Congress Could Pave The Way For Tesla

For decades, the auto industry treated software like some sort of weird side quest. Once a customer bought a car, that software could stay locked in a box and never need to be updated unless something was wrong (and then it was a trip to a dealership). 

That strategy worked great right up until cars became rolling data centers on wheels. Now automakers are starting to stare down the reality of what complex hardware and connected software really mean—both the advantages and disadvantages. And the consensus? Maybe platform sharing and open-source software was the right idea all along.

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Welcome back to Critical Materials, your daily roundup for all things electric and tech in the automotive space. Also on deck: Congress could help out the Tesla Cybercab, and Waymo’s former CEO comments on the idea of personal autonomy. 

Let’s jump in.

25%: Congress Could Pave The Way For Tesla’s Cybercab Dreams

Photo by: InsideEVs

Tesla’s Cybercab has faced a fair bit of skepticism since it was announced in late 2024. It’s designed for ride-hailing yet only has two seats. It’s supposed to cost under $30,000 and be fully autonomous, something Tesla hasn’t quite cracked the code to yet. Then there are the hoops Tesla would need to jump through in order actually sell it to the masses without a steering wheel or pedals.

Congress could give the automaker exactly the break it needs. Later this month, lawmakers on the House Committee on Energy and Commerce will hold a hearing on a bunch of proposals, including a bill called the Motor Vehicle Modernization Act.

If passed—and it’s a long way from that at this point—the bill would raise the number of vehicles an automaker is permitted to produce annually that do not adhere to Federal Motor Vehicle Safety Standards. Currently, this is limited to a mere 2,500 units—far from mass market and far from what Tesla is targeting. The new bill proposes lifting that cap to 90,000 vehicles.

Of course, Tesla won’t be the only company to benefit here. Other autonomous vehicle providers would receive the same advantage. Like Zoox, Amazon’s robotaxi company that uses an unconventional pod. 

Even if Tesla gets enough breathing room with regulatory approval for more cars, it will still need to solve the software side of the equation before it can deploy Cybercabs at scale. The company has a limited number of self-driving Tesla Model Y taxis driving around Austin, Texas, but they have a safety monitor in the front seat.

And because the Cybercab has no charge port, Tesla will also need to deploy all-new infrastructure to handle charging the car as well. Oh, and there’s the whole debacle over who actually owns the rights to the Cybercab name, too. So Tesla has a few things to figure out before it’s off to the races. 

50%: Your Car Won’t Be A Robotaxi That Soon: Ex-Waymo CEO

Photo by: InsideEVs

Ex-Waymo CEO John Krafcik says that robotaxis aren’t coming for your personal car—at least not anytime soon. 

“The idea that we’ll have personal robotaxis in our driveway in two years is silly,” Krafcik said at a CES event this week, according to Automotive News. 

It may be a helpful dose of realism from someone who’s been in this space a long time. Because during this new era of excitement around autonomous vehicles, lots of companies are saying you will have a personal robotaxi in your driveway—something equivalent to a Waymo—in the very near future.

Tensor is a new company building a car brimming with sensors and designed specifically for that purpose. Rivian CEO RJ Scaringe expects personal self-driving capability before 2030, as does Lucid Motors. Tesla (see above) has been promising to put a robotaxi in your garage for many years—one that can earn you side income while you sit on the couch. 

In that same Automotive News story, Krafcik took a jab at the electric automaker, telling the outlet: “It’s been 10 years, that’s a decade of broken promises. There should be some accountability for that, I believe.” 

The next phase of the auto industry, he said, will hinge on better and better advanced driver-assistance systems rather than full-blown self-driving cars. If the announcements out of CES are anything to go by, that is definitely the next stepping stone; Ford on Wednesday said it’s targeting eyes-off driving in 2028.

75%: The Future Of The Auto Industry Is Open-Source

Photo by: BMW

At CES Las Vegas, Germany’s Association of the Automotive Industry (VDA) announced a major expansion of its open-source automotive initiative. What was originally just 11 manufacturers has grown to more than 30 today. 

They’re working together on open-source software to cut costs and make it easier to develop new cars. There are some pretty big names in the coalition, from car companies to chipmakers.

Reuters shares more:

European auto group Stellantis and truck maker Traton have signed the memorandum of understanding, along with German supplier Schaeffler and chipmakers Infineon and Qualcomm, the VDA said.

They join German carmakers Volkswagen, BMW and Mercedes-Benz, among others, lifting the number of participating firms from 11 when the group was announced last year to 32.

Mike Milinkovich of the Eclipse Foundation, which is co-organizing the effort, called the move “a clear global shift toward open innovation.” But this feels a lot less like automakers are getting together for a hackathon and more like companies finally figured out that they can’t do it alone and also do it for cheap.

100%: Should Automakers Be Working Together?

Photo by: Patrick George

Automakers have always had collaborations. Diamond Star Motors, Harley Davidson and Porsche. The theme isn’t new. An organized, industry-wide push, however, is.

Would you want to see car companies working together like this more often? And if so, should these innovations be open to all automakers, or just the ones who contribute to the open-source cause?