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Tesla continues fight in Connecticut three years in a row over right to sell direct
For the third year in a row, a bill has been introduced in the Connecticut legislature that would allow Tesla to sell its electric automobiles directly to customers who live in the state without going through a franchise dealer. At present, Tesla has a service center in Milford and what it calls a “gallery” in a trendy shopping area in Greenwich.
Tesla’s Greenwich showroom has been the subject of legal action by the Connecticut Automotive Retailers Association which wants to beat back any intrusion into the local market. At the moment, the company makes no sales at that location and does not offer test drives. “They are illegally selling cars out of that location in Greenwich,” said Jim Fleming, president of the car retailers’ group.
Tesla has issued a statement in favor of the proposed bill, which is scheduled for consideration by the Transportation Committee. “Consistent with the state’s goals to increase electric vehicle adoption, Tesla plans, if legislation passes, to invest in more education-focused locations that will market the benefits of sustainable technology. Above all, we are excited to invest in the people of Connecticut with brick-and-mortar stores, creating up to 25 jobs per location, injecting millions of dollars into the local economy, and creating additional tax revenue for the state.”
There are about 1,300 Teslas registered in the state of Connecticut at the present time. Most people who want one simply go to neighboring New York or Massachusetts to buy theirs. Of course, that means New York or Massachusetts gets to claim the sales tax revenue when a car is sold there, even if it is immediately driven across state line and re-registered in Connecticut. Those 1,300 Teslas represent 62% of all the electric cars registered in the state.
Jim Fleming angrily denounces Tesla and its direct sales model, claiming that Tesla wants special treatment. “They are hardly a startup,” he tells the Connecticut Post. “They have great political influence. Their CEO, as you know, serves on the new president’s economic council in Washington, D.C. They want to compete with a local car dealer, who is tiny compared to a multinational corporation.”
Senator Carlo Leone, a Democrat from Stamford, and co-chair of the Transportation Committee, says he is undecided about the pending legislation. “I’m getting it from all sides. I’m not quite there on either, quite frankly.”
Senator Toni Boucher, a Republican from Wilton, is also a co-chair of the Transportation Committee. She says both sides make compelling arguments. “This is a very different business model that threatens to end the status quo.” She says one important consideration is the sales tax revenue Connecticut is losing to its neighboring states. “I know their customers are just going across the state line and buying their cars in New York,” she says.
One member of the committee owns a Tesla, Senator Art Linares, a Republican from Westbrook. He did not respond to a request for comment from the Connecticut Post.
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Tesla already has a complete Robotaxi model, and it doesn’t depend on passenger count
That scenario was discussed during the company’s Q4 and FY 2025 earnings call, when executives explained why the majority of Robotaxi rides will only involve one or two people.
Tesla already has the pieces in place for a full Robotaxi service that works regardless of passenger count, even if the backbone of the program is a small autonomous two-seater.
That scenario was discussed during the company’s Q4 and FY 2025 earnings call, when executives explained why the majority of Robotaxi rides will only involve one or two people.
Two-seat Cybercabs make perfect sense
During the Q&A portion of the call, Tesla Vice President of Vehicle Engineering Lars Moravy pointed out that more than 90% of vehicle miles traveled today involve two or fewer passengers. This, the executive noted, directly informed the design of the Cybercab.
“Autonomy and Cybercab are going to change the global market size and mix quite significantly. I think that’s quite obvious. General transportation is going to be better served by autonomy as it will be safer and cheaper. Over 90% of vehicle miles traveled are with two or fewer passengers now. This is why we designed Cybercab that way,” Moravy said.
Elon Musk expanded on the point, emphasizing that there is no fallback for Tesla’s bet on the Cybercab’s autonomous design. He reiterated that the autonomous two seater’s production is expected to start in April and noted that, over time, Tesla expects to produce far more Cybercabs than all of its other vehicles combined.
“Just to add to what Lars said there. The point that Lars made, which is that 90% of miles driven are with one or two passengers or one or two occupants, essentially, is a very important one… So this is clearly, there’s no fallback mechanism here. It’s like this car either drives itself or it does not drive… We would expect over time to make far more CyberCabs than all of our other vehicles combined. Given that 90% of distance driven or distance being distance traveled exactly, no longer driving, is one or two people,” Musk said.
Tesla’s robotaxi lineup is already here
The more interesting takeaway from the Q4 and FY 2025 earnings call is the fact that Tesla does not need the Cybercab to serve every possible passenger scenario, simply because the company already has a functional Robotaxi model that scales by vehicle type.
The Cybercab will handle the bulk of the Robotaxi network’s trips, but for groups that need three or four seats, the Model Y fills that role. For higher-end or larger-family use cases, the extended-wheelbase Model Y L could cover five or six occupants, provided that Elon Musk greenlights the vehicle for North America. And for even larger groups or commercial transport, Tesla has already unveiled the Robovan, which could seat over ten people.
Rather than forcing one vehicle to satisfy every use case, Tesla’s approach mirrors how transportation works today. Different vehicles will be used for different needs, while unifying everything under a single autonomous software and fleet platform.
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Tesla Cybercab spotted with interesting charging solution, stimulating discussion
The port is located in the rear of the vehicle and features a manual door and latch for plug-in, and the video shows an employee connecting to a Tesla Supercharger.
Tesla Cybercab units are being tested publicly on roads throughout various areas of the United States, and a recent sighting of the vehicle’s charging port has certainly stimulated some discussions throughout the community.
The Cybercab is geared toward being a fully-autonomous vehicle, void of a steering wheel or pedals, only operating with the use of the Full Self-Driving suite. Everything from the driving itself to the charging to the cleaning is intended to be operated autonomously.
But a recent sighting of the vehicle has incited some speculation as to whether the vehicle might have some manual features, which would make sense, but let’s take a look:
🚨 Tesla Cybercab charging port is in the rear of the vehicle!
Here’s a great look at plugging it in!!
— TESLARATI (@Teslarati) January 29, 2026
The port is located in the rear of the vehicle and features a manual door and latch for plug-in, and the video shows an employee connecting to a Tesla Supercharger.
Now, it is important to remember these are prototype vehicles, and not the final product. Additionally, Tesla has said it plans to introduce wireless induction charging in the future, but it is not currently available, so these units need to have some ability to charge.
However, there are some arguments for a charging system like this, especially as the operation of the Cybercab begins after production starts, which is scheduled for April.
Wireless for Operation, Wired for Downtime
It seems ideal to use induction charging when the Cybercab is in operation. As it is for most Tesla owners taking roadtrips, Supercharging stops are only a few minutes long for the most part.
The Cybercab would benefit from more frequent Supercharging stops in between rides while it is operating a ride-sharing program.
Tesla wireless charging patent revealed ahead of Robotaxi unveiling event
However, when the vehicle rolls back to its hub for cleaning and maintenance, standard charging, where it is plugged into a charger of some kind, seems more ideal.
In the 45-minutes that the car is being cleaned and is having maintenance, it could be fully charged and ready for another full shift of rides, grabbing a few miles of range with induction charging when it’s out and about.
Induction Charging Challenges
Induction charging is still something that presents many challenges for companies that use it for anything, including things as trivial as charging cell phones.
While it is convenient, a lot of the charge is lost during heat transfer, which is something that is common with wireless charging solutions. Even in Teslas, the wireless charging mat present in its vehicles has been a common complaint among owners, so much so that the company recently included a feature to turn them off.
Production Timing and Potential Challenges
With Tesla planning to begin Cybercab production in April, the real challenge with the induction charging is whether the company can develop an effective wireless apparatus in that short time frame.
It has been in development for several years, but solving the issue with heat and energy loss is something that is not an easy task.
In the short-term, Tesla could utilize this port for normal Supercharging operation on the Cybercab. Eventually, it could be phased out as induction charging proves to be a more effective and convenient option.
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Tesla confirms that it finally solved its 4680 battery’s dry cathode process
The suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.
Tesla has confirmed that it is now producing both the anode and cathode of its 4680 battery cells using a dry-electrode process, marking a key breakthrough in a technology the company has been working to industrialize for years.
The update, disclosed in Tesla’s Q4 and FY 2025 update letter, suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.
Dry cathode 4680 cells
In its Q4 and FY 2025 update letter, Tesla stated that it is now producing 4680 cells whose anode and cathode were produced during the dry electrode process. The confirmation addresses long-standing questions around whether Tesla could bring its dry cathode process into sustained production.
The disclosure was highlighted on X by Bonne Eggleston, Tesla’s Vice President of 4680 batteries, who wrote that “both electrodes use our dry process.”
Tesla first introduced the dry-electrode concept during its Battery Day presentation in 2020, pitching it as a way to simplify production, reduce factory footprint, lower costs, and improve energy density. While Tesla has been producing 4680 cells for some time, the company had previously relied on more conventional approaches for parts of the process, leading to questions about whether a full dry-electrode process could even be achieved.
4680 packs for Model Y
Tesla also revealed in its Q4 and FY 2025 Update Letter that it has begun producing battery packs for certain Model Y vehicles using its in-house 4680 cells. As per Tesla:
“We have begun to produce battery packs for certain Model Ys with our 4680 cells, unlocking an additional vector of supply to help navigate increasingly complex supply chain challenges caused by trade barriers and tariff risks.”
The timing is notable. With Tesla preparing to wind down Model S and Model X production, the Model Y and Model 3 are expected to account for an even larger share of the company’s vehicle output. Ensuring that the Model Y can be equipped with domestically produced 4680 battery packs gives Tesla greater flexibility to maintain production volumes in the United States, even as global battery supply chains face increasing complexity.
Tesla already has a complete Robotaxi model, and it doesn’t depend on passenger count
Tesla Cybercab spotted with interesting charging solution, stimulating discussion
