Polestar has revealed its next-generation Polestar 2 sedan, which comes with a series of significant upgrades and some minor design changes.
Polestar is an innovative Swedish EV brand that has quickly gained a cult following in North America and Europe for its sleek and modern design, relentless dedication to sustainable manufacturing, and premium interior offerings which have clearly benefitted from the company’s relation to Volvo. Now, the company has released the next generation of its trendy Polestar 2 sedan, and with some significant performance upgrades, the vehicle has only become a more enticing offering.
Foremost in the company’s press release is the sad passing of the front-wheel-drive model; it will be missed. But in its place, Polestar has followed in the footsteps of Tesla and made rear-wheel-drive the standard drive for its vehicles. Along with the change in orientation, Polestar has designed an all-new drivetrain that means the RWD model could be pretty squirrely.
With Polestar’s new permanent magnet motor design, the single motor, RWD, standard range sedan comes with 300 horsepower (220kW), 361 pound-feet of torque, and a (while not blistering) respectable 0-60 of 6.2 seconds. Compared to the current generation sedan, this is an increase of over 60 horsepower and roughly 120 pound-feet of torque.
Luckily, this massive boost in power doesn’t come at the detriment of range. With the standard 69kWh battery, the RWD Polestar 2 achieves a range of 322 miles (518km), and with the optional 82kWh long-range battery, the sedan is capable of a staggering 395 miles (635km) of range. However, it should be noted that with the smaller standard-range battery, drivers are limited to a charging speed of 135kW instead of the 205kW the long-range battery is capable of.
Now, don’t hold your breath if you are like me and think this new upgrade has you ready to buy. Polestar will not sell the standard range sedan in North America, meaning that the base model vehicle’s price will likely rapidly increase in the next generation.
For those who are more interested in the higher performance trims, Polestar has not left you hanging. The dual-motor AWD variant of the Polestar 2, which is only available with the longer-range battery, receives an equally massive bump in power. A rear-biased system produces 422 horsepower (310kW) and 545 pound-feet of torque, rocketing the sport sedan to 60 in just 4.5 seconds. And if that isn’t enough, Polestar also sells an optional Performance Pack, which increases power to 476 horsepower and lowers the 0-60 to just 4.2 seconds.
Other upgrades to the next-gen vehicle focus on its driving tech and sustainability. Foremost, Polestar will include the “Smart Zone” on the vehicle, a panel of radar sensors, and cameras on the front of the car to aid in autonomous driving applications. While this sensor array was first displayed on the upcoming Polestar 3 SUV, it’s clear that the company will introduce it to more products as it continues to improve its autonomous driving offering.
The upgrade in sustainability is also quite significant, as Polestar has cut the carbon emissions per car produced by over a ton, equating to a far better lifecycle carbon footprint than the current generation.
Pricing has not yet been made available by Polestar for markets outside of Europe. Still, the Standard Range RWD model will be available for 50,190 euros (not available in North America), with the top-of-the-line Long Range AWD Performance model going for 64,690 euros ($70,315). The base model that will be available in North America, the Long-Range RWD, coming in March of this year, sells for 53,890 euros ($58,569).
Following Tesla’s recent price cuts, the Polestar 2, despite its unique upgrades, comes off as quite the premium offering and may face some significant backlash for not following Tesla’s steps and lowering prices. And while the company may receive some help if it can assemble the vehicle at Volvo’s South Carolina facility, allowing it to qualify for the US Federal EV incentive, it would still be priced a full $10,000 more than the base Tesla Model 3. It remains unclear if the focus on sustainability and the more premium interior will attract customers from the EV juggernaut in North America or globally.
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Elon Musk has acknowledged that early discussions with Taiwan Semiconductor Manufacturing Company (TSMC) could bring the company into his ambitious Terafab semiconductor project, signaling a possible partnership with the world’s leading contract chipmaker.
Musk confirmed that early talks are underway, but as of right now, they are “just discussions.” There is no confirmation of a deal nor dismissal of the possibility of one, leaving open the prospect of one of the largest advanced-chip collaborations under discussion in the U.S.
@wholemars Just discussions, but something may come of it
— Elon Musk (@elonmusk) October 3, 2026
The report that speculated on potential discussions between Terafab and TSMC comes from Tim Culpan, who outlined a few ways the collaboration could operate. One is TSMC using the project as an “anchor customer” for future facilities in Texas, potentially contributing process expertise, operational know-how, or capacity while Terafab provides capital, long-term purchase commitments, or both.
Tesla and SpaceX jointly developed the Terafab project, with Intel already participating on the tech side. Elon Musk announced the project in March, and it intends to produce more than one terawatt of AI compute capacity annually once fully built.
Company statements place the first phase at approximately $16.8 billion in cost, with later filings pointing to a total that could reach well into the tens of billions across multiple stages.
Intel joined the effort in April 2026 and is expected to supply its 14A manufacturing process for the full-scale plant.
Musk has said existing suppliers, including Samsung and TSMC, remain important for near-term needs; Tesla already has production arrangements with Samsung for AI5 and AI6 chips, but that future demand from Optimus robots, Cybercab vehicles, and planned space-based data centers will eventually exceed what the global industry can currently deliver.
Terafab is positioned as the long-term answer to that projected shortfall, and Tesla did something similar during COVID to avoid a chip shortage. This is just a much larger-scale solution.
If the partnership were to materialize, it would add TSMC’s industry-leading strategies to a project that already combines Tesla’s and SpaceX’s capital and offtake with Intel’s process technology. For now, the only public confirmation is Musk’s brief acknowledgement that conversations are occurring.
Tesla’s early strategy for charging units operating within its Robotaxi fleet reveals that the company surely has not lost any of that scrappy DNA that took it from an unlikely success story to the most valuable carmaker in the world.
An observer at a Tesla Supercharger in Austin spotted ten total Robotaxi vehicles arrive: one Cybercab and nine Model Y units. A Tesla employee was waiting at the lot and allowed each unit to park itself; every car that arrived had nobody in it.
Tesla wins FCC approval for wireless Cybercab charging system
The Tesla employee would walk around and plug each car in, adjusting the parking if needed:
So look at what I found. This is how Tesla charges unsupervised robotaxis at a public supercharger. Here is a driverless Cybercab showing up with no one in it. There are 9 other Model Ys that showed up too. A Tesla employee is walking around and plugging each of them in. She also moves the cars if they are not positioned well enough to charge. I love this process. One person charges multiple robotaxis at once
— Abhimanyu Yadav (@WorldlyReviewer) October 3, 2026
It’s a very interesting strategy, but extremely understandable at this early point in the Robotaxi program. It’s only been out for about 15 months, and Cybercab just entered the fleet in early September.
On top of that, Tesla is still working tirelessly on its wireless charging apparatus, and a new patent was just published regarding that product last week.
However, this is just another example of how Tesla still has plenty of that scrappy DNA leftover from the “production hell” days, when CEO Elon Musk slept on the floor of the factory, employees were working crazy hours, Tesla was building Sprung Structures to build cars in, and the company was tiptoeing on the brink of bankruptcy.
@Teslarati Sheer magnitude of the entire production system is hard to appreciate. Almost every element of production is >75% automated. Only wire harnesses & general assembly, which are <10% of production costs, are primarily manual.
— Elon Musk (@elonmusk) October 12, 2020
For now, Tesla is utilizing a simple system for recharging its ride-hailing vehicles, and that is a Tesla employee doing it manually until another solution presents itself. Sure, it’s not the most high-tech thing, and it certainly is not what people might have expected at this point in time, but it works, and it’s keeping the entire suite running.
Tesla is expanding its Robotaxi service hours by pushing the time back by one hour, keeping the ride-hailing service operational until 11 p.m., one hour later than previously.
CEO Elon Musk confirmed the change and offered a specific reason the expansion has been gradual: the system still needs to reliably avoid small pets that are difficult to see after dark, as they commonly blend into the color of the road, especially when they’re grey.
The latest adjustment restores only a fraction of the operating window the service once held. When paid Robotaxi rides began in Austin on June 22, 2025, vehicles ran from 6 a.m. to midnight.
In September 2025, Tesla lengthened the day to a 2 a.m. close, producing a 20-hour window that stayed in place for most of the following year. By early August of this year, the cutoff had already been pulled back; an August 26 update formalized hours of 6 a.m. to 10 p.m. across Austin and several other markets.
The October move to 11 p.m. therefore leaves the Austin day one hour shorter than the original launch schedule and three hours shorter than the 2025 peak.
Musk addressed the constraint directly after the announcement. “The main thing we’re trying to solve is making sure that we don’t run over pets when they’re hard to see at night,” he wrote. “Literally trying to avoid grey kittens on grey tarmac in the dark.”
Robotaxi operating hours moved from 10pm to 11pm.
The main thing we’re trying to solve is making sure that we don’t run over pets when they’re hard to see at night. Literally trying to avoid grey kittens on grey tarmac in the dark.
— Elon Musk (@elonmusk) October 3, 2026
The example points to a low-contrast perception problem in which a small animal can blend into the road surface under limited lighting.
Tesla’s vehicles rely on cameras and neural-network processing rather than lidar; Musk has previously argued that advanced vision software can extract useful information even in low light by analyzing photon counts, but the pet-detection case remains the stated limiter in later hours.
The modest schedule change arrives alongside faster growth in the purpose-built Cybercab fleet. Texas registration data tracked by observers showed the Austin Cybercab count rising sharply in recent weeks, reaching 169 vehicles after more than 100 were added in a short span.
Tesla has indicated that a broader shift toward 24-hour operation is tied to the upcoming FSD v15 software release expected this month on Robotaxi vehicles. Until that capability is validated for the edge cases Musk described, the company continues to add service time incrementally rather than jumping straight to overnight coverage.
The one-hour extension gives Austin riders a later option for evening trips while the underlying detection work continues.
Elon Musk teases TSMC as potential Terafab partner
Tesla reveals early Robotaxi charging strategy, showing scrappy DNA
