News
Ford’s Mustang Mach E is a valuable Tesla Model Y ally in the crossover segment
With Ford’s release of the Mustang Mach E all-electric crossover, it seems like Tesla is not alone anymore in its efforts at transitioning the mainstream auto market towards sustainability. The Mach E’s combination of price, performance, and range, not only makes it a legitimate and honest effort on Ford’s part, but it also makes the EV a serious threat to mainstream crossover SUVs.
The Ford Mustang Mach E is an all-electric vehicle that will place it in the same segment as the upcoming Tesla Model Y. The two vehicles are priced in pretty much the same ballpark, with the Mach E’s standard range RWD version starting at around $43,900 in comparison to the Standard Range RWD Model Y’s $39,000. That’s a $4,900 difference, but Ford still has the full $7,500 tax credit, which makes the Mach E actually less expensive than the Model Y.
Looking at the price and performance figures of the Mustang Mach E, it is evident that the vehicle is meant to be competitive. The entry-level “Select” variant, for one, will be offered at both RWD and AWD versions, and both will be equipped with a 75.7kWh “standard range” battery pack. The RWD variant will have a range of 230 miles and a 0-60 mph time of about 6-7 seconds, while the AWD version will have a range of 210 miles and be about a second quicker from 0-60. The Mach E Select variants will be shipping in Spring 2021.
Following the Select variants is the “Premium” trim, which starts at $50,600 and ships late 2020, just a few months later than the Model Y’s estimated Summer 2020 release. Premium Mach Es can be equipped with either a standard range pack or an extended range battery, and RWD or AWD. With this, a Premium Mach E could have a range anywhere between 210 miles per charge for the standard range AWD trim, all the way to 300 miles per charge for the extended range with RWD. AWD versions of the Mach E Premium trim can hit 60 mph in the over 5 seconds, while the RWD versions will hit highway speeds in the mid-6s.
While this may seem like a lot of options already, there is still more. The “California Route 1” Mustang Mach E will be arriving in early 2021 for $52,400. This configuration is designed for long travel. As such, it is equipped with an extended range battery pack and 300 miles of range. A “First Edition” Mach E will also be offered in late 2020 with AWD and an extended range battery pack, which gives the vehicle 270 miles of range per charge. Finally, there’s the range-topping Mach E GT, which starts at $60,500, feature AWD, bigger motors, 235 miles of range, and a 0-60 mph time in the mid-3s.
While comparisons to the Model Y will be unavoidable, it should be noted that the Ford Mustang Mach E is every bit more of a traditional crossover rival than it is a competitor for Tesla’s seven-seater. Both vehicles are aimed at the crossover SUV segment, after all, and that is a market that is so vast right now, it is practically impossible for a single automaker to dominate on its own. There is no question that the Model Y will sell in larger numbers than any of Tesla’s other cars — Elon Musk has said as much. But there is also no question that the Mach E, provided that Ford dealers do not nip the market’s enthusiasm in the bud, will be a huge success as well.
This is something that Tesla CEO Elon Musk highlighted in a tweet following Ford’s reveal of the Mach E. While the American automaker was mum about Tesla’s contribution to electric vehicle design and innovation, Musk nevertheless credited the carmaker for its efforts at bringing about sustainable transportation. Ford, at least in its response to Musk, seemed eager to be on board the EV transition.
And this is really the crux of the matter. The Mach E, at least specs-wise, is a serious electric car that is designed for serious users. Its Mustang name may be debated for years to come, but there is little doubt that Ford put a lot of effort into its all-electric crossover, and the results of these are far beyond that of any other legacy automaker so far. It could even be said that with the Mach E in the picture, more expensive, similar-sized all-electric EVs from other veteran automakers such as the Jaguar I-PACE are in for some tough competition. Companies with all-electric cars that are under-utilized and under-promoted like GM and its Chevy Bolt are also at risk of being considered as the final compliance cars of a bygone era.
Ford has played its hand, and it did so with a strong statement in support of all-electric vehicles. With the Mach E, Tesla is no longer alone in the electric assault on the crossover segment. The question now is, will other automakers follow suit with similarly priced and specced vehicles? The next few years will definitely be very interesting.
More information about the Ford Mustang Mach E could be accessed here.
Tesla shared a striking video showcasing the decommissioning of the original Model S and Model X assembly line at its Fremont Factory in Northern California. Completed in just 46 days, the teardown involved heavy machinery dismantling concrete pits, removing robotic arms and conveyors, and clearing the space for new production.
The post, captioned “End of an era,” captured both the end of a historic chapter and Tesla’s aggressive pivot toward its next major initiative, Optimus.
End of an era: Decommissioning the original Model S & X assembly line in just 46 days pic.twitter.com/kGEdfhl62h
— Tesla Manufacturing (@gigafactories) July 10, 2026
The decision to retire the Model S and Model X originated during Tesla’s Q4 2025 Earnings Call in late January 2026. CEO Elon Musk announced that production of the company’s flagship sedan and SUV would wind down by the end of Q2 2026, describing it as bringing the programs to an “honorable discharge.”
Custom orders ceased around early April 2026, with the final vehicles rolling off the line in early May. A special signature delivery ceremony on May 20 marked the emotional close for these vehicles, which had defined Tesla’s early success and luxury EV segment since the Model S launch in 2012.
The primary reason for tearing down the lines was to repurpose the valuable factory floor space for high-volume production of Tesla’s Optimus humanoid robot. Musk had indicated on Earnings Calls that the Fremont S/X line would be replaced by a dedicated Optimus manufacturing line targeting a capacity of one million units per year.
This move aligns with Tesla’s broader strategic shift from traditional vehicle manufacturing toward robotics and artificial intelligence, leveraging the company’s expertise in autonomy, AI training, and high-volume production.
Optimus, Tesla’s general-purpose humanoid robot, is designed to perform repetitive or dangerous tasks in factories, warehouses, and eventually homes. Powered by Tesla’s AI and Neural Networks, it aims to be a versatile, affordable platform. Production of Optimus Gen 3 is already underway in limited form at Fremont, with full-scale output on the converted line expected to begin in late July or August.
Tesla is targeting rapid scaling, with internal ambitions pointing toward tens or even hundreds of thousands of units annually by the end of 2026.
Longer-term, Tesla is constructing a much larger second-generation Optimus facility at Giga Texas, with potential capacity reaching millions of units per year. The company views Optimus as a transformative product that could eventually surpass its automotive business in scale and value, enabling widespread deployment of useful robots across industries. CEO Elon Musk has even predicted it would be the most popular product of all-time.
As one era closes at Fremont, another is rapidly taking shape.
Elon Musk posted a candid admission on his social media platform X on June 9, declaring that he had been “clearly wrong” about Anthropic. The statement marked a notable reversal from his earlier skepticism toward the AI company.
In September, Musk had written, “Winning was never in the set of possible outcomes for Anthropic,” reflecting his view at the time that the startup had lacked the foundation or even the trajectory to succeed in what is an incredibly intense race for advanced artificial intelligence.
Musk’s latest post came amid discussion of Anthropic’s reliance on external compute resources. He praised the company’s progress, stating that Anthropic is “obviously currently the leader in AI” and that “no company has released a model as good as Mythos/Fable,” with expectations of a strong follow-up in Mythos 2.
The tone shifted dramatically from dismissal to acknowledgement of superior performance.
I was clearly wrong about Anthropic. They are obviously currently the leader in AI. No company has released a model as good as Mythos/Fable and they will undoubtedly have Mythos 2 ready soon.
And I would never cut them off in a way that hurt them badly, even as a competitor.…
— Elon Musk (@elonmusk) July 9, 2026
The context of Musk’s comments added significance. Anthropic has been operating under a recent compute deal with SpaceXAI, Musk’s AI infrastructure-focused venture. The pair entered a short-term GPU lease agreement initiated in May, providing Anthropic access to critical computing power for training and deploying its frontier models.
SpaceXAI signs agreement with Anthropic for massive AI supercomputer access
Some observers had speculated that Musk could leverage this dependency to disadvantage a rival. Musk directly addressed the possibility, writing, “I would never cut them off in a way that hurt them badly, even as a competitor. That’s not my style.”
To support his commitment to ethical competition, Musk referenced concrete examples from his other companies. Tesla famously open-sourced its entire portfolio of electric vehicle patents in 2014. The move was designed to accelerate the global adoption of sustainable transportation technology rather than protect proprietary advantages.
Tesla also made its Supercharger network available to competing electric vehicle manufacturers, transforming what could have remained an exclusive charging ecosystem into a shared infrastructure that benefits the broader industry and reduces barriers for EV adoption.
Musk further pointed to SpaceX’s practices, noting that the company launches satellites for competing commercial systems “with no increase in price or use of unfair terms.” He extended the principle to his social platform, observing that “even my worst enemies attack me on this platform,” underscoring preference for open discourse over retaliation.
These examples have illustrated Musk’s long-standing philosophy that long-term technological progress is best served by open competition and infrastructure sharing rather than leveraging market power to stifle rivals. In the fast-evolving AI sector, where compute resources and model capabilities determine leadership, Musk’s stance suggests a willingness to compete on innovation and performance alone.
Musk’s admission arrives as SpaceXAI itself advances its own frontier models while maintaining business relationships across the ecosystem. By publicly correcting his earlier assessment and reaffirming principles of fair play, Musk highlights a model of competition that prioritizes advancement of the field over short-term tactical advantages.
A Tesla analyst believes the company’s Full Self-Driving suite is close to an “inflection point,” where people will finally realize that it is more than what it appears, similar to how many view the iPhone.
Pierre Ferragu, an analyst who has covered Tesla for many years at New Street Research, says the Full Self-Driving suite is one piece of evidence supporting the view that a Tesla is more than a car. He compared it to the iPhone and noted that the high price tag seemed like a lot for a phone early on. Then people realized the iPhone was more than just something you make calls with. It made their lives simpler.
🚨 Analyst @p_ferragu says Tesla Full Self-Driving is at an “inflection point” in a recent commentary:
“A Tesla is not a car, the same way an iPhone was not a phone. As a tool that gets you to work peacefully every morning, it is not expensive. Give us 2 more quarters to see… pic.twitter.com/tm6xFrjVPV
— TESLARATI (@Teslarati) July 10, 2026
Suddenly, that price tag was justified.
Tesla offers several models under the average transaction price for a new vehicle, which was above $49,000, according to Kelley Blue Book. However, that does not take into account that many people can still not afford a $35,000 vehicle. Ferragu offers his thoughts:
“Remember when the addressable market of the iPhone was 10 million units? Then people realized how good it was, and now, nearly 250m are sold every year.
A similar evolution for Tesla is still on the table. A Tesla is not a car, the same way an iPhone was not a phone.
A model 3 at $35k + $100 per month is too expensive for most, but only as a car, the same way a $600 iPhone was too expensive for most, until most realized it was much more than a phone.
As a tool that gets you to work peacefully every morning, it is not expensive.”
This point is valid, especially considering the iPhone’s impact on the cell phone market. There are still a handful of players, but most people you know have an iPhone. The iPhone ties into Apple’s other ecosystem of products.
This is how Tesla plans to infiltrate the automotive market, and once the company offers a fully autonomous suite, or something that can allow for unsupervised self-driving, more and more people will flock to Tesla.
Ferragu believes Tesla needs two additional quarters of development before things will truly change. He didn’t elaborate on what will happen in two quarters, but he said it will give us all time to “see where this is heading.”
It is really quite interesting to see people’s reactions when they find out what a Tesla is capable of. Full Self-Driving is a great tool for taking stress out of travel; I use it daily, and it has made it really difficult to consider taking any other car on a drive of practically any length.
To me, it is really hard to believe that people will not at least seriously consider a Tesla as their next car if they experience Full Self-Driving. This is a major point for those who argue that Tesla should advertise in some way.
Tesla shows rapid teardown of Model S and X lines, paving the way for Optimus at Fremont
Elon Musk admits he was ‘clearly wrong’ about Anthropic
