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Good morning and welcome to The Downshift, or TDS for short, The Drive’s daily news roundup serving up the biggest automotive headlines from around the world.

The Downshift recaps news items in a sentence or two, fit with links to the deeper story. Here’s the bulletin for Thursday, June 4, 2026.

A number of trade groups and lobbies across industries, including the Alliance for Automotive Innovation which comprises many manufacturers, have signed and sent a letter to the U.S. Treasury and Commerce departments sounding the alarm about the global drought of memory chips caused by the construction of AI data centers, and how that has and will continue to impact prices for consumers. There are some levers that policy makers can pull, but additional domestic manufacturing capacity will take years to materialize. [Bloomberg]

⛐ Toyota will ship “fewer than 500 units” of the new, more hardcore GRMN Corolla to the U.S., according to a marketing email sent out by the automaker.

Volkswagen of America CEO Kjell Gruner has reiterated that the ID4 and EVs in general will continue to be a staple in the automaker’s U.S. lineup, saying, “What’s important—because sometimes that was a bit misunderstood—is that the ID4 will remain in the market. It’s very important. We will have EVs in the market. Not just one, but at least two. For the time being, that’s going to be the ID4 and then the successor of the ID4.” [Automotive News]

Tesla has introduced unsupervised robotaxis in Austin, Texas. The company currently operates around 50 vehicles in the region, compared to Waymo’s 250. [Reuters]

Fuel economy numbers out of Canada for the upcoming C8 Corvette featuring the larger LS6 engine indicate that the new V8 shouldn’t consume much more gas than the current LT2. [GM Authority]

Rolls-Royce has given the electric Spectre a range and power bump for 2027, as well as the addition of a NACS charging port. [Automotive News]

Carvana was reportedly granted the option to purchase shares of new electric truck company Slate Auto last year, though it is unclear if the automotive retailer seized the opportunity. [TechCrunch]

Meanwhile, Uber is said to have invested nearly $500 million in self-driving tech startup Nuro up to this point, in addition to the same amount it’s poured into EV-maker Lucid. The rideshare company wants to unite the two firms to offer Lucid Gravity robotaxis in its fleet. [Reuters]

Got a news tip? Reach out to tips@thedrive.com

The biggest car news and reviews, no BS

Our free daily newsletter sends the stories that really matter directly to you, every weekday.

Elon Musk took to X earlier this week to announce that Tesla is now operating robotaxis in Austin, Texas, without safety monitors in the car. While we’re happy to call Musk out on a fib, it appears he was being quite literal about the whole situation. Tesla is indeed operating robotaxis in Austin without safety monitors inside those taxis, but that doesn’t mean they’re absent. Instead, they’re accompanying them from the confines of a separate chase car—or chase cars, as video from a robotaxi user demonstrates.

While Tesla’s launch of the supposedly unmonitored vehicles made big headlines this week, the presence of spotters was not widely reported. It came to our attention by way of Electrek, which reported on the story Thursday.

Recent updates to Tesla’s so-called “Full Self-Driving” suite have finally enabled users to see the sort of reliability Musk promised nearly a decade ago, as Alex Roy and his merry band of autonomy geeks demonstrated yesterday by pulling off a drive from Los Angeles to New York with zero interventions. FSD was far from flawless, and weather and human error conspired to stretch it hours longer than previous attempts, but the car completed the journey without human takeover nonetheless.

My first unsupervised @robotaxi ride here in Austin! Come along with me on this 1st experience of driving around Austin with just me in the car and in the back seat!

Congrats to the @Tesla_AI team! pic.twitter.com/YVJ19zp2qZ

— Joe Tegtmeyer (@JoeTegtmeyer) January 22, 2026

The secret sauce that enabled this transition was introduced in a recent build of FSD, which is now in revision 14.2.2.3 as of the time of publication. Now, when FSD encounters an error that would have previously resulted in an immediate hand-off to the driver, rather than shutting down entirely while awaiting manual input, the software will continuously attempt to recover on its own. It’s known as TOI (“Take Over Immediately”) Recovery, or as I’ve already taken to calling it, “Try, Try Again” mode.

The end result is fewer FSD disengagements, which is likely why Tesla’s confidence level has improved so much. Roy told us that he saw the feature trigger twice on his trip, both times resulting in successful recoveries by the software. In other words, without TOI Recovery, Musk’s promised Los Angeles to New York trip would still be a hypothetical—nine years after he promised it.

But even with TOI Recovery, there are still limits to what FSD can do without human intervention. As long as that remains true, we expect the safety monitors to remain in tow. Sounds expensive, but if anybody can afford it, it’s Tesla.

Got a news tip? Let us know at tips@thedrive.com!