Tech
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Rani Molla

China drafts auto data rules, potentially a stepping stone toward Tesla’s full self-driving in the country

For the first time, the Chinese government has released draft guidelines for how car data generated there can be “queried, retrieved, downloaded and exported,” Bloomberg reports, saying the move could “pave the way for the wider rollout of Tesla’s most advanced driver-assistance functions in the world’s largest car market.”

Since the team for its so-called full self-driving (FSD) technology is based in the US, a framework for transmitting data is necessary to progress the technology there, Bloomberg says.

Tesla, which has partnered with Baidu in China to process mapping data, rolled out some FSD tools to China earlier this year. The company faces steep competition from local rivals like BYD that already offer plenty of driver assistance features as a standard.

Of course, the term “full self-driving” is still a bit of a misnomer, since the technology currently requires human supervision. Tesla says it plans to offer its first paid driverless robotaxi ride on June 22, so we will soon see if its actual autonomous driving works (with the caveat that there will be remote drivers available).

Still, the China rules are good news for Tesla, as CEO Elon Musk has said he believes scaling autonomous driving is more of a regulatory problem than a technical one.

“Once we can make it work in a few cities in China, we can make it work anywhere in China — likewise in Europe, limited only by regulatory approvals,” Musk said on the company’s latest earnings call.

Since the team for its so-called full self-driving (FSD) technology is based in the US, a framework for transmitting data is necessary to progress the technology there, Bloomberg says.

Tesla, which has partnered with Baidu in China to process mapping data, rolled out some FSD tools to China earlier this year. The company faces steep competition from local rivals like BYD that already offer plenty of driver assistance features as a standard.

Of course, the term “full self-driving” is still a bit of a misnomer, since the technology currently requires human supervision. Tesla says it plans to offer its first paid driverless robotaxi ride on June 22, so we will soon see if its actual autonomous driving works (with the caveat that there will be remote drivers available).

Still, the China rules are good news for Tesla, as CEO Elon Musk has said he believes scaling autonomous driving is more of a regulatory problem than a technical one.

“Once we can make it work in a few cities in China, we can make it work anywhere in China — likewise in Europe, limited only by regulatory approvals,” Musk said on the company’s latest earnings call.

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tech
Rani Molla

Tesla investors like the idea of merging with SpaceX

Tesla is trading up about 2.5% in early trading Friday after reports Thursday that the Elon Musk-led company was considering a merger with SpaceX, another of Musk’s many companies.

That’s a better showing than the stock’s reaction to its better-than-expected earnings a day earlier, after which shares closed down 3.5%. Acquiring a very valuable, entirely different company, it turns out, is a more attractive prospect than watching an existing one’s revenue and profit decline.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

tech
Jon Keegan

WSJ: OpenAI plans Q4 IPO in race to be the first AI startup to enter public markets

OpenAI was the first to the generative-AI market with ChatGPT, and now it hopes to be the first of its AI startup cohort to pull off an initial public offering, according to a report from The Wall Street Journal. The $500 billion startup is in a race against its $350 billion competitor Anthropic, which has also been exploring an IPO.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

tech
Rani Molla

SpaceX is actually considering a merger with Tesla or xAI: Report

Bloomberg reports that Elon Musk’s SpaceX is considering merging with Musk’s Tesla. Earlier today, Reuters had reported that SpaceX was thinking of potentially merging with xAI ahead of SpaceX’s IPO this year.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

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