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Tesla to benefit as California takes stand against GM, Toyota, Fiat Chrysler

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The State of California has announced they will halt the purchase of gas-powered sedans, and will also stop buying vehicles from any manufacturers who have not agreed to abide by the state’s rules regarding vehicle emissions.

In an emailed statement to CalMatters.org, California Governor Gavin Newsom said that “The state is finally making the smart move away from internal combustion engine sedans. Carmakers that have chosen to be on the wrong side of history will be on the losing end of California’s buying power.”

California purchased 2,672 vehicles for its Government fleet in 2018 according to the state’s Department of General Services.

The decision to exclusively purchase electric sedans from manufacturers who have come on board with California’s clean car rules will affect Fiat Chrysler, Toyota, and more than anyone, General Motors’ Chevrolet brand, who California bought more than $27 million worth of vehicles from in 2018. California has chosen to put their money where their mouth is by siding with carmakers who have intentions to contribute to creating a sustainable future.

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This is an opportunity for electric car makers such as Tesla to work with California to secure a future that would include only vehicles produced by companies whose goal is to work toward environmental-consciousness. California is already home to many electric vehicles as a report from The Los Angeles Times published in September showed electric vehicle sales spiked 63.7% in the first half of the year, largely due to the nearly 33,000 Model 3s being sold in the state within this time frame.

While we do not know what electric vehicles California will utilize for its fleet, we do understand that the electric car manufacturer based in Silicon Valley has been and will help the state work toward a sustainable future, starting with its vehicles. If California decides to ultimately halt the purchase of petrol-powered trucks, sport utility vehicles, and semi-trucks as well, Tesla could provide its home state with some of its upcoming releases, like the Model Y, the soon-to-be-unveiled Cybertruck, and its Semi, a tractor-trailer that has already been purchased by Pepsi Co. for its Frito Lay plant in Modesto, CA.

The environmental impact of its vehicle fleet is extremely important to the state of California, and they are currently fighting with the Environmental Protection Agency (EPA) and the National Highway Transportation Safety Administration (NHTSA) for rights to control its own rules regarding greenhouse gases.

California sued the EPA on November 15 and the NHTSA in September after the two agencies revoked the state’s rights to come up with and follow its own guidelines in terms of vehicle emissions. Supervising Attorney for UCLA’s Frank G. Wells Environmental Law Clinic Julia Stein said “It certainly sends a strong message to the automakers that have come out on the other side of California in this litigation. It’s taking steps to encourage automakers to be on what it views as the right side of that dispute.”

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California is making significant strides to create consequences for manufacturers who are choosing not to improve their vehicles by trying to reduce carbon emissions. The companies California have decided to cut ties with are all looking to side with the Trump Administration, which has made an attempt to eliminate the standards set by the Obama White House that were intended to cut the number of greenhouse gases emitted into the Earth’s atmosphere. Certainly, Tesla’s environmental goals match up with California’s intentions to become a more sustainable state. The electric car maker can contribute to a sustainable future if the state decides to invest in the company.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story

Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.

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Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.

The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.

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The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.

For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.

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Tesla is making two big upgrades to the Model 3, coding shows

According to coding found in the European and Chinese configurators, Tesla is planning to make two big upgrades: Black Headliner offerings and a new 16-inch QHD display, similar to that on the Model Y Performance.

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Credit: Tesla

Tesla is making two big upgrades to the Model 3, one of which is widely requested by owners and fans, and another that it has already started to make on some trim levels of other models within the lineup.

The changes appear to be taking effect in the European and Chinese markets, but these are expected to come to the United States based on what Tesla has done with the Model Y.

According to coding found in the European and Chinese configurators, Tesla is planning to make two big upgrades: Black Headliner offerings and a new 16-inch QHD display, similar to that on the Model Y Performance.

These changes in the coding were spotted by X user BERKANT, who shared the findings on the social media platform this morning:

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It appears these new upgrades will roll out with the Model 3 Performance and Tesla’s Premium trim levels of the all-electric sedan.

The changes are welcome. Tesla fans have been requesting that its Model 3 and Model Y offerings receive a black headliner, as even with the black interior options, the headliner is grey.

Tesla recently upgraded Model Y vehicles to this black headliner option, even in the United States, so it seems as if the Model 3 will get the same treatment as it appears to be getting in the Eastern hemisphere.

Tesla Model 3 wins Edmunds’ Best EV of 2026 award

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Tesla has been basically accentuating the Model 3 and Model Y with small upgrades that owners have been wanting, and it has been a focal point of the company’s future plans as it phases out other vehicles like the Model S and Model X.

Additionally, Tesla offered an excellent 0.99% APR last week on the Model 3, hoping to push more units out the door to support a strong Q1 delivery figure at the beginning of April.

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Tesla dominates JD Power EV Satisfaction ranking, grabbing top two spots

The Model 3 was the highest ranking EV considered, with a score of 804, followed by the Model Y at 797, the BMW i4 at 795, and the BMW iX at 794.

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Credit: Tesla Europe & Middle East/X

Tesla dominated JD Power’s EV Owner Satisfaction ranking for 2026, grabbing the top two spots in the survey with the Model 3 and Model Y.

The two Tesla models grabbed the first and second spots, respectively, with scores of 804 and 797 out of 1,000 possible points.

Brent Gruber, Executive Director of JD Power’s EV practice, said:

“EV market share has declined sharply following the discontinuation of the federal tax credit program in September 2025, but that dip belies steadily growing customer satisfaction among owners of new EVs. Improvements in battery technology, charging infrastructure, and overall vehicle performance have driven customer satisfaction to its highest level ever. What’s more, the vast majority of current EV owners say they will consider purchasing another EV for their next vehicle, regardless of whether they benefited from the now-expired federal tax credit.”

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JD Power’s study showed three key findings: Public charging satisfaction was higher than ever, premium BEVs saw more pronounced quality improvements, and BEVs held their satisfaction ratings compared to plug-in hybrid electric vehicles (PHEVs).

Tesla Grabs Top 2 Spots

Despite what some publications might try to make you believe, Tesla is still the cream of the crop when it comes to EV ownership, and real-world owners surveyed by JD Power will prove that to you.

The Model 3 was the highest ranking EV considered, with a score of 804, followed by the Model Y at 797, the BMW i4 at 795, and the BMW iX at 794. The segment average for “Premium Battery Electric Vehicles” was 786. The Cadillac OPTIQ (762), Rivian R1S (758), Lucid Air (740), Rivian R1T (739), and Audi Q6 e-Tron (690) all finished below that threshold.

Tesla Model 3 wins Edmunds’ Best EV of 2026 award

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Meanwhile, a separate category for “Mass Market Battery Electric Vehicles” had the Ford Mustang Mach-E as the EV with the highest rating at 760. The segment average for this class was 727.

Tesla Supercharging Improves Public Charging Satisfaction

JD Power said the availability of public charging is “by far the most improved index factor,” and that the consistent growth of publicly available charging has helped push many consumer sentiments in a positive direction.

Most of this is due to the Tesla Supercharger Network and its expansion. However, Tesla owners are also becoming more satisfied with the infrastructure after expanding access to other EV brands, the study said.

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