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Elon Musk wants Tesla Service to fix two-thirds of cars in the same day

Credit: Tesla

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Last week, Elon Musk tweeted in a series of updates that Tesla would be attempting to service two-thirds of customer requests “same day.”

One of the many benefits of owning an electric vehicle is the lack of service required. According to Autoblog, of the top 5 most common car repairs – oxygen sensor replacement, inspection of loose fuel cap causing engine light, catalytic converter replacement, mass airflow sensor replacement, and spark plug replacement – none of them are even possible on an electric vehicle. Nonetheless, due to a range of issues, Tesla has had a consistent problem with servicing its ever-growing group of customers’ needs. Musk is set out to change this, and owners should have many reasons to be optimistic!

Looking at Tesla’s service problem, it is multifaceted and often self-feeding in nature. To start off, quality control at Tesla has been a known problem, with customers experiencing everything from missing badges to paint issues to panel gaps. All of these issues must be serviced, and much of this service will be done at one of the company’s service centers.

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Quality control (QC) service requests, when combined with normal service load, mean that Tesla service centers’ availability is often impaired. Tesla Motors Club forum even has a thread dedicated for service center wait times. This means that customers may be forced to wait longer periods before service, and if the service is not done 100% correctly the first time, the service center doesn’t have the capacity to bring them back immediately.

This lack of availability is compounded by Tesla’s lack of service centers as a whole, some states having only single-digit numbers of service centers available. This means that the service centers that do exist are responsible for a larger number of vehicles. And while independent service centers exist commonly throughout the US, many refuse to work on Tesla products or any electric vehicles for that matter, even when they have the capability to do the work. Once again, this forces more service requests to Tesla service centers.

Credit: Tesla

Finally, because new car QC requests are often covered by Tesla at no cost, this incentivizes customers to go to service centers for free work instead of going to independent shops that may be able to help them.

These problems have not been ignored by Elon Musk, and since 2018, Tesla has addressed many of these concerns. Most predominantly, since 2018, the number of service centers and the area that they cover has increased drastically. Looking at a map of 2018 and comparing it to now, areas such as New England, the Pacific Northwest, and the South have all seen massive increases in capacity. Tesla aimed to open one new Service Center per week in 2021, and, in general, the automaker has experimented with many different specialized service programs.

This is combined with an increase in capacity in Tesla’s mobile repair teams, who can often address service requests before the customer has to come to a service center. And in more recent news, Tesla has even made their repair manual free for customers to access, allowing more repairs to be done outside of service centers.

Another obvious change consumers have seen is an improvement in QC. Even according to JD Power’s rankings of brands by initial quality, from 2020 to 2021, Tesla has reduced the number of “problems per 100 vehicles” from 250 in 2020 to 231 in 2021, a number that is competitive with brands like Audi (240) and VW (213).

Service centers themselves have also been changed over the past 4 years with the inclusion of F1 style pit lanes that allow customers to be more quickly addressed and hence allow the service team to address more requests in a day.

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Nonetheless, many have been concerned that these changes have not been enough to fix the Tesla service issue. Leading many to think about what could be done to improve the situation. A couple of options have been put forward by industry professionals and Twitter users alike. One such suggestion has been the expansion of the Tesla START program, a program that teaches individuals how to work on Teslas and then places them with a full-time job at a Service Center location across the country. Currently, the program is offered at eight colleges across the country: Rio Honda Community College in Los Angeles, Central Piedmont Community College in Charlotte, North Carolina, Shoreline Community College in Seattle, Evergreen Valley College in San Jose, California, Suffolk Community College in Selden, New York, Miami Dade College in Florida, Texas State Technical College in Waco, Texas, and Sinclair Community College in Dayton, Ohio.

Overall, the changes made in the past 4 years should give Tesla’s current and future customers much to be optimistic about. QC has improved, the speed of service operation has increased, service manuals are free and open to anyone, and the number of service centers has increased. The only question is, what is Elon Musk planning on implementing next to improve Tesla’s Service department?

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

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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Investor's Corner

SpaceX’s biggest earnings test yet lands Tuesday, and Tesla shareholders should be watching

SpaceX reports earnings Tuesday as Wall Street watches AI spending, Starlink growth and Tesla merger

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SpaceX reports third quarter results after the market closes Tuesday, with a webcast at 4:30 p.m. ET streamed on X, and Tesla follows a day later. Bloomberg consensus, cited by Pepperstone, calls for revenue of $12.89 billion, adjusted EBITDA of $6.62 billion and adjusted EPS near $0.15. That would be about 65% growth from the second quarter and SpaceX’s first profitable quarter since its IPO. Analysts expect roughly $6.4 billion from AI and $4.9 billion from Starlink, which is projected to reach 14.3 million consumer subscribers. Capital spending is forecast at $19.6 billion, leaving free cash flow near negative $11.6 billion.

The numbers matter because SpaceX has spent months trying to win over a skeptical market. It priced its record IPO at $135, spiked to $225.64, then sank near $105 in early August. Friday’s close of $146.03 sits about 28% below the June high. The Q2 report beat on revenue at $7.8 billion and put Starlink at 12 million subscribers, but $18.4 billion of capex hurt the stock. Since then SpaceX reached orbit on Starship Flight 14 with 26 Starlink V3 satellites, agreed to buy 800 MHz spectrum for about $8 billion as part of its Starlink Mobile push, and signed a fourth compute hosting deal in four months worth roughly $13 billion a year from December. Management is targeting more than 2 gigawatts of compute by year end and a $100 billion annualized revenue run rate. Evercore ISI, which raised its target to $275, said the quarter may be judged more on those targets than the reported figures

All of this sits under the Tesla merger question. Barclays analyst Dan Levy expects an all stock deal in which SpaceX buys Tesla at a premium, using reference values of $2.1 trillion and $1.5 trillion, and said an announcement would need to come by late October or early November to be voted on at Tesla’s December 6 annual meeting. Barclays estimates Musk would hold about 37% of the combined company and 56% of the votes. Musk said in July that combining companies cannot be discussed on an earnings call, but an investor question asking when SpaceX will merge with Tesla is sitting on SpaceX’s Q&A platform, and Teslarati has tracked how the Roadster demo revived the talk.

If a deal happens, Tuesday’s result would effectively set the price Tesla holders would receive. Their shares would convert into SpaceX stock, along with exposure to a company with a heavy investment on AI, while Tesla itself expects 2026 capex above $25 billion. A strong quarter and calmer spending would make that exchange easier to sell. Another round of heavy capex and a falling stock would make it harder.

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SpaceX’s Gwynne Shotwell just made a quiet gesture toward Tesla

SpaceX president Gwynne Shotwell quietly followed Tesla on X, and merger watchers noticed right away.

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SpaceX President and COO Gwynne Shotwell has started following Tesla’s official account on X, a small change that landed in the middle of a very loud merger conversation. Whole Mars Catalog joked about it on Sunday.

A follow is not an announcement, and neither company has said anything about a deal. What gives the moment weight is the timing. Barclays analyst Dan Levy has told clients that an agreement could come before Tesla’s annual meeting, which must be held by December 6, with SpaceX as the buyer in an all stock deal, as we reported after the Roadster unveiling. Wedbush’s Dan Ives has stuck with a 2027 timeline.

Shotwell is the executive most worth watching if the two companies do move closer. When Musk was asked at the All In Summit why Tesla and SpaceX remain separate, Shotwell sat next to him and said SpaceX personnel had already moved into xAI to fill leadership and engineering gaps. The businesses were integrating “faster than I thought,” she said, though “not fully integrated yet.” Her responsibilities have also grown since SpaceX absorbed xAI, and she now oversees operations that include Grok and the company’s AI compute buildout.

The financial links are already there. Tesla’s $2 billion xAI investment turned into a stake of less than one percent in SpaceX, the two share the Terafab chip project in Austin, and Musk exercised his 2018 Tesla options a week after SpaceX began trading, a sequence analysts flagged as giving SpaceX public shares to use in a deal. Musk holds about 20 percent of Tesla and controls 85.1 percent of SpaceX’s voting power, according to our earlier breakdown.

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The next test is close at hand. SpaceX reports its second earnings as a public company on Tuesday after the close, and Tesla follows on Wednesday. Musk told analysts in July that “we can’t talk about combining companies and that kind of thing on an earnings call,” so a direct answer is unlikely from either stage. Tesla shareholders can still submit and vote on questions through the Say portal until 4 p.m. EDT on Monday, and the merger is a recurring theme in the queue.

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Tesla Roadster owners to get “Flying Stunt Mode” and looping track access

Musk says Roadster owners can command the unveiling stunts autonomously, with a Texas looping track.

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Elon Musk says owners of the new Tesla Roadster will be able to ask the car to perform the stunts Tesla showed at its unveiling, with the car doing the driving itself. Musk made the comment Saturday in a reply on X to tech blogger Robert Scoble, and he added a promise of a looping track at Tesla’s Texas headquarters.

Scoble had argued that the person in the Roadster is not really driving it. In his description, the driver operates a computer that tells another computer what to do, with steering, braking and acceleration all handled by wire. Musk answered, “True. You will be able to ask the Roadster to perform any of the tricks shown autonomously, as it will be sentient. Also, we will have a wild looping track (crazier even than Hot Wheels) at our Texas HQ where you can test out your Roadster.”

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At the October 15 event outside Waco, the car drove up a curved ramp until it was upside down, flew off on cold gas thrusters, flipped and landed. It also hovered over a Cybercab, Cybertruck, Semi, Model Y and Model 3 while moving. As we noted in our breakdown of the three Roadster configurations, Musk said at the event that the car “literally is just going to puff itself up” to perform the maneuvers whenever an owner wants. Saturday’s reply adds that the car would run them on its own.

Tesla has described some of the hardware that would make that possible. The Roadster uses steer by wire with a yoke, and its cold gas thrusters rely on electric actuators for small adjustments in flight. A fan system under the car creates suction, which Tesla says is strong enough to hold it upside down, a setup we covered in our look at the Roadster’s fan system and thrusters.

Musk did not say when an autonomous stunt feature might arrive, how it would work, or what he means by sentient. He also gave no size, location or opening date for the Texas track. Production is planned for Giga Texas in 2027 or 2028, and Tesla says the car is not approved for public road use. The Rocket version, the one built to fly, is invite only.

The comment follows a week of Musk teasing the event, including his claim that the demo would be a banger, which we covered before the stream. Tesla reports third quarter earnings on October 21, and shareholders can submit and vote on questions through the Say portal until 4 p.m. EDT on October 20, according to our earnings Q&A preview. A question about autonomous Roadster stunts and the Texas track would be a quick way to get specifics from management.

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