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Mercedes-Benz EQE pricing revealed for U.S.
Update 6:05 PM EST: Mercedes-Benz contacted Teslarati to correct pricing for the Pinnacle trim of all 3 EQE configurations. An earlier release from MB listed incorrect pricing.
Mercedes-Benz has announced pricing for the upcoming Alabama-built EQE SUV, the automaker’s second fully-electric sport utility vehicle following the EQS. Starting at $77,900, the EQE is expected to arrive at Mercedes dealers in the Spring.
The EQE lineup will feature three configurations: the EQE 350+ SUV, EQE 350 4MATIC SUV, and EQE 500 4MATIC SUV. All models will be offered in Premium, Exclusive, and Pinnacle trim levels in the United States, and for the first time, the fully variable 4MATIC all-wheel-drive system with torque shift will be offered at the same starting price as the base level EQE 350+ SUV, giving more value for customers in Mercedes’ highest volume model.
Specifications and Features
Mercedes-Benz wanted to keep the sporty yet luxurious feel of its vehicles, and that continues with the EQE SUV, which started production in August 2022. Wheels will vary in size from 19 to 21 inches and are positioned flush with the outer edge of the body, the company said. This is in an effort to improve aerodynamics within its model family.
Aerodynamics didn’t stop there, either. Mercedes-Benz crafted an underbody with numerous aerodynamic details that help complement the drag coefficient to support better range ratings and try to eliminate overall range loss as much as possible.
More range support features were added to the EQE, including the addition of a heat pump, which has become an obvious option for many EV makers after Tesla included one in the Model Y several years ago, and an intelligent powertrain management system.
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Tesla highlights Model Y’s heat pump innovations in new promotional video
The heat pump works in parallel to Tesla’s by utilizing heat from the inverter and electric motor and the high-voltage battery system to heat the vehicle interior. Along with that, the intelligent powertrain management system:
“The second innovation is an all-new intelligent powertrain management system that monitors at 160 times per second, if the front electric motor is necessary. If not, a clutch disconnects or re-engages the front motor in 100 milliseconds. The decoupling of the front drive unit reduces drag and improves range.”
Along with improvements internally to support range and aerodynamics, Mercedes-Benz has included a new Automatic Lane Change Feature, making the EQE the first model in the EVA2 family to have this feature with the optional Driver Assistance Package. It is available in the top two trim levels and can automatically initiate lane changes or pass slower vehicles without driver intervention.
The interior features the MBUX infotainment system with a 12.8″ OLED multimedia touchscreen portrait display and a 12.3″ driver display.
While each trim has its own strengths, all three have EQ-specific innovative technologies but will have plenty of leeway with an array of additional options that will allow for further personalization and customization.
The vehicle will be built at the Mercedes-Benz plant in Tuscaloosa, Alabama, and a battery factory in nearby Bibb County will supply batteries for both the EQE and EQS.
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Premium Trim:
- EQE 350+ SUV – $77,900
- EQE 350 4MATIC SUV – $77,900
- EQE 500 4MATIC SUV – $89,500
Highlights for Premium Trim include:
- MBUX EQ Navigation Services, including Navigation with Electric Intelligence
- Parking Package with Surround View System and PARKTRONIC
- Heated Front Seats
- MB-Tex Upholstery
- Power Tilt and Sliding Panorama Roof
- Burmester® Sound System
- Keyless-Go Comfort Package
- 64-Color Ambient Lighting EQE
500 4MATIC Additional Standard Equipment:
- AMG Line Exterior
- 20″ Wheels
- Leather Upholstery
- 10-Degree Rear Axle Steering
Exclusive Trim:
- EQE 350+ SUV – $80,000
- EQE 350 4MATIC SUV – $80,000
- EQE 500 4MATIC SUV – $91,600
Highlights for Exclusive Trim Include:
- All features of Premium Trim
- MBUX Augmented Reality for Navigation
- Active Ambient Light
- Driver Assistance Package including all-new Automatic Lane Change function
Pinnacle Trim:
- EQE 350+ SUV – $83,850
- EQE 350 4MATIC SUV – $83,850
- EQE 500 4MATIC SUV – $95,450
Highlights for Pinnacle Trim Include:
- All features of Premium and Exclusive Trims
- Four-Zone Climate Control
- Air Balance Package
- Energizing Comfort
- Head-Up Display
- 100W USB-C Package
- DIGITAL LIGHT Package
- Mercedes Star Pattern Logo Projectors (Front Doors)
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In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
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Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
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High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
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Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
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However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
