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Tesla Model S P100D still king, but Elon Musk dubs Model 3 Performance as ‘higher value for money’
Tesla continues to actively promote the Model 3 to customers, with CEO Elon Musk recently stating that the Model 3 Performance is “higher value for money” compared to the company’s top-tier vehicle — the Model S P100D.
Musk’s latest push for the Model 3 Performance came as a response to a Model S P85D owner, who inquired if it is worth trading in his larger vehicle to the smaller but seemingly more nimble Model 3 Performance. For the first time since the Model 3’s launch, Musk compared the car favorably against the Model S P100D, at least when it comes to value for money.
Model S P100D is def still the top end, but Model 3 Performance is higher value for money
— Elon Musk (@elonmusk) August 5, 2018
In a lot of ways, Elon Musk’s statement does ring true. After all, the difference between a fully loaded Model S P100D and a fully-optioned Model 3 Performance is substantial. In Tesla’s design page, the Model S P100D is listed with an estimated cost of $135,200 with all options included. The Model 3 Performance, on the other hand, costs $80,000 fully-loaded. That’s a difference of roughly $55,000 — just slightly above the cost of a non-performance Tesla Model 3 Dual Motor AWD before any options.
This is not to say that Tesla is dissuading customers from purchasing the Model S P100D, of course. As mentioned by Musk in his tweet, the P100D is still the top end of Tesla’s offerings. With its gut-wrenching 0-60 mph time of 2.28 seconds with Ludicrous Mode, it is far quicker than the Model 3 Performance, which has a 0-60 mph time of 3.5 seconds. Nevertheless, the Model S P100D is known for severely throttling its performance when driven hard around the track — an issue that is not present in the Model 3 Performance, thanks to a clever battery and electric motor cooling system. The Model 3’s electric motors and battery use cooling circuits that are independent but linked. In the event that one component heats up, the system shifts cooling capacity where it’s needed. The system can also use the battery as a heat sink to shed excess thermal load from the motors.
Elon Musk’s latest tweet about the Model 3 Performance says a lot about the company’s strategy in the coming quarters. In the recently-held Q2 2018 earnings call, Musk and Tesla’s executives stood firm on their target of making the company profitable in the third quarter. Musk mentioned this in the call, when he linked the company’s profitability target to the Model 3 ramp.
“At a production rate of 7,000 cars a week, we believe we can be sustainably profitable from Q3 onwards. We’re going to try to raise that rate of the Model 3 production steadily in the coming quarters and try to get to the 10,000 cars a week number as soon as we can. I feel comfortable achieving a GAAP income positive and cash flow positive quarter every quarter from here on out,” Musk said.
So why the Model 3 Performance? Tesla likely makes a good amount of profit from the Model S P100D, but the full-sized sedan’s production has pretty much plateaued over the years. The Model 3 ramp, on the other hand, is still ongoing, and is expected to rise significantly in the coming quarters. Tesla is aiming to hit a gross margin of 25% for the Model 3, and with the vehicle’s production estimated to hit 10,000/week sometime next year, Tesla appears to have a solid shot at making its sustained profitability goals a reality.
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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:Â
“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.
Elon Musk
Tesla Giga Texas to feature massive Optimus V4 production line
This suggests that while the first Optimus line will be set up in the Fremont Factory, the real ramp of Optimus’ production will happen in Giga Texas.
Tesla will build Optimus 4 in Giga Texas, and its production line will be massive. This was, at least, as per recent comments by CEO Elon Musk on social media platform X.
Optimus 4 production
In response to a post on X which expressed surprise that Optimus will be produced in California, Musk stated that “Optimus 4 will be built in Texas at much higher volume.” This suggests that while the first Optimus line will be set up in the Fremont Factory, and while the line itself will be capable of producing 1 million humanoid robots per year, the real ramp of Optimus’ production will happen in Giga Texas.Â
This was not the first time that Elon Musk shared his plans for Optimus’ production at Gigafactory Texas. During the 2025 Annual Shareholder Meeting, he stated that Giga Texas’ Optimus line will produce 10 million units of the humanoid robot per year. He did not, however, state at the time that Giga Texas would produce Optimus V4.Â
“So we’re going to launch on the fastest production ramp of any product of any large complex manufactured product ever, starting with building a one-million-unit production line in Fremont. And that’s Line one. And then a ten million unit per year production line here,” Musk stated.Â
How big Optimus could become
During Tesla’s Q4 and FY 2025 earnings call, Musk offered additional context on the potential of Optimus. While he stated that the ramp of Optimus’ production will be deliberate at first, the humanoid robot itself will have the potential to change the world.Â
“Optimus really will be a general-purpose robot that can learn by observing human behavior. You can demonstrate a task or verbally describe a task or show it a task. Even show it a video, it will be able to do that task. It’s going to be a very capable robot. I think long-term Optimus will have a very significant impact on the US GDP.
“It will actually move the needle on US GDP significantly. In conclusion, there are still many who doubt our ambitions for creating amazing abundance. We are confident it can be done, and we are making the right moves technologically to ensure that it does. Tesla, Inc. has never been a company to shy away from solving the hardest problems,” Musk stated.