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    Rudy Giuliani ‘mob scene’ turned Elon Musk off seeking advice, new book says

    Elon Musk backed away from a plan to recruit Rudy Giuliani as a political fixer to help him turn PayPal into a bank in 2001 after he and an associate found the then New York mayor “surrounded by goonish confidantes” in an office that felt “like a mob scene”.“This guy occupies a different planet,” Musk, who would become the world’s richest man, said of Giuliani, then approaching the peak of his fame.Giuliani left office at the end of 2001 after leading New York through the 9/11 attacks, then ran for the Republican nomination for president in 2008, a campaign which soon collapsed.He became an attorney and ally to Donald Trump but missed out on a cabinet appointment when Trump won the presidency in 2016.Trump’s first impeachment was fueled by Giuliani’s work in Ukraine, seeking political dirt on opponents. Now 79, Giuliani has pleaded not guilty to 13 criminal charges of racketeering and conspiracy, regarding his work to advance Trump’s attempt to overturn the 2020 election in Georgia.The irony of the former mayor and New York US attorney being indicted on charges often used against figures in organised crime has been widely remarked. As a prosecutor, Giuliani made his name chasing down mafia kingpins.The latest picture of Giuliani as gangster is included in Elon Musk, a new biography of the 52-year-old Tesla, SpaceX and X (formerly Twitter) owner and sometime world’s richest man, by Walter Isaacson, whose other subjects include Leonardo Da Vinci and Steve Jobs.Isaacson’s book was widely excerpted in the US media before publication on Tuesday.The brief meeting between Musk and Giuliani came about, Isaacson writes, as Musk sought to turn PayPal, the online payments company he co-founded, into “a social network that would disrupt the whole banking industry” – a vision he now harbours for Twitter, which he bought in October 2022 and renamed as X this year.“We have to decide whether we are going to aim big,” Musk told those who worked for him, Isaacson writes, adding that some “believed Musk’s framing was flawed”.Describing stymied attempts to rebrand, Isaacson writes: “Focus groups showed that the name X.com … conjured up visions of a seedy site you would not talk about in polite company. But Musk was unwavering and remains so to this day.”Such discussions, Isaacson reports, led Musk and an investor, Michael Moritz, to go to New York, “to see if they could recruit Rudy Giuliani, who was just ending his tenure as mayor, to be a political fixer and guide them through the policy intricacies of being a bank.skip past newsletter promotionafter newsletter promotion“But as soon as they walked into his office, they knew it would not work.“It was like walking into a mob scene,” Moritz says. Giuliani “was surrounded by goonish confidantes. He didn’t have any idea whatsoever about Silicon Valley, but he and his henchmen were eager to line their pockets.”“They asked for 10% of the company, and that was the end of the meeting. ‘This guy occupies a different planet,’ Musk told Moritz.”Giuliani succeeded in lining his pockets after leaving city hall, making millions as a lawyer and consultant and giving paid speeches around the world.That picture has also changed. Faced with spiraling legal costs arising from his work for Trump and other cases including a $10m lawsuit from a former associate who alleges sexual assault, lawyers for Giuliani have said he is struggling to pay his bills. In New York, his luxury apartment was put up for sale. More

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    Elon Musk’s hypocrisy about free speech hits a new low | Margaret Sullivan

    Even before he took over Twitter, Elon Musk touted himself as a “free speech absolutist”.This was always a troubling notion for an insanely rich guy with a cult following whose sense of history is as limited as his ego is boundless.As it turns out, what Musk had in mind was something more along the lines of “free speech for me, but not for thee”, as the title of the revered columnist Nat Hentoff’s 1992 book put it.A few days ago, he threatened to sue the Anti-Defamation League – for defamation, no less – blaming the non-profit for driving billions of dollars in advertising from his company. The ADL has criticized Twitter for failing to take action against hate speech, charging that fewer than a third of posts flagged for antisemitic content were removed or sanctioned; and it joined other civil rights groups last year in calling for advertiser boycotts.But clearly, if anything has destroyed the value of the company for which he paid an ill-considered $44bn, it’s been Musk himself.He’s made a series of stunningly bad decisions that seemed designed to drive away users and advertisers. Rebranding Twitter, nonsensically, as X was one; another was removing unpaid verification symbols, making it much more difficult to figure out who is real and who is an impostor.Yet another was the restoration of thousands of banned accounts.“Musk has declared open season for hate on his platforms,” Suzanne Nossel, author of Dare to Speak: Defending Free Speech for All, and the CEO of PEN America, the free-expression organization, told me.Twitter was far from great under its co-founder Jack Dorsey, but at least an army of content moderators tried to restrain the worst offenders.Under Musk’s control, many of those employees have been fired or have departed in disgust.But a few days ago, things got much worse. Over the weekend, Musk engaged with posts from far-right figures by “liking” or responding to them. When the ADL called him out, he threatened to sue and got his ardent followers to go on the attack.The hashtag #BantheADL went viral, fanning the flames of antisemitism, already ablaze in the US and around the world.“It is profoundly disturbing that Elon Musk spent the weekend engaging with a highly toxic, antisemitic campaign on his platform,” said Jonathan Greenblatt, the non-profit’s chief executive, noting the effort has been promoted by “individuals such as white supremacist Nick Fuentes, Christian nationalist Andrew Torba, conspiracy theorist Alex Jones and others”.Then things got worse.“We saw the campaign manifest in the real world,” Greenblatt said, referring to masked men marching outside Orlando, Florida, waving flags adorned with swastikas and chanting: “Ban the ADL.”Musk claims he opposes antisemitism in all forms, but it sure doesn’t look that way.“Those who go up against the ADL tend to find themselves on the wrong side of history,” Nossel said, noting the organization’s fights for more than a century against the Ku Klux Klan, fascists and white supremacists.Free-speech issues aren’t easy to parse these days. The digital world, with its lightning-fast speed and worldwide reach, has changed everything. There are legitimate disagreements about what’s allowable on social media platforms.skip past newsletter promotionafter newsletter promotionBut Musk’s approach never made sense. “By ‘free speech’, I mean that which matches the law. I am against censorship that goes far beyond the law,” he declared before he bought Twitter. “If people want free speech, they will ask government to pass laws to that effect. Therefore, going beyond the law is contrary to the will of the people.”Musk’s rhetoric seemed to conflate the first amendment with practices imposed by a corporation.“It’s not just about turning up the free-speech dial, because there are always trade-offs,” Jameel Jaffer, the director of the Knight First Amendment Institute at Columbia University, told me then.If there were no limits on harassment and abusive speech, people – particularly women and members of historically oppressed groups, who often are the targets – would leave the platform altogether.And that, Jaffer said, is not a free-speech victory: “Nobody wants a platform on which anything goes.”Musk seems immune to that kind of reasoned discussion. He wants revenge.Just weeks ago, X Corp filed a $10m suit against the Center for Countering Digital Hate, claiming revenue loss due to “false and misleading claims”; the center had published research finding that hate speech on the platform had soared.The suit Musk has threatened against the ADL would likely be for much more, since he claims its criticism has cost his company billions.Like many a mogul, Musk doesn’t like to be challenged.And his company’s precipitous decline has him searching for a scapegoat when he ought to look in the mirror.In targeting the ADL, he’s proven himself not a free-speech absolutist but an absolute bully.
    Margaret Sullivan is a Guardian US columnist writing on media, politics and culture More

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    TechScape: As the US election campaign heats up, so could the market for misinformation

    X, the platform formerly known as Twitter, announced it will allow political advertising back on the platform – reversing a global ban on political ads since 2019. The move is the latest to stoke concerns about the ability of big tech to police online misinformation ahead of the 2024 elections – and X is not the only platform being scrutinised.Social media firms’ handlings of misinformation and divisive speech reached a breaking point in the 2020 US presidential elections when Donald Trump used online platforms to rile up his base, culminating in the storming of the Capitol building on 6 January 2021. But in the time since, companies have not strengthened their policies to prevent such crises, instead slowly stripping protections away. This erosion of safeguards, coupled with the rise of artificial intelligence, could create a perfect storm for 2024, experts warn.As the election cycle heats up, Twitter’s move this week is not the first to raise major concerns about the online landscape for 2024 – and it won’t be the last.Musk’s free speech fantasyTwitter’s change to election advertising policies is hardly surprising to those following the platform’s evolution under the leadership of Elon Musk, who purchased the company in 2022. In the months since his takeover, the erratic billionaire has made a number of unilateral changes to the site – not least of all the rebrand of Twitter to X.Many of these changes have centered on Musk’s goal to make Twitter profitable at all costs. The platform, he complained, was losing $4m per day at the time of his takeover, and he stated in July that its cash flow was still in the negative. More than half of the platform’s top advertisers have fled since the takeover – roughly 70% of the platforms leading advertisers were not spending there as of last December. For his part, this week Musk threatened to sue the Anti-Defamation League, saying, “based on what we’ve heard from advertisers, ADL seems to be responsible for most of our revenue loss”. Whatever the reason, his decision to re-allow political advertisers could help boost revenue at a time when X sorely needs it.But it’s not just about money. Musk has identified himself as a “free speech absolutist” and seems hell bent on turning the platform into a social media free-for-all. Shortly after taking the helm of Twitter, he lifted bans on the accounts of Trump and other rightwing super-spreaders of misinformation. Ahead of the elections, he has expressed a goal of turning Twitter into “digital town square” where voters and candidates can discuss politics and policies – solidified recently by its (disastrous) hosting of Republican governor Ron DeSantis’s campaign announcement.Misinformation experts and civil rights advocates have said this could spell disaster for future elections. “Elon Musk is using his absolute control over Twitter to exert dangerous influence over the 2024 election,” said Imran Ahmed, head of the Center for Countering Digital Hate, a disinformation and hate speech watchdog that Musk himself has targeted in recent weeks.In addition to the policy changes, experts warn that the massive workforce reduction Twitter has carried out under Musk could impact the ability to deal with misinformation, as trust and safety teams are now reported to be woefully understaffed.Let the misinformation wars beginWhile Musk’s decisions have been the most high profile in recent weeks, it is not the only platform whose policies have raised alarm. In June, YouTube reversed its election integrity policy, now allowing content contesting the validity of the 2020 elections to remain on the platform. Meanwhile, Meta has also reinstated accounts of high-profile spreaders of misinformation, including Donald Trump and Robert F Kennedy Jr.Experts say these reversals could create an environment similar to that which fundamentally threatened democracy in 2020. But now there is an added risk: the meteoric rise of artificial intelligence tools. Generative AI, which has increased its capabilities in the last year, could streamline the ability to manipulate the public on a massive scale.Meta has a longstanding policy that exempts political ads from its misinformation policies and has declined to state whether that immunity will extend to manipulated and AI-generated images in the upcoming elections. Civil rights watchdogs have envisioned a worst-case scenario in which voters’ feeds are flooded with deceptively altered and fabricated images of political figures, eroding their ability to trust what they read online and chipping away at the foundations of democracy.While Twitter is not the only company rolling back its protections against misinformation, its extreme stances are moving the goalposts for the entire industry. The Washington Post reported this week that Meta was considering banning all political advertising on Facebook, but reversed course to better compete with its rival Twitter, which Musk had promised to transform into a haven for free speech. Meta also dissolved its Facebook Journalism Project, tasked with promoting accurate information online, and its “responsible innovation team,” which monitored the company’s products for potential risks, according to the Washington Post.Twitter may be the most scrutinised in recent weeks, but it’s clear that almost all platforms are moving towards an environment in which they throw up their hands and say they cannot or will not police dangerous misinformation online – and that should concern us all.skip past newsletter promotionafter newsletter promotionThe wider TechScape David Shariatmadari goes deep with the co-founder of DeepMind about the mind-blowing potential of artificial intelligence in biotech in this long read. New tech news site 404 Media has published a distressing investigation into AI-generated mushroom-foraging books on Amazon. In a space where misinformation could mean the difference between eating something delicious and something deadly, the stakes are high. If you can’t beat them, join them: celebrities have been quietly working to sign deals licensing their artificially generated likenesses as the AI arms race continues. Elsewhere in AI – scammers are on the rise, and their tactics are terrifying. And the Guardian has blocked OpenAI from trawling its content. Can you be “shadowbanned” on a dating app? Some users are convinced their profiles are not being prioritised in the feed. A look into this very modern anxiety, and how the algorithms of online dating actually work. More

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    Vivek Ramaswamy says he wants Elon Musk to be his presidential adviser

    The Republican presidential candidate Vivek Ramaswamy has said that he wants Elon Musk as an adviser if he becomes president.The billionaire biotech entrepreneur was in Newton, Iowa, campaigning at a town hall on Friday when he was asked about whom he would want as advisers for his potential presidency.Ramaswamy said in response that he wanted people with a “blank fresh impression” who do not “come from within” the government.“I’ve enjoyed getting to know better, Elon Musk recently, I expect him to be an interesting adviser of mine because he laid off 75% of the employees at Twitter,” NBC reports. “And then the effectiveness actually went up.”In an earlier interview this month with Fox News, Ramaswamy said of the layoffs: “What [Musk] did at Twitter is a good example of what I want to do with the administrative state … Take out the 75% of the dead weight cost, improve the actual experience of what it’s supposed to do.”Ramaswamy’s response on Friday also doubles down on comments he made in February: “Just as @elonmusk did at Twitter, as president I will release the ‘state action files’ from the federal government – exposing every instance where the feds pressured companies to take constitutionally prohibited actions. Roll that log over & see what crawls out. Won’t be pretty.”Since Ramaswamy joined the campaign trail, he has attracted the attention and praise from Musk, who earlier this month said: “He is a very promising candidate.”In response to another tweet in which Ramaswamy repeated his campaign values including “God is real,” “There are two genders,” “Human flourishing requires fossil fuels,” and “Reverse racism is racism,” Musk wrote: “He states his beliefs clearly.”Despite Ramaswamy positioning himself as an “outsider” and accusing his opponents of being “bought and paid for” by various GOP donors, a recent Guardian investigation found that Ramaswamy has deep ties to influential figures on both ends of the political spectrum including Peter Thiel, a rightwing donor and co-founder of PayPal.Ramaswamy’s other ties include Leonard Leo, a prominent rightwing activist currently under investigation in Washington DC over his efforts to install judges on federal courts including the supreme court.Other investigations by ProPublica and Documented have reported that Ramaswamy has delivered speeches at events staged by Teneo, a group chaired by Leo that seeks to “crush liberal dominance” in American life.Earlier this week, Ramaswamy’s campaign told the Associated Press that he had raised $450,000 in the first hours following the GOP primary debate on Wednesday night. More

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    What is going on with Elon Musk and Ron DeSantis? | Robert Reich

    The real significance of Ron DeSantis’s presidential announcement on Twitter had little to do with DeSantis but everything to do with Musk.It’s that Twitter, under Musk, has fully embraced the political right.Why is Musk doing this? He acts as if he wants to be the darling of libertarian bros. But he’s really aiming to lead democracy’s foes.Musk wants to crush unions and declare the United States a free-to-make-as-much-as-you-can-on-the-backs-of-working-stiffs zone.He calls himself a “free speech absolutist”, but that’s utter bulltwat. He wants to elevate the speech of people like DeSantis but suppress the speech of workers who want to unionize.He’s even gone along with Turkey’s recent ban on anti-regime comments in the run-up to the Turkish election.DeSantis is not exactly a libertarian himself, of course – unless you define a libertarian as someone who bans books, forces women to give birth, threatens to take trans youth away from parents who approve of them getting gender-affirming care, prohibits teachers from mentioning gender identity or sexual orientation, bars teachers from talking about America’s history of racism, and wreaks vengeance even on Mickey Mouse for opposing his authoritarian policies.What unites Musk and DeSantis isn’t libertarianism at all. It’s authoritarianism.Twitter started to become a rightwing media hot spot when Musk lifted bans on thousands of accounts that had spread disinformation about the pandemic and the 2020 elections.More recently, Tucker Carlson has said he would revive his show on Twitter after losing his Fox News slot (Musk has denied that Twitter has signed a deal with Carlson).It’s also been reported that The Daily Wire, a rightwing, anti-democracy media outlet, will make Twitter the home for all its podcasts.Unquestionably, Twitter is benefiting from the dissatisfaction of the anti-democracy movement with Fox News. Musk can credibly claim to be outside the mainstream rightwing media world of Rupert Murdoch.But the reason Musk wants to be a force on the right is because he wants to be in control.That’s been his business MO since the start. It’s why he refused a seat on Twitter’s board and instead mounted a hostile takeover. It’s why he hates unions.And now Musk wants to control everything else. He wants to dominate the rightwing of American politics.Not content to be the (or among the) richest on the planet, not satisfied with taking over one of the biggest media machines in the world, Musk now wants to impose his will on America and the world directly.Remind you of any other billionaire? Say, the former guy?Musk said Tuesday he isn’t formally backing any Republican candidate. But he is backing Republicans. And you can bet his eye is focused like a laser on the biggest Republican of all.Right now, Musk wants to send Donald Trump a message that he – Musk – has the power to make life difficult for Trump if Trump so much as hints at making life difficult for Musk.Musk knows that the best way to deal with a bully is to bully him. Show him you are even bigger than he is. Have more billions of dollars than he does. Have more millions of Twitter followers than he does.And show him you have power over him by helping Republicans who are opposing him.Which is why Musk is helping DeSantis. And why, earlier this week, Musk retweeted a campaign kickoff video for Senator Tim Scott of South Carolina.Musk is only 51. Trump is 77. Trump may be the next president, but Musk will outlast him.The US constitution bars Musk from becoming president, as he was born in Pretoria, South Africa. But there’s no end to the power he can wield over America and the world in coming decades.And make no mistake. Musk plans to wield it.
    Robert Reich, a former US secretary of labor, is professor of public policy at the University of California, Berkeley, and the author of Saving Capitalism: For the Many, Not the Few and The Common Good. His new book, The System: Who Rigged It, How We Fix It, is out now. He is a Guardian US columnist. His newsletter is at robertreich.substack.com More

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    Failure to launch: Twitter glitches deal double blow to Elon Musk and Ron DeSantis

    The screen kept saying “Preparing to launch”. But this wasn’t one of Elon Musk’s space rockets that soars through the stratosphere and settles into a comfortable orbit. This was one that blew up on the pad in a dazzling ball of flame.The eccentric billionaire had invited Ron DeSantis, the governor of Florida, to the somewhat niche Twitter Spaces – a dedicated audio streaming feature on the social media platform – to announce his run for the Republican nomination for president in 2024.For Musk it looked like an easy win in his effort to make Twitter the public square, especially one that attracts rightwing blowhards, and steal a march on Fox News. For DeSantis it seemed like a chance to make a bit of political history, show off his tech savvy and poke his rival Donald Trump, once the undisputed world tweeting champion.Even better, DeSantis could hold court in an audio-only format without having to meet and greet real people, famously not his strength. But what liberals may have feared as the ultimate alliance of two anti-woke supervillains proved to carry all the menace of a damp dishcloth.Once people had got beyond the “What is Twitter Spaces?” stage, they were greeted with blank windows, broken snatches of conversation and other technical glitches.The site creaked and buckled under the demand of more than half a million users.Moderator David Sacks, a Republican donor and friend of Musk, tried to find a silver lining: “We’ve got so many people here we are kind of melting the servers, which is a good sign.”The debacle was a fresh blow to the credibility of Musk, whose Tesla brand has lost its shine of late and who, having laid off dozens of Twitter staff, seemed to be on the end of divine retribution from the tech gods.It was an even bigger political disaster for DeSantis, who has built the entire theory of his candidacy around the idea that he is an efficient chief executive of Florida who pays attention to detail. Even Trump used to be able to put out 280 characters on Twitter, admittedly often in a seemingly random order.Comedian Trevor Noah once likened DeSantis to Terminator 2, an upgrade on the Trump model that was more efficient and more lethal. But here was the robot in meltdown with smoke pouring out of its ears.Soon, with delicious irony, the phrase “Failure to Launch” was trending on Twitter itself, while one headline observed: “Ron’s Desaster.” Both Trump and Joe Biden seized on the flop to score points and raise funds. A Trump campaign spokesperson said: “Glitchy. Tech issues. Uncomfortable silences. A complete failure to launch. And that’s just the candidate!”skip past newsletter promotionafter newsletter promotionAfter nearly half an hour of malfunctions, DeSantis finally got going. He declared: “I am running for president of the United States to lead our great American comeback.” But by then thousands of people had given up and tuned out.The governor went to have a dig at Trump. “Government is not entertainment,” he said. “It’s not about building a brand or virtue signaling.”Predictably he griped about coronavirus pandemic measures and the media. An unhealthy chunk of the conversation was devoted to promoting Twitter. The governor said: “I think what was done with Twitter was really significant for the future of our country.”And improbably at the end he said of crash-prone Twitter Spaces: “This is a great platform.”The sorry experience did little to suggest that Musk knows how to run a social media platform or that DeSantis is capable of governing a global superpower armed with nuclear weapons.Perhaps their sole consolation is that they had both been upstaged in the evening news bulletins by the death of rock’n’roller Tina Turner at the age of 83. They could have done worse than fill their long silences with her posthumous plea: We Don’t Need Another Hero. More

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    With DeSantis campaign event, Musk seeks to shore up a sinking Twitter

    The news that Ron DeSantis will launch his presidential campaign during a live Twitter appearance with Elon Musk marks the tech billionaire’s latest attempts to shore up engagement with the social network at a moment of crisis for the company.The event – which will take place Wednesday on Twitter Spaces, a live stream feature that is often broadcasted at the top of Twitter’s feed – was confirmed by Musk on Tuesday afternoon. Speaking at the Wall Street Journal CEO Summit, Musk called the Florida governor’s decision “ground breaking” and said it won’t be the last political event that Twitter will host.When asked if Musk plans to interview other candidates, particularly Democrats, he said “absolutely”.“It’s important that Twitter have both the reality and perception of a level playing field as a place where all voices are heard,” he said. “This will be the first time something like this will be happening on social media with real time questions and answers. Let’s see what happens.”For Musk, the upshot of DeSantis’s appearance will be increased visibility for Twitter at a moment when the company’s relevance is dwindling. The social network has floundered since Musk took over, rolling out mass layoffs and launching new projects amid runaway profit losses. Musk previously claimed the company was losing $4m per day and undertook massive cost-cutting measures, including firing more than half the company’s workforce.In the months since, Twitter under Musk’s leadership has continued to struggle – with advertisers fleeing the increasingly unstable platform and the company facing lawsuits for not paying rent in multiple office locations around the world. Increasing outages have suggested the platform’s basic infrastructure is struggling amid the growing job cuts.In an attempt to make the flailing platform more profitable, Musk launched a subscription service for verification that largely failed. He also ventured into journalistic endeavors with the Twitter Files – an exposé project published on the platform that he said is now dead. Musk has also spoken publicly about his desire to turn Twitter into an “everything app”, similar to China’s WeChat, that would roll social media in with payments and other services.Now, Musk may be courting additional revenue streams by platforming conservatives. Earlier this month, the former Fox News host Tucker Carlson announced he would be reviving his popular show on the site, although Musk said on his own account that there was no deal signed between the platform and Carlson.Musk told the audience at Tuesday’s event that the Twitter event does not amount to his endorsement of DeSantis or any candidate. But while Musk has described himself as a moderate who has voted for Democrats in the past, he has been vocal about his disdain for Democrats and progressives, actively participating in the far-right’s culture war against progressivism.His tweeted missives are often in line with major Republican talking points – decrying Covid restrictions and denigrating the media. In November, he urged his followers to vote for a Republican Congress. As DeSantis rolls back trans rights, including access to gender affirming care, Musk has echoed Republican misinformation equating gender affirming care and puberty blockers with sterilization. Under his management, Twitter has reinstated the accounts of far-right organizers and Neo Nazis, as well as rightwing politicians including Donald Trump, who had previously violated the social media company’s rules.Speaking on Tuesday, Musk said his vision is for Twitter to act as a “public town square where more and more organizations … make announcements”. For the billionaire, ever the provocative tweeter, that public town square must come with limited constraints on what is said.“I’m not going to mitigate what I say because that would be inhibiting freedom of speech,” Musk said, answering a question about his recent controversial tweets about George Soros. “That doesn’t mean you have to agree with what I say. For those who would advocate censorship … if you succeed in that, it’s only a matter of time before it gets turned on you.” More

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    Tesla recalls 362,000 vehicles over self-driving software flaws that risk crashes

    Tesla recalls 362,000 vehicles over self-driving software flaws that risk crashesRegulators say driver assistance system does not adequately adhere to traffic safety laws and can cause crashes Tesla said it would recall 362,000 US vehicles to update its Full Self-Driving (FSD) Beta software after regulators said on Thursday the driver assistance system did not adequately adhere to traffic safety laws and could cause crashes.The National Highway Traffic Safety Administration (NHTSA) said the Tesla software allows a vehicle to “exceed speed limits or travel through intersections in an unlawful or unpredictable manner increases the risk of a crash”.Tesla will release an over-the-air (OTA) software update free of charge, and the electric vehicle maker said is not aware of any injuries or deaths that may be related to the recall issue. The automaker said it had 18 warranty claims.Tesla shares were down 1.6% at $210.76 on Thursday afternoon.The recall covers 2016-2023 Model S, Model X, 2017-2023 Model 3, and 2020-2023 Model Y vehicles equipped with FSD Beta software or pending installation.NHTSA asked Tesla to recall the vehicles, but the company said despite the recall it did not concur in NHTSA’s analysis. The move is a rare intervention by federal regulators in a real-world testing program that the company sees as crucial to the development of cars that can drive themselves. FSD Beta is used by hundreds of thousands of Tesla customers.The setback for Tesla’s automated driving effort comes about two weeks before the company’s March 1 investor day, during which Chief Executive Elon Musk is expected to promote the EV maker’s artificial intelligence capability and plans to expand its vehicle lineup.Tesla could not immediately be reached for comment.NHTSA has an ongoing investigation it opened in 2021 into 830,000 Tesla vehicles with driver assistance system Autopilot over a string of crashes with parked emergency vehicles. NHTSA is reviewing whether Tesla vehicles adequately ensure drivers are paying attention. NHTSA said on Thursday despite the FSD recall its “investigation into Tesla’s Autopilot and associated vehicle systems remains open and active.”Tesla said in “certain rare circumstances … the feature could potentially infringe upon local traffic laws or customs while executing certain driving maneuvers”.Possible situations where the problem could occur include traveling or turning through certain intersections during a yellow traffic light and making a lane change out of certain turn-only lanes to continue traveling straight, NHTSA said.NHTSA said “the system may respond insufficiently to changes in posted speed limits or not adequately account for the driver’s adjustment of the vehicle’s speed to exceed posted speed limits.”Last year, Tesla recalled nearly 54,000 US vehicles with FSD Beta software that may allow some models to conduct “rolling stops” and not come to a complete stop at some intersections, posing a safety risk, NHTSA said.Tesla and NHTSA say FSD’s advanced driving features do not make the cars autonomous and require drivers to pay attention.TopicsTeslaElon MuskUS politicsnewsReuse this content More