logo
Tesla sues ex-engineer for stealing Optimus robot secrets to launch rival startup

Tesla sues ex-engineer for stealing Optimus robot secrets to launch rival startup

India Today17 hours ago

Tesla has filed a lawsuit against a former employee, accusing him of stealing confidential information related to its humanoid robotics project, Optimus, and using it to establish a competing startup. The lawsuit, filed on Wednesday and first reported by Bloomberg, targets Zhongjie 'Jay' Li, who was employed at Tesla between August 2022 and September 2024. Tesla alleges that Li misappropriated trade secrets involving the development of its advanced robotic hand sensors, and later used this proprietary knowledge to launch his own venture, Proception — a startup backed by Y Combinator, which specialises in humanoid robotic hands.advertisementAccording to the legal complaint, Li downloaded sensitive Optimus project data onto two personal smartphones during his tenure at Tesla. In addition to accessing confidential files, the lawsuit claims that, in the months leading up to his departure, Li used Tesla's internal systems to conduct research on humanoid robotic hand design and explored topics related to venture capital and startup funding, suggesting premeditated intentions to establish a competing business.'Less than a week after he left Tesla, Proception was incorporated,' the complaint reads. 'And within just five months, Proception publicly claimed to have 'successfully built' advanced humanoid robotic hands—hands that bear a striking resemblance to the designs Li worked on at Tesla.'
Proception's website describes its mission as seeking to "revolutionise human-robot interaction by building the world's most advanced humanoid hands." The similarities between Proception's designs and Tesla's proprietary work have prompted Tesla to take legal action to protect its intellectual property.advertisementTesla's humanoid robotics journey has faced several hurdles since it was first unveiled in 2021, when CEO Elon Musk introduced the Tesla Bot concept — later branded as Optimus. Initially, the company indicated that the humanoid robot would debut alongside other products in 2023. However, progress has been slower than expected, with the Optimus robot still in development.In July 2024, Musk provided an updated timeline, stating that Tesla hoped to begin commercial sales of the Optimus robot by 2026. However, by October 2024, at Tesla's 'We, Robot' event, the showcased Optimus robots were still largely operated by humans remotely, highlighting that the technology remains a work in progress.Tesla maintains that Li's alleged theft of intellectual property could jeopardise years of internal research and development invested in Optimus. The lawsuit underscores the high stakes involved in the race to develop advanced robotics, particularly as companies like Tesla seek to lead the emerging market for humanoid robots capable of performing complex, human-like tasks.While Tesla has faced technical setbacks in bringing Optimus to market, the ongoing development of robotic hands is seen as a critical component in making the humanoid robot fully functional. The advanced hand sensors Li allegedly accessed are believed to play a pivotal role in enabling robots to replicate precise, human-like dexterity, a key milestone that could set Tesla apart from competitors in the field.Proception has not yet publicly responded to the lawsuit, and the legal proceedings are now underway.Tune In

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

India may ease EV localisation norms amid China's rare earth export curbs
India may ease EV localisation norms amid China's rare earth export curbs

Time of India

timean hour ago

  • Time of India

India may ease EV localisation norms amid China's rare earth export curbs

India is considering a relaxation of its stringent 50per cent localisation requirement for electric vehicle (EV) makers and suppliers in light of China's recent curbs on rare earth exports, according to people familiar with the matter told Bloomberg. While the Society of Indian Automobile Manufacturers (SIAM) has not yet submitted a formal request to lower the threshold, industry representatives have raised the issue during consultations with the government, the sources said, requesting anonymity due to the private nature of the discussions. China, the dominant global supplier of rare earth minerals, imposed restrictions in April on the export of these critical materials, which are used in the production of permanent magnets essential for EV traction motors. The move has disrupted supply chains and posed a challenge to India's localisation goals under the Production Linked Incentive (PLI) scheme. Indian auto industry's urge In response, the government has advised automakers to temporarily import fully-built traction motors or their sub-assemblies to circumvent supply bottlenecks, sources added. The Ministry of Heavy Industries has not yet commented publicly on the issue. Suppliers and manufacturers are reportedly scrambling to secure alternative sources and are working on expensive workarounds to continue production. However, a prolonged disruption in the availability of rare earth materials could severely impact the ability of automakers to meet the localisation mandates tied to the PLI scheme, which offers financial incentives to promote domestic manufacturing. The PLI program is part of a broader government effort to reduce reliance on imports across key sectors, including electronics, textiles, semiconductors, and EVs. Despite the push for self-reliance, China's control over the rare earth supply chain leaves Indian original equipment manufacturers (OEMs) with limited options. According to the people familiar with the matter, some automakers are already exploring the possibility of importing fully assembled motors or critical sub-assemblies directly from China to ensure production continuity. India's potential move to soften localisation norms could provide short-term relief to EV manufacturers, though it also underscores the country's dependency on critical materials from China and the urgent need to develop resilient, localised supply chains.

Trump urged EchoStar, FCC chair to cut a deal on spectrum: Report
Trump urged EchoStar, FCC chair to cut a deal on spectrum: Report

Time of India

timean hour ago

  • Time of India

Trump urged EchoStar, FCC chair to cut a deal on spectrum: Report

WASHINGTON: President Donald Trump urged EchoStar Corp Chairman Charlie Ergen and Federal Communications Commission Chair Brendan Carr to reach a deal over the fate of the company's wireless spectrum licenses , Bloomberg reported on Friday. EchoStar shares were up 52% in after-hours trading Friday on the report. On Thursday, Trump met with Ergen and he telephoned Carr, who came to the White House to join the meeting, Bloomberg reported. The White House and EchoStar declined to comment. The FCC did not immediately respond to a request from Reuters for comment on Friday. EchoStar has been trying to shield its cache of wireless spectrum licenses from the threat of revocation by the FCC. U.S. satellite TV provider DirecTV terminated its agreement to acquire EchoStar's satellite television business last year, which includes rival Dish TV, over a failed debt-exchange offer. In May, the FCC told EchoStar it was investigating the company's compliance obligations to provide 5G service in the U.S., questioning EchoStar's buildout extension and mobile-satellite service. EchoStar said the FCC disclosure was "harming EchoStar's ongoing deployment and threaten its viability as a wireless provider as well as endanger the video and broadband satellite services upon which millions of consumers rely." The company added "the possibility of reversing prior grants of authority related to spectrum for which EchoStar paid billions and in which it invested billions more, in contravention of long-standing commission precedent." EchoStar has previously disclosed that it missed roughly $500 million in interest payments, citing uncertainty around the ongoing FCC review.

Musk Pins Teslas Comeback on Robotaxis After Retreat From Feud
Musk Pins Teslas Comeback on Robotaxis After Retreat From Feud

Mint

time4 hours ago

  • Mint

Musk Pins Teslas Comeback on Robotaxis After Retreat From Feud

Tesla Inc. already had a lot riding on its highly anticipated robotaxi launch long before Elon Musk decided to swing a wrecking ball through his alliance with President Donald Trump — and the company's share price. Now investors are looking for a win that can help repair the brand damage and shift Tesla back into growth mode. Musk said Tesla would start the new self-driving car service in Austin as soon as June 22, as part of the EV maker's big bet on artificial intelligence and autonomous driving. While Tesla gave the city an outline of its tentative plans, the company hadn't disclosed a launch date — either publicly or directly to Austin officials — until late on Tuesday, when Musk warned the service's debut could shift because it was 'super paranoid about safety.'The proclamation came as part of an all-night series of social media messages by Musk, which included a near-apology that 'I regret some of my posts' about the president, which 'went too far.' The comments helped push shares up about 3% Wednesday by investors who have been urging Musk to refocus on his business empire. The billionaire has said the rollout would start slowly, with 10 to 20 vehicles, and a testing area verified by Bloomberg News suggests the initial contours of the debut resemble more of a souped-up demo than a full-fledged launch. That may not matter to Tesla's biggest fans, or the stock price. Investors generally have been willing to give Musk the benefit of the doubt in the short term as they believe in his long-term vision. For the moment, Tesla sales are tumbling around the world, its stock is down around 20% this year and analysts have lowered their expectations for the company's performance. While Musk tries to undo some of the damage from his meltdown with Trump, the immediate impact to Tesla's shares and Musk's own wealth shows just how delicate the whole balance is. The government has outsized influence over his businesses, from billion-dollar contracts to the regulatory environment for autonomous vehicles and Tesla's robotaxi network. 'He needs to dial down the rhetoric and the drama and get back to the business of Optimus and robotaxi and Full Self Driving,' Nancy Tengler, CEO and chief investment officer of Laffer Tengler Investments, told Bloomberg Television. 'That is what people own the stock for — and for his brilliance and genius of course — but not for the histrionics.' Musk has promised to establish a ride-hailing network that is part 'Airbnb, part Uber.' The company wants the fleet to built on its Full Self-Driving technology and eventually feature both purpose-built Cybercabs without pedals or steering wheels, as well as Teslas owned by the company and individual drivers. Musk predicts hundreds of thousands of the vehicles on the road by late 2026. The robotaxi launch is the first step in showing investors he can deliver. Tesla will be the fourth robotaxi service to launch in Austin in the past several years. While Tesla can operate its standard consumer models in Texas with no driver, it needs federal exemptions to use the Cybercab in its fleet. In other states, including California, Tesla faces a patchwork of regulations. Representatives for Tesla and Musk did not respond to requests for comment. There have been signs of the company's preparation in Austin. Model Y vehicles with manufacturer's plates have become a frequent sight around town in the south and southeast portions of the city that are studded with residential neighborhoods and retail shopping centers and a few minutes drive from downtown. In some cases, the vehicles drive around in what appear to be circular routes. The initial operation area will likely cover only a few square miles, according to a person familiar with the plan who was not authorized to speak publicly on it. The zone could change before launch or be amended quickly after the service begins. The rules governing driverless vehicles in Texas are notably light. While rideshare companies with human drivers must obtain a license to operate in Texas, a legal loophole means robotaxis like those operated by Tesla don't need the same approvals, according to the Texas Department of Licensing and Registration. That makes the state a popular choice for companies in the early stages of autonomous service. Waymo, the driverless-rideshare business owned by Google parent Alphabet Inc., currently has about 100 robotaxis in Austin in partnership with Uber and plans to ramp up to hundreds over time. Volkswagen ADMT and Inc.'s Zoox are testing their vehicles there. A number of autonomous trucking companies are also testing elsewhere in the state. Tesla has embraced a different approach to autonomy, favoring a camera-only system rather than a combination of lidar, radar and pre-mapping that competitors use. Musk has long claimed such an approach will allow the company to scale up sooner than rivals including Waymo, which he considers too expensive. According to some estimates, Tesla's system of sensors costs about $400 per vehicle; Waymo's fleet, which totals 1,500 vehicles in California, Arizona and Texas, runs roughly $12,650 per car. Critics have said Tesla's vision-only system is riskier as it's more limited in certain conditions with less visibility, such as sun glare, fog or dust. Regardless of the vehicles' specifications, autonomous vehicle testing in Austin and elsewhere has brought challenges. General Motors Co.'s now-defunct Cruise dragged a person along a street in San Francisco in a gruesome incident that left the pedestrian in critical condition. Driverless rideshare cars have caused viral traffic jams in Austin and last week, Waymo drove into a flooded area following a storm. 'Safety is our highest priority at Waymo, both for people who choose to ride with us and those with whom we share the streets. We remain committed to improving road safety through our ongoing learnings and experience,' a Waymo spokesperson said. In preparation for its launch, Tesla has been in touch with Austin city officials and first responders to discuss safety expectations, according to emails seen by Bloomberg News that date back to at least May 2024. Tesla has said robotaxis will be remotely monitored initially. But several key aspects of Tesla's plan are yet to be finalized with the city's autonomous vehicle working group, which communicates with AV companies operating in Austin. Tesla has only shown officials a draft of an expected first responder guide, and an emergency training is still outstanding, according to Andre Jordan, division chief of homeland security and special operations for the Austin Fire Department, and a member of the city's working group. 'Autonomous vehicles are required to follow the law, but what happens when the law and directions of first responders conflict? It's a complicated world,' said Jordan. It's also a complicated moment for Musk to pitch Tesla as a trusted brand to take passengers, many of whom aren't accustomed to riding in self-driving cars, where they need to go. Thanks to months wading through the political fracas in Washington, the billionaire and his cars have never been more polarizing. Although Musk has sought to dial down the hostility with the president, the billionaire's public spat with Trump threatens to alienate even more customers. 'Tesla at this moment is a brand with all sorts of mixed associations,' said Tim Calkins, a marketing professor at Northwestern University's Kellogg School of Management. 'If people have negative feelings about Elon Musk and they spill onto robotaxi, I don't think they'll be eager to take a ride. There's lots of alternatives.' Driverless vehicles require an extra element of trust and critics will be ready to amplify any mishaps, said Mike Paul, president of crisis consultancy Reputation Doctor LLC. 'When you're starting from a deficit currently, from a trust in branding perspective, with all things Elon,' Paul said, 'it's going to be very difficult to show success.' Musk has been building expectations for this launch for years. While some investors are willing to lend him some leniency on timing and the exact details, many want concrete signs of progress. Baird analyst Ben Kallo downgraded Tesla to neutral, citing, in part, overhyped expectations from Musk around the robotaxi launch and intensifying competition in the space. Kallo also said that Musk's deteriorating relationship with Trump has led to more uncertainty. 'The valuation has gotten ahead of itself around the robotaxi,' Kallo told Bloomberg Television. 'I do think the rollout will take longer. At first it will require more people, so people in control centers making sure that the cars do not get into accidents something like that.' For that reason, Kallo said there will likely be some short-term pain. 'Rolling this out will be very difficult.' With assistance from Raeedah Wahid and Edward Ludlow. This article was generated from an automated news agency feed without modifications to text.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store