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I took a Tesla new Model Y Demo Drive – Here’s what I learned
The new Tesla Model Y has plenty of improvements that make it much better than its past version.
As the new Tesla Model Y arrived at a local showroom for Demo Drives, I swiftly signed up for one to compare the legacy model to what the company is hoping is an even better version of its best-selling vehicle. Coming off of a Legacy Model Y Demo Drive just two months ago, as I was planning to buy one, I had a good understanding of what was improved and what was not.
To make a long story short, I’m really happy I did not pull the trigger on the Legacy Model Y in February. The new Tesla Model Y is truly a much-improved version of what was already a great vehicle, and while I still think the Cybertruck is the best vehicle in Tesla’s lineup, the new ‘Juniper’ is right up there with it.
First Impressions
The first thing I really took note of was the massively changed exterior. The addition of the light bar on the front and the taillight bar that glows were two modernized designs that Tesla chose to implement on this vehicle.
While I never disliked the look of the Legacy Model Y, this is simply better. It’s more modern, slightly cleaner, and truly starts to give off the vibes of the Cybercab, which Tesla unveiled in October 2024.
Overall, the vehicle, in terms of dimensions, is not incredibly different from the past version. The look is really what changed here, and in my opinion, it’s for the better.
Fit and finish were really great. A quick inspection showed the car had been put together very well, and the Sales Advisor, who recently took a trip to Gigafactory Texas and viewed the new Model Y line, said Tesla has been really paying attention to the condition of these vehicles as they leave the factory.
Tesla had a very distinct focus on eliminating excessive panel gaps and aesthetic issues before they leave the factory.
Interior Changes and Higher Quality Materials
In the past, I’ve been sort of hesitant to buy Teslas because, for $35,000+, I felt like some of the interior parts were cheap. Most notably, the sliders above the storage and cupholders and the center console were things I felt should be of higher quality.
This was a big improvement. All of the compartment doors and covers felt much better in terms of overall quality. Nothing was creaky or cheap feeling, and paying $41,000 for a car (after tax credit) should come with materials that are a much better quality.
The steering wheel had a good shape, and the bottom portion of it being flat was not anything crazy, but it was nice.
My favorite tidbit of information was regarding the ambient lighting. Tesla did not run it as far back on the doors in the new Model Y as it did in the Model 3 Highland. Also, many owners apparently complained about the reflection of the ambient lighting on the windshield when they were driving.
Tesla fixed this by covering the ambient lighting and pushing it into a nook that was designed for the lights specifically. There is no longer any reflection of the ambient lighting on the windshield, so it’s important to note that Tesla didn’t take the Highland interior and put it right inside the new Y.
Suspension Improvements Were the Best Part
By far, my favorite fixes were the suspension improvements. While the fixes to overall interior quality and the look are great, the feel when driving the car is truly more important.
The Model 3 Highland had a really great improvement from its past iteration, as I was able to test it with some spirited driving on Pennsylvania backroads. I felt the same way about the new Model Y. You can truly feel a lot of the things Tesla did to make the ride more comfortable in the new version of the crossover.
The ride feels solid but not rigid. It handles things like bumps, potholes, and other inconsistencies really well. It was never uncomfortable; it felt very sporty and responsive and hugged tight corners at higher speeds.
Room and Comfort
The vehicle was very spacious, and I had a lot of legroom in the back. I also liked the feel of the driver’s seat, and I felt like I was sitting in the cockpit of something sportier than a crossover. It was really very nice, and the seats seemed to hug you.
As far as the rear, it felt spacious and comfortable, and I wouldn’t worry about being stuck back there on a road trip that was 6-7 hours long.
The rear seats are heated, but the middle seat is not. The rear screen also gives occupants in the back of the car something to do, and Tesla even enabled multiple Bluetooth headsets the ability to connect to that center screen.
Other Tidbits
The small improvements from the new Model 3 are what really make the Model Y a great car. The previously mentioned ambient lighting fix is something that is great.
One other thing I really liked was that the trunk privacy cover now has a dedicated storage area, which is seen in the indentations here:
The trunk cover can be folded and removed and placed in those indentations, as opposed to sitting on floor of the trunk, potentially being bent and damaged by whatever you have back there.
This was one thing that was a nice touch.
Final Thoughts
All in all, I was very impressed with the new Model Y. It is undoubtedly better than what Tesla previously offered, and that car was the best-selling vehicle globally for two straight years. I would not be surprised to see many Legacy Model Y owners trade their cars in for this new version.
- The new Tesla Model Y taillight with no light
- The new Tesla Model Y taillight with taillight glow
There’s something to be said about a car that fits functionality and fun. The crossover design is popular because it offers so much more space than a sedan but is not the size of a massive, full-sized SUV.
The way this car drives is more like a sedan than a crossover, though, and how the suspension improvements really shine through is where this car is excellent and matches both the wants and needs of many.
While the Cybertruck is still my favorite Tesla to drive, the new Model Y is more accessible to more people and it truly was an awesome experience getting to run around in it for an afternoon.
Elon Musk
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.
CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.
Musk said:
“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”
Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”
He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”
Yup. In this case, the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area. They reached a speed of 73 mph during the crash, and had the accelerator pressed even after the crash.
— Ashok Elluswamy (@aelluswamy) June 22, 2026
Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.
The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.
Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”
Tesla alleged “driverless” crash in Texas: What is known so far
“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.
This appears to be a similar situation. However, an investigation will prove what happened for sure.
Investor's Corner
SpaceX makes $20 billion move to optimize its balance sheet
SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.
The company announced an offering of senior unsecured notes expected to raise at least $20 billion.
The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.
🚨 SpaceX has announced its inaugural offering of senior unsecured notes.
The net proceeds will be used to repay outstanding loans under its bridge loan facility in full.
This inaugural debt offering represents a financing milestone for SpaceX, which previously depended… pic.twitter.com/pcOZuVbTRv
— TESLARATI (@Teslarati) June 22, 2026
According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.
The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.
SpaceX officially acquires xAI, merging rockets with AI expertise
In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.
The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.
SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.
Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.
Elon Musk
SpaceX confirms third massive compute deal at Colossus data center
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Tennessee.
Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.
CNBC first reported the deal.
🚨 SpaceXAI has agreed to a new compute deal with Reflection AI.
Reflection gets access to NIVIDIA GB300s, and will pay $150M per month to SpaceXAI for the compute. pic.twitter.com/bNPare8U5u
— TESLARATI (@Teslarati) June 22, 2026
This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.
SpaceX has previously signed significant compute deals with other major players.
It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.
Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.
SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.
These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.
Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.
The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.
For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.



