Mercedes CEO Ola Källenius has defended his company’s pursuit of electric vehicles instead of investing in synthetic fuel technology, known as “e-fuels.”
Despite governments worldwide putting regulations in place spelling the end for the ICE vehicle, some automakers have attempted to save the technology by using “e-fuels,” or fuels made synthetically. Some, including Porsche and BMW, have even invested in e-fuel production centers, but not everyone is convinced this will be the savior of gas-powered technology. Most recently, the Mercedes CEO has criticized the e-fuels strategy, stating his brand will remain dedicated to a complete electric transition.
The Mercedes executive’s comments were first reported in the German newspaper Frankfurter Allgemeine Zeitung, in which the CEO explained his position on using e-fuel technology instead of electric vehicles. “Mercedes has a strategy that clearly relies on the electric drive. We will not fundamentally change these because of the decisions on e-fuels,” said Källenius. “From 2025, we will be aligning all of our new vehicle architectures solely for the electric drive.”
Further defending Mercedes’ dedication to electric vehicle technology, the CEO argued that electric-drive units are technically superior, able to achieve more power output, better efficiency, improved durability and consistency, and eventually, reduced production cost.
However, despite these advantages, especially over costly e-fuels, which remain prohibitively expensive to traditional consumers, the CEO pointed out one critical hurdle for EVs: charging infrastructure. As noted by Källenius, this concern has driven his company to invest in its charging network, which he argues will be critical to the complete adoption of EVs.
Källenius’ comments come at a pivotal time for Mercedes as it works faster than many of its peers to switch to electric vehicles. Currently, Mercedes offers multiples of the number of electric models that BMW, Audi, and Porsche do. Further, with the unveiling of its final ICE vehicle yesterday, it seems to be ahead of the curve on the development side as well.
It’s the end of an era. Mercedes has unveiled its last new ICE vehicle, the E-Class. What do you think of Mercedes’ current/upcoming electric models? pic.twitter.com/KypgG6FwPg
— TESLARATI (@Teslarati) April 25, 2023
Simultaneously, Mercedes’ top brands are working to double down on the auto giant’s lead. Most recently, Mercedes-Maybach, the automaker’s ultra-luxury brand, introduced its first electric model, the Maybach EQS SUV. Moreover, AMG, the company’s high-performance brand, is introducing an increasing number of electric variant vehicles to its lineup and is expected to release its first true electric sportscar in the near future. Even the business’s commercial wing has introduced its first electric offerings, including an electric semi-truck and electric van.
The dedication of the premium German brand has undoubtedly paid off, as its marketshare and sales, particularly in the luxury electric vehicle market, continue to grow year over year. Hopefully, Mercedes can inspire its luxury counterparts to do the same.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
Elon Musk
Tesla Full Self-Driving’s European launch frustrations revealed by Elon Musk
Tesla plans to launch Full Self-Driving in Europe later this year, but regulatory bodies are proving to make it a bigger challenge than it needs to be.
Tesla Full Self-Driving is set to launch in Europe in the future, but the region’s governing bodies are not giving the suite any chance to move forward, according to CEO Elon Musk, who blames the regulatory processes for robbing citizens of a safer mode of travel.
The automaker revealed late last year that it planned to bring Full Self-Driving to Europe sometime in 2025. However, Musk said that the launch of the suite is being continuously prolonged by both individual and European Union officials, dragging their feet with approvals.
In a post on X on Wednesday, Musk said the company is still dealing with and waiting for approvals from both the Dutch government and the EU’s governing officials, giving an indication that some progress has been made, but ultimately, there are still some bodies that are taking their time:
Waiting for Dutch authorities and then the EU to approve.
Very frustrating and hurts the safety of people in Europe, as driving with advanced Autopilot on results in four times fewer injuries!
Please ask your governing authorities to accelerate making Tesla safer in Europe. https://t.co/QIYCXhhaQp
— Elon Musk (@elonmusk) June 11, 2025
He continued by stating that the delays are “very frustrating” and they “hurt the safety of people in Europe” because of Autopilot’s statistical prowess, which shows it is much safer than human drivers.
Tesla is readying for the launch of a completely driverless Robotaxi platform in the U.S., which is set to occur in the coming days. While the initial rollout of the platform will be reserved for a select few, public rides are slated for June 22, meaning anyone will be able to come to Austin and hail a Tesla Robotaxi through the company’s smartphone app.
The first Robotaxi without a driver was spotted in Austin yesterday and shared on X:
First Tesla driverless robotaxi spotted in the wild in Austin, TX
Musk dropped several hints that the Robotaxi launch, which has been rumored for June 12, is imminent. For now, the operation will take place in Austin and will eventually expand, likely to California next, as noted in past reports. The City’s official website confirmed that Tesla gained a license as an Autonomous Vehicle operator in the City of Austin earlier this week.
Tesla applied for a similar license in California earlier this year.
Energy
Tesla Lathrop Megafactory celebrates massive Megapack battery milestone
The Tesla Megapack is the backbone of Tesla Energy’s battery deployments.
The Tesla Lathrop Megafactory recently achieved a new milestone. As per the official Tesla Megapack account on X, the Lathrop Megafactory has produced its 15,000th Megapack 2 XL battery.
15,000 Megapack Batteries
Tesla celebrated the milestone with a photo of the Lathrop Megafactory team posing with a freshly produced Megapack battery. To commemorate the event, the team held balloons that spelled out “15,000” as they posed for the photo.
The Tesla Megapack is the backbone of Tesla Energy’s battery deployments. Designed for grid-scale applications, each Megapack offers 3.9 MWh of energy and 1.9 MW of power. The battery is extremely scalable, making it perfect for massive energy storage projects.
More Megafactories
The Lathrop Megafactory is Tesla’s first dedicated facility for its flagship battery storage system. It currently stands as the largest utility-scale battery factory in North America. The facility is capable of producing 10,000 Megapack batteries every year, equal to 40 GWh of clean energy storage.
Thanks to the success of the Megapack, Tesla has expanded its energy business by building and launching the Shanghai Megafactory, which is also expected to produce 40 GWh of energy storage per year. The ramp of the Shanghai Megafactory is quite impressive, with Tesla noting in its Q1 2025 Update Letter that the Shanghai Megafactory managed to produce over 100 Megapack batteries in the first quarter alone.
Tesla Energy’s Potential
During the first quarter earnings call, CEO Elon Musk stated that the Megapack is extremely valuable to the energy industry.
“The Megapack enables utility companies to output far more total energy than would otherwise be the case… This is a massive unlock on total energy output of any given grid over the course of a year. And utility companies are beginning to realize this and are buying in our Megapacks at scale,” Musk said.
News
Tesla launches “TeslaVision” video contest to celebrate Model Y deliveries
The program marks a revival of Tesla’s popular Project Loveday initiative back in 2017.
Tesla has announced the TeslaVision Contest, a global video showcase inviting fans and owners to highlight the impact of the company’s vehicles on people.
The program marks a revival of its Project Loveday initiative in 2017, which was extremely well-received by the electric vehicle community.
A Contest to Celebrate the New Model Y
As per the TeslaVision contest’s official website, the program is being rolled out to commemorate the launch and deliveries of the new Model Y across all continents. Thus, the contest could be seen as a global celebration and showcase of owners and fans who made Tesla the household brand that it has become today.
Participants are tasked with creating a 90-second or shorter video demonstrating how Tesla vehicles provide “more freedom, more safety, more fun, more convenience.” Submissions must be uploaded to YouTube and shared on X and Instagram with the tag @Tesla and the phrase “TeslaVision contest.”
Videos must align with Tesla’s mission to accelerate sustainable energy, be suitable for all ages, and avoid references to non-Tesla brands. English text or voice-overs are required, and entrants must relinquish rights to their content for Tesla’s commercial use.
A Big Prize Awaits
When Tesla launched Project Loveday in 2017, the company noted that the contest’s winner would receive an all-expenses paid invitation to an upcoming Tesla product launch. For TeslaVision, the grand prize is a lot more tangible, with the winner receiving a new Model Y AWD. They will also get an all-expenses-paid trip to Gigafactory Texas. Second and third-place winners will also receive a Giga Texas tour.
Finalists will be selected based on creativity, originality, relevance to the prompt, and entertainment value. Tesla will shortlist 100 videos, with the top 10 subject to public voting to influence the final judging. The contest is open to legal residents of the United States, Mexico, and Canada, aged 18 or older, with a valid driver’s license and Tesla account. No purchase is necessary, though entries are limited to just one per person.
Tesla Full Self-Driving’s European launch frustrations revealed by Elon Musk
Tesla Lathrop Megafactory celebrates massive Megapack battery milestone
Tesla launches “TeslaVision” video contest to celebrate Model Y deliveries
-
News2 weeks agoTesla to lose 64 Superchargers on New Jersey Turnpike in controversial decision
-
News2 weeks agoTesla gets major upgrade that Apple users will absolutely love
-
News2 days agoI took a Tesla Cybertruck weekend Demo Drive – Here’s what I learned
-
Elon Musk2 weeks agoTesla investors demand 40-hour workweek from Elon Musk
-
Elon Musk1 week agoElon Musk explains Tesla’s domestic battery strategy
-
News2 weeks agoTesla rolls out new crucial safety feature aimed at saving children
-
Elon Musk2 weeks agoTesla lands on date for Robotaxi launch in Austin: report
-
News2 weeks agoTesla’s apparent affordable model zips around Fremont test track