Tesla has a knack for not performing well in some reliability and dependability surveys, and the most recently released assessment from Consumer Reports continued that trend after the electric automaker finished 27th out of 28 total brands. The report comes just days after Tesla’s Model 3 and Model S claimed two of the top three spots on Consumer Reports’ list of most satisfying cars on the market.
Only Lincoln, a brand of legacy automaker Ford, finished below Tesla. The Model X was rated Tesla’s least reliable vehicle and received 5 out of 100 possible points.
Tesla’s four all-electric vehicles boast some of the best performance and technology on the market. Ask some of the world’s biggest non-profit organizations that handle the automotive sector, and they will regularly conclude Tesla is near the bottom of the barrel. This year’s Reliability Survey from Consumer Reports showed that only the Model 3 was rated with “average” reliability, the highest mark Tesla scored in the assessment. Tesla’s other three vehicles were considered “below average.”
Tesla trifecta dominates Consumer Reports’ list of most satisfying cars on the market
Consumer Reports says that it obtains its reliability data from the Auto Surveys sent to CR members every year. The organization received responses on over 300,000 vehicles this year, detailing information from model years 2000 to 2021. CR asks about reliability and satisfaction to obtain information regarding brands. On its website, Consumer Reports shows how it obtains its rankings for reliability:
“For reliability, we ask members to note any problems with their vehicles that occurred in the previous 12 months. They are asked to identify problems that they considered serious (because of cost, failure, safety, or downtime). We ask them to include problems covered by warranty, but not the ones resulting from accident damage or due solely to recall. Respondents check off problems from a list of trouble areas, ranging from the engine and transmission to climate system, brakes, electrical system, and power accessories. They also tell us in writing (verbatim) specifically what their experiences were to help us understand precisely what problems they are having.”
Interestingly, recent reports from Tesla owners have indicated that build quality has never been better. While customer service is a noted weak point of Tesla, the company still maintains relatively positive experiences with its service. Additionally, the lack of maintenance for an electric vehicle is significantly less. However, there are plenty of owners who are also members of CR that are indicating their cars are not super reliable.
The Model 3 obtained a score of 59 for its reliability rating. The Model S, Y, and X received 20,18, and 5, respectively.
The Model 3 was the only vehicle to score an “Average” rating in CR’s new Reliability Survey. (Credit: Tesla)
CR Director of Vehicle Testing Jake Fisher said that the Model X received incredibly low scores because of continuing issues with its falcon-wing doors. Additionally, The Model Y SUV has build quality issues, Fisher said, especially with “poorly fitting body panels, leaks, and issues with its climate control system,” he said to Reuters. Additionally, in typical CR fashion, the publication took a dig at Tesla’s Full Self-Driving feature, where Fisher said, “Full Self-Driving is not Full Self-Driving at all. It’s a convenience feature.”
Consumer Reports’ has regularly been highly critical of Tesla, so the survey results should be taken with some caution. Tesla has had a tumultuous relationship with the build quality of its vehicles, but has refined manufacturing processes in its facilities for years. CEO Elon Musk has stated that he is open to constructive criticism, and Tesla has used it to improve their vehicles’ quality.
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Tesla launched a new configuration of the Model Y this week, bringing more complexity to its lineup of the vehicle and adding a new, lower entry point for those who require an All-Wheel-Drive car.
However, the broadening of the Model Y lineup in the United States could signal a somewhat uncomfortable reality for Tesla fans and car buyers, who have been vocal about their desire for a larger, full-size SUV.
Tesla has essentially moved in the opposite direction through its closure of the Model X and its continuing expansion of a vehicle that fits the bill for many, but not all.
Tesla brings closure to Model Y moniker with launch of new trim level
While CEO Elon Musk has said that there is the potential for the Model Y L, a longer wheelbase configuration of the vehicle, to enter the U.S. market late this year, it is not a guarantee.
Instead, Tesla has prioritized the need to develop vehicles and trim levels that cater to the future rollout of the Robotaxi ride-hailing service and a fully autonomous future.
But the company could be missing out on a massive opportunity, as SUVs are a widely popular body style in the U.S., especially for families, as the tighter confines of compact SUVs do not support the needs of a large family.
Although there are other companies out there that manufacture this body style, many are interested in sticking with Tesla because of the excellent self-driving platform, expansive charging infrastructure, and software performance the vehicles offer.
Additionally, the lack of variety from an aesthetic and feature standpoint has caused a bit of monotony throughout the Model Y lineup. Although Premium options are available, those three configurations only differ in terms of range and performance, at least for the most part, and the differences are not substantial.
Minor Expansions of the Model Y Fail to Address Family Needs for Space
Offering similar trim levels with slight differences to cater to each consumer’s needs is important. However, these vehicles keep a constant: cargo space and seating capacity.
Larger families need something that would compete with vehicles like the Chevrolet Tahoe, Ford Expedition, or Cadillac Escalade, and while the Model X was its largest offering, that is going away.
Tesla could fix this issue partially with the rollout of the Model Y L in the U.S., but only if it plans to continue offering various Model Y vehicles and expanding on its offerings with that car specifically. There have been hints toward a Cyber-inspired SUV in the past, but those hints do not seem to be a drastic focus of the company, given its autonomy mission.
Model Y Expansion Doesn’t Boost Performance, Value, or Space
You can throw all the different badges, powertrains, and range ratings on the same vehicle, it does not mean it’s going to sell better. The Model Y was already the best-selling vehicle in the world on several occasions. Adding more configurations seems to be milking it.
The true need of people, especially now that the Model X is going away, is going to be space. What vehicle fits the bill of a growing family, or one that has already outgrown the Model Y?
Not Expanding the Lineup with a New Vehicle Could Be a Missed Opportunity
The U.S. is the world’s largest market for three-row SUVs, yet Tesla’s focus on tweaking the existing Model Y ignores this. This could potentially result in the Osborne Effect, as sales of current models without capturing new customers who need more seating and versatility.
Expansions of the current Model Y offerings risk adding production complexity without addressing core demands, and given that the Model Y L is already being produced in China, it seems like it would be a reasonable decision to build a similar line in Texas.
Listening to consumers means introducing either the Model Y L here, or bringing a new, modern design to the lineup in the form of a full-size SUV.
Elon Musk
Elon Musk reiterates Tesla Optimus’ most sci-fi potential yet
Musk shared his comments in a series of posts on social media platform X.
Elon Musk recently reiterated one of the most ambitious forecasts for Tesla’s humanoid robot, Optimus, stating it could become the first real-world example of a Von Neumann machine. He also noted once more that Optimus would be Tesla’s biggest product.
Musk shared his comments in a series of posts on social media platform X.
Optimus as a von Neumann machine
In response to a post on X that pondered on sci-fi timelines becoming real, Musk wrote that “Optimus will be the first Von Neumann machine, capable of building civilization by itself on any viable planet.” In a separate post, Musk wrote that Optimus will be Tesla’s “biggest product ever,” a phrase he has used in the past to describe the humanoid robot’s importance to the electric vehicle maker.
A Von Neumann machine is a class of theoretical self-replicating systems originally proposed in the mid-20th century by the mathematician John von Neumann. In his concept, von Neumann described machines that could travel to other worlds, use local materials to create copies of themselves, and carry out large-scale tasks without outside intervention.
Elon Musk’s broader plans
Considering Musk’s comments, it appears that Optimus would eventually be capable of performing complex work autonomously in environments beyond Earth. If Optimus could achieve such a feat, it could very well unlock humanity’s capability to explore locations beyond Earth. The idea of space exploration becomes more than feasible.
Elon Musk has discussed space-based AI compute, large-scale robotic production, and the role of SpaceX’s Starship in transporting hardware and materials to other planets. While Musk did not detail how Optimus would fit with SpaceX’s exploration activities, his Von Neumann machine comments suggest he is looking at Tesla’s robotics as part of a potential interplanetary ecosystem.
News
Tesla China January wholesale sales rise 9% year-on-year
Tesla reported January wholesale sales of 69,129 China-made vehicles, as per data released by the China Passenger Car Association.
Tesla China reported January wholesale sales of 69,129 Giga Shanghai-made vehicles, as per data released by the China Passenger Car Association (CPCA). The figure includes both domestic sales and exports from Gigafactory Shanghai.
The total represented a 9.32% increase from January last year but a 28.86% decline from December’s 97,171 units.
China EV market trends
The CPCA estimated that China’s passenger new energy vehicle wholesale volume reached about 900,000 units in January, up 1% year-on-year but down 42% from December. Demand has been pressured by the start-of-year slow season, a 5% additional purchase tax cost, and uncertainty around the transition of vehicle trade-in subsidies, as noted in a report from CNEV Post.
Market leader BYD sold 210,051 NEVs in January, down 30.11% year-on-year and 50.04% month-on-month, as per data released on February 1. Tesla China’s year-over-year growth then is quite interesting, as the company’s vehicles seem to be selling very well despite headwinds in the market.
Tesla China’s strategies
To counter weaker seasonal demand, Tesla China launched a low-interest financing program on January 6, offering up to seven-year terms on select produced vehicles. The move marked the first time an automaker offered financing of that length in the Chinese market.
Several rivals, including Xiaomi, Li Auto, XPeng, and NIO, later introduced similar incentives. Tesla China then further increased promotions on January 26 by reinstating insurance subsidies for the Model 3 sedan. The CPCA is expected to release Tesla’s China retail sales and export breakdown later this month.
Tesla Model Y lineup expansion signals an uncomfortable reality for consumers
Elon Musk reiterates Tesla Optimus’ most sci-fi potential yet
