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Tesla China VP breaks down Supercharging vs. Battery Swap debate
Tesla China’s Vice President of External Affairs Grace Tao broke down the advantages of Supercharging over battery swapping. Tao showed why Tesla had chosen a Supercharging network instead of battery swapping, which the automaker attempted several years ago.
“Recently, many friends are paying attention to whether Tesla will start the battery swap business. Thank you very much for your concern. As early as 2013, Tesla tried battery swap,” Tao said. “The battery swap mode is currently a good recharge mode in some specific areas such as taxis or buses, but we have always believed that the charging mode is the best for large-scale civilian electric vehicles. The way to supplement energy.”
Tao’s response could be coming from a report from Tianyancha from late February, where the media outlet reported that Tesla was adding a “new energy vehicle battery swap facility” in Shanghai, where its Chinese production plant is located. Tesla reps told the Beijing Business Daily (via BBT News) that the company would not be performing battery swaps. It would continue to use its Supercharging network across all of its vehicles for recharging. “Tesla will not change the battery,” the rep said, after indicating that swapping isn’t suitable for widespread use, nor was it effective as it was “riddled with problems,” according to Shine.
Tesla denies reports that it will use battery swapping techniques
Tao’s posting seems to portray the same message, showing that Tesla’s strategy for charging is to appeal to widespread use, for which Supercharging is more ideal. She used an analogy with Smartphones to further portray the advantage.
Tao added (via Weibo):
“You might recall that ten years ago, many electronic products we used removable batteries, and a mobile phone required two batteries. Nowadays, most electronic products such as mobile phones and computers have become integrated built-in batteries, and the way of supplementing energy has also changed from replacing batteries to high-power fast charging…Constantly increasing the layout of charging piles and improving charging efficiency at the same time, we think this is the best solution to users’ anxiety about charging…The national standard charging interface is consistent, which will greatly improve the efficiency of charging. Tesla’s latest V3 overcharge technology can replenish up to 250 kilometers of battery life within 15 minutes, and the time for a cup of coffee has basically met the electricity demand of a week in the city for commuting.”
Tesla last entertained the idea of battery swaps in 2015. A 2013 presentation by Elon Musk showed that battery swaps would be an ideal way to provide drivers with a full charge in virtually no time. The presentation by Musk showed a battery swap for a Tesla Model S would take less time than filling up an Audi A8 at a gas station, as the swap took only three minutes. Swapping, however, would require owners to pay fees, while Supercharging remained free.
The Harris Ranch Battery Swap Station in Coalinga, California, was Tesla’s first attempt at battery swaps. Despite the high demand for the service as reservations were highly concentrated, it also ended up being the only attempt thus far, as the station shut down in 2015. “Presently, the Battery Swap Program is not accepting any new requests for appointments,” Tesla said.
Tesla’s Supercharging initiative has accumulated 20,000 active Superchargers globally, with a brand new production facility recently opening up in China to handle growing demand in the region.
Elon Musk
Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story
Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.
Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.
🚨 Our LIVE updates on the Tesla Earnings Call will take place here in a thread 🧵
Follow along below: pic.twitter.com/hzJeBitzJU
— TESLARATI (@Teslarati) April 22, 2026
The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.
The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.
For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.
Elon Musk
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Tesla’s Optimus factory in Texas targets 10 million robots yearly, with 5.2 million square feet under construction.
Tesla’s Q1 2026 Update Letter, released today, confirms that first generation Optimus production lines are now well underway at its Fremont, California factory, with a pilot line targeting one million robots per year to start. Of bigger note is a shared aerial image of a large piece of land adjacent to Gigafactory Texas, that Tesla has prominently labeled “Optimus factory site preparation.”
Permit documents show Tesla is seeking to add over 5.2 million square feet of new building space to the Giga Texas North Campus by the end of 2026, at an estimated construction investment of $5 billion to $10 billion. The longer term production target for that facility is 10 million Optimus units per year. Giga Texas already sits on 2,500 acres with over 10 million square feet of existing factory floor, and the North Campus expansion is being built to support multiple projects, including the dedicated Optimus factory, the Terafab chip fabrication facility (a joint Tesla/SpaceX/xAI venture), a Cybercab test track, road infrastructure, and supporting facilities.
Credit: TESLA
Texas makes strategic sense beyond the existing infrastructure. The state’s tax structure, lower labor costs relative to California, and the proximity to Tesla’s AI training cluster Cortex 1 and 2, both located at Giga Texas and now totaling over 230,000 H100 equivalent GPUs, means the Optimus software stack and the factory producing the hardware will share the same campus. Tesla’s Q1 report also confirmed completion of the AI5 chip tape out in April, the inference processor designed specifically to power Optimus units in the field.
As Teslarati reported, the Texas facility is intended to house Optimus V4 production at full scale. Musk told the World Economic Forum in January that Tesla plans to sell Optimus to the public by end of 2027 at a price between $20,000 and $30,000, stating, “I think everyone on earth is going to have one and want one.” He has previously pegged long term demand for general purpose humanoid robots at over 20 billion units globally, citing both consumer and industrial use cases.
Tesla (NASDAQ: TSLA) reported its earnings for the first quarter of 2026 on Wednesday afternoon. Here’s what the company reported compared to what Wall Street analysts expected.
The earnings results come after Tesla reported a miss on vehicle deliveries for the first quarter, delivering 358,023 vehicles and building 408,386 cars during the three-month span.
As Tesla transitions more toward AI and sees itself as less of a car company, expectations for deliveries will begin to become less of a central point in the consensus of how the quarter is perceived.
Nevertheless, Tesla is leaning on its strong foundation as a car company to carry forward its AI ambitions. The first quarter is a good ground layer for the rest of the year.
Tesla Q1 2026 Earnings Results
Tesla’s Earnings Results are as follows:
- Non-GAAP EPS – $0.41 Reported vs. $0.36 Expected
- Revenues – $22.387 billion vs. $22.35 billion Expected
- Free Cash Flow – $1.444 billion
- Profit – $4.72 billion
Tesla beat analyst expectations, so it will be interesting to see how the stock responds. IN the past, we’ve seen Tesla beat analyst expectations considerably, followed by a sharp drop in stock price.
On the same token, we’ve seen Tesla miss and the stock price go up the following trading session.
Tesla will hold its Q1 2026 Earnings Call in about 90 minutes at 5:30 p.m. on the East Coast. Remarks will be made by CEO Elon Musk and other executives, who will shed some light on the investor questions that we covered earlier this week.
You can stream it below. Additionally, we will be doing our Live Blog on X and Facebook.
Q1 2026 Earnings Call at 4:30pm CT https://t.co/pkYIaGJ32y
— Tesla (@Tesla) April 22, 2026
Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
