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What Happened to the Tesla Battery Swap?

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Tesla Battery Swap

Elon Musk's demo of the Tesla battery swapIt’s hard to imagine that over a year ago Tesla Motors was drumming its Tesla battery swap system on its Model S. Since then, very little has happened, compared to the gigantic expansion of the Supercharger network and the behemoth Gigafactory development. Has Tesla abandoned the battery swapping idea?

The Tesla Battery Swap, or not to swap

A year ago, Tesla Motors invited many of us to witness the first fast, easy and convenient battery swap demonstration for its Model S. It managed to swap two Model S battery packs in the same amount of time it takes an Audi sedan to gas up. The party was great, there was much cheering and Elon Musk spoke at length about its benefits and promised the first station would be operational by the end of that year 2013. But that was over a year ago, and since then, nothing much has happened.

Doing a little research on the current state of the Tesla battery swap on Google, won’t get you very far. The first Google Tesla battery swap links back to the Model S main page. Elon spoke in February in front of the California Public Utility Commission’s Thought Leaders program and said: “We’re a little late on [battery swapping] because we got preoccupied with a few other issues. But we’re hopefully going to get that enabled in the next few months between LA and San Francisco.”

Re-evaluating the Tesla battery swap

In all fairness, Tesla Motors has far more pressing issues than to roll out one expensive battery swapping station after another. It’s Supercharger network is growing rapidly, while the introduction of the Model X is receiving the bulk of the resources. This is followed by the expansion of the Chinese market and, finally, working on the Model III. That would be enough to keep any carmaker humming for the next year or so.

Tesla battery swap platform

Jalopnik, a car website not always known for its love of electric vehicles (EV) reminds us that soon after the Tesla battery swap event, the California Air Resources Board (CARB) was revising how it would hand out its Zero Emission Vehicle (ZEV) credits. This puts into question the “fast fueling” seven ZEV credit incentives carmakers would receive to refuel a full pack in under 15 minutes for 285 miles.

Tesla battery swap stalled

According to Diarmuid O’Connell, Tesla VP Corporate Development, Tesla could have something in place by the end of the third quarter, which means the next few months. However, this prospect seems less likely, even by the end of the year.

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We’ve known for some time that the company is developing their first Tesla battery swap location, in California, somewhere between Los Angeles and San Francisco which would most likely be a demonstration program for utilities. Since then, Zachary Shahan reported on Treehugger that Tesla would evaluate how they would roll out battery swapping stations elsewhere.

I guess Tesla Motors needs that Gigafactory more than we first imagined in order to make its Tesla battery swap a reality.

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Tesla launches in India with Model Y, showing pricing will be biggest challenge

Tesla finally got its Model Y launched in India, but it will surely come at a price for consumers.

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Credit: Narendra Modi | X

Tesla has officially launched in India following years of delays, as it brought its Model Y to the market for the first time on Tuesday.

However, the launch showed that pricing is going to be its biggest challenge. The all-electric Model Y is priced significantly higher than in other major markets in which Tesla operates.

On Tuesday, Tesla’s Model Y went up for sale for 59,89,000 rupees for the Rear-Wheel Drive configuration, while the Long Range Rear-Wheel Drive was priced at 67,89,000.

This equates to $69,686 for the RWD and $78,994 for the Long Range RWD, a substantial markup compared to what these cars sell for in the United States.

Deliveries are currently scheduled for the third quarter, and it will be interesting to see how many units they can sell in the market at this price point.

The price includes tariffs and additional fees that are applied by the Indian government, which has aimed to work with foreign automakers to come to terms on lower duties that increase vehicle cost.

Tesla Model Y seen testing under wraps in India ahead of launch

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There is a chance that these duties will be removed, which would create a more stable and affordable pricing model for Tesla in the future. President Trump and Indian Prime Minister Narendra Modi continue to iron out those details.

Maharashtra Chief Minister Devendra Fadnavis said to reporters outside the company’s new outlet in the region (via Reuters):

“In the future, we wish to see R&D and manufacturing done in India, and I am sure at an appropriate stage, Tesla will think about it.”

It appears to be eerily similar to the same “game of chicken” Tesla played with Indian government officials for the past few years. Tesla has always wanted to enter India, but was unable to do so due to these import duties.

India wanted Tesla to commit to building a Gigafactory in the country, but Tesla wanted to test demand first.

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It seems this could be that demand test, and the duties are going to have a significant impact on what demand will actually be.

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Tesla ups Robotaxi fare price to another comical figure with service area expansion

Tesla upped its fare price for a Robotaxi ride from $4.20 to, you guessed it, $6.90.

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Credit: Tesla

Tesla has upped its fare price for the Robotaxi platform in Austin for the first time since its launch on June 22. The increase came on the same day that Tesla expanded its Service Area for the Robotaxi ride-hailing service, offering rides to a broader portion of the city.

The price is up from $4.20, a figure that many Tesla fans will find amusing, considering CEO Elon Musk has used that number, as well as ’69,’ as a light-hearted attempt at comedy over the past several years.

Musk confirmed yesterday that Tesla would up the price per ride from that $4.20 point to $6.90. Are we really surprised that is what the company decided on, as the expansion of the Service Area also took effect on Monday?

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The Service Area expansion was also somewhat of a joke too, especially considering the shape of the new region where the driverless service can travel.

I wrote yesterday about how it might be funny, but in reality, it is more of a message to competitors that Tesla can expand in Austin wherever it wants at any time.

Tesla’s Robotaxi expansion wasn’t a joke, it was a warning to competitors

It was only a matter of time before the Robotaxi platform would subject riders to a higher, flat fee for a ride. This is primarily due to two reasons: the size of the access program is increasing, and, more importantly, the service area is expanding in size.

Tesla has already surpassed Waymo in Austin in terms of its service area, which is roughly five square miles larger. Waymo launched driverless rides to the public back in March, while Tesla’s just became available to a small group in June. Tesla has already expanded it, allowing new members to hail a ride from a driverless Model Y nearly every day.

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The Robotaxi app is also becoming more robust as Tesla is adding new features with updates. It has already been updated on two occasions, with the most recent improvements being rolled out yesterday.

Tesla updates Robotaxi app with several big changes, including wider service area

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Tesla Model Y and Model 3 dominate U.S. EV sales despite headwinds

Tesla’s two mainstream vehicles accounted for more than 40% of all EVs sold in the United States in Q2 2025.

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Credit: Tesla Asia/X

Tesla’s Model Y and Model 3 remained the top-selling electric vehicles in the U.S. during Q2 2025, even as the broader EV market dipped 6.3% year-over-year. 

The Model Y logged 86,120 units sold, followed by the Model 3 at 48,803. This means that Tesla’s two mainstream vehicles accounted for 43% of all EVs sold in the United States during the second quarter, as per data from Cox Automotive.

Tesla leads amid tax credit uncertainty and a tough first half

Tesla’s performance in Q2 is notable given a series of hurdles earlier in the year. The company temporarily paused Model Y deliveries in Q1 as it transitioned to the production of the new Model Y, and its retail presence was hit by protests and vandalism tied to political backlash against CEO Elon Musk. The fallout carried into Q2, yet Tesla’s two mass-market vehicles still outsold the next eight EVs combined. 

Q2 marked just the third-ever YoY decline in quarterly EV sales, totaling 310,839 units. Electric vehicle sales, however, were still up 4.9% from Q1 and reached a record 607,089 units in the first half of 2025. Analysts also expect a surge in Q3 as buyers rush to qualify for federal EV tax credits before they expire on October 1, Cox Automotive noted in a post.

Legacy rivals gain ground, but Tesla holds its commanding lead

General Motors more than doubled its EV volume in the first half of 2025, selling over 78,000 units and boosting its EV market share to 12.9%. Chevrolet became the second-best-selling EV brand, pushing GM past Ford and Hyundai. Tesla, however, still retained a commanding 44.7% electric vehicle market share despite a 12% drop in in Q2 revenue, following a decline of almost 9% in Q1.

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Incentives reached record highs in Q2, averaging 14.8% of transaction prices, roughly $8,500 per vehicle. As government support winds down, the used EV market is also gaining momentum, with over 100,000 used EVs sold in Q2.

Q2 2025 Kelley Blue Book EV Sales Report by Simon Alvarez on Scribd

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