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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.
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.
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.
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.
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Mississippi.
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.
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
SpaceX makes $20 billion move to optimize its balance sheet
