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The Tesla Autopilot and Full Self-Driving (FSD) lawsuit floodgates are open. We are now starting to see trials and settlements arising from crashes that occurred in 2018-2019 as they work through the legal process.

Crashes involving Tesla’s ADAS systems have increased significantly since then, and we expect legal actions to escalate following the groundbreaking defeat of Tesla’s primary defense in a trial in Florida.

The lawyer who beat Tesla in this case is already going for a Round 2.

As we previously reported, a jury in Florida has assigned 33% of the responsibility for a fatal crash involving Autopilot, Tesla’s level 2 advanced driver assistance system (ADAS), to Tesla and awarded the plaintiffs, the family of the victim and the survivor of the crash, $243 million.

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Tesla is expected to appeal the verdict, but it is still a groundbreaking case that highlights a trend in the legal actions against Tesla over crashes involving its ADAS systems (Autopilot and Full Self-Driving/FSD).

Over the last few years, Tesla has been able to dismiss those concerns as it hides behind warnings to pay attention and disclosures stating that the drivers are always the ones responsible in the event of an accident.

In short, Tesla has always claimed that it bears no responsibility if drivers abuse its ADAS systems.

However, things have been changing over the last year.

Tesla recently settled a wrongful death lawsuit involving a crash on Autopilot that happened in 2018, and now, it has lost a trial over a crash that happened in 2019.

In the trial, the plaintiffs managed to get around Tesla putting all the blame on the driver and show the jury that its marketing and deployment of Autopilot contributed to drivers misusing a system that fails to perform as advertised.

We already reported, based on the transcripts of the trial, that Tesla misled the police and the plaintiffs, a family trying to understand all the factors that led to their daughter’s death, in trying to retrieve critical Autopilot data that helped better understand the crash.

Next, the evidence in the case is going to be made public, except for some redactions from Tesla, which is likely going to be of interest in dozens of other legal cases involving Tesla’s ADAS systems.

In an interview with The Verge, Brett Schreiber, the lead attorney in the Florida case, revealed that he is also leading another wrongful death case against Tesla, Maldonado v. Tesla, currently pending in the Alameda State Superior Court, which is expected to commence by the end of the year.

In this case, a Tesla vehicle on Autopilot hit a pickup truck on the highway, killing fifteen-year-old Jovani Maldonado, who was a passenger in the pickup truck. His father was driving him back home from a soccer game.

This crash also occurred in 2019, but it is only now being brought to trial. The legal process takes time, and we are only now beginning to see the legal repercussions of crashes involving Tesla Autopilot, as well as Tesla’s Full Self-Driving system.

With more vehicles in the Tesla fleet and more mileage using ADAS features, crashes involving those features increased significantly between 2020-2025. This means more legal trouble for Tesla.

Schreiber claims to have an even stronger case with Maldonado v. Tesla. In the Benavides case in Florida, the “Autopilot defect” part of the case was more about the fact that the driver shouldn’t have been able to use the system on non-highway roads.

In the Maldonado case, the crash occurred on the highway, where Autopilot is intended to be used, but it didn’t stop for the pickup truck in front of it.

The facts are a stubborn thing. And we get to tell those same facts with a better Autopilot defect theory. And I get to not only juxtapose Musk’s lies in that case, but I juxtapose them with the testimony that I didn’t have in Miami. I’ve only had this case for a year. I worked the Maldonado case from the beginning. And in that case, I have testimony from all of the senior Autopilot leadership: Sterling Anderson, CJ Moore, Andrej Karpathy. And I show them those same quotes that were played to that jury in Miami. I said, “When Mr. Musk said those things, was that a true statement about production vehicles at Tesla?” To a person, they answer: Absolutely not.

Schreiber claims to have testimonies from Tesla Autopilot executives and engineers around the time of the crash that contradict what CEO Elon Musk was saying to the public about Autopilot.

Once these testimonies are entered as evidence, they could have important implications for dozens of other cases involving Autopilot.

Electrek’s Take

Obviously, avoiding loss of lives should be a priority, but I think it’s clear that Tesla doesn’t care at this point. But even from a business standpoint, it doesn’t make sense.

One of my foremost criticisms of Tesla’s self-driving efforts from a business standpoint is that they are a bigger liability than a value creator.

Tesla has clearly misled the public for years, leading them to believe that Autopilot and FSD are more than they are: level 2 driver assistance systems.

Schreiber explained it well here:

[…] there are two Teslas. There’s Tesla in the showroom and then there’s Tesla in the courtroom. And Tesla in the showroom tells you that they’ve invented the greatest full self-driving car the world has ever seen. Mr. Musk has been peddling to consumers and investors for more than a decade that the cars are fully self-driving, that the hardware is capable of full autonomy. And those statements were as untrue the day he said them as they remain untrue today. But then they showed up in a courtroom and they say, No, no, no, this is nothing but a driver assistance feature.

This creates a significant liability in accidents involving people who believed Tesla’s misrepresentation. However, it also poses a substantial liability to claim that their cars have “all the hardware necessary for unsupervised self-driving” when that is not true.

We are likely talking about tens of billions of dollars worth of liability.

From a purely business standpoint, it might have made sense if Tesla had been first in autonomy and taken a large part of the market, but it’s not what’s happening.

Tesla is still far from achieving unsupervised self-driving at scale, while this liability is still building up.

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Fresh TSLA lawsuits, V2X options, and the USAF is blowing up Cybertrucks

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Fresh TSLA lawsuits, V2X options, and the USAF is blowing up Cybertrucks

Elon wants the US military to start buying Tesla Cybertrucks – and now they are! The Air Force has ordered two Cybertruck testers for target practice to determine how easy they are to blow up, while Jo makes up a whole new conspiracy theory on today’s explosive episode of Quick Charge!

Today’s episode is brought to you by retrospec—makers of sleek, powerful e-bikes and outdoor gear built for everyday adventure. Electrek listeners can get 10% off their next ride until August 14 with the exclusive code ELECTREK10 only at retrospec.com.

An it doesn’t stop there. We’ve also got exciting new home battery backup and V2X options for Tesla owners, and one Texas EV driver that decided to conquer the Texas floodwaters by harnessing the awesome combined powers of electrons and stupidity (it’s pretty awesome).

Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple PodcastsSpotifyTuneIn, and our RSS feed for Overcast and other podcast players.

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New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

Got news? Let us know!
Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.


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Tesla’s Dojo supercomputer looks dead as more execs leave for competing startup

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Tesla's Dojo supercomputer looks dead as more execs leave for competing startup

Tesla’s Dojo supercomputer project is reportedly over. Bloomberg reports that CEO Elon Musk is killing the project after a mass exodus of talent from the Dojo team to a competing startup.

Dojo was the name of Tesla’s in-house AI chip development to create supercomputers to train its AI models for self-driving.

Tesla hired a bunch of top chip architects and tried to develop better AI accelerator chips to rely less on companies like NVIDIA, AMD, and others.

It has been running into delays for years.

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We previously reported on significant setbacks. In 2018, Jim Keller, the famed chip architect who was first hired to lead Tesla’s chip-making effort, left the company.

Ganesh Venkataramanan succeeded him, but he left Tesla in 2023.

For the last few years, Peter Bannon, who worked with Keller for years, has been leading Tesla’s chip-making programs, but he is now reportedly also leaving the automaker.

Bloomberg reports that Musk has “ordered the effort to be shut down.”:

Peter Bannon, who was heading up Dojo, is leaving and Chief Executive Officer Elon Musk has ordered the effort to be shut down, according to the people, who asked not to be identified discussing internal matters. The team has lost about 20 workers recently to newly formed DensityAI, and remaining Dojo workers are being reassigned to other data center and compute projects within Tesla, the people said.

DensityAI is a new startup currently in stealth mode, founded by several former Tesla employees, including Venkataramanan.

It reportedly plans to build chips for AI data centers and robots, much like the Dojo program.

The company recently hired 20 former Tesla employees who worked on Dojo.

While the program appeared to be lagging behind for years as Tesla increasingly bought more compute power from NVIDIA, Musk has been claiming progress.

The CEO said in June:

Tesla Dojo AI training computer making progress. We start bringing Dojo 2 online later this year. It takes three major iterations for a new technology to be great. Dojo 2 is good, but Dojo 3 will be great.

During Tesla’s quarterly conference call in late July, the CEO claimed that Dojo 2 will be “operating at scale sometime next year.”

Electrek’s Take

It’s unclear whether the report is accurate or if it’s an extrapolation from the talent exodus to Elon killing Dojo, or if Elon was lying just a few weeks ago.

Alternatively, this development may be so recent that Elon went from being confident in Dojo a few weeks ago to disbanding the team working on it now.

Either way, I think it’s clear that the project has been lagging, and Tesla has been extremely dependent on chip suppliers rather than making its own.

I think Dojo being likely dead is not a big loss for Tesla.

When it comes to chip making, developing its own inference compute for onboard “AI computers” was always the more important project.

TSMC is set to produce Tesla’s new AI5 chip, which is coming soon, and we have recently learned that Samsung will be manufacturing its AI6 chip.

I think the bigger concern from this report is that it’s the latest example of an ongoing exodus of talent at Tesla.

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Block shares pop 11% on full-year guidance boost

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Block shares pop 11% on full-year guidance boost

Jack Dorsey, co-founder and chief executive officer of Twitter Inc. and Square Inc., listens during the Bitcoin 2021 conference in Miami, Florida, on Friday, June 4, 2021.

Eva Marie Uzcategui | Bloomberg | Getty Images

Block shares jumped in extended trading on Thursday after the fintech company increased its forecast for the year.

Here is how the company did, compared to analysts’ consensus estimates from LSEG.

  • Earnings per share: 62 cents adjusted vs. 69 cents expected

Block doesn’t report a revenue figure, but said gross profit rose 14% from a year earlier to $2.54 billion, beating analysts’ estimates of $2.46 billion for the quarter. Gross payment volume increased 10% to $64.25 billion.

Block raised its guidance for full-year gross profit to $10.17 billion, representing 14% growth from a year earlier. In its prior earnings report, Block said gross profit for the year would come in at $9.96 billion.

The company expects full-year adjusted operating income of $2.03 billion, or a 20% margin. For the third quarter, the company expects gross profit to grow 16% from a year ago to $2.6 billion, with an operating margin of 18%.

Square payment volume in the quarter grew 10% from a year earlier.

Block faces growing competition from rivals such as Toast and Fiserv‘s Clover, though its Square business still gained share during the quarter in areas such as retail and food and beverage.

Block shares were down 10% this year as of Thursday’s close, while the Nasdaq is up 10%. Last month, Block was added to the S&P 500.

CNBC’s Robert Hum contributed to this report.

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