Completely satisfied Tuesday! It is August 26, 2025, and that is The Morning Shift — your day by day roundup of the highest automotive headlines from all over the world, in a single place. That is the place you will discover an important tales which are shaping the way in which People drive and get round.
On this morning’s version, we’re taking a look at how a lot Tesla spent to not settle a court docket case, in addition to Stellantis’ seemingly shuttered self-driving plans. We’ll additionally have a look at Hyundai’s newest spherical of funding within the U.S., and the newest lawsuit from California sellers towards direct gross sales.
1st Gear: Tesla turned down a $60 million settlement for a court docket case that price it $243 million
Again in 2019, a Mannequin S working Autopilot hit a Chevy Tahoe, killing one occupant and injuring one other. Tesla had a proposal to settle the ensuing lawsuit for $60 million {dollars}, however turned the deal down. The ultimate invoice for the swimsuit that Tesla fought to the tip? $242.6 million. From Reuters:
Billionaire Elon Musk’s electrical car firm Tesla rejected a $60 million settlement proposal in a lawsuit over the 2019 deadly crash of an Autopilot-equipped Mannequin S earlier than a jury this month awarded a $243 million verdict within the case.
Attorneys for the plaintiffs disclosed the settlement proposal in a submitting on Monday within the federal court docket in Miami, Florida, as a part of a request for authorized charges from Tesla.
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The trial targeted on an April 2019 crash involving a 2019 Mannequin S that includes Autopilot driver-assistance software program. The driving force’s Tesla struck the victims’ parked Chevrolet Tahoe as they have been standing beside it on a shoulder.
Jurors awarded the property of Naibel Benavides Leon, who was killed, and her boyfriend Dillon Angulo, who was severely injured, a mixed $129 million in compensatory damages, plus $200 million in punitive damages. Tesla was held answerable for 33% of the compensatory damages, or $42.6 million, and all the punitive damages.
In fact, $60 million is already an unfathomable sum of money. Compared with the results of the swimsuit, although, Tesla might’ve saved a variety of money by paying the $60 million when it had the possibility.
2nd Gear: Stellantis may throw within the towel on Degree 3 semi-autonomy
Earlier this yr, Stellantis unveiled its AutoDrive semi-autonomous driver help system. Now, simply six months later, the mission nonetheless hasn’t made its approach to a client car — and Stellantis now says it could by no means occur. From Reuters:
Stellantis has shelved its first Degree 3 superior driver-assistance program due to excessive prices, technological challenges and considerations about client urge for food, three folks aware of the matter advised Reuters.
As lately as February, Stellantis mentioned its in-house system, which is a part of the AutoDrive program, was prepared for deployment and a key pillar of its technique. The corporate mentioned the system, which allows drivers to have their arms off the wheel and eyes off the highway below sure situations, would enable them to briefly watch films, make amends for emails, or learn books.
That Degree 3 software program was by no means launched, the corporate confirmed to Reuters. But it surely stopped wanting saying that this system was canceled.
“What was unveiled in February 2025 was L3 know-how for which there’s at the moment restricted market demand, so this has not been launched, however the know-how is out there and able to be deployed,” a Stellantis spokesperson mentioned.
There definitely appears to be market demand for semi-autonomous programs — each automaker appears to be racing so as to add them — however maybe Stellantis is ready on the lawsuit demand to dry up. Particularly with the title AutoDrive sounding so just like Tesla’s Autopilot, which is now continuously seen as deceptive, Stellantis could also be taking part in it protected on a authorized entrance.
third Gear: Hyundai is pouring $5 billion into the US
Within the wake of Trump’s tariffs, corporations are cut up as to methods to reply. Whereas some nations have stopped even sending business mail to the US, automakers have typically discovered a unique tactic: Huge, flashy investments in American manufacturing. Take Hyundai, which simply introduced one other $5 billion to spend on the States. From Automotive Information:
Hyundai Motor Group is including $5 billion of investments to its U.S. operations to “considerably” enhance its manufacturing capability for Hyundai, Genesis and Kia vehicles, whereas additionally making a robotic manufacturing hub.
The brand new U.S. dedication, introduced Aug. 26, comes on high of some $21 billion introduced in March, bringing the South Korean carmaker’s whole to $26 billion from 2025 to 2028, because it prioritizes localization amid commerce upheaval.
The extra $5 billion will fund “increasing auto manufacturing, considerably,” spokesman Dain Kang mentioned. He declined to supply additional particulars in regards to the automotive construct out.
It stays to be seen whether or not American manufacturing really finally ends up being cheaper than the import tariffs, on condition that corporations will nonetheless pay to import components and uncooked supplies, nevertheless it appears Hyundai is keen to guess huge on North America in its future endeavors. Perhaps this implies we’ll see extra Genesis vehicles on the streets. Give us extra implausible wheels and bizarre headlights.
4th Gear: California sellers sue Sony and Honda over Afeela direct gross sales
California automotive sellers hate direct gross sales, as a result of direct gross sales make their questionable enterprise practices now not a crucial evil. Relatively than modernizing, or evolving past the scum, they’ve as an alternative determined to mount large authorized assaults towards any producer that does not partake of their companies. This can be a good and regular enterprise follow, and by no means any kind of safety racket. Anyway, they’re coming for Afeela now, claiming the vehicles needs to be bought in Honda sellers. From Automotive Information:
The California New Automobile Sellers Affiliation filed a lawsuit towards American Honda Motor Co., Sony Honda Mobility Inc. and Sony Honda Mobility of America Inc., accusing the businesses of violating state franchise legal guidelines.
The criticism, filed Aug. 19 in in Los Angeles County Superior Courtroom, alleges that the businesses are bypassing Honda and Acura dealerships to promote its Afeela electrical car on to customers.
“This can be a direct assault on the 161 franchised Honda and Acura sellers in California which were loyal companions in constructing the model’s fame and success for many years,” affiliation president Brian Maas mentioned in an announcement.
“By chopping sellers out, they’re stripping very important client protections like native service assist, clear pricing and guarantee help,” Maas mentioned.
The Afeela is just half a Honda anyway, however the true core of the problem is that the supplier mannequin is dated. Are you able to title a supplier that is actually identified for its clear pricing? Be severe.
Reverse: Brooklyn, child
Y’know who did not play within the first-ever televised main league baseball sport? The Yankees. I relaxation my case.
On The Radio: LCD Soundsystem – ‘Daft Punk Is Taking part in At My Home’
I do not know why I am in an LCD Soundsystem temper this morning, however I very a lot am. It was a battle to select between this and “Dancy Yrself Clear” for On the Radio.