• Legacy carmakers continue to report slumping sales in China.
• Volvo is the latest. It's planning 2,500 global job cuts to save about $530 million.
• America is a problem, too. Tariffs, crushed EV incentives, and Polestar's exit also hurt.

China's merciless car market is taking a bite out of Volvo.

On Friday, the Swedish luxury automaker said revenue in China fell by almost 50% over the past year. The company said, like many legacy premium automakers, it's facing increasing "hypercompetition" from Chinese competitors.

Volvo plans to cut 2,500 jobs globally in response, it said, including roughly 2,000 in Sweden. That's part of an effort to slash costs by about $530 million.

"We continue to operate in a very tough environment with strong external challenges: de-globalisation, hypercompetition and climate change," CEO Håkan Samuelsson said in a statement.

It's the latest stark example of the increasing pressure on legacy automakers in China. Several big-name car companies — including Volkswagen, BMW, and Mercedes-Benz — have recently reported slowing sales from their Chinese dealerships.

Volvo is majority-owned by Geely Auto Group, a Chinese automaking conglomerate.

The company said the reductions will be made by a combination of ending consultant contracts, natural attrition, and targeted employee exit packages.

China is not Volvo's only problem. The company also said that US tariffs and the loss of Washington's consumer incentives for electrified cars squeezed margins. Volvo previously bet heavily on a rapid consumer transition to electric vehicles, aiming for an all-electric portfolio by 2030. It's since walked back that goal to include plug-in hybrid vehicles.

The automaker also said that Polestar — its EV offshoot that is exiting the US market — also posted losses.

Volvo's answer is to get more local: the automaker said it would introduce two fresh cars tailored specifically for the Chinese market by the middle of next year. Those cars will be developed in close collaboration with Geely and will include a Chinese tech stack and advanced driver-assist technologies "to make them fully competitive in China."

• Companies including Meta, Amazon, and Visa have said they're trimming staff this year.
• Many firms, like Wix and Block, have cited the rise of AI as a reason they need fewer staff.
• See the list of companies letting workers go in 2026.

Big companies are still cutting jobs in 2026.

So far this year, dozens of major brands have laid off employees, continuing a trend of significant workforce reductions across a broad range of industries, including tech, media, finance, and retail.

While prominent brands continue to announce cuts, the broader economy shows that unemployment hasn't spiked. Economists frequently describe the environment as low-fire, low-hire.

The big change is AI.

Several companies, including Block, Coinbase, and Standard Chartered, have cited the impact of artificial intelligence as a key reason for the layoffs.

A World Economic Forum survey last year found that some 41% of companies worldwide expected to reduce their workforces in the next five years because of the rise of artificial intelligence. The survey also found that jobs in big data, fintech, and AI are expected to double by 2030.

Last year, Business Insider tracked layoffs at around 65 major companies, including Amazon, Meta, Paramount, and Starbucks. In 2026, we'll continue to track additional job cuts based on company announcements, WARN notices, and our own reporting.

Here are the companies with job cuts underway in 2026, listed in alphabetical order.

Amazon is laying off thousands of employees

Amazon said in January that it would eliminate around 16,000 corporate roles globally.

Beth Galetti, senior vice president of people experience and technology, described the January move in a company memo as part of broader efforts to cut back on bureaucracy inside the company.

The cuts followed mass layoffs from October 2025, when the tech and retail giant shed 14,000 roles.

In May, Amazon's Selling Partner Services team slashed additional jobs as it continued to reshape its organization.

"Following a recent review, we've made the difficult decision to eliminate a relatively small number of roles in our Selling Partner Services team," a spokesperson told Business Insider.

American Express is cutting 5% of its workforce

American Express took a $336 million restructuring charge as it plans to cut around 5% of its workforce, the company announced during its third-quarter earnings call.

It employed around 77,000 people by the end of 2025, meaning the layoffs could impact between 3,000 and 4,000 employees.

On the earnings call, the company also highlighted how AI has changed its internal structure.

"There's been a lot of talk about how companies are using AI to increase productivity, automate processes, and generally make their organizations more efficient," Stephen Squeri, Amex's CEO, said during an October earnings call. "We're using AI to do all of those things too."

Angi is cutting 350 jobs

Angi, the popular contractor listing site once known as Angie's List, said in January that it was cutting around 350 jobs "to reduce operating expenses and optimize the organizational structure in support of long-term growth." The company also said it's making the cuts "in light of AI-driven efficiency improvements."

In a January 7 SEC filing, Angi said that the cuts would save between $70 million and $80 million in annual spending. The layoffs will cost the company between $22 million and $30 million, according to the filing.

Atlassian is cutting 1,600 employees

Atlassian, the enterprise software company and maker of Confluence, said on March 11 that it will be cutting about 10% of its workforce as it invests in AI to reshape its organization.

CEO Mike Cannon-Brookes said in a statement that about 1,600 employees will be affected by the cuts.

"We fundamentally believe people and AI create the best outcomes. Our approach is not 'AI replaces people,'" Cannon-Brookes said. "But it would be disingenuous to pretend AI doesn't change the mix of skills we need or the number of roles required in certain areas. It does."

The company expects to incur $225 million and $236 million in restructuring charges, according to an SEC filing.

Barclays cuts 5,000 jobs

Barclays, the British financial institution, disclosed plans to cut around 5% of its workforce.

Anna Cross, the Group Finance Director of Barclays, said on an October 22 earnings call that the company expects more than GBP 1 billion in efficiency savings in 2027, which will involve reducing its head count by 5,000 full-time employees.

Cross said that 60% of affected workers are related to "support functions, including fewer developers as AI makes our people more productive."

The company reported Q3 pretax profit of GBP 2.3 billion — about $3 billion — up 12% from the same quarter a year earlier.

Barclays CEO, C.S. Venkatakrishnan, said that the company is moving to "drive even greater cost efficiency through deep technological transformation, reducing the unit cost of product, manufacturing, service and innovation."

British American Tobacco cuts 9,000 jobs

British American Tobacco said it will cut 9,000 jobs by the end of the year, about one-fifth of its workforce. The cuts will not impact the US arm of its business.

"We are building a future-ready organisation that is more agile, cost disciplined and technology enabled," CEO Tadeu Marroco said in the statement.

The company, whose cigarette portfolio includes brands like Lucky Strike and Dunhill, has stepped up its push in recent years into smoke-free alternatives, such as nicotine pouches and vapes.

Citi's job cuts continue this year

Citi will cut more jobs this year as part of its plan to reduce its workforce by 10%, or 20,000 employees.

In a statement on January 13, the bank said that it will continue to reduce head count in 2026.

"These changes reflect adjustments we're making to ensure our staffing levels, locations and expertise align with current business needs," a spokesperson for Citi said.

The plan was detailed in the company's January 2024 earnings report and could save the bank as much as $2.5 billion.

Cloudflare lays off 20% of its global workforce

Cybersecurity company Cloudflare on May 7 said it plans to cut roughly 20% of its global workforce, affecting more than 1,100 employees.

In an internal memo, Cloudflare executives said the company's use of AI has climbed more than 600% over the past three months, and that the rapid shift has forced the company to reconsider its structure.

"We want to be clear that this decision is not a reflection of the individual work or talent of those leaving us," Cloudflare executives wrote in the May 7 memo. "Instead, we are reimagining every internal process, team, and role across the company."

The company's shares fell more than 14% in extended trading following the announcement.

Coinbase is cutting 14% of staff

The CEO of Coinbase, Brian Armstrong, said in a letter to staff on May 5 that 14% of its staff would be cut, largely because of AI.

"AI is changing how we work. Over the past year, I've watched engineers use AI to ship in days what used to take a team weeks," wrote. "The pace of what's possible with a small, focused team has changed dramatically, and it's accelerating every day."

Armstrong said this would mean fewer layers and faster decisions in the company. No pure managers, he said — all leaders will now be required to get stuck in and "get their hands dirty."

"AI is bringing a profound shift in how companies operate, and we're reshaping Coinbase to lead in this new era," he added.

Crypto.com laid off 12% of its workforce

Crypto.com CEO Kris Marszalek said in March that the company laid off 12% of its workforce, including "roles that do not adapt in our new world."

"Companies that move immediately and pair the best AI tools with top-performers will achieve a level of scale and precision that was previously impossible," Marszalek wrote in a post on X. "This is where we must go."

Dell cut 10% of its workforce

Dell cut its workforce by 10% for the third year in a row, the company said in its annual filing with the SEC.

As of January 31, 2026, the company had 97,000 employees, down 11,000 from the same time last year. The decline includes both layoffs and attrition, Business Insider reported.

eBay is expected to lay off 6% of its employees

eBay is set to eliminate about 800 jobs globally, making up 6% of its workforce. The company told Business Insider that it's taking steps to better align with its strategic priorities.

"We are grateful for the contributions of the employees impacted and are committed to supporting them with care and respect," a company spokesperson said in a statement.

Epic Games is cutting 20% of its workforce

Epic Games, the company behind Fortnite, said in March that it would lay off more than 1,000 people — about 20% of its workforce — as engagement with the game declined.

CEO Tim Sweeney said in a memo that the layoffs "aren't related to AI."

"To the extent it improves productivity, we want to have as many awesome developers developing great content and tech as we can," Sweeney said.

Estée Lauder is deepening its cuts, now to as many as 10,000 roles

Estée Lauder said in its May earnings report that it will deepen its previously announced cuts, which are now expected to affect up to 10,000 jobs.

More than two-thirds of the reductions are in cashier and demonstration roles at lower-performing retail and department stores.

Etsy

Etsy said August 5 that it is laying off about 220 employees, roughly 12% of its workforce.

"We will be saying goodbye to approximately 220 colleagues across the company, with most of the changes concentrated in Product & Engineering," the company's CEO, Kruti Patel Goyal, told staffers in a memo.

The company also reported its second-quarter financial results on Wednesday.

While Goyal's memo made no mention of AI or its potential threat to jobs, she said that the cuts were a preemptive move.

"The answer is that today's decisions aren't a reflection of this quarter or even this year, but of where Etsy needs to go next," she wrote.

Expedia laid off some employees

Expedia confirmed to Business Insider that it had laid off some employees on January 26 and had also posted new job openings. It's unclear how many of its workers were affected by the cuts.

"We are eliminating roles as well as opening some new roles as we remain disciplined about assessing the skills we need for the future," an Expedia Group spokesperson said in a statement. "We are also simplifying our structure and reducing organizational layers to move faster and with more accountability. These are not easy decisions, and we are grateful for the contributions of our colleagues who are impacted."

Freshworks is cutting 11% of staff

The San Mateo, California-based software company said in its early May earnings report that it would cut 11% of its staff in the second quarter. The company had about 4,500 employees at the end of 2025.

The cuts aim "to streamline the Company's organizational efforts and product development process" and increase AI across the company, according to the filing.

On an earnings call, CEO Dennis Woodside said about half the company's code comes from AI.

"Like many other software companies, that is definitely changing how we build products, how fast we can build products, and the amount of people that we need to build products," he said.

The company's stock slumped 35% from May 2025 to May 2026.

General Motors is axing 600 salaried employees

General Motors is cutting 600 salaried employees from its global IT division.

A spokesperson said the layoffs would enable it to "better position the company for the future," by ensuring GM has employees with expertise in AI-native development, data engineering, analytics, cloud engineering, prompt engineering, and AI workflows.

GoPro is laying off 145 employees

On April 7, GoPro said it would lay off about 145 employees as it tries to cut operating costs and restructure operations.

The layoffs make up 23% of its global headcount of 631 employees, the camera maker said in a regulatory filing.

The cuts will start in the second quarter of the year and will largely be completed by the end of 2026. The restructuring is expected to result in a charge of $11.5 million to $15 million.

The company cut about 15% of its staff in August 2024 to cut costs.

Groupon is reducing up to 400 positions globally

Groupon said on May 21 that it would cut up to 400 roles globally as part of a restructuring plan, according to a financial filing. It previously said it planned to rebuild as an "AI-native company."

The cuts are expected to happen by the end of the third quarter of 2026. Groupon is looking to generate $10 million to $12 million in gross savings in 2026.

"Up to half of this year's savings will be reinvested into AI infrastructure, talent density, and the tools and teams building the next version of the company," a spokesperson told Business Insider.

Groupon had 1,734 employees worldwide at the end of 2025, according to its annual report.

Heineken has a multi-year plan to reduce its workforce

Heineken is cutting 5,000 to 6,000 roles over the next two years to boost productivity and bring down costs, according to its latest full-year earnings report.

The company told Business Insider that the divisions and regions where the layoffs are due to take place are yet to be confirmed.

Heineken said in its 2025 report that it faced "subdued consumer sentiment" in the Americas, alongside a "challenging year" for brewers in Europe.

Intuit is laying off 17% of its workforce

Financial software company Intuit announced on May 20 that it would be cutting 17% of its full-time workforce.

The company shared a memo from CEO Sasan Goodarzi to employees that listed five reasons for the culling, including reducing management layers, focusing roles on "high impact work," and closing down two of its offices.

"These changes are a necessary evolution to reduce complexity and architect an organization that operates with the velocity required to fuel our growth engines," Goodarzi wrote in the memo, shared in a blog post on Intuit's website.

Laid-off employees in the US would receive 16 weeks of base pay, plus two additional weeks of pay for every year they have worked at Intuit.

The company said in a May 20 earnings report that restructuring costs from the layoffs would be about $300 million to $340 million.

Kenvue cuts 3.5% of workforce

Consumer healthcare brand Kenvue, which produces Tylenol, plans to cut 3.5% of its staff. Kenvue had about 22,000 employees globally, per its latest annual report.

The company wrote in a mid-February SEC filing that its board aimed to reduce complexity and drive operational efficiencies.

The company's layoffs and restructuring efforts are expected to cost $250 million in 2026, per the filing.

LinkedIn is laying off staff and 'scale back' other investments

LinkedIn CEO Daniel Shapero told employees on May 13 that it was laying off employees, and those in affected roles would receive a calendar invite. The jobs included positions in the Microsoft-owned company's Global Business Organization, marketing, engineering, and product teams.

"We need to reinvent how we work, with agile teams focused on our highest priorities, and by shifting investments toward areas such as infrastructure to fulfill our mission and vision over the long term," Shapero said in the memo.

Shapero also said LinkedIn would "scale back" investments in areas like marketing campaigns, customer events, and underutilized office space.

Lululemon laid off 100 part-time employees at its customer service center

The athleisure giant said it laid off 100 part-time employees to "strengthen the business." The affected roles are in the company's North American contact center.

"After careful consideration, we have made the decision to transition our North America GEC to a full-time employee staffing model. As a result, approximately 100 part-time positions in our GEC have been impacted," a Lululemon spokesperson said.

Meta lays off workers at Reality Labs and other divisions

Meta began laying off employees across multiple teams on March 25, including Reality Labs, Facebook, recruiting, sales, and global operations.

The cuts come as the company ramps up spending on AI infrastructure and talent, alongside broader cost-cutting efforts. Meta said the changes are part of ongoing restructuring to better align teams with company goals, while exploring other roles for affected employees where possible.

Meta first began preparing to slash jobs within its Reality Labs division, the unit responsible for Mark Zuckerberg's metaverse ambitions, in January, three people familiar with the matter told Business Insider at the time.

Two employees said that teams working on virtual reality headsets and Horizon Worlds, the company's VR social network, would be disproportionately affected.

Meta has shifted away from virtual reality in recent years in favor of spending hundreds of billions of dollars on beefing up its AI capabilities.

Nike laid off workers in two rounds

Nike is cutting roughly 1,400 jobs, mostly from tech, as part of a broader push to streamline operations and revive growth.

In a memo to staff on April 23 obtained by Business Insider, Chief Operating Officer Venkatesh Alagirisamy said the layoffs are tied to the company's "win now" turnaround plan, which focuses on improving culture, product, marketing, marketplace strategy, and in-person retail. He described the effort as entering its "final stretch."

This is Nike's second layoff in 2026. Nike said on January 26 that it planned to lay off 775 employees across Tennessee and Mississippi, citing efforts to "streamline" its distribution center operations.

"We are sharpening our supply chain footprint, accelerating the use of advanced technology and automation, and investing in the skills our teams need for the future," Nike said in a statement to Business Insider.

Oracle's headcount fell 13% in a year

Oracle's workforce shrank by roughly 21,000 employees, or 13%, over the past year, bringing its headcount to 141,000 as of May 31, according to a 10-K filing released on June 22.

"The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce," Oracle wrote in the filing.

Oracle also disclosed that restructuring costs surged in fiscal 2026. The company spent $1.84 billion on severance and other exit costs, up from $374 million in the prior year.

The reduction in workforce comes as Oracle continues to invest heavily in AI infrastructure.

Papa Johns is restructuring

Papa Johns said it is laying off 7% of its corporate staff amid a broader restructuring.

The pizza chain said it will also close 300 locations in North America through 2027, starting with 200 this year.

"Optimizing our restaurant portfolio and strategically closing underperforming restaurants are among the most impactful actions we can take to improve restaurant profitability and fleet health," Papa Johns CFO Ravi Thanawala said during the company's fourth quarter earnings call on February 26.

Patreon, a creator economy company, laid off 20% of staff in July

Patreon announced layoffs in July.

The creator economy company is laying off 93 employees — roughly 20% of the company — per a memo its CEO, Jack Conte, shared publicly.

Conte wrote that the "market in which we operate has undergone profound change over the last 6 months," and that Patreon needs to cut costs to "remain a stable, dependable rock for our creators."

Pinterest is expected to lay off 15% of its workforce

Pinterest announced a global restructuring plan that includes layoffs affecting less than 15% of its workforce, according to a January securities filing. The cuts come with reductions in office space.

"We are making organizational changes to further deliver on our AI-forward strategy, which includes hiring AI-proficient talent," a Pinterest spokesperson said.

"As a result, we've made the difficult decision to say goodbye to some of our team members. We are grateful for their service and supporting them with separation packages and benefits," they added.

Saks laid off 16% of its corporate staff, among other job cuts

Saks Global, the beleaguered parent company of Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, conducted several rounds of layoffs as it closed stores and trimmed its corporate staff

In April, the company cut about 16% of its corporate staff, representing less than 4% of its total workforce.

"Following the strategic actions we've taken to secure long-term financial stability, sharpen our focus on luxury and full-price selling, optimize our operational footprint, and exit non-core businesses, we are right-sizing our corporate organization to align with our go-forward strategy," a Saks spokesperson told Business Insider.

The cuts followed Saks's closure of dozens of stores and fulfillment centers in the first quarter, resulting in layoffs.

Saks filed for Chapter 11 bankruptcy in January.

Sprout Social cut 20% of staff — about 260 employees

Sprout Social — a social media management program — announced on July 15 that it will cut 260 jobs, or about 20% of its workforce.

In a letter about the reduction in force, CEO Ryan Barretto said the cuts were due to rapid industry changes.

"This decision is not a reflection of their talent or commitment," Barrett said. "We made this decision because we believe it was the right one for Sprout's future. Our industry, and software more broadly, is changing quickly, and the way companies need to operate and invest has changed with it."

Affected staff will be offered a 12-week severance package, plus an additional week of pay for every year of tenure, fully-paid health benefits for six months, and a cash payment equal to the value of their equity shares that would have vested in the next 90 days.

Standard Chartered plans to eliminate 15% of corporate functions over the next 4 years

Standard Chartered plans to cut 15% of corporate function roles over the next four years, the company said on May 19.

The bank, headquartered in London, credited AI as a driver for the reductions.

"It is not cost-cutting, but it is replacing, in some cases, lower-value human capital with the financial capital and the investment capital that we are putting in," CEO Bill Winters said in a media briefing, Reuters reported.

The company added in a statement: "We are combining the best human talent with AI, investing to support our people into higher-value roles."

T-Mobile cut some jobs

T-Mobile cut some staff in early 2026, though the scope of the layoffs is unclear. Some workers posted on LinkedIn saying they'd been affected by the changes in January.

"As the next step in our evolution, we're making some changes while continuing to hire to ensure we have the right focus, structure, and momentum to keep changing the industry through innovation and our long-standing focus on customers," T-Mobile told Business Insider in a statement.

Tailwind cut 3 of its 4 engineers

Tailwind, a popular web tool, said it cut three of its four engineers in January, citing an AI-driven decline in revenue.

"75% of the people on our engineering team lost their jobs here yesterday because of the brutal impact AI has had on our business," CEO Adam Wathan wrote in a GitHub comment on January 6 that made waves in the tech community.

Target is cutting 500 roles from its distribution and regional offices

Target confirmed to Business Insider in February that it would cut 100 district office roles and 400 supply chain positions. It plans to invest instead in additional labor hours at stores to improve the shopping experience and return to growth.

The store improvement effort is a signature priority of the retailer's new CEO, Michael Fiddelke, who started on February 1.

In November, Fiddelke said the company intends to invest an additional $1 billion in capital expenditures for 2026, an increase of 25% from 2025.

TikTok lays off 250 employees

TikTok is laying off 250 employees and closing an office in Nashville, according to documents filed with the Department of Labor and Workforce Development in Tennessee.

A spokesperson for TikTok US Data Security, a joint venture established in January 2026 to oversee TikTok's US operations, said closing the office will "streamline our operations and better align our teams for long-term growth."

The Nashville office will close in October, according to the documents.

UPS said it will eliminate 30,000 jobs

UPS CEO Brian Dykes told analysts during the company's fourth-quarter earnings call that the company plans to reduce its operational workforce by 30,000 in 2026.

"This will be accomplished through attrition, and we expect to offer a second voluntary separation program for full-time drivers," Dykes said.

He told analysts that the company has identified 24 buildings for closure in the first half of 2026 and will continue to evaluate additional buildings for closure.

Verizon is selling 274 retail stores, affecting about 3,000 workers

Verizon said in July that it would transition 274 retail stores into franchise locations as part of ongoing changes at the telecom giant.

The company said about 2,500 retail workers and 500 corporate roles would be cut, and that typically around 70% of store employees accept jobs under the new franchisees.

The move comes two months after Verizon laid off several hundred corporate employees, or about 1% of its head count, as the company reallocates workers across its overall business.

Volvo is cutting 2,500 global jobs

Volvo's CEO, Håkan Samuelsson, said the luxury automaker is facing "a very tough environment with strong external challenges," including a fierce Chinese car market, US tariffs, and continued high-priced investments in a new lineup of electric vehicles.

The company said it is cutting 2,500 employees globally — including 2,000 in Sweden — to save around $530 million in response to those headwinds.

Volvo is also ending consultant contracts and planning some targeted employee exits, the company said in a press release.

Walmart said it would cut or relocate 1,000 corporate jobs

Walmart told employees on May 12 that it would cut or relocate about 1,000 corporate jobs to address redundancies and duplicate roles.

Suresh Kumar, Walmart's chief technology and development officer, and Daniel Danker, executive vice president of AI acceleration, product, and design, announced the changes in a memo.

"We've made changes to simplify how the work is organized, make ownership clearer, and better align roles to the work and skills we need going forward," the memo said.

The move follows Walmart's May 2025 decision to cut 1,500 corporate roles as part of an effort to "remove layers and complexity."

The company employed 2.1 million people as of January.

WiseTech is cutting 30% of its workforce

Logistics software maker Wisetech is cutting 2,000 jobs, or 30% of its staff, citing AI-driven efficiency gains.

In a conference call on February 25, CEO Zubin Appoo embraced AI and said that it means more productivity, in less time, and from fewer employees. The Sydney-based company employed about 7,000 people, according to its annual report released in October.

"I am prepared to say this clearly: the era of manually writing code as the core act of engineering is over," Appoo said. AI is "unlocking levels of efficiency gains across WiseTech that were previously out of reach."

Wix CEO said the company is set to cut 20% of its workforce

Wix, which provides website-building software, is reducing its workforce by 20%, the CEO told employees in a memo published on X on May 28.

The Israel-headquartered company employs about 5,300 workers.

CEO Avishai Abrahami cited the "fast evolution of AI capabilities" as a reason for the cuts and said the company needed to become a "faster, leaner, and flatter organization."

Workday is cutting jobs

Workday is cutting about 400 jobs, and said on February 4 that the move will help the enterprise software company redirect resources toward priority areas.

The layoffs will primarily affect customer-facing roles that are "non-revenue generating," Workday said in a regulatory filing.

The cuts represent roughly 2% of its workforce and are expected to result in about $135 million in charges in the fiscal fourth quarter, which ended in January.

Workday announced a larger round of layoffs about a year ago, citing the need to invest more heavily in strategic areas such as AI. The company reported about 20,600 employees as of late October.

Visa is cutting roughly 7% of its workforce

Global payment technology company Visa confirmed to Business Insider that it's cutting about 2,600 jobs.

That's roughly 7% of the company's employee footprint.

"To capture the opportunities ahead and best position Visa to lead this transformation, we must continue evolving how we work," CEO Ryan McInerney wrote to staff in an internal memo, according to Bloomberg. "AI is also helping to accelerate this evolution and shape the way work gets done at Visa."

Zillow cut 500 employees

Zillow CEO Jeremy Wacksman announced on August 4 that the company was cutting 500 employees as part of "organizational changes."

As of December, Zillow had around 7,000 employees, so the changes are affecting about 7% of its workforce.

"These changes are about ensuring we have a disciplined cost structure and getting more efficient, with the right people in the right positions," Wacksman said in a blog post.

Is your company conducting layoffs? Got a tip?

• Elon Musk has repeatedly said cars will drive themselves around the world.
• Now, he's making a bolder claim: Tesla will dominate that autonomy, he predicts.
• The only thing that could get in the way, Musk says: these pesky governments!

Tesla CEO Elon Musk famously thinks bots will drive us around.

On Wednesday, he took that long-running vision of autonomy a step further. During the automaker's earnings call, Musk predicted that Tesla itself would dominate how passengers get around — so long as pesky regulators don't get in the way.

"I think Tesla will end up doing a majority of all passenger miles on Earth in any country where it is allowed to operate freely," he said. "And you can come back and look at this prediction, but I feel confident about this prediction."

He said Tesla's biggest hurdle to world domination is foreign governments blocking autonomous tech "to protect a domestic industry."

That is a bolder statement than Musk's prior autonomy predictions.

During a January earnings call, he said the "vast majority of miles traveled" would eventually be autonomous and guessed that people would manually drive fewer than 5% of miles. That prediction left other autonomous competitors — Waymo, Zoox, Ford, GM, Rivian, etc. — in the fray.

Vehicle autonomy is core to Tesla's valuation story. The company says its future lineup will include only one vehicle that drivers can operate manually: the high-priced Roadster.

In September, the company started rolling out the steering-wheel-less Cybercab for ride-hailing in Texas.

That rollout has had its fits and starts. While Tesla says it's ramping production and preparing to launch Cybercab rides in Florida, the NHTSA issued an audit inquiry hours after the car's public release to probe the automaker's self-certification.

Musk, who has described his predictions as his "best guesses," has missed several recent timelines for Tesla's autonomy rollout — including a prediction that unsupervised autonomy would ramp across the US in 2025.

Now, Tesla has a new target date for the consumer launch of its full self-driving software. On Wednesday, Ashok Elluswamy, the company's VP of AI, said unsupervised FSD is coming "somewhere around Q2 next year."

Tesla didn't immediately respond to a request for comment from Business Insider.

• Tesla is facing some profitability headwinds.
• Its operating income fell 56% year over year as AI and research and development costs climbed.
• The company is still in the green, and it surprised earlier this month by delivering 486,532 vehicles in the third quarter.

Tesla is still selling plenty of cars. Making the same amount of money on them is getting harder.

On Wednesday, the Elon Musk-led automaker reported that its operating income fell 56% year over year to $718 million in the third quarter — below Wall Street's estimates of $746.3 million — while overall revenue of $28.05 billion came in a smidge below analysts' estimates.

Tesla pointed to higher operating expenses tied to its AI efforts, or "SI"/"Super Intelligence" as Trump prefers, and other R&D projects. Lower regulatory credit revenue and weaker energy storage gross profit also weighed on profitability, while lower vehicle prices hurt revenue.

"While we continue to execute on innovations to reduce the cost of manufacturing and operations, over time, we expect our hardware-related profits to be accompanied by an acceleration of SI, software and fleet-based profits," the company reported.

It's not all bad news for Tesla's profits. The company is still solidly in the green, and it beat on the bottom line. Tesla reported 48 cents in adjusted earnings per share, above the 44-cent analyst consensus estimate. Free cash flow of $1.5 billion was also a surprise after Wall Street had expected negative free cash flow of $4.92 billion.

The automaker also sees areas of profit growth in its future: autonomy subscriptions are trending up, and Tesla said it's offering the right, region-specific product mixes.

During the earnings call, Tesla's chief financial officer, Vaibhav Taneja, said the company is experiencing its "highest backlog" of vehicles in four years. The company, he said, is trying to increase vehicle production.

He also added that Tesla has secured $30 billion of borrowing to support expected capital expenditures, but the company doesn't expect to "make any draws under any of the new facilities in this calendar year."

"The main takeaway is that Tesla's surprisingly positive cash flow quarter did not come from stronger profits," Thomas Monteiro, senior analyst at Investing.com, said after the report.

"Added to the equation is the fact that Tesla's AI spending remains broadly inefficient, with research costs up nearly 70% and operating margins down to just 2.6%, while at SpaceX AI is already one of the biggest sources of revenue," the analyst added.

The new quarter has already made waves

The Tesla story continues to play out in real time, and it's had a busy month since the fourth quarter kicked off in October.

On Tuesday, during SpaceX's earnings call, Musk said that Tesla and SpaceX had each formed committees to explore a potential merger. Both companies are helmed by Musk — and he owns billions of dollars in stock of each.

Anticipation of the potential mega-merger has been building around the companies for much of 2026, and has only increased since SpaceX went public. Musk said he was not included in those committees and that calling the merger a foregone conclusion "would be overstating it."

It also came less than a week after Tesla held its high-flying demo for the Roadster. The sports car performed a gymnastics routine, including briefly jumping into the air and twirling over a lineup of other Tesla vehicles.

It came nine years after Tesla first promised to relaunch the Roadster. Musk first showed off a prototype of the vehicle in 2017 and predicted a 2020 product launch.

• GM says it's keeping humans in its OnStar call centers to help with emergencies.
• It comes as OnStar is getting a fresh makeover, complete with AI.
• "The stakes are too high," an exec told BI about the human-in-the-loop.

GM is giving OnStar an AI overhaul. The automaker says it is not coming for the person who answers when your airbags deploy.

On Wednesday, during the company's tech conference, GM Forward, Ed Nightingale, GM's vice president of digital products, told Business Insider that the automaker would continue to use human OnStar staffers on emergency calls to contact first responders.

"That's something that isn't changing," Nightingale said. "We feel that, when it comes to a crash or a problem being solved, they want to make sure that there's a human in the loop. The stakes are too high."

After publication, a GM spokesperson told Business Insider that OnStar Advisors "aren't going away" and will remain a core part of the OnStar experience.

Humans-in-the-loop are a notable constraint on GM's AI ambitions compared to other software companies. Other AI-enabled companies, such as SpaceX, have recently highlighted how few customer calls are routed to humans.

GM said that keeping people involved in complex or sensitive situations is an intentional part of its AI strategy. Technology handles more routine interactions, while humans take the call during an emergency.

It also comes as the company gives OnStar — its 30-year-old in-car emergency service — a much bigger job.

GM showed off OnStar AI on Wednesday. It's a new voice assistant designed to understand a vehicle and the driver using it. The automaker said it can answer questions about vehicle alerts, control some functions, plan routes around bad weather, and offer more context-aware suggestions, including from information through a driver's digital calendar.

The assistant will arrive first on the 2027 Cadillac Lyriq via an over-the-air update in the coming months, GM said. Other vehicles will follow.

GM also plans to unify its brand-specific mobile apps under the OnStar AI name next summer.

Onstage, Sterling Anderson, GM's chief product officer, said the company was turning the 30-year-old service into "an intelligent platform."

The shift is part of a large bet from GM.

GM is focusing heavily on its tech capabilities. On recent earnings calls, CEO Mary Barra has highlighted GM's subscription products. Anderson previously told Business Insider about how AI has allowed the company to cut product development time in half, starting with the GMC Hummer EV, which only took 20 months of development. Industry-average product development is typically around 5 years.

On Wednesday, the company also highlighted the development of its hands-off, eyes-off self-driving features, set to make their debut in the Cadillac Escalade IQ in 2028.

GM still has to persuade drivers that the new tools are valuable enough to use — and, in some cases, pay for.

Nightingale said subscriptions only retain customers when drivers can see the benefit.

Work at GM? We want to hear from you. Contact Ben Shimkus at bshimkus@insider.com or Signal at bshimkus.41. Use a personal email address and a nonwork device.

• SpaceX and Tesla have each established exploratory committees to discuss a possible merger, Elon Musk said.
• Musk, who said he can't participate in the talks, gave the update during Tesla's Q3 earnings call.
• Musk said he thinks a merger is a good idea, but cautioned investors that shareholder approval is "quite a high hurdle."

Houston, we have an update on all that SpaceX-Tesla merger chatter.

During SpaceX's Tuesday earnings call, Elon Musk said both of the companies had created "special committees of independent directors" to discuss a potential merger.

Musk, who helms both companies and owns billions of dollars in stock of each, said he can't be part of those exploratory groups.

"Do I think it would be a good idea? Yes," he said on the call. "But at the end of the day, the shareholders have to be supportive of this, and particularly on the Tesla side, we will need a 50% vote of all shares, not just those who vote, but of all shareholders."

He said clearing that bar would be "quite a high hurdle."

It's the most detailed update investors have received yet on the idea of a tie-up, which has been the subject of much chatter since SpaceX went public earlier this year. If the companies ultimately decide to merge, it would further consolidate Musk's business empire, often referred to as Musk Inc.

His businesses have been on a consolidation kick. In 2025, xAI acquired Musk's social media company, X (formerly Twitter), and in February, SpaceX acquired xAI.

Musk also runs the brain-chip startup, Neuralink, and the tunnel-building firm The Boring Company. Both operate independently, but have had business collaborations within Musk Inc.

Tesla and SpaceX's stocks were up in after-hours trading following the news. SpaceX was up around 6.6% and Tesla 1.6%.

Musk sees clear benefits in tying the knot

"I do think there's a lot of merit to combining the companies as we are pretty much in the superintelligence singularity," Musk said during the call.

SpaceX and Tesla have worked together on a host of projects, including artificial intelligence software, chip design, TeraFab manufacturing efforts, robotics, Starlink satellite connectivity, and SpaceX's ability to launch payloads into orbit, Musk and SpaceX president Gwynne Shotwell said.

The most recent result of that partnership: On Thursday, Tesla demoed its long-awaited Roadster, which includes a version with SpaceX technology. The high-powered sports car's top trim will include cold-gas thrusters. The car launched, hovered, and flipped in the air during the demo.

While Musk is for the two companies tying the knot, he said investors shouldn't think it's a sure thing.

"I don't think we should necessarily assume that a SpaceX and Tesla merger is a certainty," he added. "That would be overstating it."

• Starlink missed on customer growth expectations. It's still making a ton of money for SpaceX.
• The company is leaning heavily on large customers, like governments.
• The company acquired a spectrum provider in October. Execs said they're targeting mobile providers.

Starlink is SpaceX's big cash cow. And it just reported some mixed results.

On Tuesday, during the company's earnings call, SpaceX said its satellite-internet service had 13.6 million consumer subscribers at the end of September, up 1.6 million from three months earlier. That fell short of the 14.2 million expected by Bloomberg analysts — though the company said the figure excludes hundreds of thousands of enterprise subscribers and aviation customers.

Still, Starlink is making a lot of money. Monthly consumer revenue per user rose 5% from the previous quarter, while enterprise and government revenue jumped 91% from a year earlier to $2.1 billion.

A big, important customer? Airlines. The company said that, as of the end of September, 3,800 total aircraft had been outfitted with Starlink equipment.

"Aviation remains a major growth opportunity, as we're still early in the installation phase with many of the largest carriers worldwide," CFO Bret Johnsen said on Tuesday's earnings call.

SpaceX's next venture: your phone

The company has recently focused on becoming a mobile provider.

On October 8, SpaceX announced it had agreed to buy a portfolio of low-band wireless spectrum from Grain Management. The deal gives SpaceX a key ingredient that could turn its Starlink satellite-internet provider into a direct challenger to Verizon, AT&T, and T-Mobile.

SpaceX said the spectrum would power Starlink Mobile, which it has described as a hybrid satellite-and-terrestrial network designed to work indoors, outdoors, and in cellular dead zones.

It also comes after SpaceX hinted that it saw itself as a challenger to mobile carriers during its first-ever earnings call in August. The company's president, Gwynne Shotwell, hinted that the company was considering building a "cellular base station on basically the gear that holds the Starlink broadband dish," rather than a ground-based system.

They said the market was worth $600 billion annually.

"I anticipate us to be able to acquire quite a few of their customers," Shotwell said.

During the earnings call, Shotwell said, "The vast majority of mobile connectivity is actually WiFi," an area where Starlink is already well-versed.

"Keep in mind, Starlink broadband does a lot of WiFi work as well," she said. "As far as the mix goes, I think we expect that the S-band spectrum will provide the majority. And then obviously, you need the low-band spectrum, the 800 megahertz spectrum, to basically penetrate buildings. So if you're not on WiFi, you can still receive the signal."

Musk said that there was probably a need for a longer presentation about their Starlink plans.

"I can say we do see a clear path to several hundred billion dollars a year in connectivity revenue," he said. "But I think we should lay — probably describe that in a — in more detail in a forum that's not limited to a few minutes at an earnings call."

• Cognition's cofounder said software engineering AI models are "intelligence saturated."
• AI model baselines improved — so smarter, more capable models aren't pulling as many users, he said.
• Instead, the focus could turn to speed and price.

For years, the AI race has favored the smarter model.

Russell Kaplan, the president and cofounder of AI coding startup Cognition, the company behind software-engineering platform Devin, said that could be changing for a growing number of software-engineering tasks.

"Many tasks within software engineering are now 'intelligence saturated,'" Kaplan wrote in a post on Monday. "Once any model can do the task well, cost and speed are all that matter."

Kaplan was responding to an article from The Information. Their reporting found that a 10-point advantage in model intelligence now delivers just 20% more developer traffic, down from nearly 69% in late 2025.

He said that story is "directionally consistent" with what is happening inside Cognition.

That could be a sizable strategic shift for the AI companies fighting to win software developers and enterprise contracts. OpenAI, Anthropic, Meta, Google, and a growing crop of AI labs have all highlighted their increasingly capable coding tools as a reason to choose their models.

Now, as those AI agents get better at routine tasks, one model's slightly smarter approach could matter less to users if another model is cheaper and faster.

Kaplan didn't immediately respond to a request for comment from Business Insider.

• Want to buy a RAV4? Good luck finding one!
• I drove the longtime favorite vehicle for a week. It's boringly good — and that's a huge compliment.
• Toyota is ramping up its electric powertrains. The new RAV4 is the next great example.

Think of that awkward highway moment: You've accidentally cut someone off or made an obvious driving mistake. You wish you could sink into automotive oblivion before the other driver gets a good look at you.

The Toyota RAV4 is perfect for that situation.

The crossover SUV is good at nearly everything — efficient, comfortable, reasonably priced, and backed by Toyota's reputation for reliability — while wrapped in a package that looks like pretty much every other grocery getter on the road.

I spent a week and about 200 miles in a 2026 RAV4 Limited AWD, driving through New York City and the Catskills region. The fully-loaded tester stickered at $46,883.

I found the RAV4 to be aggressively competent. Its performance won't get your adrenaline pumping, and its looks won't turn many heads. Instead, it'll get occupants comfortably from point A to point B while barely sipping fuel.

And consumers can't get enough of that.

RAV4 gets a facelift — and some fresh electric motivation

The RAV4, America's third-best-selling vehicle last year, is fresh out of the design studio.

It's the sixth generation of the SUV: Unlike its curvier predecessors, it's squared off and upright. The front and rear are nearly perpendicular to the ground and are finished off with LED head and taillights.

The more consequential change is under the hood.

For 2026, Toyota killed the gas-only RAV4. Every version now comes with a battery in the powertrain; the only remaining choice for RAV4 hopefuls is between a conventional hybrid and a pricier plug-in hybrid.

That puts one of America's most popular vehicles squarely behind the hybrid strategy Toyota has spent years defending.

While rivals poured billions into all-electric lineups, Toyota kept betting that hybrids — which combine a gas engine with electric motors and a small battery that recharges as you drive — would be easier for mainstream buyers to adopt.

The RAV4 isn't Toyota's first bestseller going hybrid-only. The Camry sedan made the switch for 2025, and the Sienna minivan has been hybrid-only since 2021.

RAV4 is the most consequential expression of that hybrid bet. And the execution hits the nail on the head.

The base model is roughly $32,000 — similar to gas-powered competitors like the Honda CR-V or the Nissan Rogue.

Gas mileage is exceptional. During my test, I averaged 47 mpg, and saw 50-plus mpg on some shorter trips.

There are trade-offs. The RAV4 feels sprightly off the line, but ask for more power at highway speeds, and the gas engine starts working noticeably harder. The steering is vague, the engine can drone, and the transition between electric and gas power is still more obvious than I'd like.

Still, Toyota gets the boring stuff right. The RAV4 gets a smartly layered front-seat organization system, a clean gauge cluster, and easy-to-understand digital climate controls.

Buyers who want something faster, flashier, or fully electric have plenty of other options — including elsewhere in Toyota's own showroom. My Limited tester also proved you don't need to spend nearly $47,000 to get what makes the RAV4 appealing (the heads-up display, for example, really wasn't necessary).

The RAV4's trick is simpler: It doesn't require any major life changes from its owner. Shoppers don't have to install a charger, rethink a road trip, or learn a radically different car. They can just drive it — and, in my case, get 47 mpg.

Wow, it's popular

That success does create a problem: Buyers can't get enough of the RAV4, especially as high gas prices add to already-strong hybrid demand.

Right now, a new RAV4 spends an average of just 17 days on a dealership lot, per CarGurus data shared with Business Insider. The industry average is above 70 days.

Kevin Roberts, director of economic and market intelligence at CarGurus, said the situation reminds him of the chip shortage era, when limited inventory sent shoppers hunting through dealership lots and helped push car prices higher.

"We're way out of the chip shortage now, so it's a really kind of unique environment," he said.

That scarcity is creating another oddity. CarGurus found that average used prices for 2026 RAV4s were actually running above the starting prices of equivalent new trims. Even 2025 RAV4s were retaining about 99% of that value.

His advice for shoppers: "Dust off some of the chip shortage playbook" by expanding their search radius, being flexible about options, or ordering a vehicle if they aren't in a rush.

• John Carreyrou told Business Insider that he loves the new Elizabeth Holmes doc as "a great piece of art."
• But audiences who want an accurate retelling of Theranos' downfall should read his book, he said.
• It comes as people allege that he's "missing the point of the film."

John Carreyrou has seen "You Can See Everything" twice.

The reporter, whose award-winning investigation for The Wall Street Journal helped bring down blood-testing startup Theranos, told Business Insider that he liked the documentary. It follows Elizabeth Holmes, the startup's CEO, in the 34 days before she reported to federal prison in 2023.

The film — co-directed by Nathan Fielder and Lance Oppenheim — has inspired a mix of reactions from viewers, ranging from shock to boredom to sympathy for Holmes.

Carreyrou doesn't see that ambiguity.

"The film is a great piece of art, but let's not confuse that art with the underlying facts," he told Business Insider.

It mirrors what he's been writing on X. Carreyrou has been pushing back on people who, he said, had accused him of "missing the point" of the film — namely, that Holmes is unknowable.

"She went after Tyler Shultz and Erika Cheung with everything she had," he wrote, referring to the two company whistleblowers at the center of his 2015 story. "I was threatened with litigation on a daily basis for months on end. It was a ruthless cover-up of a breathtaking fraud, and she was at the controls."

He has also reposted a Monday morning interview with Schultz, who said that Holmes "knows that she did something wrong," and alleged that, during the film, she brought out a different device when she was asked to show Theranos' hardware.

The documentary does not retrace every detail of the Theranos scandal or the reporting that exposed it. Instead, it puts viewers inside Holmes' home as she insists that she was wrongly convicted.

For audiences, it's raised bigger questions about performance, self-deception, and whether the film's subject can ever be fully believed.

Carreyrou has told Business Insider that if audiences "have questions afterward or want more context about the Theranos saga, I would encourage them to read my book."

He ended his X post by saying he "loved the film." He also gave a nod to its early Oscar buzz.

"#BestPicture, IMO," he wrote.

• The tech world is buzzing with thoughts about the fresh Elizabeth Holmes doc.
• From "sympathetic" to "uncanny" to "innovative" to "boring — the film is inspiring huge reactions.
• If you haven't seen it, don't worry. We're holding the movie spoilers.

Elizabeth Holmes is back on the silver screen, and the tech world has has thoughts.

Holmes, the disgraced Theranos founder, is the subject of Nathan Fielder and Lance Oppenheim's new documentary, "You Can See Everything."

Holmes was convicted of defrauding investors after her blood-testing startup falsely claimed it could run hundreds of diagnostic tests from a small amount of blood. She has consistently denied wrongdoing.

Since the film's theatrical release on Friday (it grossed an impressive $15 million in its opening weekend), people who work in and around tech have been sharing their reactions.

And don't worry if you haven't seen the film yet: We're keeping it spoiler-free.

Holmes' legacy

Audiences can't pin down how they feel about the film's central characters.

John Loeber, a San Francisco-based investor and the former CEO of Limit, said the film brought him back to a 2019 party when he ran into Holmes and her partner, Billy Evans.

"Double take. She's not in jail?" he wrote Saturday on X about the encounter. Seeing them on screen was equally "uncanny."

"I have never before seen a movie where I have personally met the leading cast. And I was not prepared for the level of surprise and weirdness in seeing their faces — especially Billy, whom I had not thought about in seven years — on the big screen," he wrote.

Nick White, a former software engineer turned YouTube and Kick streamer, said the film reminded him of "why I left the tech industry."

"There are so many narcissistic, delusional morons in that industry who genuinely believe they're geniuses," he wrote on X.

Last week, ahead of the doc's release, a tech crowd got a sneak peek of the doc at a Manhattan movie theatre rented out by AI startup Extend — Business Insider reporter Henry Chandonnet was there.

That audience couldn't settle on what to make of Holmes, either. Some said she had become a meme. Others called her an utter psychopath, while one attendee said the film had unexpectedly made Holmes seem sympathetic.

Mostly 'great,' a few 'boring'

There's a range of feelings about the film itself.

Songwriter Grimes — whose own artistic career has circled Silicon Valley — called the film "innovative" and called the movie's second half "artistic futurism."

The pseudonymous X user roon, who runs a well-followed techno-optimist Substack from Silicon Valley, called Fielder's filmmaking talent "almost incomprehensible" — but said he was wasting it on "some quite boring subject matter."

John Carreyrou, the former Wall Street Journal investigative reporter whose investigation helped expose Theranos, disagrees. He called it "a great film."

Carreyrou also wrote an op-ed for The New York Times, published on Sunday, about his jealousy around the Fielder and Oppenheim's access to Holmes — and his own worries about personal safety.

But the film, he wrote, is the "#BestPicture," he wrote on X, referencing its early Oscar buzz.

• Tesla has unveiled the next-gen Roadster twice: in 2017 and again on Thursday.
• We list the differences between the two versions.
• Range: down. Price: unknown. Flying: way up!

Tesla just unveiled the revived Roadster.

Sound familiar? It certainly should.

On Thursday, CEO Elon Musk took the covers off the latest version of Tesla's halo sports car and said the EV maker is eyeing production in 2028.

It's the second time the company has unveiled a prototype vehicle that it says will carry on the Roadster nameplate. In 2017, Musk unveiled a smoother-looking and very different type of Roadster.

The 2017 version simply drove onto a stage next to Elon, then spun its tires and raced away. The 2028 version — on a track placed a safe distance away from spectators — drove up a vertical wall, hung upside down, hovered in the air, and did a "kick flip" over a line of other Teslas.

Turns out, a lot can change in nine extra years of product development.

A lot of the nuts and bolts powering the Roadster changed — and so did the car's metrics. So, we put together a chart comparing Tesla's old Roadster promises with the new ones.

Here's what we found:

• Want to physically drive a Tesla in the future? The Roadster will be your only option, Musk said.
• The car is not cheap.
• Musk has compared today's driving to elevator operators.

Want to physically drive a Tesla in the future? Get ready to pay up.

On Thursday, Tesla CEO Elon Musk unveiled the new Roadster with a gravity-defying demo. The car suctioned to the side of a vertical ramp, drove upside down, briefly flew, stuck the landing, and later bunny-hopped and twirled over a standing lineup of other Tesla vehicles.

The stunts were choreographed with autonomy, Musk said — but Roadster owners will eventually be able to manually take the wheel. That will make it unique in Tesla's lineup.

"This will actually be, long-term, the only manually driven car that Tesla makes," Musk said on stage, before Tesla's lead engineer, Lars Moravy, added, "You gotta have some fun sometimes."

Tesla hasn't revealed the car's final price, but we know it'll firmly be in the luxury supercar tier. The company's reservation queue asks customers who want the base Performance trim to fork over a $50,000, due within 10 days. That reservation, alone, is nearly the price of an average car in America, and it doesn't capture the car's final price. Our best pricing ballpark dates back to 2017, when Tesla first said it was bringing back the Roadster. At the time, the automaker collected $250,000 payments from people who wanted a Founder Series model.

Meanwhile, Tesla has been ramping up its autonomy push for its more price-conscious vehicles.

In September, it started rolling out the Cybercab — a vehicle that leans so heavily into self-driving that it has no steering wheel, brake pedals, or side mirrors. Tesla says it wants to eventually sell those cars to consumers at less than $30,000 apiece.

On recent earnings calls, Musk has also praised the recurring revenue from subscriptions of Full Self-Driving (Supervised) from Cybertruck, Model Y, and Model 3 owners.

Musk has talked a lot about a world where driving becomes obsolete. He has compared driving a car to operating an elevator, a profession that was largely phased out in the mid-20th century as elevators became automated.

"Now, you just get in, press a button and a modern elevator, if inspected regularly, is extremely safe," he wrote on X in March.

Treating driving like elevator operation requires a pretty big leap. Driving is still a hobby, a sport, and — for many people — a point of pride. By Moravy's own admission, driving is fun.

There's still a chance in Musk's vision of his carmaker's future that drivers can control their own Tesla and lean into that fun. They'll just need to open their checkbooks.

• SpaceX says Grok is taking 20,000 Starlink customer calls a day — and closing 70% without humans.
• The company revealed the stat while touting its voice-capable agent.
• It's part of a race to build AI agents that love to chat — possible (likely, even) with each other.

Elon Musk's AI is a talker.

This week, Musk's combined AI-and-space-exploration company, SpaceX, announced a new Grok Voice model — and revealed that Starlink call centers are already using the AI-as-a-conversationalist technology to answer 20,000 customer calls a day.

The company said roughly 70% of those calls are resolved without humans.

Grok Voice agents are verifying customers, troubleshooting Starlink hardware, issuing credits, and shipping replacement equipment, the company said. Its AI agents can take on those tasks in multiple languages, too.

That makes Starlink a useful, real-world test case for AI voice technology — and particularly useful for its global expansion. The company says Starlink serves more than 6 million active customers around the world.

Instead of building a massive human customer-service operation to power call centers, SpaceX is betting it can serve its multilingual customers with AI.

SpaceX did not respond to Business Insider's questions about which languages Grok supports or what types of calls still require a person.

AI companies have been quickly rolling out more powerful voice models that do their best Chatty Cathy impression. In July, OpenAI released GPT-Live-1 with call-capable support, while Google has launched similar enterprise systems.

The same is true for AI companies that are focusing on consumers. Meta's Muse, for example, can also handle phone calls for those let into the beta feature.

So, soon, your bot may dial one for English — while a company's bot answers the call.

• Elon Musk stood onstage while the new Tesla Roadster (literally, and figuratively) flew by.
• Is it fully legal? Musk doesn't know.
• But is it a secret weapon in the ongoing talent wars? Very, very likely yes.

Tesla's Roadster is back. Now, it kinda flies, and I'm not just being hyperbolic about its speed.

(Although, I guess, that would be a fair read, too.)

On Thursday, CEO Elon Musk unveiled the second-generation Roadster. It's capable of doing "crazy gymnastics," Musk said, like hopping off the ground and spinning in the air. The prototype also sprints from standing to 60 mph in 0.8 seconds, Tesla claims — and the automaker said the production model will be even quicker.

Will the two-door electric sports car be street legal? Who knows.

Instead, the car is accomplishing something more tangible — and more obviously Musk-like: make Tesla look like the kind of company that can build things other companies cannot. That's a useful message for Wall Street and for the engineers Tesla wants to hire.

Tesla is already valued far more like a tech company than a traditional automaker.

For years, investors have bet heavily on its ambitions in autonomy, artificial intelligence, robotics, and robotaxis. A flying (or, at least, hopping) Roadster does not prove those businesses will work, but it makes Tesla's technological ambitions more legible.

Musk also has long treated product spectacles as recruiting events, too.

At a 2019 Neuralink presentation, where he announced that the company had successfully implanted sensors in rats' brains, he said the "main reason for doing this presentation is recruiting." Ahead of Tesla's 2021 AI Day, Musk posted on X that "convincing the best AI talent to join Tesla is the sole goal."

The Roadster reveal follows a very similar playbook. What better way to excite more techies than a flying car?

Gene Munster, managing partner at Deepwater Asset Management, also agrees that Thursday's Roadster reveal was an exciting technical feat for up-and-coming tech talent:

Who knows if Tesla will even be able to bring this car to American roads. Musk said he doesn't even know.

"I'm not sure it's necessarily legal in all jurisdictions," he said during the Thursday launch. When asked if the car was street legal, Musk responded: "Yeah, depends on your street."

Either way, this car may not need to be a volume sales winner to be a hit for Tesla. It might just need to be the tech belle of the ball.

• Tesla has finally (re)revealed the second-generation Roadster.
• It's the automaker's new halo product.
• Musk has been hyping tonight's event, saying it's a contender for the "greatest product demo."

The Roadster has, at long last, taken off — quite literally.

Tesla unveiled its next-generation Roadster at a livestreamed event Thursday night, giving customers who have waited years their first fresh look at the EV maker's new halo car.

In a dramatic demonstration, the Roadster traveled up a huge curved ramp until it was upside down. The car then flew off the ramp, flipped, and landed safely on the ground, thanks to thrusters attached to the bottom of the vehicle.

"Well, it worked," Tesla CEO Elon Musk said after it successfully landed.

"Flying cars are real," Lars Moravy, Tesla's VP of vehicle engineering, added.

Musk called the latest Roadster a result of a collaboration with Tesla and SpaceX engineers.

The Tesla CEO said the car uses an "advanced ultra-high pressure air tank" to lift itself.

"The car has obviously altitude control thrusters and main thrusters in the rear, so it can basically fly like a rocket, and it could do rolls," he said.

In a separate recorded demonstration shown on screen, Tesla also showed the Roadster hitting 60 mph in under one second, marking .81 seconds.

Tesla shared more stats about the Roadster on X: a two-seater with about 300 miles of range and a top speed over 230 mph. Some of the configurations also appear to depend on whether the Roadster is equipped with "rocket" thrusters. For example, if the car is "air ready" and has the rocket, the Roadster seats only one.

There are also small details about the Roadster that notably diverge from Tesla's signature design choices.

The Roadster's door latches, for example, appear to be mechanical. Typical Tesla cars are known for their electronic door latches, which China is clamping down on due to safety risks.

The halo vehicle also appears to lack side-view mirrors, which raises the question of how the Roadster will be street-legal under federal standards.

Tesla's website lists three configurations of the car for purchase: performance, thrust, and rocket. The performance trim requires an immediate $5,000 deposit, with an additional $45,000 due in 10 days. The thrust version requires a $250,000 deposit. The rocket trim appears to be available only through "invite only."

Musk said the Roadster will be the only Tesla vehicle meant to be driven manually and that it's not "necessarily a safety-optimized car."

An observant audience member at the event also asked a glaring question: Is it street legal?

"Depends on your street," Musk said. "It'll be a viable car."

The long road behind

The revived nameplate has been a long time coming.

The original Roadster was Tesla's first production vehicle, launching in California in 2008. It used a chassis derived from British sports-car maker Lotus' Elise, but replaced its gasoline engine with an all-electric powertrain. That model ended production in 2012.

Musk surprised audiences in November 2017 at an event for Tesla's Semi truck by unveiling a second-generation Roadster. At the time, Tesla said the two-door sports car would have a 1.9-second zero-to-60-mph time, a top speed above 250 mph, more than 600 miles of range, and a gargantuan 200-kilowatt-hour battery pack.

That month, customers could put down a $50,000 deposit to reserve a Roadster, or pay $250,000 upfront for a Founders Series model.

Musk also floated a SpaceX package for the supercar with cold-gas thrusters that he said might "allow a Tesla to fly."

With the wait time creeping toward a decade, Musk apologized to "long-suffering" deposit holders in an earnings call, adding that Tesla was focusing heavily on its robotics and autonomy programs.

"Roadster is not just icing on the cake; it's the cherry on the icing on the cake," he said at the time. "We are working on it, but it has to come behind the things that have a more serious impact on the world."

Tesla began ramping up the Roadster's design cycle in the summer of 2025, Business Insider previously reported.

Musk had been hyping Thursday's livestreamed event on X. He claimed that event would be "a candidate for greatest product demo of all time" and that "the whole world will watch this."