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Pencils down on Tesla Model 3: here’s what I hope to see
From what tidbits Tesla has shared, it’s already “pencils down” on the Model 3 design. We’ve seen the prototype, we’ve poured over spy spots and video stills. We’ve even accidentally drooled on our copy of a Franz print. (Oh, that was just me?) In fact, there are quite a few things we already know.
But because this is the age of instant information and chronic impatience – and because I have an enormous amount of faith in Tesla – I’ll pass the time by sharing 10 things I hope to see on the smaller and much more affordable Model 3 that if true, would arguably make owning it an even better experience than the Model S.
Efficiency
The Model 3 will require a smaller battery to go 200 miles on a single charge than a Model S would require. What this should also mean is that on a miles per kWh basis, it’s cheaper to drive than the Model S. I’ve already figured out using very rough and imperfect math that it costs me $.06/mile to drive the Model S given our just slightly above average electricity rates. That is about 1/3 the cost to run my ICE. It’s a bit closer now as gasoline prices have dropped, but the Model S still wins by plenty. If the Model 3 does what I think it will, it should cost even less.
Wheelbase
Maybe it’s me, maybe it’s my age, or maybe it’s the fact that I’ve never owned a 4-door car before the Model S but I really crave a slightly shorter wheelbase in a car. The Model S is a phenom in acceleration at any trim level. The Model 3, especially in a dual motor Performance version, will be no different. Pair this with the agility that comes with having a lighter, shorter car and perennial favorite “car guy” cars like the BMW 335 or Mustang GT will be made to look a fool.
Steering Feel
This right here. Of all the goofy things a person can insist upon when picking out a car, a tightly tuned steering situation is inordinately high on my list. In fact, I almost ended up in a Camaro or Mustang in late 2012. My machismo really wanted to like them. Aside from the fact that I couldn’t actually see over the hood scoop in certain models, I loathed feeling like I was steering a minivan and thus opted for neither. Well, what I assume a minivan feels like. I’ve never actually had the pleasure (?) of driving one. It should go without saying that Tesla will offer driver selectable steering on the Model 3 like it does on the Model S. This pairs nicely with my wheel base argument.
Kicking the Clutter
I’m anti a lot of stuff: Anti “big oil,” anti the color olive green, anti waiting in line at a chain restaurant when you live in a major city with approximately 17,045 better places to eat. One of the other things I’m against is something that our Model S has not only indulged me on but has made me more so. I’m of course talking about car clutter: unnecessary buttons, knobs, cupholders, nooks, crannies and dust magnets. I do expect a center console of some sort, as well as some semblance of perceived normalcy regarding cupholders but I trust Tesla will maintain their trademark lack of crap.
Ease of manufacturing was a major cornerstone of designing the Model 3. It needs to be given Tesla’s ambitious plans to ramp up production. Cupholders aside, I expect the Model 3 to have an even cleaner cabin. There may be a HUD, may be a simpler instrument cluster (if one at all) and there may even be super minimalistic HVAC vents. As if driving a Tesla isn’t calming and soothing enough, the modern, clean and clutter free interior I’m expecting will probably transport me to an even happier place than a Model S can. The Model S design, while utterly amazing and thus far ageless, was still made to look like a car. The original front end, for example, gently lulled first time EV owners away from the look and feel of a gasoline powered car. Model 3 will have to do no such thing in order to sell.
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More Power
Tim the tool man Taylor would be proud that anyone who may own a non-performance Model S or X and chooses to add a performance Model 3 to their garage, may have a hard time going backwards. I don’t imagine it will be quite as stark a contrast as when a Model S owner jumps into a rental ICE, but it’ll surely be plenty to make you want pickup your 3 fob when given the choice.
Next-gen Autopilot
A series of recent Elon tweets speaks to at least a moderate upgrade being possible for Autopilot on today’s equipped cars via software update. Because Tesla is Tesla, I also expect that some hardware refinements will be present by the time the Model 3 rolls off the line. Also because Tesla is Tesla, if the Model 3’s Autopilot isn’t better than a an early AP Model S at the moment you get the Model 3, it probably will be eventually. If my hopes and dreams estimations are correct, I should have a Model 3 around my the third birthday of my Model S. (December 2017.) It speaks to reason that once my youngest Tesla grows up just a bit, he may even exceed the skills of his older sister.
Fit and Finish
Disclaimer: I have never owned a luxury car. The Model S replaced a Jeep Wrangler and to me, it’s perfect. It’s gorgeous, flawless even, elegant and comfortable. The leather, despite not being my choice, is soft and the cabin seems well put together. There are no rage-inducing rattles, nothing has faded or worn or cracked. The car is a real gem, at least in the eyes of someone with my car history. I fully expect the Model 3 will be manufactured with a fit and finish quality on par with an automaker far more experienced than Tesla. Even if it’s not, the many owners who have never had a luxury car before will probably, like me, assume it’s perfect!
Comfort
See: fit and finish above. 30,000 miles later and I still have no idea why people say the seats in the Model S aren’t comfortable. I don’t pretend to be old or tall or especially large so maybe that’s it. All I do know is that the people have spoken and Tesla has listened. Next-gen seats now exist for the Model S and Tesla will certainly keep seat comfort in mind. For anyone with a Model S with standard seats, the Model 3 may very well be more comfortable.
Booster Seat Ease
I can count on one hand how many times I’ve had kids in the Model S but I can already tell you that installing a car seat or worse, using a booster seat, sucks big time. The seat belts are so deeply recessed (which looks great, by the way) that it makes buckling them over a booster require a circus act of contortion and a whole lot of force. Actually, I hope Tesla is listening to this one because aren’t kids supposed to be able to buckle themselves in? I don’t mean babies, I mean kids. (Aren’t you now required to use a booster seat until Junior Prom?) Neither my 5 or 7-year-old nephew would be able to do it in our S and I imagine having to buckle it for them would get old quickly.
Recognizability
I’m not going to lie here. I love when people recognize our Model S. I sometimes get smiles, raised thumbs and even compliments as I drive the car and there are few things in life I enjoy more than answering questions about it. I expect that to skyrocket in the Model 3. As I learned at the car show, Average Jane already knows about Model 3. If the aforementioned hopes and dreams do come true, I will be a very early Model 3 owner. I can not wait to be stopped and questioned, nodded to and waved at because people recognize the car. The Model S, despite being immensely gorgeous and still well ahead of it’s technological time, will be overshadowed by the excitement of the first Model 3 cars to hit the road.
It’s hard to imagine having a car that is better to drive than the Model S, but boy does it sound like that’s exactly what is going to happen.
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Elon Musk has declared that SpaceX has effectively solved one of Starship’s most persistent engineering challenges: the reliability of its heat shield tiles.
During the company’s first-ever Earnings Call, the SpaceX CEO stated:
“I don’t want to jinx it or anything, but I think I would call the heat shield problem solved at this point. All indications from data and visual inspection is we have solved it. That doesn’t mean we won’t make improvements, but we do not see any technical obstacles to achieving rapid reusability at this point.”
Starship’s heat shield consists of roughly 18,000 hexagonal ceramic tiles covering the windward side of the upper stage. These tiles form the thermal protection system that shields the vehicle’s stainless-steel structure from the extreme heat of atmospheric reentry.
Elon says he believes the heat shield problem with Starship is currently solved.
He called it “arguably the single biggest problem” pic.twitter.com/eEE9vM5zlz
— TESLARATI (@Teslarati) August 4, 2026
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During descent, atmospheric friction generates temperatures exceeding several thousand degrees Celsius and creates plasma flows capable of melting unprotected metal. The tiles absorb, radiate, and insulate against this energy, allowing the vehicle to survive and potentially fly again. Without a durable heat shield, full and rapid reusability, the cornerstone of Starship’s design for frequent launches, satellite deployments, and deep-space missions, would remain impossible.
The tiles have long been a source of difficulty. On earlier test flights, a significant number of tiles detached during ascent due to vibration, aerodynamic loads, and imperfect attachment methods using pins and adhesives. Gaps between tiles allowed hot plasma to infiltrate, causing secondary damage and hot spots on the underlying structure.
These issues echoed challenges faced by NASA’s Space Shuttle, whose ceramic tiles required extensive, labor-intensive inspections and replacements between missions, preventing rapid turnaround. SpaceX has iteratively improved materials, standardized tile shapes, refined attachment techniques, added secondary ablative layers, and tested sealing methods such as “crunch wrap” felt to close gaps.
Progress was visible across Flights 10–12, with steadily better tile retention, yet questions remained about whether the system could support the minimal-refurbishment goal of rapid reuse.
Flight 13 on July 24 provided the decisive evidence. Ship 40 flew a deliberately more demanding profile with higher dynamic pressure to stress the heat shield beyond typical operational loads. It successfully deployed 20 operational Starlink V3 satellites, the first such payload on a Starship mission, performed an in-space Raptor engine relight, and executed a controlled reentry.
Elon Musk sheds two new bits of detail on Starship after 13th test launch
Cameras on six of the satellites and onboard sensors captured extensive imagery and data of the shield throughout the flight. The ship then achieved its softest splashdown to date in the Indian Ocean, remaining intact and floating rather than breaking apart or exploding as on prior missions. This allowed drone inspections and continuous telemetry of the heat shield in near-real time.
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Post-flight analysis showed the majority of tiles remaining attached with only minor damage and limited plasma streaking at seams. Musk noted that the mission delivered “all the heat shield data we needed and then some.” Combined with visual inspections, these results underpinned his subsequent assessment that the core technical barriers to rapid reusability have been cleared. While refinements will continue, Flight 13 marked a pivotal step toward Starship’s operational future.
SpaceX COO Gwynne Shotwell outlined ambitious plans for Starlink Mobile during the company’s August 4 Earnings call, signaling a direct challenge to U.S. wireless giants like AT&T, T-Mobile, and Verizon.
Shotwell noted that the three companies generate roughly $600 billion in combined annual revenue. “I anticipate us to be able to acquire quite a few of their customers because I think our service will be better,” she said. “We will eliminate dead zones leveraging the satellites in orbit. It will be better during any natural disaster… I’m quite excited about Starlink Mobile.”
SpaceX President & COO Gwynne Shotwell on @Starlink Mobile and its impact on Verizon, AT&T and T-Mobile:
“Roughly, between them, $600 billion a year. I anticipate us to be able to acquire quite a few of their customers. Our service will be better. We will eliminate dead zones… pic.twitter.com/UYZUkrGc0L
— Sawyer Merritt (@SawyerMerritt) August 4, 2026
SpaceX intends to combine its satellite constellation with terrestrial infrastructure. The company has acquired about 65 MHz of spectrum from EchoStar and plans to deploy next-generation Starlink Mobile satellites in 2027, with upgraded service targeted for the end of that year.
Shotwell described the enhanced network, leveraging more satellites and spectrum, as potentially “100 times better” than the current direct-to-cell offering, which already supports basic texting and app-based voice/video in coverage gaps through partnerships. She also indicated plans for low-cost cellular base stations that could integrate with existing Starlink dishes, creating a hybrid system for broader capacity in urban, suburban, and rural areas.
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For the general public, Starlink Mobile promises significant advantages. Satellite connectivity can fill gaps where traditional cell towers fail, delivering service in remote locations, mountains, or during outages caused by storms, wildfires, or infrastructure damage—conditions in which ground networks often collapse.
Users could enjoy more consistent coverage without relying solely on dense tower builds, potentially at competitive prices as SpaceX scales. The hybrid approach aims to support full mobile services, including higher-speed data, while working with unmodified smartphones over time.
These developments revive long-standing but unfounded rumors of a Musk-developed “Tesla phone.” Speculative claims of a “Pi Phone” or similar device with built-in Starlink connectivity have circulated for years on social media, often featuring fabricated images and details. Elon Musk has repeatedly denied any such plans, stating Tesla has no intention of entering the smartphone market unless forced by extreme circumstances with app stores.
No official product, filings, or development announcements have ever materialized; the rumors remain hoaxes.
The announcement quickly pressured telecom stocks. Shares of AT&T, Verizon, and T-Mobile fell between roughly 2 and 4 percent in after-hours and premarket trading as investors weighed the competitive threat from a hybrid satellite-terrestrial network.
While execution challenges remain—spectrum deployment, infrastructure rollout, and regulatory hurdles—Shotwell’s remarks mark SpaceX’s clearest signal yet of entering the consumer mobile market as a full competitor.
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Venture capitalist Chamath Palihapitiya has cautioned investors shorting SpaceX shares, drawing a direct parallel to the intense short-selling pressure Tesla faced in its early public years.
Responding to reports of elevated short interest in the newly public rocket, satellite, and AI company, Palihapitiya noted that similar dynamics played out with Tesla, where aggressive short sellers ultimately “went broke.”
SpaceX (NASDAQ: SPCX) went public on June 12, 2026, in the largest IPO on record, pricing at $135 per share. Shares quickly surged to an all-time high of $225.64 just days later, briefly implying a valuation exceeding $2 trillion. The stock has since retreated sharply amid valuation concerns, lockup expiration fears, and broader market dynamics.
By early August, it traded near $108–$125, representing a roughly 50 percent decline from the peak and bringing the market capitalization closer to the $1.5–1.7 trillion range. On August 4, shares closed up more than 9 percent at $125.33 ahead of earnings before facing pressure in after-hours and premarket trading.
Short interest has climbed dramatically. According to S3 Partners data widely cited in market reports, short positions reached approximately 219.3 million shares by late July, about 34 percent of the limited public float of roughly 640 million shares, and represented a notional value of around $24.6 billion.
Utilization of shares available to borrow hit 95 percent, with borrow fees rising. This level of shorting exceeded the dollar value of short bets against Tesla at the time and built rapidly ahead of two catalysts: the company’s first post-IPO earnings and an August 6 lockup expiration that could free up to 911.5 million additional shares.
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CEO Elon Musk has issued warnings of his own. In mid-July, as short interest approached one-third of the float, he posted that “the survival probability of firms who maintain a significant short position in SpaceX over time is very low,” reiterating his view that the company could ultimately be worth more than Earth if it achieves its goals.
On August 4, just before earnings, Musk responded to the latest short-interest data by saying, “I try to warn them, but they just double down.”
SpaceX delivered its first quarterly results as a public company after the close on August 4. Second-quarter revenue rose 92 percent year-over-year to $7.8 billion, beating consensus estimates near $6.8–6.9 billion.
The net loss narrowed to $541 million, or 9 cents per share, better than the roughly 23–24 cent loss expected. Starlink/connectivity contributed about $4.3 billion (up 66 percent), while the AI business generated $2.6 billion (up roughly 250 percent). Capital expenditures were heavy at $18.4 billion, largely tied to AI infrastructure. Management projected a $100 billion annualized revenue run rate by year-end 2026 and outlined a path toward $1 trillion in annual revenue by 2030.
The combination of Chamath’s historical reminder, Musk’s repeated alerts, and the company’s ambitious growth targets underscores the high-stakes debate surrounding SPCX. Short sellers are positioned for near-term supply pressure from the lockup, while long-term bulls point to Starlink scale, Starship progress, and AI compute expansion as reasons the bears may ultimately face the same fate as many early Tesla skeptics.
SpaceX has solved Starship’s biggest challenge, Elon Musk says
SpaceX is coming for wireless giants with Starlink Mobile
