Musk’s beef with the president of the United States sent the stock down sharply — twice. Or when Musk formed a competing third political party that also hurt the stock.

When Tesla’s board of directors laid out his latest humongous pay package, which has since been approved by shareholders, they said it was “critical” that it “receive assurances that Musk’s involvement with the political sphere would wind down in a timely manner.”

At the same time, they didn’t really put any guardrails in place to make sure that happened. And here we are!

When Tesla’s board of directors laid out his latest humongous pay package, which has since been approved by shareholders, they said it was “critical” that it “receive assurances that Musk’s involvement with the political sphere would wind down in a timely manner.”

At the same time, they didn’t really put any guardrails in place to make sure that happened. And here we are!

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