News
Rivian backtracks price increase on all R1T, R1S preorders before March 1
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.
Price of my @Rivian Truck just went up $10k. As a day one preorder holder this feels suuuuper bait and switchy. Not a fan.
The tone of my video would have changed if I had known it was a $100,000 dollar truck. Extra zeros matter.
— JerryRigEverything (@ZacksJerryRig) March 2, 2022
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.
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.”
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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.
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.
RJ”
Elon Musk
Tesla Optimus Gen 3 is coming to the Tesla Diner with new ambitions
Tesla’s Optimus robot left the Hollywood Diner within months of opening. Now Musk is planning its return with a bigger role and a major Gen 3 upgrade underway.
![Tesla Optimus Gen 3 [Credit: Tesla]](https://www.teslarati.com/wp-content/uploads/2026/03/tesla-optimus-gen3-diner.jpg)
Tesla’s Optimus robot was one of the most talked-about features when the Tesla Diner opened on Santa Monica Boulevard in Hollywood on July 21, 2025. Dubbed “Poptimus” by Tesla fans, the Gen 2 robot stood upstairs at the retro-futuristic, drive-in theater and Tesla Supercharging station, scooping popcorn into bags and handing them to guests with a wave.
The diner itself had been years in the making. Elon Musk first floated the idea in 2018 with a tweet about building an “old-school drive-in, roller skates & rock restaurant” at a Hollywood Supercharger. What eventually opened was a unique two-story neon-lit space, with 80 EV charging stalls, and Optimus serving as a live demonstration of where Tesla’s ambitions were headed.
If our retro-futuristic diner turns out well, which I think it will, @Tesla will establish these in major cities around the world, as well as at Supercharger sites on long distance routes.
An island of good food, good vibes & entertainment, all while Supercharging! https://t.co/zmbv6GfqKf
— Elon Musk (@elonmusk) July 21, 2025
But Optimus did not stay long, and was gone by December 2025.
Now, the robot is set to return with a more demanding job. Musk has ambitions for Optimus to take on a food runner role in 2026, delivering meals directly to cars at the Supercharger stalls. While the latest Gen 3 Optimus is likely to initially take on its previous popcorn-serving role, it wouldn’t be out of the question for Optimus to see a quick promotion. With improved hand dexterity that features 50 total actuators and 22 degrees of freedom per hand, and significantly more powerful processing through Tesla’s latest AI5 chip that includes Grok-powered voice interaction, Musk described Optimus at the Abundance Summit on March 12, 2026, as “by far the most advanced robot in the world, Nothing’s even close.”
Back to work
See you at Tesla Diner tomorrow pic.twitter.com/H3tTajrUbu
— Tesla Optimus (@Tesla_Optimus) March 30, 2026
That confidence is backed by a major manufacturing shift. At the Q4 2025 earnings call in January, Musk announced Tesla would discontinue the Model S and Model X and convert those Fremont production lines to build Optimus. “It’s time to basically bring the Model S and X programs to an end,” he said, calling for a pivot that reflects where the Tesla’s future lies.
Elon Musk
Musk forces Judge’s exit from shareholder battles over viral social media slip-up
McCormick insisted in a court filing that she harbors no actual bias against Musk or the defendants. She claimed she either never clicked the “support” button, LinkedIn’s version of a “like,” or did so accidentally.
Many Tesla fans are familiar with the name Kathaleen McCormick, especially if they are investors in the company.
McCormick is a Delaware Chancery Court Judge who presided over Tesla CEO Elon Musk’s pay package lawsuit over the past few years, as well as his purchase of Twitter. However, she will no longer be sitting in on any issues related to Musk.
Elon Musk demands Delaware Judge recuse herself after ‘support’ post celebrating $2B court loss
In a rare admission of potential optics issues in one of America’s most powerful corporate courts, Delaware Chancery Court Chancellor Kathaleen McCormick stepped aside Monday from a cluster of shareholder lawsuits targeting Elon Musk and Tesla’s board.
The move came just days after Musk’s legal team highlighted her apparent “support” on LinkedIn for a post that mocked the billionaire over his 2022 tweets about the $44 billion Twitter acquisition.
McCormick insisted in a court filing that she harbors no actual bias against Musk or the defendants. She claimed she either never clicked the “support” button, LinkedIn’s version of a “like,” or did so accidentally.
She wrote in a newly published memo from the Delaware Chancery Court:
“The motion for recusal rests on a false premise — that I support a LinkedIn post about Mr. Musk, which I do not in fact support. I am not biased against the defendants in these actions.”
Yet she granted the reassignment anyway, acknowledging that the intense media scrutiny surrounding her involvement had become “detrimental to the administration of justice.”
The consolidated cases will now be handled by three of her colleagues on the Delaware Court of Chancery, the nation’s go-to venue for high-stakes corporate disputes. The lawsuits accuse Musk and Tesla directors of breaching fiduciary duties through lavish executive compensation and lax governance oversight.
One prominent claim, filed by a Detroit pension fund, challenges massive stock awards granted to board members, alleging the payouts harmed the company. The litigation also overlaps with issues stemming from Musk’s turbulent 2022 Twitter purchase.
McCormick’s history with Musk made her a lightning rod. In 2022, she presided over the fast-tracked lawsuit that ultimately forced Musk to complete the Twitter deal after he tried to back out.
Then in 2024, she struck down his record $56 billion Tesla compensation package, ruling the approval process was flawed and overly CEO-friendly. The Delaware Supreme Court later reinstated the pay on technical grounds, but the ruling fueled Musk’s long-standing criticism of the state’s judiciary.
Musk has repeatedly urged companies to reincorporate elsewhere, arguing Delaware courts have grown hostile to visionary leaders. Monday’s recusal hands him a symbolic victory and underscores how personal social-media activity can collide with judicial impartiality standards.
Delaware law requires judges to step aside if there’s even a “reasonable basis” to question their neutrality.
Court watchers say the episode highlights growing tensions in corporate America’s legal epicenter. While McCormick maintained her impartiality, the appearance of bias proved too costly to ignore. The cases will proceed without her, but the broader debate over Delaware’s dominance in business litigation is far from over.
Elon Musk
Elon Musk has generous TSA offer denied by the White House: here’s why
Musk stepped in on March 21 via a post on X, writing: “I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country.”
Tesla and SpaceX CEO Elon Musk made a generous offer to pay the salaries of Transportation Security Administration (TSA) employees last week, but the offer was denied by the White House.
In a striking display of private-sector initiative clashing with federal bureaucracy, the White House has turned down an offer from Elon Musk to personally cover the salaries of TSA officers amid an ongoing partial government shutdown. The rejection, reported last Wednesday by multiple outlets, highlights the legal and political hurdles facing unconventional solutions to Washington’s funding gridlock.
The impasse began weeks ago when Congress failed to pass funding for the Department of Homeland Security (DHS), leaving TSA employees, essential workers who screen millions of travelers daily, without paychecks while still required to report for duty.
Frustrated travelers have endured record-long security lines at major airports, with reports of chaos and delays rippling across the country.
Musk stepped in on March 21 via a post on X, writing: “I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country.”
I would like to offer to pay the salaries of TSA personnel during this funding impasse that is negatively affecting the lives of so many Americans at airports throughout the country
— Elon Musk (@elonmusk) March 21, 2026
But it was not for no reason.
White House spokesperson Abigail Jackson responded on behalf of the Trump administration, expressing appreciation for Musk’s gesture.
However, the legal obstacles, which would be insurmountable, would inhibit Musk from doing so. Jackson said:
“We greatly appreciate Elon’s generous offer. This would pose great legal challenges due to his involvement with federal government contracts.”
Musk’s companies hold significant federal contracts, including NASA launches through SpaceX and potential Defense Department work, raising concerns about conflicts of interest, ethics rules, and anti-bribery statutes that prohibit private payments to government employees. Administration officials also indicated they expect the shutdown to end soon, making external funding unnecessary.
The episode underscores deeper tensions in Washington. Musk, who has advised on government efficiency efforts and maintains a close relationship with President Trump, has frequently criticized wasteful spending and bureaucratic delays.
His offer came as airport security lines ballooned, drawing public frustration toward both parties. TSA officers, many of whom rely on paychecks to cover mortgages and family expenses, have continued working without compensation, a situation that has drawn bipartisan concern but little immediate resolution.
Critics of the rejection argue it prioritizes red tape over practical relief for frontline workers and travelers. Supporters of the White House position counter that allowing private funding sets a dangerous precedent and could undermine congressional authority over the budget.
The White House eventually came to terms with the TSA on Friday and started paying them once again, and lines at airports instantly shrank. The Department of Homeland Security (DHS) said that TSA staf would begin receiving paychecks “as early as” today.
![Tesla Optimus Gen 3 [Credit: Tesla]](https://www.teslarati.com/wp-content/uploads/2026/03/tesla-optimus-gen3-diner-80x80.jpg)
Tesla Optimus Gen 3 is coming to the Tesla Diner with new ambitions
Musk forces Judge’s exit from shareholder battles over viral social media slip-up
Elon Musk has generous TSA offer denied by the White House: here’s why
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
