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Tesla’s upcoming Robotaxi launch in Austin, Texas, is increasingly looking like a game of smoke and mirrors, and a dangerous one at that.

CEO Elon Musk claims Tesla is being “paranoid with safety”, but it is taking risks for the purpose of optics.

It’s all about optics

Musk has been wrong about self-driving for years. His track record is marked by missed deadlines and broken promises.

He said:

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“Our goal is, and I feel pretty good about this goal, that we’ll be able to do a demonstration drive of full autonomy all the way from LA to New York, from home in LA to let’s say dropping you off in Times Square in New York, and then having the car go park itself, by the end of next year. Without the need for a single touch, including the charger.”

That was in 2016, and therefore, he claimed it would happen by the end of 2017. Today, in 2025, Tesla is still not capable of doing that.

Musk has claimed that Tesla would achieve unsupervised self-driving every year for the last decade. It has become a running gag, with many YouTube videos featuring his predictions and a Wikipedia page tracking his missed deadlines.

Famously, the predictions are about Tesla achieving self-driving “by the end of the year” or “next year.”

This time, Musk has set a clear deadline of “June” for Tesla to launch its robotaxi service.

With Waymo pulling ahead in the autonomous driving race, now operating in four cities, providing over 200,000 paid rides per week, and soon expanding with 2,000 more vehicles, Musk needs a win to maintain the illusion he has been pushing for a while: that Tesla is the leader in autonomous driving.

He recently claimed about Tesla’s self-driving technology:

No one is even close. There’s really not a close second. We felt like it was a bit of an iPhone moment — you either get it or you don’t, and there’s a massive gap.

This is becoming increasingly difficult to claim amid Waymo’s expansion. Still, Musk believes that the robotaxi launch in Austin will help maintain the illusion, even though Waymo has already been operating like Tesla’s plans in Austin for years in other cities and for months in Austin itself.

Moving of the Goal Post

We have often described what Tesla is doing in Austin with its planned “robotaxi” launch as a moving of the goalpost.

For years, Tesla has promised unsupervised self-driving in all its vehicles built since 2016. Musk explicitly said that customers who bought Tesla’s Full Self-Driving package would be able to “go to sleep” at the wheel of their vehicles and wake up in another city.

Now, Musk is claiming that Tesla has “solved” self-driving with its “robotaxi” launch, but it is vastly different from prior promises.

Tesla plans to operate its own small internal fleet of vehicles with dedicated software optimized for a geo-fenced area of Austin and supported by “plenty of teleoperation.” This is a night-and-day difference compared to deploying unsupervised self-driving in customer vehicles, as promised since 2016.

Musk himself is on record saying, “If you need a geofence area, you don’t have real self-driving.”

Now, Musk is on record saying that Tesla will only launch the service in a limited area in Austin and even avoid certain intersections that Tesla is not sure it can handle:

We will geo‑fence it. It’s not going to take intersections unless we are highly confident it’s going to do well with that intersection. Or it will just take a route around that intersection.

In addition to geofencing, Tesla is also utilizing teleoperation to control vehicles with human operators remotely.

We reported last year when Tesla started building a “teleoperation team.”

Despite Tesla originally planning to launch the robotaxi service on June 12, and now “tentatively” on June 22, the automaker posted a new job listing days ago for engineers to help build a low-latency teleoperation system to operate its “self-driving” cars and robots.

The use of geofencing and teleoperation results in Tesla having the same limitations as Waymo, which Musk claimed means it’s “not real self-driving and not scalable to the customer fleet as promised by Tesla for years.

‘Paranoid’ about Safety

Musk claims that Tesla is being “super paranoid” about safety, but you have to take his word for it.

We have pointed it out before, but it’s worth repeating: Waymo tested its self-driving vehicles in Austin for six months with safety drivers and then for another six months without safety drivers before launching its autonomous ride-hailing service in the city.

As for Tesla, it tested its vehicles with safety drivers throughout Austin for a few months. Then, Musk announced in late May, only weeks before the planned launch, that it had started testing without safety drivers.

Despite many people being on the lookout for these driverless Tesla Robotaxis, they were only spotted for the first time last week.

Since then, only two confirmed Tesla vehicles without drivers have been spotted testing.

Furthermore, several of those vehicles were spotted with Tesla employees in the front passenger seat. While Musk claims that there are “no safety driver”, these “passengers” pay attention at all times and have access to a kill switch to stop the vehicle.

They virtually operate like “safety drivers”, but they are on the passenger seat rather than the driver’s seat.

Tesla is currently still in the “testing” phase based on the listing with the state regulators, which also mentions “no” safety drivers:

To go back to the “optics” for a second, Tesla’s head of self-driving, Ashok Elluswamy, has shared this conveniently cropped image of Tesla’s “robotaxis” being tested in Austin:

The image crops out the passenger seat of the car in front, which would show a Tesla employee, and the driver’s seat of the trailing car, which would show a driver, as spotted in Austin over the last week.

There’s also no way to know precisely at what rates these safety passengers and remote operators are intervening on the self-driving vehicles.

Tesla has never released any intervention or disengagement data about its self-driving and ADAS programs despite using “miles between disengagements” as a metric to track improvements and Musk claiming for years that self-driving is a “solved problem” for Tesla.

As we have previously reported, the best available data comes from a crowdsourced effort. Musk has previously shared and misrepresented the dataset in a positive light.

Currently, the data for the combined two most recent updates (v13.2.8-9) on Tesla’s latest hardware (HW4), which is reportedly the same hardware used in Tesla’s “robotaxis” in Austin, currently sits at 444 miles between critical disengagements:

That would imply a high risk of an accident every 444 miles without a driver paying attention and ready to take control at all times.

Tesla is also currently actively fighting in court against organizations trying to access its self-driving crash data.

There are currently efforts to raise concerns about Tesla’s “robotaxi” deployment in Austin.

The Dawn Project attempted to convey the potential danger of Tesla’s upcoming robotaxi fleet by demonstrating how Tesla vehicles fail to stop for school buses with their stop signs activated and can potentially run over children on the latest public Supervised Full Self-Driving (FSD) v13.2.9:

Musk has repeatedly highlighted that the vehicles used for the robotaxi service in Austin are the same that it currently delivers to customers, like this one used in this test.

However, they use a new, custom software optimized for Austin, with supposedly more parameters, allowing for greater performance. Still, there is no way to verify this, as Tesla has not released any data.

Electrek’s Take

I can’t lie. I’m getting extremely concerned about this. I don’t think that we can trust Musk or Tesla in their current state to launch this safely.

As I previously stated, I think Tesla’s FSD would be an incredible product if it were sold as a regular ADAS system, rather than something called “Full Self-Driving,” with the promise that it would eventually become unsupervised.

Tesla wouldn’t face a significant liability for not being able to fulfill its promises to customers, as it has already confirmed for HW3 owners. Additionally, safety would be improved, as drivers wouldn’t become so complacent with the technology.

Speaking of those failed promises, they are also what’s driving Tesla to push for this launch in Austin.

As Waymo’s former long-time CEO John Krafcik said about Tesla’s effort: There are many ways to fake a robotaxi service.

Musk badly needs a win with self-driving, and he saw an opportunity to get one by getting his gullible fanbase of Tesla shareholders excited about a glimpse at its long-promised future full of “Tesla robotaxis.”

As he previously stated, he knows full well that the way Tesla is doing this is not more scalable than Waymo even if the hardware cost per vehicle is lower. The hardware cost is negligible compared to teleoperation, development, insurance, and other expenses.

Even with all the smoke and mirrors involved with this project, it’s becoming clear that Tesla is not even ready for it.

Now, the question is whether Musk lets the June deadline slip and takes another ‘L’ on self-driving, or if he pushes for Tesla to launch the potentially dangerous service with lots of limitations.

With the federal government in complete shambles and the Texas government being too close to Musk and Tesla, I wouldn’t count on the regulators to act here. Although they probably should.

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CNBC Daily Open: Most people don’t start a political party after separation

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CNBC Daily Open: Most people don't start a political party after separation

US President Donald Trump, right, and Elon Musk, chief executive officer of Tesla Inc., during a news conference in the Oval Office of the White House in Washington, DC, US, on Friday, May 30, 2025.

Francis Chung | Bloomberg | Getty Images

When they find themselves without a significant other, most men finally start living: They pay attention to their personal grooming, hit the gym and discover new hobbies.

What does the world’s richest man do? He starts a political party.

Last weekend, as the United States celebrated its independence from the British in 1776, Elon Musk enshrined his sovereignty from U.S. President Donald Trump by establishing the creatively named “American Party.”

Few details have been revealed, but Musk said the party will focus on “just 2 or 3 Senate seats and 8 to 10 House districts,” and will have legislative discussions “with both parties” — referring to the U.S. Democratic and Republican Parties.

It might be easier to realize Musk’s dream of colonizing Mars than to bridge the political aisle in the U.S. government today.

To be fair, some thought appeared to be behind the move. Musk decided to form the party after holding a poll on X in which 65.4% of respondents voted in favor.

Folks, here’s direct democracy — and the powerful post-separation motivation — in action.

 — CNBC’s Erin Doherty contributed to this report.

What you need to know today

Trump confirms tariffs will kick in Aug. 1. That postpones the deadline by a month, but tariffs could “boomerang” back to April levels for countries without deals. Trump on Friday said letters with “take it or leave it” offers will go out to 12 countries Monday.

U.S. stock futures slipped Sunday. Despite the White House pushing back the return of “reciprocal” tariffs, some investors could be worried trade negotiations would result in higher-than-expected duties. Europe’s Stoxx 600 index dropped 0.48% Friday.

OPEC+ members to increase oil output. Eight members of the alliance agreed on Saturday to hike their collective crude production by 548,000 barrels per day, around 100,000 more than expected.

Elon Musk forms a new political party. On Saturday, the world’s richest man said he has formed a new U.S. political party named the “American Party,” which he claims will give Americans “back your freedom.”

[PRO] Wall Street is growing cautious on European equities. As investors seek shelter from tumult in U.S., the Stoxx 600 index has risen 6.6% year to date. Analysts, however, think the foundations of that growth could be shaky.

And finally…

Ayrton Senna driving the Marlboro McLaren during the Belgian Grand Prix in 1992.

Pascal Rondeau | Hulton Archive | Getty Images

The CEO mindset is shifting. It’s no longer all about winning

https://www.cnbc.com/2025/07/06/the-ceo-mindset-is-shifting-its-no-longer-all-about-winning.html

CEOs today aren’t just steering companies — they’re navigating a minefield. From geopolitical shocks and economic volatility to rapid shifts in tech and consumer behavior, the playbook for leadership is being rewritten in real time.

In an exclusive interview with CNBC earlier this week, McLaren Racing CEO Zak Brown outlined a leadership approach centered on urgency, momentum and learning from failure. 

— Spriha Srivastava

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Honda now has an electric Ruckus. Will they bring it to the US?

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Honda now has an electric Ruckus. Will they bring it to the US?

The Honda Ruckus has earned cult status thanks to its minimalist styling, exposed frame, and seemingly endless customizability. The scooter, also known in international markets as the Honda Zoomer, has spent years being seen as a blank canvas for scooter tuners, urban commuters, and anyone who just wanted something simple, small, and kind of weird to zip around town. A few years ago, Honda finally answered the call for an updated version by announcing and producing the “Zoomer e:”, which was an electric version of the Honda Ruckus. So where is it?

When Honda launched the all-electric version of the Ruckus, the Zoomer e:, back in 2023, many fans hoped it was only a matter of time before we saw it quietly glide onto U.S. streets.

But two years later, there’s still no sign of a stateside release, and no indication that Honda plans to change that anytime soon.

The Zoomer e: was first introduced in China in early 2023 alongside two other retro-inspired electrics: the Cub e: and Dax e:.

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The Zoomer e: keeps the stripped-down, industrial look of the classic gas-powered Ruckus, but swaps the 49cc engine for a 400W rear hub motor and a 48V 24Ah battery (around 1.15 kWh).

It was originally given a top speed of a mere 25 km/h (15.5 mph) to keep it street legal as an electric bicycle in its first market of China, where it also came with functional but stubby pedals so riders could pretend it was actually pedalable.

The first version of the electric scooter claimed a range of up to 80–90 km (50–56 miles) from its removable lithium-ion battery, depending on conditions.

An advertisement for a Honda Zoomer e: in the Philippines via Facebook

We’ve since seen the performance bumped up to 40 km/h (25 mph) top speeds when the scooter was introduced into the Philippines market, where the local L1B classification allowed for higher speeds. It’s fairly obvious that the performance can be software-tweaked by Honda depending on the market, though likely to a limit. To achieve speeds much higher than 25 mph, a motor and controller swap may be required, though neither would be complicated.

In other words, the electric Ruckus’ debut revealed an ultra-lightweight, street-legal runabout designed for countries with expansive low-speed e-bike laws. But in the U.S., these types of quasi-e-bikes that are actually scooters are few and far between. The same performance can be had from a $1,000 electric bicycle, and in fact, Class 3 e-bikes in the US can go nearly twice as fast as the original electric Ruckus.

So Honda obviously hasn’t been in a rush to bring its low-spec version of the bike to the US market, where it would be a slower and heavier competitor to the wide range of cheap imported electric bicycles. However, its iconic design and cultural legacy have kept enthusiasm up for riders who have managed to privately import their own models. One Redditor appears to have imported two Honda Zoomer e: models in parts to assemble in the US, while someone else posted a YouTube video of his completely assembled Honda Dax e: model that was launched along the Zoomer e:.

Despite clear consumer interest and a growing market for low-speed electric vehicles, as well as Honda’s own proven interest in growing its electric scooter market, the company hasn’t made any moves to release the Zoomer e: in the US. That’s not surprising since America still lacks a robust electric scooter culture (or even a gasoline scooter culture, for that matter), and anything motorcycle-shaped that doesn’t hit 30+ mph tends to get passed over by mainstream buyers.

But perhaps that could change one day. Technically, bringing the Zoomer e: to the US wouldn’t be a monumental task for Honda. The U.S. is a self-certify country, meaning Honda could design a version that meets federal vehicle safety standards, beef up the motor and controller for higher speeds, and sell it as either a Class 2/3 e-bike, or perhaps more appropriately, as a low-speed motorcycle with a top speed in the 35-45 mph range (55-70 km/h).

With the rise of micromobility, electrification, and growing frustration with car-centric cities, now might actually be the perfect time for a reborn electric Ruckus to hit US roads. But until Honda decides to take that step, American riders will have to keep dreaming – or start importing.

A private import of a Honda Zoomer e: to the US

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BMW ups the ante with the fastest, most powerful electric maxi-scooter

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BMW ups the ante with the fastest, most powerful electric maxi-scooter

BMW Motorrad’s futuristic electric scooter just got its first real refresh since beginning production in 2021. The BMW CE 04, already one of the most capable and stylish electric maxi-scooters on the market, now gets a set of upgraded trim options, new aesthetic touches, and a more robust list of features that aim to make this urban commuter even more appealing to riders looking for serious electric performance on two wheels.

The BMW CE 04 has always stood out for its sci-fi styling and high-performance drivetrain. It’s built on a mid-mounted liquid-cooled motor that puts out 31 kW (42 hp) and 62 Nm of torque. That’s enough to rocket the scooter from 0 to 50 km/h (31 mph) in just 2.6 seconds – quite fast for anything with a step-through frame.

The top speed is electronically limited to 120 km/h (75 mph), making it perfectly capable for city riding and fast enough to hold its own on highway stretches. Range is rated at 130 km (81 miles) on the WMTC cycle, thanks to the 8.9 kWh battery pack tucked low in the frame.

But while the core performance hasn’t changed, BMW’s 2025 update focuses on refining the package and giving riders more options to tailor the scooter to their taste. The new CE 04 is available in three trims: Basic, Avantgarde, and Exclusive.

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The Basic trim keeps things clean and classic with a Lightwhite paint scheme and a clear windshield. It’s subtle, sleek, and very much in line with the CE 04’s clean-lined aesthetic. The Avantgarde model adds a splash of color with a Gravity Blue main body and bright São Paulo Yellow accents, along with a dark windshield and a laser-engraved rim. The top-shelf Exclusive trim is where things get fancy, with a premium Spacesilver metallic paint job, upgraded wind protection, heated grips, a luxury embroidered seat, and its own unique engraved rim treatment.

There are also a few new tech upgrades baked into the options list. Riders can now spec a 6.9 kW quick charger that reduces the 0–80% charge time to just 45 minutes (down from nearly 4 hours with the standard 2.3 kW onboard charger). Tire pressure monitoring, a center stand, and BMW’s “Headlight Pro” adaptive lighting system are also available as add-ons, along with an emergency eCall system and Dynamic Traction Control.

BMW has kept the core riding components in place: a steel-tube chassis, 15-inch wheels, Bosch ABS (with optional ABS Pro), and the impressive 10.25” TFT display with integrated navigation and smartphone connectivity. The under-seat storage still swallows a full-face helmet, and the long, low frame design means the scooter looks like something out of Blade Runner but rides like a luxury commuter.

With these updates, BMW seems to be further cementing the CE 04’s role at the high end of the electric scooter market. It’s not cheap, starting around €12,000 in Europe and around US $12,500 in the US, with prices going up from there depending on configuration. However, the maxi-scooter delivers real motorcycle-grade performance in a package that’s easier to live with for daily riders.

Electrek’s Take

I believe that the CE 04’s biggest strength has always been that it’s not trying to be a toy or a gimmick. It’s a real vehicle. Sure, it’s futuristic and funky looking, but it delivers on its promises. And in a market that’s still surprisingly sparse when it comes to premium electric scooters, BMW has had the lane mostly to itself. That may not last forever, though. LiveWire, Harley-Davidson’s electric spin-off brand, has teased plans for a maxi-scooter-style urban electric vehicle in the coming years, but as of now, it remains something of an undefined future plan.

Meanwhile, BMW is delivering not just a concept bike but a mature, well-equipped, and ready-to-ride electric scooter that keeps improving. For riders who want something faster and more capable than a Class 3 e-bike but aren’t ready to jump to a full-size electric motorcycle, the CE 04 hits a sweet spot. It delivers the performance and capability of a commuter e-motorcycle, yet with the approachability of a scooter. And with these new trims and upgrades, it’s doing it with even more style.

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