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Lucid introduces new $7,500 discount as EV price war heats up

Credit: Lucid Motors

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Lucid Motors has announced yet another discount, this time on top-range variants of the Lucid Air sedan.

The effects of the Tesla price cuts from earlier this year are still being felt today. Many manufacturers quickly responded with price cuts of their own, including Lucid, who cut Air leases by $7,500. Now, thanks to continued price competition, Lucid is again offering a new discount. This time, the limited-time $7,500 discount applies to purchasing Lucid Air Touring and Grand Touring variants.

The Air sport sedan, being a luxury vehicle and having the appropriately associated price tag, does not currently qualify for the Federal tax incentive of $7,500, but that isn’t stopping the EV startup from introducing a discount of its own. “We think our customers still deserve a $7,500 credit for choosing an EV,” said Zak Edson, Lucid’s Vice President of Sales and Service. “With this limited-time offer, we hope to get Lucid Air into the hands of even more customers so they can experience the best for themselves.”

In January, Lucid announced a similar $7,500 discount on the Air sedan. However, that discount only applied to vehicle leases, limiting its impact and making options from competitors like Tesla and Mercedes all that more attractive.

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Lucid air touring

Air Touring is at the heart of the Lucid Air family, with an extraordinary fusion of performance and interior space, wrapped in a sleek aerodynamic design. With 620 horsepower, the dual-motor, all-wheel-drive Lucid Air Touring accelerates from 0-60 mph in 3.4 seconds. It offers an EPA-estimated driving range of 425 miles when equipped with 19” wheels. Touring is also Lucid’s most efficient Air model to date, achieving a landmark 140 MPGe EPA rating.

The Lucid Air Touring edition starts at $107,400, and, thanks to the discount, it is now a sub $100,000 vehicle. The same cannot be said of the Lucid Air Grand Touring, which starts at $138,000. The aforementioned Air Pure base model remains the cheapest offering from the company, starting at $87,400, though it is not included in the current $7,500 discount.

Lucid is still attempting to find its footing within the auto industry, especially as larger and more prominent brands have entered the market. Specifically, the Mercedes EQS sedan is often drawn parallel to the Lucid Air, despite a substantial difference in performance capabilities. Yet it seems like the plucky startup has still carved out its own niche, working towards a massive ramp in production this year and the introduction of a new model in the near future.

It remains unclear if Lucid’s new discount is enough to lure potential Mercedes or Tesla customers. With the ever-growing number of electric luxury offerings, competition will only intensify. But time and time again, Lucid has run into this issue, and it seems to keep going. Hopefully, this year will be far more fruitful for the luxury EV maker and the EV market overall.

What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!

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Will is an auto enthusiast, a gear head, and an EV enthusiast above all. From racing, to industry data, to the most advanced EV tech on earth, he now covers it at Teslarati.

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Tesla launches amazing new feature for shared vehicles

Tesla has quietly introduced one of its most practical software features yet in update 2026.8: real-time visibility of the active driver profile directly in the Tesla mobile app. Available under the Security & Drivers section, this new tool lets owners see exactly who is behind the wheel or who last drove the vehicle.

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Credit: Tesla

Tesla is launching an amazing new feature for shared vehicles, giving owners more transparency when they choose to have a Tesla ownership experience with another driver.

This is one of the many advantages of having a Tesla. New features are constantly rolled out through software updates and Over-the-Air fixes, which download directly to the car with an internet connection.

Tesla has quietly introduced one of its most practical software features yet in update 2026.8: real-time visibility of the active driver profile directly in the Tesla mobile app. Available under the Security & Drivers section, this new tool lets owners see exactly who is behind the wheel or who last drove the vehicle.

The feature works seamlessly. While the car is driving, the app displays the name of the currently selected driver profile in real time.

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When the vehicle is parked or asleep, it shows the last active profile.

Requiring both the 2026.8 vehicle software and the latest Tesla app, the update brings this capability to every model in the lineup, including legacy Model S and Model X vehicles, which are unfortunately being phased out of the company lineup later this year.

Tesla makes latest move to remove Model S and Model X from its lineup

The feature was first reported on by Not a Tesla App.

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Tesla driver profiles have always excelled at personalization, automatically adjusting seat positions, mirrors, steering wheel height, climate settings, navigation recents and favorites, and media preferences.

These profiles link to specific phone keys for automatic activation and support PIN protection for privacy and security. Restricted profiles for teens can also limit speed or features.

This feature shines brightest in single-car households with multiple drivers. Families, couples, and roommates frequently share one Tesla, leading to constant adjustments and questions about settings. Now, a quick app check reveals the current profile, allowing users to anticipate seat configurations or confirm usage without entering the vehicle.

Tesla’s cloud-synced driver profiles to bring custom settings across multiple cars

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Parents particularly benefit: they can verify that teens are driving under their assigned (and possibly restricted) profiles, adding a layer of safety oversight and peace of mind. Teslas are already so incredibly safe that many parents dream of putting their kids in one.

Two kids around the same age could now share a Tesla, and this feature would make that effort, which is likely to be a difficult one at times, more seamless.

Beyond convenience, it promotes accountability and reduces everyday friction. No more manual profile switching or arguments over mirror positions. Before approaching the car, anyone can check the app and know exactly what to expect, no more wasted minutes readjusting everything.

In multi-driver setups, it transforms the shared EV into a truly intelligent, user-aware machine that respects individual preferences while keeping the primary owner informed.

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Tesla’s commitment to over-the-air updates continues to enhance ownership value years after purchase.

This small but significant addition highlights how software can solve real-world problems in multi-user environments, making Tesla vehicles more family-friendly and practical than ever. For the millions of owners sharing a single car, the 2026.8 update delivers transparency, time savings, enhanced safety, and effortless personalization. It is a great new feature that is rolling out to vehicles now.

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Elon Musk

Elon Musk’s TERAFAB project: Everything you need to know

The CEO has hinted heavily for several quarters that it would probably need to produce its own computing power to stay up to speed on the demand it is facing for its projects. It is now taking matters into its own hands.

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Credit: SpaceX

On Sunday, Elon Musk formally made TERAFAB official—a groundbreaking $20-25 billion joint venture uniting Tesla, SpaceX, and xAI, three of the world’s richest man’s most significant and powerful ventures.

Musk described the project as “the most epic chip building exercise in history by far.”

Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry

The initiative aims to produce over one terawatt of AI compute annually, dwarfing the global industry’s current output of roughly 20 gigawatts per year. Musk framed the effort as “the next step towards becoming a galactic civilization,” positioning it as essential for scaling humanity into a multi-planetary species.

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The Need for TERAFAB

Existing chip suppliers such as TSMC, Samsung, and Micron cannot expand quickly enough to meet the explosive demand for AI hardware.

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Musk explained the situation clearly:

“We’re very grateful to our existing supply chain… but there’s a maximum rate at which they’re comfortable expanding. We either build the Terafab or we don’t have the chips, and we need the chips, so we build the Terafab.”

The CEO has hinted heavily for several quarters that it would probably need to produce its own computing power to stay up to speed on the demand it is facing for its projects. It is now taking matters into its own hands.

Chip Types and Production Goals

The facility will manufacture two specialized chip families, according to the presentation:

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  • Edge-inference AI5 and AI6 processors optimized for Tesla’s Optimus humanoid robots and Full Self-Driving systems in vehicles and Robotaxis
  • High-power D3 chips hardened for space environments

Musk outlined annual output targets, which are between 100 and 200 gigawatts of terrestrial compute for robotics, supporting Musk’s vision of producing 1-10 billion Optimus units per year, and the majority (80%) of chips dedicated to orbital AI data centers. Overall, TERAFAB aims to produce 100-200 billion custom AI and memory chips each year.

Scale and Strategy

The size of the TERAFAB project will be remarkable, as Musk indicated after the presentation that the entire Gigafactory Texas campus would not be large enough to fit the needs of the project. In fact, Musk said it would be around 100 million square feet in size, the equivalent of 15 Pentagons or three Central Parks.

Yes, the one in New York City.

Construction will begin with an “advanced technology fab” on the Giga Texas campus in Austin, enabling rapid iteration: design a chip, fabricate lithography masks, produce and test wafers, all within days.

However, the full-scale TERAFAB requires thousands of acres and over 10 gigawatts of power, far exceeding what Giga Texas can accommodate. Musk stated:

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“We couldn’t possibly fit the Terafab on the GigaTexas campus. It will be far bigger than everything else combined there.”

Multiple large sites are currently under consideration, but this will need a sprawling land mass to get started.

Key Applications

TERAFAB will be a crucial part of the development of some of Tesla’s most valuable projects, including Optimus and data center development, especially from an orbital standpoint. For that reason, we will break this down into Terrestrial and Orbital applications:

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  • Terrestrial: Powers autonomous vehicle fleets and billions of Optimus robots performing physical labor
  • Orbital: Starship will launch massive AI satellite constellations, starting with 100-kilowatt “Mini” units, and scaling to larger Megawatt models, creating the world’s largest data center in low-Earth orbit.

Space-based advantages include five times greater solar irradiance, efficient vacuum heat rejection, and freedom from terrestrial grid constraints (U.S. electricity generation totals just 0.5 terawatts). Musk emphasized the principle:

“Quantity has a quality all its own.”

We wrote about SpaceX’s recent filing with the FCC for 1 million orbital data center plans.

Strategic Vision

TERAFAB represents vertical integration at an unprecedented scale, combining AI hardware, robotics, and orbital infrastructure.

Musk described the project as “the final missing piece of the puzzle.” With production ramping toward 2027, TERAFAB is set to accelerate an era of abundance, transforming science fiction into reality and positioning Musk’s companies at the forefront of galactic-scale innovation.

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Elon Musk

Elon Musk offers to pay TSA salaries as government shutdown leaves agents without paychecks

Elon Musk offered to personally cover TSA salaries as the DHS shutdown deepens travel chaos nationwide.

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Elon Musk says that he is willing to personally cover the salaries of Transportation Security Administration (TSA) workers caught in the crossfire of a partial government shutdown that has now dragged on for over a month. “I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country,” Musk wrote.


The offer arrives as Congress let funding expire for the Department of Homeland Security on February 14, amid a disagreement over immigration enforcement, leaving most TSA employees classified as essential and on duty but working without pay. The timing could not be more disruptive, as the shutdown is colliding directly with spring break travel season when millions of Americans are in the air.

This is not the first time TSA workers have endured this kind of hardship. TSA agents are being asked to work without pay until congressional action unblocks their paychecks, having previously held out through the longest government shutdown in U.S. history at 43 days. The pattern reveals a systemic failure in how Congress funds critical security infrastructure, and Musk’s offer shines a spotlight on that recurring failure at a moment when the public is directly feeling its effects through long lines and terminal closures.

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Whether Musk can legally follow through remains unclear, as federal law generally prohibits government employees from receiving outside compensation related to their official duties.

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