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Tesla vehicles under investigation as Musk reaches stock selling goal

Simone Del Rosario

Summary

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Full story

The National Highway Traffic and Safety Administration (NHTSA) announced Wednesday its “Office of Defects Investigation (ODI) is opening a Preliminary Evaluation (PE)” of Tesla’s “Passenger Play” feature. The feature, found in various 2017-2022 Tesla Model 3, S, X, and Y vehicles, reportedly allows drivers to play video games on a screen while the car is in motion. In a document on the NHTSA website, Passenger Play “may distract the driver and increase the risk of a crash”.

“This capability has been available since December 2020 in Tesla ‘Passenger Play’-equipped vehicles,” NHTSA said in the document. “Prior to this time, gameplay was enabled only when the vehicle was in park.” However, after a software update, Tesla owners started to realize that a few games still worked when the car was in drive. That feature was eventually broadcasted in various youtube videos.

The investigation spans 580,000 vehicles. As of Wednesday, Tesla has not publicly reacted to the investigation. The company’s stock did surge nearly 4% in morning trading on Wednesday.

The investigation comes a day after Tesla CEO Elon Musk said he had sold “enough stock” to reach his plan to sell 10% of his shares in the company. 583,611 of those shares were sold Tuesday, bringing the total number of shares he has offloaded to 13.5 million. Out of that 13.5 million, 8.06 million were sold to pay taxes related to his options to exercise, according to Tesla’s securities filings.

“I sold enough stock to get to around 10% plus the option exercise stuff and I tried to be extremely literal here,” Musk said in an interview released Tuesday. The interview came two days after Musk tweeted that he would pay more than $11 billion in taxes this year.

Last month, Musk asked his Twitter followers if he should make the sale. He later admitted he needed to sell stock no matter the result because he had stock options expiring next year. Musk still has more than 3 million stock options which expire in August next year. This could prompt him to sell a portion of them to pay for taxes.

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Why this story matters

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Bias comparison

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  • The Center fames sem diam at fermentum pharetra mattis commodo id habitant finibus condimentum augue consectetur, donec nam sed euismod pulvinar dictumst quisque per ac quam cubilia.
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Key points from the Center

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Key points from the Right

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Timeline

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1:22 min listen

Summary

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Tellus dolor gravida potenti

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Risus lectus

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Suscipit iaculis

Inceptos primis at mi eros fringilla penatibus natoque magna semper, et metus rhoncus aptent suspendisse id adipiscing odio torquent, proin dui viverra sit erat ante justo eget.

Full story

The National Highway Traffic and Safety Administration (NHTSA) announced Wednesday its “Office of Defects Investigation (ODI) is opening a Preliminary Evaluation (PE)” of Tesla’s “Passenger Play” feature. The feature, found in various 2017-2022 Tesla Model 3, S, X, and Y vehicles, reportedly allows drivers to play video games on a screen while the car is in motion. In a document on the NHTSA website, Passenger Play “may distract the driver and increase the risk of a crash”.

“This capability has been available since December 2020 in Tesla ‘Passenger Play’-equipped vehicles,” NHTSA said in the document. “Prior to this time, gameplay was enabled only when the vehicle was in park.” However, after a software update, Tesla owners started to realize that a few games still worked when the car was in drive. That feature was eventually broadcasted in various youtube videos.

The investigation spans 580,000 vehicles. As of Wednesday, Tesla has not publicly reacted to the investigation. The company’s stock did surge nearly 4% in morning trading on Wednesday.

The investigation comes a day after Tesla CEO Elon Musk said he had sold “enough stock” to reach his plan to sell 10% of his shares in the company. 583,611 of those shares were sold Tuesday, bringing the total number of shares he has offloaded to 13.5 million. Out of that 13.5 million, 8.06 million were sold to pay taxes related to his options to exercise, according to Tesla’s securities filings.

“I sold enough stock to get to around 10% plus the option exercise stuff and I tried to be extremely literal here,” Musk said in an interview released Tuesday. The interview came two days after Musk tweeted that he would pay more than $11 billion in taxes this year.

Last month, Musk asked his Twitter followers if he should make the sale. He later admitted he needed to sell stock no matter the result because he had stock options expiring next year. Musk still has more than 3 million stock options which expire in August next year. This could prompt him to sell a portion of them to pay for taxes.

Read Transcript

Why this story matters

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Nascetur dolor

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Curabitur dictumst blandit

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Elementum natoque

Egestas tellus est cursus maximus lacus ac venenatis donec gravida mollis quis dictumst, erat pretium dapibus nibh praesent potenti taciti ridiculus vestibulum litora orci.

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Sources cited

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Community reaction

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Bias comparison

  • The Left porttitor elementum conubia aliquam ultricies ornare eget augue blandit amet eu pellentesque bibendum, orci rutrum pharetra vehicula egestas nec sociosqu viverra diam habitasse imperdiet.
  • The Center fusce ornare sagittis finibus pellentesque vehicula facilisi habitant montes eget hendrerit mi nullam amet, hac magna venenatis odio vitae vel nunc vestibulum praesent natoque risus.
  • Not enough coverage from media outlets on the right to provide a bias comparison.

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Key points from the Left

  • Facilisi hac eget metus felis curabitur non egestas eleifend consequat, commodo vitae urna ipsum cras potenti proin netus tempor feugiat, adipiscing viverra vehicula pharetra elit sed nibh dapibus.
  • Purus fames facilisis ullamcorper praesent et nec blandit sagittis natoque penatibus torquent, finibus varius leo himenaeos sem maximus neque eu diam porttitor, id hac dignissim ex molestie risus litora rhoncus dapibus montes.
  • Iaculis eget massa venenatis pretium vestibulum ultricies, egestas sagittis dictum adipiscing ultrices non, dapibus scelerisque pharetra ipsum tincidunt.

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Key points from the Center

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Key points from the Right

  • Himenaeos fusce lacus natoque vel nisl tortor iaculis sodales mi ac magna, consectetur nec tempor eu gravida curabitur turpis eget per.
  • Gravida placerat maecenas finibus rutrum dignissim nulla sed accumsan malesuada luctus, blandit ridiculus ultricies facilisis quisque suspendisse fringilla aliquam.

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Timeline

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