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Stop worrying about Tesla Supercharger congestion, it will be alright

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Tesla Supercharger in Antwerp-Aartselaar, Belgium

If you’ve ever heard the phrase “a solution looking for a problem” then you’ll completely understand what I’m about to say. While I’m at it with catchphrases, Tesla seems to be a living, breathing double-edged sword. When it comes to giving us details, they are “damned if they do, damned if they don’t.”

By now, we all know the Model 3 is going to be huge. We also know that Model S and X vehicles with Supercharging enabled can enjoy “free long distance travel,” which we understand to mean “free for life.”  The not so subtle elephant in the room is that free could lead to abuse, which could lead to lines and waiting for Supercharger use. I’ve already discussed what I think is step 1, which is educating folks on some Supercharging best practices they can do to be mindful of our shared asset. I’ve also discussed things Tesla themselves could do to alleviate potential congestion at Supercharger locations.

Here’s my disclaimer: This is a solution looking for a problem! Model 3 is more than a year away and despite what you may hear, MOST superchargers have one or more stalls available MOST of the time. Long waits and lines only plague select locations, and even then, only occur on very few occasions. While I’m no record-holding Supercharger pro I’ve only ever seen an 8-stall location full once. It was Hamilton, NJ and it was before the addition of two Superchargers on the nearby New Jersey Turnpike. I’ve also only ever known of one location to be constantly busy. It was the Newark, DE location, which has recently been upgraded from 4 to 12 stalls. So again, I don’t think this is a problem right now. I don’t even think it will be much a problem when Model 3 hits the streets. Tesla builds new chargers all the time and has committed to both distance and density. They know, more than anyone, which locations are busy and which aren’t. I trust they will plan accordingly.

You will be OK

But since folks love to debate every word – or lack thereof – that Tesla says, let’s have at it. Let’s pretend that the big bad wolf will come to the charger and blow it down just because it’s free and unrestricted once you incur an up-front cost. Let’s further pretend that Tesla considers the idea of a pay per use model of charging. I’ll repeat this later but for the record, I don’t think they’ll do anything like this. Not now, not ever.

  • Pay Per Use – kWh. This is a common and seemingly simple idea. You don’t need $2,000 worth of electricity, you only need a few bucks worth a few times a year. You don’t want to pay up front for all the phantom local moochers that you suspect will abuse an unrestricted system. The cars are smart, they can tell how much you’ve used per charging session so it appears they can charge you for it on the basis of that. Maybe you don’t even care if there is a huge markup on the electricity. It’s a win for everyone in that case, because it’s still cheaper than gas. Even if it wasn’t, it’s worth it to take a car as great as a Tesla on a road trip. Plus almost all of your charging is done at home where it’s way cheaper than gas. Fine, points taken. Except, there’s a “but.” But selling electricity is complicated. The United States is complicated! Here, we have 50 states and plenty of lines between them. They get to set their own laws and rules and tax rates. Cities and towns do too. If you thought that gaining approval to build a supercharger was a challenge, imagine trying to become an energy supplier in every municipality as well. This alone is enough to rule out the idea of charging per kWh. Add that in with having to handle point of sale transactions and you’ve completely changed how Tesla must operate. It already takes quite a bit of effort to build out this network, and there is no reason to make it harder. (Let’s pretend that’s why no other automakers have done it.)

Tesla builds new chargers all the time and has committed to both distance and density

  • Pay Per Use – Time. There’s a pretty clear precedent for selling time at almost any major municipality on earth: paid parking. In theory, it would result in very few people charging past 90%; that point where your electrons slow drastically and you’d get a lot less bang for your buck. This speaks perfectly to the concept of battling lines with quick turnover. Except, nope. Tesla, in my opinion, won’t be willing or interested in the hassle of point of sale purchases. They’d have to figure out an appropriate price, which I imagine would vary by location. They’d have to employ people to figure out the tax rules and rates for each country, state and city. They’ve have to work with various credit card companies and be able to accept multiple forms of payment. They may even need to carry certain types of liability insurance for providing paid parking. Tesla is in the business of advancing sustainable transport by, primarily, making compelling electric vehicles. Anything else is just noise and takes away brainpower from doing other great things.
  • Pay Per Use – Day. Tesla is amazing and has done plenty of things no other company has done before. They continue to surprise us and have stayed alive despite many assumptions that they’d never make it this far. So I’ll humor you, dear reader, and assume they are willing and able to take on the challenges of point of sales purchases. Game on! Rather than selling time or electricity, Tesla can simply sell access to software. Most Teslas on the road, and all that will soon be on the road, will have the hardware required for supercharging. They can undoubtedly figure out how to program an option in your touchscreen (or simpler still, an automated telephone line) that allows you to opt into supercharging access for a day, at a price. They’ve already given away free trials of Autopilot, so we already know opening up software for a limited time is possible. Shoot, maybe they can even get some PR out of it. “Free supercharging on your birthday!” or “Merry Christmas, here’s a free day!” These things sound great, but I still have an objection. Tesla needs money to build more chargers. End of story.

This isn’t about paying for what you use, this is about paying for the building of a network. There will always be owners who use far less electricity from Superchargers than their initial cost would have bought in kilowatt hours. There will also always be some owners who use more. Where I live, property taxes are required whether you send kids to public school or not. We’re all paying for a system.

Which is why – and here’s my promised repeat – I don’t think Tesla will ever adopt a pay per use model for Supercharging. They’ll continue their commitment to density and distance, they’ll continue to monitor busy locations and they’ll continue to keep their eye on the prize. Because remember, the hopefully inevitable adoption of sustainable transport means someone, somewhere, will start building a whole lot more electric car charging stations.

Feature photo of the Tesla Supercharger in Antwerp-Aartselaar, Belgium courtesy of ldubois_BE 

"I'm Electric Jen

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Cybertruck

Tesla analyst claims another vehicle, not Model S and X, should be discontinued

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Credit: Tesla

Tesla analyst Gary Black of The Future Fund claims that the company is making a big mistake getting rid of the Model S and Model X. Instead, he believes another vehicle within the company’s lineup should be discontinued: the Cybertruck.

Black divested The Future Fund from all Tesla holdings last year, but he still covers the stock as an analyst as it falls in the technology and autonomy sectors, which he covers.

In a new comment on Thursday, Black said the Cybertruck should be the vehicle Tesla gets rid of due to the negatives it has drawn to the company.

The Cybertruck is also selling in an underwhelming fashion considering the production capacity Tesla has set aside for it. It’s worth noting it is still the best-selling electric pickup on the market, and it has outlasted other EV truck projects as other manufacturers are receding their efforts.

Black said:

IMHO it’s a mistake to keep Tesla Cybertruck which has negative brand equity and sold 10,000 units last year, and discontinue S/X which have strong repeat brand loyalty and together sold 30K units and are highly profitable. Why not discontinue CT and covert S/X to be fully autonomous?”

On Wednesday, CEO Elon Musk confirmed that Tesla planned to transition Model S and Model X production lines at the Fremont Factory to handle manufacturing efforts of the Optimus Gen 3 robot.

Musk said that it was time to wind down the S and X programs “with an honorable discharge,” also noting that the two cars are not major contributors to Tesla’s mission any longer, as its automotive division is more focused on autonomy, which will be handled by Model 3, Model Y, and Cybercab.

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Tesla begins Cybertruck deliveries in a new region for the first time

The news has drawn conflicting perspectives, with many Tesla fans upset about the decision, especially as it ends the production of the largest car in the company’s lineup. Tesla’s focus is on smaller ride-sharing vehicles, especially as the vast majority of rides consist of two or fewer passengers.

The S and X do not fit in these plans.

Nevertheless, the Cybertruck fits in Tesla’s future plans. Musk said the pickup will be needed for the transportation of local goods. Musk also said Cybertruck would be transitioned to an autonomous line.

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Elon Musk

SpaceX reportedly discussing merger with xAI ahead of blockbuster IPO

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Credit: SpaceX/X

In a groundbreaking new report from Reuters, SpaceX is reportedly discussing merger possibilities with xAI ahead of the space exploration company’s plans to IPO later this year, in what would be a blockbuster move.

The outlet said it would combine rockets and Starlink satellites, as well as the X social media platform and AI project Grok under one roof. The report cites “a person briefed on the matter and two recent company filings seen by Reuters.”

Musk, nor SpaceX or xAI, have commented on the report, so, as of now, it is unconfirmed.

With that being said, the proposed merger would bring shares of xAI in exchange for shares of SpaceX. Both companies were registered in Nevada to expedite the transaction, according to the report.

Tesla announces massive investment into xAI

On January 21, both entities were registered in Nevada. The report continues:

“One of them, a limited liability company, lists SpaceX ​and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”

The source also stated that some xAI executives could be given the option to receive cash in lieu of SpaceX stock. No agreement has been reached, nothing has been signed, and the timing and structure, as well as other important details, have not been finalized.

SpaceX is valued at $800 billion and is the most valuable privately held company, while xAI is valued at $230 billion as of November. SpaceX could be going public later this year, as Musk has said as recently as December that the company would offer its stock publicly.

SpaceX IPO is coming, CEO Elon Musk confirms

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The plans could help move along plans for large-scale data centers in space, something Musk has discussed on several occasions over the past few months.

At the World Economic Forum last week, Musk said:

“It’s a no-brainer for building solar-powered AI data centers in space, because as I mentioned, it’s also very cold in space. The net effect is that the lowest cost place to put AI will be space and that will be true within two to three years, three at the latest.”

He also said on X that “the most important thing in the next 3-4 years is data centers in space.”

If the report is true and the two companies end up coming together, it would not be the first time Musk’s companies have ended up coming together. He used Tesla stock to purchase SolarCity back in 2016. Last year, X became part of xAI in a share swap.

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Elon Musk

Tesla hits major milestone with Full Self-Driving subscriptions

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Credit: Ashok Elluswamy/X

Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.

Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.

This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.

In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.

Musk said on X:

“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”

The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.

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It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.

The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.

Tesla is shifting FSD to a subscription-only model, confirms Elon Musk

Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.

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