Self-driving car is actually a tiny hotel suite on wheels

The future of travel may be in outer space, or it could be in a self-driving car. That’s the hope of the Autonomous Travel Suite, a driverless mobile hotel room that provides door to door transportation. Recently named one of three finalists in this year’s Radical Innovation Awards, the Autonomous Travel Suite was developed by… Continue reading Self-driving car is actually a tiny hotel suite on wheels

After fatal accident, Uber’s vision of self-driving cars begins to blur

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An Uber self-driving car drives down 5th Street on March 28, 2017 in San Francisco, California.

SAN FRANCISCO — After Dara Khosrowshahi took over as Uber's chief executive last August, he considered shutting the company's money-losing autonomous vehicle division. A visit to Pittsburgh this spring changed that.

In town for a leadership summit, Mr. Khosrowshahi and other Uber executives were briefed on the state of the company's self-driving vehicle research, which is based in Pittsburgh. The group was impressed by the progress its autonomous division had made in testing driverless cars in Pittsburgh and in Arizona, according to three people familiar with the ride-hailing company, who were not authorized to speak publicly. They left the meeting energized, convinced that Uber needed to forge ahead with self-driving cars, the people said.

But days after the summit, one of Uber's autonomous cars struck and killed a woman who was pushing a bicycle across a street in Tempe, Ariz. Video from the March 18 collision showed a distracted safety driver failing to react in time as the vehicle barreled into the pedestrian, Elaine Herzberg.

The accident threw Uber's autonomous vehicle efforts into flux, immediately forcing the suspension of its self-driving car tests in cities including Tempe, Pittsburgh and Toronto. Months later, Uber's executives are divided over what to do with the autonomous business, according to the people familiar with the company. While one camp is pushing Mr. Khosrowshahi to seek partnerships or even a potential sale of the unit, known as the Advanced Technologies Group, a rival contingent is arguing that developing self-driving technology is crucial to Uber's future, the people said.

Mr. Khosrowshahi remains undecided, the people said, though he has expressed a desire to partner with other companies on autonomous technologies. In recent months, Uber has started talking with a few auto manufacturers about potential partnerships, including supplying Uber's autonomous driving technology for use in Toyota's minivans, according to one person familiar with the talks. Toyota declined to comment.

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The internal debates are unfolding at a time when many companies can ill afford to pause on autonomous technology given stiff competition from carmakers and other tech companies. In recent months, top engineers have left Uber's self-driving project for lucrative opportunities elsewhere. Uber's self-driving cars recently returned to the road in Pittsburgh but with human drivers at the wheel, meaning employees are driving around like any other motorist — except their vehicles are carrying hundreds of thousands of dollars in technology.

The issue of whether to retain or sell A.T.G. is complicated by Uber's stated intention to go public by the end of 2019. The company, valued at $62 billion, has racked up billions of dollars in losses since it was founded in 2009 and needs to persuade investors that it can eventually create a sustainably profitable business. The self-driving efforts, which have been losing $100 million to $200 million a quarter, do little to help that case. And Mr. Khosrowshahi has been shedding money-losing businesses since he joined Uber.

At a meeting in Pittsburgh on Aug. 8, according to a person briefed on the event, Mr. Khosrowshahi did not address what he would do with the self-driving efforts but told employees there that it ''is a big-time hardware manufacturing, software problem at scale. Lots of tech companies out there are going after this problem, but I think there are very few companies who are taking this on end-to-end at scale the way we are.''

In a statement, Uber said: ''Right now the entire team is focused on safely and responsibly returning to the road in autonomous mode. That's our No. 1 objective, and we have every confidence in the work they are doing to get us there.''

Uber first made its interest in self-driving cars public when it hired about 40 researchers and scientists from the National Robotics Engineering Center at Carnegie Mellon University in 2015. At the time, the company's chief executive was one of the founders of Uber, Travis Kalanick, who had decided to bet big on self-driving vehicles. He wanted to prepare Uber for a future when fleets of driverless cars could move passengers efficiently and safely around the clock.

In 2016, Uber acquired Otto, a self-driving truck start-up whose founders had decamped from Google. The deal later spurred a trade-secrets-theft lawsuit from Google's onetime self-driving car unit, Waymo. The case briefly went to trial this year, generating headlines and embarrassing revelations, before Uber settled with Waymo in February.

In its rush to get on the road with driverless cars, Uber also ran afoul of regulators. The company started testing its autonomous vehicles in San Francisco in 2016, without a permit from California's Division of Motor Vehicles. The state agency ordered Uber to apply for a permit, but the company refused, saying permits were not necessary since safety drivers were monitoring the cars. The D.M.V. ultimately revoked the registrations for the 16 self-driving cars that Uber was testing in the city.

By early this year, Uber's self-driving division was preparing to ramp up development, pushing its testing cars in Arizona to tally more miles. The goal, according to internal documents reviewed by The New York Times, was for Uber to win regulatory approval to start testing a self-driving car service in Arizona before the end of this year.

But the crash in March — the first known fatality involving a pedestrian and an autonomous car — altered everything. Since then, Uber has steadily narrowed the scope of its autonomous vehicle operations.

In May, Uber announced that it was shutting its driverless testing hub in Arizona and laying off 300 employees. A day later, preliminary findings from federal regulators investigating the crash confirmed what many self-driving car experts suspected: Uber's self-driving car should have detected a pedestrian with enough time to stop, but it failed to do so. Uber has begun a safety review and plans to publish its assessment in the coming months.

Mr. Khosrowshahi has started to subtly de-emphasize the company's role in developing driverless technology.

At a conference last year, he said it was a ''huge advantage'' for Uber to have its own autonomous technology while operating a global ride-sharing network. But this May, Mr. Khosrowshahi said that while Uber needed to have access to autonomous technology, it aimed to be ''neutral.'' He said Uber would be open to licensing its own technology or building around alternatives from other companies — a stark contrast to the company's previous approach of owning and operating the entire self-driving ''stack'' of technology and hardware.

And in July, Uber announced that it was closing its autonomous trucking business. The company instead said it would focus exclusively on building self-driving cars.

''For now, we need the focus of one team, with one clear objective,'' Eric Meyhofer, who leads Uber's driverless car efforts, wrote in an email to employees.

In the preceding months, some senior engineers and executives with expertise in self-driving vehicles had already left. One of those was Don Burnette, one of Otto's founders, who became the chief executive of a new self-driving company called Kodiak, which focuses on long-haul trucking.

''I really wanted to focus on the trucking problem, and there was not as much focus on that at Uber,'' Mr. Burnette said.

He added that Uber would most likely continue to pursue its vision of driverless cars because it and other companies ''have been working on it for so long, promising this for so long, and they have a tremendous amount of money behind them.''

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Bird and Lime are protesting Santa Monica’s electric scooter recommendations

Lime and Bird are protesting recommendations in Santa Monica, Calif. that would prevent the electric scooter companies from operating in the Southern California city. We first saw the news over on Curbed LA, which reported both Lime and Bird are temporarily halting their services in Santa Monica. Last week, Santa Monica’s shared mobility device selection committee… Continue reading Bird and Lime are protesting Santa Monica’s electric scooter recommendations

Tesla loses two more chip architects ahead of Autopilot 3.0 hardware launch

Earlier this month, Tesla claimed to have the ‘world’s most advanced computer for autonomous driving’ with its Autopilot 3.0 hardware update coming next year. Now we’ve learned that the automaker is losing two of the chip architects behind the project. Back in 2016, we first exclusively reported on Tesla quietly hiring legendary chip architect Jim Keller from AMD… Continue reading Tesla loses two more chip architects ahead of Autopilot 3.0 hardware launch

Tesla pares losses in volatile trading after falling below $300

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Elon Musk

Tesla's stock price fell below $300 per share at one point on Monday as investors in the electric car maker continued to doubt the validity of a privatization proposal by founder Elon Musk.

Shares of the Palo Alto, California-based company fell as low as $288.20 before rebounding shortly after the open of trading. The stock was down 0.6 percent at $303 as of 10:43 am ET.

Earlier Monday, J.P. Morgan slashed its projections for the carmaker, telling clients that while it originally took chief executive Elon Musk's proposal to take the company private at $420 per share seriously, the funding to do so “appears to not have been secured.”

The firm pared its year-end price target for Tesla shares back to $195 from $308, representing 36 percent downside to Friday's close.

But while the bearish J.P. Morgan note may have weighed on the stock Monday, investors have had plenty of reason to question the CEO over the past few weeks.

Shares also fell after news broke that PIF, the Saudi Arabian sovereign wealth fund that Musk has said could help him fund an offer to take the car company private, is in talks to invest in rival Lucid Motors, Reuters reported cited sources.

The Securities and Exchange Commission, meanwhile, reportedly served Tesla with a subpoena early last week after Musk's now-infamous privatization tweet.

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Earlier reports said the SEC had intensified scrutiny of the automaker after the Aug. 7 tweet. A subpoena would be one of the first steps in a formal inquiry.

The SEC declined CNBC's request for comment on the subpoena.

Musk admitted last Thursday in an emotional interview with The New York Times that the past year has been taxing for him, blaming so-called short-sellers — investors betting against the company — for much of his stress.

He told the newspaper he's overwhelmed by the job, has been working up to 120 hours per week and takes Ambien to fall asleep on occasion.

Tesla shares tumbled 9 percent to $306 the day following the interview.

Columnist and businesswoman Arianna Huffington later called on Musk to adopt a healthier work-life balance in light of the interview, but he said that's not a viable option.

Musk told the Huffington Post founder in a tweet Sunday morning that his car company and Ford are the only two American automakers that have avoided bankruptcy. He then added, in an apparent reference to his long workweek: “You think this is an option. It's not.”

WATCH: Is it game over for Elon Musk?

Tesla's in turmoil, is the game over for Elon Musk?
5:20 PM ET Fri, 17 Aug 2018 | 07:59

Citi Research says Tesla should raise capital to prevent a negative confidence ‘spiral’

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Elon Musk

Tesla's finances may be hurt by the negative ramifications of CEO Elon Musk's controversial plan to take the company private, according to Citi Research.

The firm reiterated its “neutral/high risk” rating for Tesla shares, citing the company's deteriorating balance sheet.

“Ultimately, credit risk is a function of confidence, without which a company's financial position can quickly spiral into distress. Though we don't think Tesla has necessarily entered such a spiral, the current state of affairs heightens the focus,” analyst Itay Michaeli said in a note to clients Monday. “If a go-private transaction is looking less likely, we think it'd be wise for Tesla to at least try to raise significant new equity capital sooner rather than later.”

The analyst said if Musk's plan to take the company private doesn't happen, the company's cash position may be “pressured” from class-action lawsuits.

Tesla shares fell 0.5 percent Monday after the report.

Tesla's skeptics have called into question the state of the company's financial position. It lost nearly $2 billion last year, and through the first two quarters this year it has burned through about $1.8 billion in cash after capital investments. The company had $2.2 billion in cash at the end of the June quarter.

“When a company's balance sheet is fundamentally weak the outcome can become self-fulfilling — and that's really the risk we see with Tesla right now,” he said.

Michaeli reaffirmed his $356 price target for Tesla shares, representing 16.5 percent upside to Friday's close. The company's stock is down 2 percent this year through Friday versus the S&P 500's 7 percent gain.

Tesla did not immediately respond to a request for comment.

Disclaimer

UPDATE 1-Nissan to boost China production capacity by 40 pct, source says

BEIJING (Reuters) – Japan’s Nissan Motor Co (7201.T) plans to invest about $900 million to boost vehicle-making capacity in China by 40 percent by 2021 – part of a 60 billion yuan ($8.73 billion) strategy to become a top three player in the world’s largest auto market. A car with the Nissan logo badge is… Continue reading UPDATE 1-Nissan to boost China production capacity by 40 pct, source says

Carmakers struggle to hire hackers, the hottest job in the industry

Carmakers struggle to hire hackers, the hottest job in the industryMcConnell Trapp has a special set of skills.
He can hack into cars and control aspects of them from his computer.
Trapp, 39, who has a law degree and speaks Japanese fluently, started hacking cars about 16 years ago. He used a computer, some various vehicle spare parts, a turbocharger and the help of few good friends to increase the 120 horsepower normally found in a 1995 Honda Civic sedan to almost 300 hp.
“It was a lot of trial and error,” said Trapp, who admitted he “blew up a lot of engines.”
Today, Trapp is director of Speed Trapp Consulting in Troy. He works as a legal “techno” consultant. He is one of the good guys who uses his ability to infiltrate car computer systems and uncover potentially dangerous flaws that would make them vulnerable to someone with malicious intentions. But if he were a bad guy, he knows how he could compromise several cars at once. Cars in operation today.
“I'd walk into a dealership. I would see if they have a WiFi router designated for customers and gain access into that first,” he said.
Then, if the dealership's service department server is hooked into the main system, he'd infiltrate the service department's storage database that the technicians use for vehicle diagnostics. From there it's as easy as inserting a “fake” update resembling other files for vehicles and infecting multiple cars there for service.
“Hypothetically, I could make a running engine turn off, or render other aspects of the car either useless, or just make it appear as though the vehicle constantly needs service or recalls when it actually doesn't,” he said. “That's the danger, that's the scary part.”
It's that threat associated with vehicle technology that is driving many auto companies and other industries to increasingly look to hire hackers with ethics like Trapp, called “white hat” researchers. Those hackers can identify cybersecurity flaws and thwart nefarious actions of “black hat” hackers.
But finding white hat hackers to hire is incredibly hard, personnel experts said. First, few people have those skills. Then, they must be vetted to make sure they have both the technological acumen and the moral compass for the job. The need for them is outpacing the thin supply.
Hackers for hireTypically, computer hacking is associated with a person or a group with malevolent intentions. The hacker gains unauthorized access to a computer and a technology dependent system to do harm.
In the 2017 movie, “The Fate of the Furious,” for example, actress Charlize Theron's character hacks into every self-driving car in New York City, takes remote control of them and causes mass chaos and destruction.
Depending on which hacker you talk to, some, such as Trapp, say such a movie scenario is unlikely in real life, especially if a human is still needed to turn on a car. Others say, though, that we are almost to a point where that could happen.
General Motors is leading the way in developing autonomous cars. It has promised to bring them to market in urban areas in a taxi-like platform next year. But the fear of scenarios such as the one in the movie, as well as a desire to keep customers' information protected in regular cars, is ratcheting up the need for the company to hire white hat researchers.
GM launched a new program this summer called Bug Bounty. It took GM years of forming relationships with white hat hackers. GM will now bring those hackers to Detroit and pay them a hefty bounty or cash payment for each “bug” they uncover in any of GM vehicles' computer systems.
Read more:
GM is hiring hackers: Here's why
Car hacking remains a very real threat
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Fiat Chrysler has had a Bug Bounty program in place since 2016. It pays white hat hackers up to $1,500 each time they discover a previously unknown vulnerability in vehicle software.
Last year, GM's self-driving unit, Cruise, hired famous car hackers Charlie Miller and Chris Valasek. The two, dubbed the “Cherokee Brothers” by Trapp and others in the hacking community, gained fame in 2015 when they proved they could remotely stop a Jeep Cherokee.
GM approachGM conducts its cybersecurity using a three-prong approach: It hires third-party companies that employ white hat hackers, it has its own hackers on staff and it has the Bug Bounty program.
GM and Cruise employ 25 to 30 white hat hackers on staff today compared with five to 10 in 2013, said Jeff Massimilla, GM's vice president of Global Cybersecurity. GM has about 450 people dedicated to all other aspects of cybersecurity across the company, he said.
“As we continue to get more connected and into AV, we will want to increase that number of white hat researchers,” said Massimilla.
Massimilla declined to say how much GM is investing to hire cybersecurity personnel, but he said, “It’s an extremely high priority, we’re well funded and well resourced.”
GM relies on its three-prong approach because of the shortage of white hat hackers, he said. Plus, many don't want to work for one company.
“Hacking a Camaro is pretty darn exciting, hacking an autonomous vehicle is pretty darn exciting — but it's tough to attract that talent because they’re just not there or they want to do it through bounty programs where they can work from home and have flexibility,” said Massimilla.
High priceMore than half of employer demand related to connected and self-driving cars is for workers in data management, cybersecurity and information technology, said the 2017 Connected and Automated Vehicles (CAV) Skills Gap Analysis by the Workforce Intelligence Network.
In 2015-16, there were 10,344 total job ads placed for CAV-related employment, and 5,400 of those ads were for jobs in data management and cybersecurity, the report said.
And, as demand rises for such skilled workers, the supply remains flat, thus inflating salaries. The average salary for CAV jobs in 2014-15 was $89,616. In 2015-16 that rose to $94,733, the WIN report said, citing data from Burning Glass Technologies.
There's a gap in demand for cybersecurity personnel, especially white hat hackers, versus the supply cuts across many industries. There also is in health care and insurance, said Bob Zhang, CIO of Strategic Staffing Solutions in Detroit, which works to find contract workers to fill such roles for its clients.
“The supply is really low right now. By 2020, the job gap will be 2 million jobs. That means 2 million unfilled openings in cybersecurity,” Zhang said. “You can’t just teach hacking. It requires a whole lot of knowledge from IT and computer science … you have to be the jack of all trades with a deep interest in systems networking.”
Some organizations offer training courses to verify a hacker as a “certified ethical hacker,” he said.
But most large corporations find it beneficial to hire third parties staffed with white hat hackers for specific projects.
“If I'm an IT manager, do I really want to hand-pick somebody and say, 'I’m going to put all of this multibillion-dollar company in the hands of the people I hire?' Or outsource it to a company that focuses on this type of service? Many do both.”
The gap in cybersecurity job demand versus supply is probably the largest gap in the IT industry's history, Zhang said.
“Once the security world matures and the amount of security providers increase, the demand will even out,” he said.
Creating the next generationSome colleges and universities offer courses in cybersecurity, but expanding that curriculum and recruiting younger people into vocational hacking courses to grow the talent pool can't happen fast enough to meet the soaring demand, said Jennifer Tisdale, director of connected mobility and infrastructure for Grimm.
Grimm is a technology consulting company with a new “car hacking lab” in Sparta, Michigan. It uses white hat researchers for automotive clients as well as other industries.
“We need to hire 20-plus researchers in the next two years,” said Tisdale. “I don't have time to wait for a college to structure a program for cybersecurity.”
College programs might not be the full answer anyway, said Brian Demuth, Grimm's CEO.
“There’s not a degree that should be created to do all of this, but there are things like extended learning that can help,” he said.
Grimm, which has 46 employees scattered across the country, looks for people who have a “fundamental view of computer science” and then trains, teaches and grows them from there, said Demuth.
Demuth, 38, is a hacker himself with a computer science background and a passion for tinkering with cars.
“I was always interested in how things worked. I grew up the son of a Marine, and he was in the intelligence field, so there were always computers and amateur radios around,” said Demuth. “My father was into mechanics and working on vehicles and making them start faster or stop faster. That’s what drove my passion into this.”
The hacker stigmaPart of the difficulty in recruiting hackers lies in the stigma surrounding the pursuit.
Matt Carpenter, 44, is Grimm’s lead researcher dedicated to automotive, aerospace and energy businesses. Carpenter works with four other white hat researchers in Grimm's car hacking lab.
“What I do and my team does is everything that can be done by an attacker,” Carpenter said. “We do this so that we can benefit the community and identify problems before someone with bad motives can do it.”
When asked if he calls himself a hacker, he said, “I like to be called a good guy, but there’s no way to be considered a good guy by everybody and do what I do. There’s a great stigma around being a hacker.”
Many people misunderstand the work white hat hackers do, which Carpenter said is “vital” to secure every car on the road.
“It takes a lot of deep knowledge and deep work,” said Carpenter. “You can’t pull me ..

Anti-pollution activists stage protest at Volkswagen’s UK headquarters

Air pollution Campaigners and doctors set up ‘sick bays’ to highlight diesel emissions health risks Greenpeace air pollution campaigners and medical professionals have blocked Volkswagen staff from entering the company’s head office in Milton Keynes. Photograph: Chris J Ratcliffe/Greenpeace Doctors and anti-pollution activists have blockaded the UK headquarters of Volkswagen as the campaign to highlight… Continue reading Anti-pollution activists stage protest at Volkswagen’s UK headquarters