The Austin, Texas, company supposedly fixed its self-driving software for more than 2 million vehicles, but the U.S. National Highway Traffic Safety Administration still has concerns. Photo courtesy of Tesla

Federal highway safety investigators want Austin-based Tesla to tell them how and why it developed the fix in a recall of more than 2 million vehicles equipped with the company's Autopilot partially automated driving system.

Investigators with the U.S. National Highway Traffic Safety Administration have concerns about whether the recall remedy worked because Tesla has reported 20 crashes since the remedy was sent out as an online software update in December.

The recall fix also was to address whether Autopilot should be allowed to operate on roads other than limited access highways. The fix for that was increased warnings to the driver on roads with intersections.

But in a letter to Tesla posted on the agency's website Tuesday, investigators wrote that they could not find a difference between warnings to the driver to pay attention before the recall and after the new software was released. The agency said it will evaluate whether driver warnings are adequate, especially when a driver-monitoring camera is covered.

The agency asked for volumes of information about how Tesla developed the fix, and zeroed in on how it used human behavior to test the recall effectiveness.

Phil Koopman, a professor at Carnegie Mellon University who studies automated driving safety, said the letter shows that the recall did little to solve problems with Autopilot and was an attempt to pacify NHTSA, which demanded the recall after more than two years of investigation.

“It’s pretty clear to everyone watching that Tesla tried to do the least possible remedy to see what they could get away with,” Koopman said. “And NHTSA has to respond forcefully or other car companies will start pushing out inadequate remedies.”

Safety advocates have long expressed concern that Autopilot, which can keep a vehicle in its lane and a distance from objects in front of it, was not designed to operate on roads other than limited access highways.

Missy Cummings, a professor of engineering and computing at George Mason University who studies automated vehicles, said NHTSA is responding to criticism from legislators for a perceived lack of action on automated vehicles.

“As clunky as our government is, the feedback loop is working,” Cummings said. “I think the NHTSA leadership is convinced now that this is a problem.”

The 18-page NHTSA letter asks how Tesla used human behavior science in designing Autopilot, and the company's assessment of the importance of evaluating human factors.

It also wants Tesla to identify every job involved in human behavior evaluation and the qualifications of the workers. And it asks Tesla to say whether the positions still exist.

A message was left by The Associated Press early Tuesday seeking comment from Tesla about the letter.

Tesla is in the process of laying off about 10% of its workforce, about 14,000 people, in an effort to cut costs to deal with falling global sales.

Cummings said she suspects that CEO Elon Musk would have laid off anyone with human behavior knowledge, a key skill needed to deploy partially automated systems like Autopilot, which can't drive themselves and require humans to be ready to intervene at all times.

“If you're going to have a technology that depends upon human interaction, you better have someone on your team that knows what they are doing in that space,” she said.

Cummings said her research has shown that once a driving system takes over steering from humans, there is little left for the human brain to do. Many drivers tend to overly rely on the system and check out.

“You can have your head fixed in one position, you can potentially have your eyes on the road, and you can be a million miles away in your head,” she said. “All the driver monitoring technologies in the world are still not going to force you to pay attention.”

In its letter, NHTSA also asks Tesla for information about how the recall remedy addresses driver confusion over whether Autopilot has been turned off if force is put on the steering wheel. Previously, if Autopilot was de-activated, drivers might not notice quickly that they have to take over driving.

The recall added a function that gives a “more pronounced slowdown” to alert drivers when Autopilot has been disengaged. But the recall remedy doesn’t activate the function automatically — drivers have to do it. Investigators asked how many drivers have taken that step.

NHTSA is asking Telsa “What do you mean you have a remedy and it doesn’t actually get turned on?” Koopman said.

The letter, he said, shows NHTSA is looking at whether Tesla did tests to make sure the fixes actually worked. “Looking at the remedy I struggled to believe that there’s a lot of analysis proving that these will improve safety,” Koopman said.

The agency also says Tesla made safety updates after the recall fix was sent out, including an attempt to reduce crashes caused by hydroplaning and to reduce collisions in high speed turn lanes. NHTSA said it will look at why Tesla didn't include the updates in the original recall.

NHTSA could seek further recall remedies, make Tesla limit where Autopilot can work, or even force the company to disable the system until it is fixed, safety experts said.

NHTSA began its Autopilot investigation in 2021, after receiving 11 reports that Teslas using Autopilot struck parked emergency vehicles. In documents explaining why the investigation was ended due to the recall, NHTSA said it ultimately found 467 crashes involving Autopilot resulting in 54 injuries and 14 deaths.

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

Houston lands 27 Fortune 500 headquarters, led by energy heavyweights

HQ leader

Houston is a giant among U.S. hubs for corporate headquarters.

The 2026 Fortune 500 lists 27 companies based in the Houston area, with many energy companies claiming top spots. Houston ties with Chicago for the second-most Fortune 500 headquarters, preceded only by New York City (53). Dallas-Fort Worth is home to 23 Fortune 500 headquarters.

Texas leads the nation for Fortune 500 headquarters (57), with California in the No. 2 spot and New York at No. 3.

“Texas is the undisputed headquarters of headquarters,” Gov. Greg Abbott said in a news release. “The world’s leading businesses invest with confidence in Texas because of our welcoming business climate, predictable regulatory environment, and skilled and growing workforce. People and businesses are choosing Texas because Texas works.”

The 2026 Fortune 500 ranks the largest U.S. corporations based on revenue in fiscal year 2025.

Here’s a rundown of the 27 Fortune 500 companies based in the Houston area.

  • No. 9 ExxonMobil
  • No. 21 Chevron
  • No. 29 Phillips 66
  • No.55 Sysco
  • No. 75 ConocoPhillips
  • No. 89 Enterprise Products Partners
  • No. 103 Plains GP Holdings
  • No. 133 Hewlett Packard Enterprise
  • No. 149 NRG Energy
  • No. 157 Quanta Services
  • No. 164 Baker Hughes
  • No. 173 Occidental Petroleum
  • No. 179 Waste Management
  • No. 201 EOG Resources
  • No. 204 Group 1 Automotive
  • No. 207 Halliburton
  • No. 223 Cheniere Energy
  • No. 236 Corebridge Financial
  • No. 262 Targa Resources
  • No. 266 Kinder Morgan
  • No. 388 Westlake
  • No. 435 CenterPoint Energy
  • No. 438 APA
  • No. 440 Comfort Systems USA
  • No. 455 NOV
  • No. 488 KBR
  • No. 496 Coterra Energy. Oklahoma City, Oklahoma-based Devon Energy and Houston-based Coterra Energy merged in early May, with the combined company retaining the Devon Energy name and the Houston headquarters.

The Greater Houston Partnership notes the Houston area soon will welcome its 28th Fortune 500 company. Expand Energy (formerly Chesapeake Energy), appearing at No. 362 on the 2026 list, says it’s moving its headquarters from Oklahoma City to Spring this year.

As the natural gas producer prepares to relocate to Texas, it’s hunting for a new leader. Nick Dell’Osso stepped down as president and CEO earlier this year. Board Chairman Michael Wichterich is interim president and CEO.

Dell’Osso became president and CEO of Oklahoma City-based Gulfport Energy effective May 28.

ERCOT braces for record-breaking power demand this summer

hot temps, high demand

The Electric Reliability Council of Texas, which manages about 90 percent of the state’s power, is waving a warning flag: The ERCOT grid may set a new record for peak demand this summer.

Based on expectations for a hotter summer this year than last year, ERCOT predicts power demand will hit a peak of more than 92.2 gigawatts this summer — enough power for roughly 18.4 million homes.

“Given the potential for extreme heat combined with significant load growth, ERCOT may surpass its current all-time summer peak,” the organization says in its 2026 summertime forecast.

Further taxing the ERCOT grid are power-hungry data centers and cryptocurrency-mining facilities.

Last year’s peak summer demand for ERCOT reached 83.7 megawatts on Aug. 18, and all-time peak demand of 85.5 gigawatts was recorded on Aug. 10, 2023.

Fortunately, ERCOT believes the grid is in good shape to withstand this summer’s heat: It found a 0.09 percent chance of a grid emergency in June and a 0.21 percent chance in July.

More generation of electricity from solar and wind is helping ERCOT meet stepped-up demand prompted by population growth, and the significant power needs of data centers and cryptocurrency-mining facilities.

About 27 million Texas customers depend on power from ERCOT’s grid.

Texas awards $73M for Houston-area grid resilience project

grid funding

Texas Gov. Gregg Abbott announced millions in funding for energy resilience projects around this state this week, with one major project set to impact the greater Houston area.

As part of the Texas Energy Fund's Outside of ERCOT Grant Program, the state announced a roughly $73 million agreement with the Sam Houston Electric Cooperative to replace and upgrade more than 9,000 electric poles and improve other equipment in Montgomery, Liberty and Hardin counties. The agreement is the first for the fund's Outside of ERCOT Grant Program, which supports state projects outside of the state's largest grid.

The multibillion-dollar Texas Energy Fund aims to "finance the construction, maintenance, and modernization of electric facilities across Texas." It was approved by voters in 2023. Other programs within the fund include the:

  • In-ERCOT Generation Loan Program
  • Completion Bonus Grant Program
  • Texas Backup Power Package Program

“The Texas Energy Fund delivers real results for Texans and strengthens the electric systems that families, businesses, and communities depend on,” Abbott said in a news release. “This grant to Sam Houston Electric Cooperative will replace thousands of vulnerable utility poles to better withstand severe weather and ensure a more reliable and resilient grid in East Texas.”

The Houston-area project, nicknamed Steel Anchor, is expected to be completed by June 2031. According to the release from the governor's office, the Sam Houston Electric Cooperative’s territory is one of the most hurricane-prone service areas in the state. The cooperative serves more than 38,000 Texas consumers

“Over the past decade, Sam Houston EC has strategically replaced poles to improve the strength of its electricity distribution system. This grant will boost the Cooperative’s ongoing grid-hardening and resiliency program,” Doug Turk, CEO of the Sam Houston Electric Cooperative, added in the release.

Following the announcement of the Sam Houston funding, Abbott's office also awarded another $200 million from the Outside of ERCOT Grant Program to upgrade approximately 700 miles of power equipment in Northeast Texas. The equipment is operated by Southwestern Electric Power Company, which serves more than 192,000 Texas consumers. The project will include improvements to 200 circuits, replacing aging copper wire with aluminum alloy conductors and replacing existing utility poles.

Additionally, the state announced its seventh Texas Energy Fund loan agreement for a 570 megawatt natural gas power plant in Sherman, Texas. The 20-year loan of up to $411 million is between the Public Utility Commission of Texas and Rayburn Electric Cooperative and is part of the fund's In-ERCOT Generation Loan Program. Rayburn will build the facility near its existing Rayburn Energy Station 1 in the Texoma region. It will connect to the ERCOT North Load Zone.

“When Texas voters overwhelmingly approved the Texas Energy Fund, they gave us a mandate to secure new, reliable power generation for Texas,” PUCT Chairman Thomas Gleeson added in a release. “The TxEF is delivering on that promise, and Rayburn Electric Cooperative’s new 570 MW power plant is proof. We are ensuring Texas families and businesses have power they can depend on for years to come.”