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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.
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.
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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Elon Musk
Tesla confirms that work on Dojo 3 has officially resumed
“Now that the AI5 chip design is in good shape, Tesla will restart work on Dojo 3,” Elon Musk wrote in a post on X.
Tesla has restarted work on its Dojo 3 initiative, its in-house AI training supercomputer, now that its AI5 chip design has reached a stable stage.
Tesla CEO Elon Musk confirmed the update in a recent post on X.
Tesla’s Dojo 3 initiative restarted
In a post on X, Musk said that with the AI5 chip design now “in good shape,” Tesla will resume work on Dojo 3. He added that Tesla is hiring engineers interested in working on what he expects will become the highest-volume AI chips in the world.
“Now that the AI5 chip design is in good shape, Tesla will restart work on Dojo3. If you’re interested in working on what will be the highest volume chips in the world, send a note to AI_Chips@Tesla.com with 3 bullet points on the toughest technical problems you’ve solved,” Musk wrote in his post on X.
Musk’s comment followed a series of recent posts outlining Tesla’s broader AI chip roadmap. In another update, he stated that Tesla’s AI4 chip alone would achieve self-driving safety levels well above human drivers, AI5 would make vehicles “almost perfect” while significantly enhancing Optimus, and AI6 would be focused on Optimus and data center applications.
Musk then highlighted that AI7/Dojo 3 will be designed to support space-based AI compute.
Tesla’s AI roadmap
Musk’s latest comments helped resolve some confusion that emerged last year about Project Dojo’s future. At the time, Musk stated on X that Tesla was stepping back from Dojo because it did not make sense to split resources across multiple AI chip architectures.
He suggested that clustering large numbers of Tesla AI5 and AI6 chips for training could effectively serve the same purpose as a dedicated Dojo successor. “In a supercomputer cluster, it would make sense to put many AI5/AI6 chips on a board, whether for inference or training, simply to reduce network cabling complexity & cost by a few orders of magnitude,” Musk wrote at the time.
Musk later reinforced that idea by responding positively to an X post stating that Tesla’s AI6 chip would effectively be the new Dojo. Considering his recent updates on X, however, it appears that Tesla will be using AI7, not AI6, as its dedicated Dojo successor. The CEO did state that Tesla’s AI7, AI8, and AI9 chips will be developed in short, nine-month cycles, so Dojo’s deployment might actually be sooner than expected.
Elon Musk
Elon Musk’s xAI brings 1GW Colossus 2 AI training cluster online
Elon Musk shared his update in a recent post on social media platform X.
xAI has brought its Colossus 2 supercomputer online, making it the first gigawatt-scale AI training cluster in the world, and it’s about to get even bigger in a few months.
Elon Musk shared his update in a recent post on social media platform X.
Colossus 2 goes live
The Colossus 2 supercomputer, together with its predecessor, Colossus 1, are used by xAI to primarily train and refine the company’s Grok large language model. In a post on X, Musk stated that Colossus 2 is already operational, making it the first gigawatt training cluster in the world.
But what’s even more remarkable is that it would be upgraded to 1.5 GW of power in April. Even in its current iteration, however, the Colossus 2 supercomputer already exceeds the peak demand of San Francisco.
Commentary from users of the social media platform highlighted the speed of execution behind the project. Colossus 1 went from site preparation to full operation in 122 days, while Colossus 2 went live by crossing the 1-GW barrier and is targeting a total capacity of roughly 2 GW. This far exceeds the speed of xAI’s primary rivals.
Funding fuels rapid expansion
xAI’s Colossus 2 launch follows xAI’s recently closed, upsized $20 billion Series E funding round, which exceeded its initial $15 billion target. The company said the capital will be used to accelerate infrastructure scaling and AI product development.
The round attracted a broad group of investors, including Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group. Strategic partners NVIDIA and Cisco also continued their support, helping xAI build what it describes as the world’s largest GPU clusters.
xAI said the funding will accelerate its infrastructure buildout, enable rapid deployment of AI products to billions of users, and support research tied to its mission of understanding the universe. The company noted that its Colossus 1 and 2 systems now represent more than one million H100 GPU equivalents, alongside recent releases including the Grok 4 series, Grok Voice, and Grok Imagine. Training is also already underway for its next flagship model, Grok 5.
Elon Musk
Tesla AI5 chip nears completion, Elon Musk teases 9-month development cadence
The Tesla CEO shared his recent insights in a post on social media platform X.
Tesla’s next-generation AI5 chip is nearly complete, and work on its successor is already underway, as per a recent update from Elon Musk.
The Tesla CEO shared his recent insights in a post on social media platform X.
Musk details AI chip roadmap
In his post, Elon Musk stated that Tesla’s AI5 chip design is “almost done,” while AI6 has already entered early development. Musk added that Tesla plans to continue iterating rapidly, with AI7, AI8, AI9, and future generations targeting a nine-month design cycle.
He also noted that Tesla’s in-house chips could become the highest-volume AI processors in the world. Musk framed his update as a recruiting message, encouraging engineers to join Tesla’s AI and chip development teams.
Tesla community member Herbert Ong highlighted the strategic importance of the timeline, noting that faster chip cycles enable quicker learning, faster iteration, and a compounding advantage in AI and autonomy that becomes increasingly difficult for competitors to close.
AI5 manufacturing takes shape
Musk’s comments align with earlier reporting on AI5’s production plans. In December, it was reported that Samsung is preparing to manufacture Tesla’s AI5 chip, accelerating hiring for experienced engineers to support U.S. production and address complex foundry challenges.
Samsung is one of two suppliers selected for AI5, alongside TSMC. The companies are expected to produce different versions of the AI5 chip, with TSMC reportedly using a 3nm process and Samsung using a 2nm process.
Musk has previously stated that while different foundries translate chip designs into physical silicon in different ways, the goal is for both versions of the Tesla AI5 chip to operate identically. AI5 will succeed Tesla’s current AI4 hardware, formerly known as Hardware 4, and is expected to support the company’s Full Self-Driving system as well as other AI-driven efforts, including Optimus.
Tesla confirms that work on Dojo 3 has officially resumed
Elon Musk’s xAI brings 1GW Colossus 2 AI training cluster online
