The Trump administration has made a surprise move to update the crash reporting rule for autonomous vehicles, a change that is likely to benefit Tesla, the electric car manufacturer. The revised rule, announced by the US Department of Transportation (USDOT), removes the requirement for companies to report crashes involving vehicles with Level 2 driver-assist systems, a category that includes Tesla's Autopilot and Full Self-Driving features.

The original rule, issued in 2021, required automakers and tech companies to report crashes involving fully autonomous vehicles as well as Level 2 driver-assist systems. The rule was intended to increase transparency and safety in the development of autonomous vehicles. However, Tesla, which has reported over 1,500 crashes under the previous rule, has been vocal about its opposition to the requirement, with CEO Elon Musk reportedly concluding that it would take a change in administration to get rid of it.

Under the revised rule, only crashes involving vehicles with Level 4 automated driving systems, such as Waymo, will need to be reported. This change is likely to have a significant impact on Tesla, which has been responsible for the majority of reports under the previous rule. According to Sam Abuelsamid, VP for market research at Telemetry and an expert in autonomous vehicle technology, "This has a huge impact on one particular company, Tesla, because Autopilot and [Full Self-Driving] are only L2 systems, not automated driving systems."

The administration has framed the changes as a way to "slash red tape and move us closer to a single national standard that spurs innovation and prioritizes safety." However, critics argue that the move will reduce transparency and accountability in the development of autonomous vehicles. The revised rule also expands the Automated Vehicle Exemption Program (AVEP) to include domestically produced cars, a move that is likely to benefit companies such as Navya, which has been using the program to import low-speed autonomous shuttle vehicles.

The implications of the revised rule are significant, not only for Tesla but also for the broader development of autonomous vehicles. With less transparency and accountability, there are concerns that safety may be compromised. Additionally, the move may create an uneven playing field, with companies that have invested heavily in Level 2 systems, such as Tesla, benefiting at the expense of others.

The decision has sparked controversy, with some arguing that it is a clear example of the Trump administration's cozy relationship with Tesla and its CEO, Elon Musk. Musk was a vocal supporter of Trump during the 2020 presidential campaign, and has been a key advisor on issues related to autonomous vehicles. The move has also raised questions about the administration's commitment to safety and transparency in the development of autonomous vehicles.

As the autonomous vehicle industry continues to evolve, the revised rule is likely to have far-reaching implications. With less transparency and accountability, there are concerns that safety may be compromised, and that the development of autonomous vehicles may be slowed. The move is a clear example of the complex and often contentious relationship between government and industry, and highlights the need for careful consideration and oversight in the development of new technologies.