TechCrunch Mobility: Tesla Steps into the Grok Era as Teens Adopt Robotaxis

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Before we delve into more updates, a quick note about Grok, the AI model developed by xAI, a company founded by Elon Musk that recently acquired his social media platform, X. Yes, there’s a link to transportation here.

Grok, which interprets images and answers questions, aims to compete with models like OpenAI’s ChatGPT. It has rapidly become an integral part of X, where users engage with this AI chatbot. However, it has also shown problematic behavior, such as antisemitic comments, praising Hitler, and making threats of sexual violence (these messages have since been removed).

Just yesterday, AI journalist Max Zeff revealed that xAI’s latest model, Grok 4, seems to draw from social media posts on Musk’s X account when addressing heated topics like the Israel-Palestine conflict, abortion, and immigration regulations.

How does this relate to transportation? Musk has stated that Grok will be incorporated into Tesla vehicles starting next week.

A notable white hat hacker known as “Green the Only” investigated Tesla’s firmware and uncovered some fascinating details. Soon, drivers will have the option to select different Grok “personalities,” which include NSFW (not suitable for work) versions, argumentative, storyteller, romantic, therapist, eccentric, and more. He also observed that “Grok currently requires premium connectivity and links to your existing account.”

A little bird

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Deals!

In a nostalgic nod, Rivian’s micromobility offshoot Also has managed to raise an additional $200 million, reaching a post-money valuation of $1 billion. Yes, that’s right — the micromobility startup has yet to introduce its first product.

As previously highlighted, there’s considerable enthusiasm surrounding Also, and Jony Ive’s LoveFrom association certainly amplifies its visibility.

Other notable deals this week …

Shifting focus to striking EVs that have garnered significant funding rounds, senior reporter Sean O’Kane spoke with the founders of Slauson & Co, a Los Angeles venture capital firm established five years ago and an early supporter of Jeff Bezos-backed Slate Auto. If you want to catch up with Slate Auto news, we’ve created a convenient timeline documenting all of our scoops and updates, which will be regularly updated.

Finland’s e-motor startup Donut Lab raised €25 million ($29.2 million) in a seed funding round led by Risto Siilasmaa, the founder of cybersecurity firm WithSecure (formerly F-Secure). Risto will also join Donut Lab’s board.

INSHUR, a company specializing in insurance products for the on-demand economy, secured $35 million from Trinity Capital. This new funding will support INSHUR’s ongoing expansion across the United States.

Notable reads and other tidbits

Autonomous vehicles

President Trump has nominated Jonathan Morrison to lead the National Highway Traffic Safety Administration. Morrison has previously engaged with Tesla on various matters.

Meanwhile, Tesla is keen to broaden its robotaxi operations. The company has requested permission to test and operate autonomous vehicles in Arizona, hoping to launch its developing robotaxi service in the Metro Phoenix area. Our article includes several interesting details and clarifies the AV permitting process in Phoenix. One crucial point is that the company will also require a TNC permit for ride-hailing services.

Musk has mentioned that robotaxis are expected to reach the Bay Area once they receive regulatory approval “in a month or two.” However, there’s an issue: The California DMV, which oversees AV regulations, states that Tesla hasn’t yet applied for a driverless testing or deployment permit. Currently, Tesla possesses only an autonomous vehicle testing permit for public road testing with a safety driver, a permit they’ve held since 2014.

Waymo is continuing to expand, not only in reach but also in capabilities. The company has revealed that it will soon open its robotaxi service in Phoenix to teenagers, with some conditions: teens can only enroll through a parent’s verified account and must be aged 14 to 17—13-year-olds are not allowed. This indicates that Waymo plans to steer clear of the middle school demographic, focusing solely on high school students.

At the same time, Waymo is investigating potential opportunities in New York City (a notoriously strict market for AVs) and Philadelphia. The company has launched “road trips” in both Northeastern locations, which can be viewed as preliminary testing; in New York, all vehicles will be manually driven for mapping and data collection purposes.

Electric vehicles, batteries, & charging

Several new EV announcements made waves this past week: Mercedes-Benz CEO Ola Källenius showcased the forthcoming all-electric GLC; Subaru is set to unveil its new all-electric compact crossover SUV on July 17 at 7:30 PM ET; and Volvo provided information on the carbon footprint of its upcoming all-electric ES90, which is set to enter production later this summer.

Additionally, I had the chance to test drive the 2026 Rivian quad-motor R1S and R1T. This represents the second generation of their flagship EV and is Rivian’s most premium trim, with prices ranging from $115,990 to $125,990, depending on the model.

Check out the full article detailing my test drive, which explores the technology behind this second-generation flagship EV.