Tesla’s ‘Blade Runner’ lawsuit update: Discover why Judge George Wu rejected Elon Musk’s fair use defense in Feb 2026 and what it means for AI-generated media.
Lawsuits involving AI and materials generated by AI continue to move through the United States legal system, and electric automobile manufacturer Tesla is about to be dealt a heavy blow. A judge’s tentative ruling in a copyright claim brought by the production company behind «Blade Runner 2049» would allow a copyright case against Tesla and its CEO, Elon Musk, to proceed.
At issue is an AI-generated graphic used to promote the Tesla Cybercab at an unveiling event in 2024. At the time, the image went without much attention as the media instead focused on other event oddities. The Cybercab seemed worse in person than it sounded when initially pitched. It is a driverless car which Tesla intends to ship without a steering wheel, pedals, or any other driver interface. It was unveiled alongside the Optimus robot, which Elon Musk has said will be the company’s future. Nevertheless, it quickly became clear that the robots demonstrated at the event were remotely controlled by Tesla employees. Suffice to say that some knock-off cyberpunk art in a slideshow was the least attention-grabbing element of the unveiling.
But the graphic used as a backdrop for the Cybercab event is proving to be a headache all its own for the company and its controversial figurehead. Alcon Entertainment claims that the AI-generated image shown for 11 seconds during Elon Musk’s keynote presentation violates copyright due to its similarity to a promotional poster for the acclaimed «Blade Runner» sequel. Here’s why the case is likely to move forward.
