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Automakers Take Aim at Tesla’s Model 3

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Source: Tesla Motors

At last year’s EV Roadmap conference in Portland, John Voelcker of Green Car Reports kicked off the conference with an opening plenary discussion on what the electric car industry would look like in 2017. Voelcker tossed questions to various automaker representatives and they discussed charging, sales projections and dealerships, among other topics.

However, Tesla was missing from this panel and, not surprisingly, the Model 3 mass market car was not a topic in the plenary discussion.

Fast forward to 2015 and the Model 3 is still not being mentioned by its competitors, although Nissan and GM are starting to position their 2017 EV cars. GM seems to be taking a “first-to-the finish line” strategy. Recent reports indicated that the Chevy Bolt is being track tested while Nissan recently “talked” about a possible jump in battery range for the 2016 or 2017 Leaf. (Not sure what BMW has in store for 2017, please comment below if you’ve heard news on that front)

 

Model-S-P85-BMW-i3

Tesla and BMW take the stage at 2014 National Drive Electric Week in Huntington Beach, CA

The stakes are high and marketing narratives are being defined for a possible game-changing electric car.

To me, a trojan horse marketing strategy seems to be emerging for Tesla Motors with the Model 3. As mentioned in the Battery Pack to Have Huge Influence on Model 3 Design post, Tesla’s base Model 3 will be a single-motor, rear wheel car that will be priced at approximately $35,000. This base model, the trojan horse, will receive a lot of attention due to Tesla’s grand ambitions, but the media will also be covering a horse race this time around: three big automakers (maybe 4) going after the mass-market EV crown.

Tesla will receive free advertising and, in the process, slip in the all-wheel drive Model 3 versions into this possible media frenzy. Musk and Straubel have stated that the company will produce multiple Model 3 models. The higher-end models will include all-wheel drive, as mentioned, and possibly other options, like traffic aware cruise control and sunroofs. Analysts hint at $45,000 to 50,000 price points, which would help subsidize the base model and provide healthy margins.

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>> Video: Traffic Aware Cruise Control for the Model S

These upgraded offerings would take dead aim at BMW’s 3 Series regular car segment, not to mention Infiniti and Lexus, too.

There’s definitely an undercurrent of excitement on many discussion groups and social media discussing mass-market electric cars. EV early adopters seem to be most interested in Tesla, but where will early majority car buyers—the group after early adopters—go in 2017 or even 2016?

Will they lean on traditional automakers or the first mass-market EV released?

My guess is that a lot of opinions will be shaped by the Model 3 design that will be unveiled in the late spring or early summer 2016, according to Tesla. I like Tesla’s chances if that’s the case.

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"Grant Gerke wears his Model S on his sleeve and has been writing about Tesla for the last five years on numerous media sites. He has a bias towards plug-in vehicles and also writes about manufacturing software for Automation World magazine in Chicago. Find him at Teslarati

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Tesla expands Model 3 lineup in Europe with most affordable variant yet

The Model 3 Standard still delivers more than 300 miles of range, potentially making it an attractive option for budget-conscious buyers.

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Credit: Tesla

Tesla has introduced a lower-priced Model 3 variant in Europe, expanding the lineup just two months after the vehicle’s U.S. debut. The Model 3 Standard still delivers more than 300 miles (480 km) of range, potentially making it an attractive option for budget-conscious buyers.

Tesla’s pricing strategy

The Model 3 Standard arrives as Tesla contends with declining registrations in several countries across Europe, where sales have not fully offset shifting consumer preferences. Many buyers have turned to options such as Volkswagen’s ID.3 and BYD’s Atto 3, both of which have benefited from aggressive pricing.

By removing select premium finishes and features, Tesla positioned the new Model 3 Standard as an “ultra-low cost of ownership” option of its all-electric sedan. Pricing comes in at €37,970 in Germany, NOK 330,056 in Norway, and SEK 449,990 in Sweden, depending on market. This places the Model 3 Standard well below the “premium” Model 3 trim, which starts at €45,970 in Germany. 

Deliveries for the Standard model are expected to begin in the first quarter of 2026, giving Tesla an entry-level foothold in a segment that’s increasingly defined by sub-€40,000 offerings.

Tesla’s affordable vehicle push

The low-cost Model 3 follows October’s launch of a similarly positioned Model Y variant, signaling a broader shift in Tesla’s product strategy. While CEO Elon Musk has moved the company toward AI-driven initiatives such as robotaxis and humanoid robots, lower-priced vehicles remain necessary to support the company’s revenue in the near term.

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Reports have indicated that Tesla previously abandoned plans for an all-new $25,000 EV, with the company opting to create cheaper versions of existing platforms instead. Analysts have flagged possible cannibalization of higher-margin models, but the move aims to counter an influx of aggressively priced entrants from China and Europe, many of which sell below $30,000. With the new Model 3 Standard, Tesla is reinforcing its volume strategy in Europe’s increasingly competitive EV landscape.

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Tesla FSD (Supervised) stuns Germany’s biggest car magazine

FSD Supervised recognized construction zones, braked early for pedestrians, and yielded politely on narrow streets.

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Credit: Grok Imagine

Tesla’s upcoming FSD Supervised system, set for a European debut pending regulatory approval, is showing notably refined behavior in real-world testing, including construction zones, pedestrian detection, and lane changes, as per a recent demonstration ride in Berlin. 

While the system still required driver oversight, its smooth braking, steering, and decision-making illustrated how far Tesla’s driver-assistance technology has advanced ahead of a potential 2026 rollout.

FSD’s maturity in dense city driving

During the Berlin test ride with Auto Bild, Germany’s largest automotive publication, a Tesla Model 3 running FSD handled complex traffic with minimal intervention, autonomously managing braking, acceleration, steering, and overtaking up to 140 km/h. It recognized construction zones, braked early for pedestrians, and yielded politely on narrow streets. 

Only one manual override was required when the system misread a converted one-way route, an example, Tesla stated, of the continuous learning baked into its vision-based architecture.

Robin Hornig of Auto Bild summed up his experience with FSD Supervised with a glowing review of the system. As per the reporter, FSD Supervised already exceeds humans with its all-around vision. “Tesla FSD Supervised sees more than I do. It doesn’t get distracted and never gets tired. I like to think I’m a good driver, but I can’t match this system’s all-around vision. It’s at its best when both work together: my experience and the Tesla’s constant attention,” the journalist wrote. 

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Tesla FSD in Europe

FSD Supervised is still a driver-assistance system rather than autonomous driving. Still, Auto Bild noted that Tesla’s 360-degree camera suite, constant monitoring, and high computing power mark a sizable leap from earlier iterations. Already active in the U.S., China, and several other regions, the system is currently navigating Europe’s approval pipeline. Tesla has applied for an exemption in the Netherlands, aiming to launch the feature through a free software update as early as February 2026.

What Tesla demonstrated in Berlin mirrors capabilities already common in China and the U.S., where rival automakers have rolled out hands-free or city-navigation systems. Europe, however, remains behind due to a stricter certification environment, though Tesla is currently hard at work pushing for FSD Supervised’s approval in several countries in the region.

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Tesla reliability rankings skyrocket significantly in latest assessment

“They definitely have their struggles, but by continuing to refine and not make huge changes in their models, they’re able to make more reliable vehicles, and they’ve moved up our rankings.”

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Credit: Tesla

Tesla ranked in the Top 10 of the most reliable car companies for 2026, as Consumer Reports’ latest index showed significant jumps from the past two years.

In 2022, Tesla ranked 27th out of 28 brands. Last year, it came in 17th.

However, 2026’s rankings were differentCR‘s rankings officially included Tesla in the Top 10, its best performance to date.

Finishing tenth, the full Top 10 is:

  1. Subaru
  2. BMW
  3. Porsche
  4. Honda
  5. Toyota
  6. Lexus
  7. Lincoln
  8. Hyundai
  9. Acura
  10. Tesla

Tesla has had steady improvements in its build quality, and its recent refinements of the Model 3 and Model Y have not gone unnoticed.

The publication’s Senior Director of Auto Testing, Jake Fisher, said about Tesla that the company’s ability to work through the rough patches has resulted in better performance (via CNBC):

“They definitely have their struggles, but by continuing to refine and not make huge changes in their models, they’re able to make more reliable vehicles, and they’ve moved up our rankings.”

He continued to say that Tesla’s vehicles have become more reliable over time, and its decision to avoid making any significant changes to its bread-and-butter vehicles has benefited its performance in these rankings.

Legacy automakers tend to go overboard with changes, sometimes keeping a model name but recognizing a change in its “generation.” This leads to constant growing pains, as the changes in design require intense adjustments on the production side of things.

Instead, Tesla’s changes mostly come from a software standpoint, which are delivered through Over-the-Air updates, which improve the vehicle’s functionality or add new features.

Only one Tesla vehicle scored below average in Consumer Reports’ rankings for 2026 was the Cybertruck. Fisher’s belief that Tesla improves its other models over time might prove to be true with Cybertruck in a few years.

Tesla Cybertruck gets reviewed by Consumer Reports

He continued:

“They’re definitely improving by keeping with things and refining, but if you look at their 5- to 10-year-old models that are out there, when it comes to reliability, they’re dead last of all the brands. They’re able to improve the reliability if they don’t make major changes.”

Regarding Subaru’s gold medal placing on the podium, Fisher said:

“While Subaru models provide good performance and comfort, they also excel in areas that may not be immediately apparent during a test drive.”

Other notable brands to improve are Rivian, which bumped itself slightly from 31 to 26. Chevrolet finished 24th, GMC ended up 29th, and Ford saw itself in 18th.

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