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Rivian backtracks price increase on all R1T, R1S preorders before March 1

(Credit: Rivian Stories/Rivian Automotive)

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Rivian said on Thursday morning that it would honor all preorder pricing on orders for its R1T and R1S all-electric vehicles placed on or before March 1. The decision comes just two days after Rivian placed a series of hefty price increases to its vehicles. The increases also affected those who had preordered but not finalized an order for one of Rivian’s vehicles, causing many to cancel their reservations for the all-electric R1T pickup or R1S SUV.

Earlier this week, Rivian announced it would increase the prices of the R1T and R1S by at least 17 percent. Rivian clarified that those in the “final steps of the transaction” would not be affected by the price increases.

UPDATE: Rivian launches new Dual Motor options for R1T and R1S, increases Quad Motor pricing

“You may have heard that Rivian’s vehicle and option pricing have increased as a result of price inflation of supplier components and raw materials across the world. Since you are in the final steps of completing your transaction, your Rivian preorder will not be affected by these adjustments,” Rivian wrote to one preorder holder, who shared the message with Teslarati.

Those who had placed an order but had not finalized their trim and interior options, or accessories, were subjected to the price increases as well. Some notable EV influencers spoke out about the price increases.

This morning, Rivian is revising the price increases, reverting anyone with a preorder as of March 1 to their original pricing.

CEO RJ Scaringe penned a letter that clarified any confusion regarding the price increases. Scaringe said:

“For anyone with a Rivian preorder as of the March 1 pricing announcement, your original configured price will be honored. If you canceled your preorder on or after March 1 and would like to reinstate it, we will restore your original configuration, pricing and delivery timing. Our team will be sending an email in the next few days with more details.”

Rivian announced the price increases late Tuesday, citing supply chain issues and inflation for the rise in costs. However, the company realizes it was a bad decision to place price increases on already-placed orders. Many Rivian pre-orderers contemplated whether the increase in price was justifiable, especially as their orders were already confirmed, just not finalized.

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Scaringe said Rivian could have communicated to its customers better. “We didn’t give you enough insight into what was driving these decisions,” he said in the letter. “The most important aspect of what we are building is our relationship with all of you. As we demonstrated earlier this week, trust is hard to build and easy to break. In speaking with many of you over the last two days, I fully realize and acknowledge how upset many of you felt. I have made a lot of mistakes since starting Rivian more than 12 years ago, but this one has been the most painful. I am truly sorry and committed to rebuilding your trust.”

Rivian also announced that it would offer a new Dual-Motor powertrain for both vehicles, along with a Standard Battery Pack option that can help alleviate costs for customers. “Regarding our updated pricing for future preorders, the introduction of our Dual-Motor configuration and Standard battery pack has been designed to enable us to maintain lower starting prices while adjusting the pricing of the Quad-Motor and larger battery packs to reflect rising costs.”

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.


Scaringe’s full letter is available below:

“Hello Everyone,

Earlier this week, we announced pricing increases that broke the trust we have worked to build with you. Since originally setting our pricing structure, and most especially in recent months, a lot has changed. The costs of the components and materials that go into building our vehicles have risen considerably. Everything from semiconductors to sheet metal to seats has become more expensive and with this we have seen average new vehicle pricing across the U.S. rise more than 30% since 2018. Given our build lead up times, we need to plan production costs not only for today, but also for the future.

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As we worked to update pricing to reflect these cost increases, we wrongly decided to make these changes apply to all future deliveries, including pre-existing configured preorders. We failed to appreciate how you viewed your configuration as price locked, and we wrongly assumed the announced Dual-Motor and Standard battery pack would provide configurations that would deliver price points similar to your original configuration. While this was the logic, it was wrong and we broke your trust in Rivian.

We also didn’t manage communications well. We didn’t give you enough insight into what was driving these decisions. The most important aspect of what we are building is our relationship with all of you. As we demonstrated earlier this week, trust is hard to build and easy to break. In speaking with many of you over the last two days, I fully realize and acknowledge how upset many of you felt. I have made a lot of mistakes since starting Rivian more than 12 years ago, but this one has been the most painful. I am truly sorry and committed to rebuilding your trust.

One of the things we talk about a lot internally is that we will make mistakes – it’s part of building something complex. The key is to learn from them and address them when they are made. It is how we grow. We made a mistake in how we approached our pricing changes, and what is important now is that we fix it.

For anyone with a Rivian preorder as of the March 1 pricing announcement, your original configured price will be honored. If you canceled your preorder on or after March 1 and would like to reinstate it, we will restore your original configuration, pricing and delivery timing. Our team will be sending an email in the next few days with more details.

Regarding our updated pricing for future preorders, the introduction of our Dual-Motor configuration and Standard battery pack has been designed to enable us to maintain lower starting prices while adjusting the pricing of the Quad-Motor and larger battery packs to reflect rising costs. Building a durable business is core to the continued impact we can deliver as a company. We are focused on building a brand and products that will continue to scale to different vehicle sizes, use cases, price points and markets – this growth will only be possible with your support and continued feedback.

Thank you for the personal notes and discussions I had with so many of you. Your feedback makes us better.

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RJ”

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla ruined other cars for me: one year Model Y ownership review

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Credit: Joey Klender

I picked up my Tesla Model Y one year ago, on August 30, and for roughly a year, I have had this vehicle prove to me that any other carmaker’s product is ruined for me forever.

One year and over 16,000 miles later, the Tesla Model Y is easily the best car I’ve ever had. Of course, everyone always says that about the car they currently drive, but for the longest time, I truly believed some of the other cars I drove — my 1998 Volkswagen Jetta K2, or my 2008 Ford Escape Hybrid — would never be topped.

Most of this was due to nostalgia, but dependability also played a role.

My Tesla has taken over the number one spot. Everyone I talk to about my car always has a lot of questions, and they’re usually the same ones that someone else asked me: “Is it really so cheap to drive?” “How much does it cost to charge?” “Does it really drive itself?” “How long is the warranty on your battery?”

I never mind answering those questions because it is an opportunity to educate someone on EVs. There are a lot of things about EVs that I hear from people, and I can’t help but chuckle at times. However, I hope this review clears some of those things up, because I truly want everyone to know how great this vehicle really is.

How my Tesla has changed my life

I was in two car accidents in high school, and I was a passenger in both. I am very happy I went through those as a teenager, because if I didn’t, I think I’d probably be much less aware of the road, how other drivers are so unbelievably unaware of others, and how inconsiderate most drivers are.

I’ve always considered myself a good driver because I was always taught to be defensive. Because of those two accidents, I am a tad jumpy in passenger seats, even with people like my parents, who drove me around for 16 years before I got my Learner’s Permit. On a drive home from Florida to Pennsylvania with my Dad two years ago, he actually told me at one point to “stop being so jumpy.”

Truth is, I trust my Dad behind the wheel more than anyone. But the older I’ve gotten, the more I just prefer to drive myself.

That is, until I met my Tesla and Full Self-Driving. I still remember the first drive I took after taking delivery: I immediately typed in my Fiancèe’s (my wife in 30 days!!!) favorite lunch spot, picked up her favorite meal, and pulled into the hospital where she delivers babies. I can remember thinking after 15 minutes, “Okay, that’s enough for me; I’ll drive manually now.”

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Over the next 2-3 weeks, that length of time slowly but steadily increased. Every passing week, I got a tad more comfortable with the car driving me. Now, I have had FSD log 75% of my 13,000 miles since v14. I barely drive my car manually, and that’s exactly how I like it.

My Tesla has changed the way I drive and how I choose to travel.

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In the past, I was always one of those anxious drivers, overly concerned about the parking situation, never wanting to drive in cities, and avoiding anything that made me a little uncomfortable when on the road. FSD has changed that completely.

It has made traveling fun, driving less stressful, and parking a non-issue. I truly love this car and what it has done for me and my driving anxiety.

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Maintenance and Cost Savings

A buddy of mine who took delivery of a Model Y right after me, also his first EV, texted me yesterday and said, “When do I take this thing for service? I don’t even know what it needs.”

This year I have spent $67.41 on service for my car:

  • Free Front Camera Housing Cleaning
  • $65 for a Tire Rotation at home from Tesla (easily avoidable if I just would have gone to a tire place or did it myself, but it was less than 20 degrees outside and the Service Tech did it at 7 am while I was asleep)
  • $2.41 on a jug of Windshield Washer Fluid at Sheetz with my reward points

No spark plugs, no oil changes, no anything. Combine it with what you save on charging at home, and my ownership experience overall has been relatively cheap. I pay no more than I did for my Bronco for the car payment (around $400 per month), and my insurance went up about $60, but within the first four months I was given a safe driving discount by my agent. This brought it to about a $40 increase.

Now let’s factor in what I’ve saved in gas for the year:

According to my Charge Stats in the Tesla App, I’ve saved $836 over the course of the year by driving a Tesla over an ICE vehicle. If you look at the graph, you’ll notice my Supercharger utilization dropped significantly in April, which makes sense.

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This is when I started charging at home. Those savings would likely be closer to $1,500 if I had been charging at home all along.

Real-World Range

I never reset any Trip on my Tesla when I bought it, so all of these efficiency stats are for the life of the vehicle thus far through 16,063 miles.

My Tesla has a lifetime average of 260.1 Wh/mi (watt-hours per mile), which equates to 3.84 mi/kWh (miles per kilowatt-hour). This is pretty average, and I know I could be more efficient, but I use climate control liberally (it’s always on, even if the windows are down), and I love to let FSD drive me around in Hurry Mode.

Even when I’m driving manually, it’s because I’m on a dry, windy road and I want to take advantage of the awesome suspension and damping that the Model offers. Driving that car on a back road with some twists is one of the most fun things to do.

To achieve really excellent range and efficiency ratings, you really have to be more conservative with some things, and those are sacrifices I’m personally not willing to make. I want the A/C or Heat on, and I occasionally will increase drag by driving with the windows down.

I prefer Hurry mode on FSD, and I’m willing to sacrifice a few miles of range for that certain style of driving.

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Interior, Visibility, Accessories, and More

My Favorite Interior Ever

The Model Y interior, like every Tesla interior, is not for everyone. Personally, I was never a fan of the minimalistic approach prior to ownership. As ridiculous as it is, I liked a simple knob for adjusting the temperature and fan speed. Even so, to this day, it takes me longer to pull up the climate settings to adjust things in my Tesla than it ever did in cars with a million knobs and buttons.

I can’t tell you how many times my finger has missed the On/Off button on the climate screen in the Model Y because of dips, bumps, turns, and just normal movement during operation. Do I like the way things are controlled in my Tesla? Yes, of course. Plus, Grok is so integrated into the car now that I could truly never have to touch the screen again for anything other than starting Self-Driving.

However, I still find that there are valid arguments for people who like knobs and buttons. As ugly as it might be to me now, I think it is a tad more intuitive because it’s much harder to miss and much easier to make a quick adjustment than with a touchscreen.

With that being said, the touchscreen is great. It is so responsive and is as good as using an iPhone. There is no delay like most automotive touchscreens, where it feels sort of clunky for 2026.

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I love to watch TV and Movies or YouTube on it when I’m parked anywhere. My Fiancèe and I have made it a date night several times over the past year: we’ll pick a spot to eat, get it to go, and enjoy it in the car while watching something. It’s great in the Fall when the leaves are turning orange.

The interior is, overall, a great part of the car. It’s very easy to keep clean, and when it’s clean, it truly feels like you’re in a spacecraft. It is one of the coolest interiors out there, maybe not as luxurious as some high-end Mercedes-Benz or BMW models, but it has a clean and simple feel that is better than many cars in its weight class.

I will say I do miss the Textile seats of the Model Y Standard, but I do not miss them when I am hot. I would still take the Vegan Leather because of the ventilated seats.

Rear Window Visibility is Pointless

If you like a rear windshield, just be aware of the fact that the Model Y basically does not have one. It almost feels pointless to be there, and the Model Y L has something that is much more “standard” in terms of rear windshields in a crossover/SUV:

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It doesn’t mean much to me because the rear camera is great. However, I have found myself just annoyed with the fact that it’s even there to begin with.

Accessories I Bought

I went for 3D MaxPider car mats throughout, some center console storage, trunk storage, and matching window tint on the front windows. I also bought Tesla’s Pet Liner, which is great because it comes with door coverage and a bit of a barrier. My pup, Finn, climbs right over it and prefers the front seat, so I fold it in half, and it still covers the passenger seat very well:

They’re all pretty standard accessories, but the one thing I use the most is actually this phone mount from Amazon.

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It’s great for making FSD content for TikTok or throwing my phone on it just to hold. I never use it to watch anything (I’m wildly against that concept), and I usually use the wireless charging mat that comes standard. It is really great and convenient, and the magnet is super strong.

Cabin Noise, Sound System Quality

The Model Y Premium comes with acoustic-lined glass, which really dampens a lot of the road noise. My car has one of the quieter cabins I’ve ever been in. I can still remember my 2008 Escape Hybrid and how loud it was in there; I thought my Tesla would be that way, but boy was I wrong.

It is such a peaceful ride that even sitting at stoplights behind loud, obnoxious Hondas with shopping cart handles as spoilers does not bother me. A buddy of mine in a 2021 Model Y said upon his first ride in my car that it was a “night and day” difference between the two.

As far as the sound system goes, two of the more outgoing people in my life who love loud music and concerts recently said to me that “the Tesla is quite a time” because of how immersive the listening experience is. The bass is excellent; the ambient lighting truly rounds out the experience.

Even my Dad, who is somewhat of a speaker snob (I can remember going to Tweeter as a boy with him to look at receivers, and he’s always had massive speakers in the house for cranking up some music) has commented on how good the sound quality is. I remember when I bought a Honda Civic a few years ago- his first ride in it- he said, “Damn, the speakers in here suck.”

He wasn’t wrong. They were awful. But in the Tesla, they’re damn good.

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Should you buy a Model Y?

Look, I will recommend this car to anyone who asks. I tell my friends constantly that I love my Model Y so much, especially because it just gets better and better over time.

But I also understand the skepticism. I’ll admit one of the most disappointing things about this car is how much range I lose in the winter. In a 40-mile round-trip drive to get wings with some friends in January, I lost 120 miles of range. This is something that would not deter me from buying this car, but at the time, I also didn’t have home charging. Ownership, at that point, was a bit of a pain in the butt.

The thing is, to me, it’s still better than driving a gas car. I just have more fun in a Tesla.

A friend of mine recently bought a new car, and she said she went with a Chevy Equinox because it was a larger vehicle and she has a child. I told her, “I don’t think I’ll ever buy anything other than a Tesla. Once you go Tesla, you never go back.”

“I cannot afford a Tesla,” she said. We all know the ridiculous narrative around Tesla pricing by now, and after she found out how much I pay for my car and the fact that it has the IIHS Top Safety Pick+ rating, she admitted she probably would have done the same if she had known. I wish she would have asked.

The only car I would take over mine is the Cybertruck. And right now, I just can’t afford a Cybertruck, so I’ll stick with the Model Y. I am so satisfied with my pick, and I would buy this car time and time again.

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Elon Musk rips ABC News over fatal NYC Tesla crash report

Musk pushed back on NYC Tesla crash coverage, pointing to a pattern of premature blame.

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Elon Musk pushed back overnight against media framing of a fatal Tesla crash in Midtown Manhattan, telling a user on X that “it wasn’t the car” and that the vehicle’s Autopilot system had nothing to do with the wreck.

The crash happened just before 3 a.m. Wednesday, when a 2024 Tesla Model Y struck a sidewalk shed outside 315 Madison Ave., a bus stop pole and a mailbox on East 42nd Street, according to the NYPD. The car kept moving several more blocks before stopping near Second Avenue. Both women inside, each 27, were taken to Bellevue Hospital, where the passenger was pronounced dead. The driver was charged with vehicular manslaughter, driving while ability impaired and leaving the scene of an accident.

Police have not attributed the crash to Autopilot or Full Self-Driving in any public statement. The charges point to impairment, not software. Musk’s response followed a since-deleted ABC News post that he said mischaracterized the incident. Replying to a user on X, Musk wrote that if Autopilot had been engaged, “they would not have crashed,” and added that “the legacy media will never forgive Tesla for failing to advertise with them,”

It’s a familiar cycle for Tesla. In June, headlines from several national outlets described a fatal crash in Katy, Texas, as happening while the car was “on autopilot,” based on the driver’s own account to police after his Model 3 struck a home and killed a 76-year-old woman. Tesla’s data told a different story when Ashok Elluswamy, Tesla’s head of AI, said the driver had pressed the accelerator to 100% and reached 73 mph in a residential zone. Harris County prosecutors later confirmed the human override and the driver was charged with manslaughter.

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Florida Gov. Ron DeSantis pointed to that same Katy crash last month to argue that outlets routinely name Tesla in crash headlines while leaving other automakers unnamed, even after a driver’s own actions are shown to be the cause. A similar pattern played out in 2024, when Musk had to clarify that FSD was never even downloaded onto the Model 3 involved in a fatal Colorado DUI crash, despite a passenger’s claim that an “auto drive feature” was in use.

Tesla has not issued a separate statement on the Manhattan crash beyond Musk’s posts on X. The NYPD’s investigation is ongoing, and no cause for the driver losing control has been released.

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Tesla’s two defunct flagship models are getting a big upgrade

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Tesla’s two recently-defunct flagship models, the Model S and Model X, are getting a big upgrade, according to the company’s Head of AI, Ashok Elluswamy.

Older Hardware 3 Model S and Model X vehicles have been the last major holdouts in Tesla’s Full Self-Driving v14 Lite rollout, and that wait now appears to be ending.

Tesla brings closure to flagship ‘sentimental’ models, Musk confirms

At Tesla’s Cybercab launch, AI chief Ashok Elluswamy told Ryan McCaffrey that he thought the S and X build “was supposed to go out last week.” Evidently, Elluswamy expects the suite to be rolled out to those HW3 Model S and Model X very soon:

Those cars are not the current Model S and Model X, which already ship with Hardware 4. They are the pre-refresh flagships built around Tesla’s older Autopilot computer, often called HW3 or AI3.

Tesla stopped putting that computer in new vehicles years ago, which is why owners treat these S and X cars as a closed generation. Model 3 and Model Y vehicles on the same computer began receiving v14 Lite in late June 2026 and saw a wider North American expansion in July. South Korea followed as an early international market. The S and X versions of the same software never joined that wave.

v14 Lite is Tesla’s way of squeezing the current v14 driving stack onto hardware that cannot run the full AI 4 model. The company describes the process as distillation: behaviors learned on the newer computer, including reinforcement learning and offline models, are compressed so the older chip and cameras can use them as a guide.

Early descriptions put the distilled network at roughly 15 percent of the original size. The result is still supervised Level 2 driving. Tesla has been clear that HW3 cannot support unsupervised Full Self-Driving or robotaxi operation because of memory and bandwidth limits.

The feature list is what made the wait so frustrating for S and X owners, as plenty of new features are to be shipped with it.

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Official notes for the first Lite build, firmware 2026.20.5.1, added parking, unparking, and reversing; arrival options for a parking lot, street, driveway, or curbside; speed profiles that stay available at all times; and start-from-park engagement. Tesla also claimed better handling of merges, forks, pedestrians, traffic lights, and cut-ins, plus fewer false slowdowns and smoother lane centering.

A mid-July follow-on build, 2026.20.6.10, added more of the Hardware 4 interface, including a standalone Self-Driving app and the ability to start a trip from Park without a brake-pedal confirmation.

Elluswamy called that version the one “likely going to wide release.”

That wide release already reached most other HW3 cars in the United States and Canada. International timing still depends on regional validation and regulatory approval. For S and X owners, the remaining work appears to be model-specific validation rather than a new software stack.

There is no official Tesla changelog or build number for those two models yet, only Elluswamy’s offhand timeline. Some HW3 drivers who already have Lite report large gains over v12.6; others have described new indecision or phantom braking. The next test will be whether the same software lands cleanly on the older flagships that have waited the longest.

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