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Tesla’s disruption is making Germany’s elite automakers very tense about the future

(Credit: Tesla)

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There was once a time when Germany’s largest automakers looked on with amusement as Tesla, a small Silicon Valley electric car maker, purchased a gigantic car factory in Fremont, CA to produce its first ground-up premium sedan. Today, amidst the Model 3’s disruption and the impending arrival of the Model Y, it appears that no one in Das Auto is laughing anymore. 

Electrification is something that used to be scoffed at, especially among the industry’s serious players. When Tesla was starting out, the transportation sector was still fully committed to the internal combustion engine. And in this era, Germany’s elite three — Daimler, Volkswagen, and BMW — reigned supreme. Their vehicles were sought after, and they were known for their power and pedigree. That was, at least, until upstart companies such as Tesla entered the picture. 

Tesla represented everything that legacy auto was not. Instead of relying fully on a vast dealer network, Tesla sold its cars on its own. Instead of relying on a network of suppliers, Tesla adopted a vertically-integrated model. Instead of spamming its cars with all the plush amenities found in traditional luxury cars, Tesla’s EVs were spartan and minimalistic. These little differences, coupled with the fact that its vehicles are unlike any other on the road in terms of performance and tech, made the electric car maker a brand to watch among consumers looking to purchase a vehicle. 

Tesla Model 3 production line in Gigafactory 3, Shanghai, China. (Credit: Tesla)

What really makes Tesla a pretty concerning opponent is the company’s dedication to its mission — to accelerate the advent of sustainability. This means that the company is about so much more than just profits. It’s a company that is legitimately trying its best to change the world, and it is beckoning everyone for support. And support it has gained. Among automakers, Tesla currently stands supreme according to social media presence. Today, the Model 3 is outselling mainstays like the BMW M3, and the arrival of the Model Y could end up disrupting a market previously held by cars like the Porsche Macan. 

Today, Tesla stands as a leader in the EV market, with vehicles that have advanced driver-assist features such as Autopilot, a Full Self-Driving suite that includes capabilities like Smart Summon, and a system that constantly improves through free over-the-air updates. With these, Tesla’s electric cars such as the Model S and Model 3 have dominated their respective EV segments. 

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So how did Tesla end up disrupting the market even if Das Auto had all the resources all along to beat Tesla at its own game years ago? Perhaps it’s hubris, or maybe it was simply an honest mistake. Nevertheless, Tesla has now reached a point where it would be very difficult to reach and overtake, especially when it comes to the tech and batteries of its vehicles. This was highlighted when Volkswagen reportedly got its hands on a Mid Range Tesla Model 3. After tearing down the vehicle, the veteran automaker was reportedly shocked at how advanced the vehicle was.

The Tesla Model S, X, and Model 3. (Photo: MotorTrend)

Sajjad Khan, a Pakistani-born Daimler executive who is a member of the divisional board for CASE (Connected, Autonomous, Shared, Electric) at Mercedes-Benz, believes that this does not need to be the case. In a recent town hall meeting, Khan told an audience that the time is nigh for Germany’s auto sector to get a wake-up call. 

“We need a wake-up call. We have to change fundamentally — as individuals, as departments, as a company, as a country. If we don’t, we’re going to be facing tough times ahead. We need to rebuild the mentality that made the economic miracle (in postwar Germany) possible. And we can’t wait until we have fallen on our faces to do this,” he said

Fortunately, it may be too premature to dismiss Germany’s veteran automakers and their EV efforts. Porsche proved to the world that it can match and perhaps even exceed the performance of Tesla’s flagship sedan with the Taycan, though it had to make do with significantly less range and a far higher price. Volkswagen, for its part, is spending large amounts in its efforts to produce electric vehicles. The company is looking to conduct its ramp quickly, to the point where it would no longer sell diesel and gasoline cars by 2040. 

That’s what one could call the end of an era.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Cybertruck

Tesla launches new Cybertruck trim with more features than ever for a low price

This is a considerable upgrade to the Cybertruck Rear-Wheel-Drive that Tesla offered last year. It was discontinued after just a few months, but we still have yet to see anyone share pictures of it online.

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Credit: Tesla

Tesla has officially launched a new trim of its all-electric Cybertruck, which has more features than previous offerings at this price point, which is an incredibly good value.

Tesla is now offering the Cybertruck All-Wheel-Drive, and starting at $59,990, it appears to be a lot of truck for the money.

Along with the sub-$60,000 starting price, Tesla gives the Cybertruck AWD a 325-mile range rating, a powered tonneau cover that houses three bed outlets. It also has Powershare capability, coil springs with adaptive damping for a refined suspension feel, Steer-by-wire and four-wheel-steering, a 6′ x 4′ composite bed, a towing capacity of 7,500 pounds, and a powered frunk.

This is a considerable upgrade to the Cybertruck Rear-Wheel-Drive that Tesla offered last year. It was discontinued after just a few months, but we still have yet to see anyone share pictures of it online.

That truck did not have a power tonneau, did not have adaptive suspension, leather seats, or nearly any of the premium features in the upper-level trims. It was not a great deal, either. It was only a $10,000 discount from the next Cybertruck trim, which meant losing a motor and a lot of premium features for not that much of a savings.

This is a much better offering from Tesla and could help the company see a bit of a resurgence from a sales perspective. Although the Cybertruck is a popular vehicle from a fan perspective, it is not a great seller, and Tesla knows it.

Tesla Cybertruck undergoes interior mod that many owners wanted

Despite it being a crowd favorite, it was simply priced out of people’s budgets, so this All-Wheel-Drive configuration should be easier to handle financially for many of those who wanted the Cybertruck but not the price tag that came with it.

It is not a far cry from what Tesla priced back in 2019, as it unveiled three trim levels back in November, nearly seven years ago: a Single Motor for $39,990, a Dual Motor for $49,990, and a Tri-Motor for $69,990.

This new AWD trim is just $10,000 off from that price tag, and accounting for inflation, Tesla is pretty close.

Deliveries are expected to begin in June 2026.

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Tesla dominates JD Power EV Satisfaction ranking, grabbing top two spots

The Model 3 was the highest ranking EV considered, with a score of 804, followed by the Model Y at 797, the BMW i4 at 795, and the BMW iX at 794.

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Credit: Tesla Europe & Middle East/X

Tesla dominated JD Power’s EV Owner Satisfaction ranking for 2026, grabbing the top two spots in the survey with the Model 3 and Model Y.

The two Tesla models grabbed the first and second spots, respectively, with scores of 804 and 797 out of 1,000 possible points.

Brent Gruber, Executive Director of JD Power’s EV practice, said:

“EV market share has declined sharply following the discontinuation of the federal tax credit program in September 2025, but that dip belies steadily growing customer satisfaction among owners of new EVs. Improvements in battery technology, charging infrastructure, and overall vehicle performance have driven customer satisfaction to its highest level ever. What’s more, the vast majority of current EV owners say they will consider purchasing another EV for their next vehicle, regardless of whether they benefited from the now-expired federal tax credit.”

JD Power’s study showed three key findings: Public charging satisfaction was higher than ever, premium BEVs saw more pronounced quality improvements, and BEVs held their satisfaction ratings compared to plug-in hybrid electric vehicles (PHEVs).

Tesla Grabs Top 2 Spots

Despite what some publications might try to make you believe, Tesla is still the cream of the crop when it comes to EV ownership, and real-world owners surveyed by JD Power will prove that to you.

The Model 3 was the highest ranking EV considered, with a score of 804, followed by the Model Y at 797, the BMW i4 at 795, and the BMW iX at 794. The segment average for “Premium Battery Electric Vehicles” was 786. The Cadillac OPTIQ (762), Rivian R1S (758), Lucid Air (740), Rivian R1T (739), and Audi Q6 e-Tron (690) all finished below that threshold.

Tesla Model 3 wins Edmunds’ Best EV of 2026 award

Meanwhile, a separate category for “Mass Market Battery Electric Vehicles” had the Ford Mustang Mach-E as the EV with the highest rating at 760. The segment average for this class was 727.

Tesla Supercharging Improves Public Charging Satisfaction

JD Power said the availability of public charging is “by far the most improved index factor,” and that the consistent growth of publicly available charging has helped push many consumer sentiments in a positive direction.

Most of this is due to the Tesla Supercharger Network and its expansion. However, Tesla owners are also becoming more satisfied with the infrastructure after expanding access to other EV brands, the study said.

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Elon Musk

Musk company boycott proposal at City Council meeting gets weird and ironic

The City of Davis in California held a weekly city council meeting on Tuesday, where it voted on a proposal to ban Musk-operated companies. It got weird and ironic.

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Credit: Grok

A city council meeting in California that proposed banning the entry of new contracts with companies controlled by Elon Musk got weird and ironic on Tuesday night after councilmembers were forced to admit some of the entities would benefit the community.

The City of Davis in California held a weekly city council meeting on Tuesday, where it voted on a proposal called “Resolution Ending Engagement With Elon Musk-Controlled Companies and To Encourage CalPERS To Divest Stock In These Companies.”

The proposal claimed that Musk ” has used his influence and corporate platforms to promote political ideologies and activities that threaten democratic norms and institutions, including campaign finance activities that raise ethical and legal concerns.”

We reported on it on Tuesday before the meeting:

California city weighs banning Elon Musk companies like Tesla and SpaceX

However, the meeting is now published online, and it truly got strange.

While it was supported by various members of the community, you could truly tell who was completely misinformed about the influence of Musk’s companies, their current status from an economic and competitive standpoint, and how much some of Musk’s companies’ projects benefit the community.

City Council Member Admits Starlink is Helpful

One City Council member was forced to admit that Starlink, the satellite internet project established by Musk’s SpaceX, was beneficial to the community because the emergency response system utilized it for EMS, Fire, and Police communications in the event of a power outage.

After public comments were heard, councilmembers amended some of the language in the proposal to not include Starlink because of its benefits to public safety.

One community member even said, “There should be exceptions to the rule.”

Community Members Report Out of Touch Mainstream Media Narratives

Many community members very obviously read big bold headlines about how horribly Tesla is performing in terms of electric vehicles. Many pointed to “labor intimidation” tactics being used at the company’s Fremont Factory, racial discrimination lawsuits, and Musk’s political involvement as clear-cut reasons why Davis should not consider his companies for future contracts.

However, it was interesting to hear some of them speak, very obviously out of touch with reality.

Musk has encouraged unions to propose organizing at the Fremont Factory, stating that many employees would not be on board because they are already treated very well. In 2022, he invited Union leaders to come to Fremont “at their convenience.”

The UAW never took the opportunity.

Some have argued that Tesla prevented pro-union clothing at Fremont, which it did for safety reasons. An appeals court sided with Tesla, stating that the company had a right to enforce work uniforms to ensure employee safety.

Another community member said that Tesla was losing market share in the U.S. due to growing competition from legacy automakers.

“Plus, these existing auto companies have learned a lot from what Tesla has done,” she said. Interestingly, Ford, General Motors, and Stellantis have all pulled back from their EV ambitions significantly. All three took billions in financial hits.

One Resident Crosses a Line

One resident’s time at the podium included this:

He was admonished by City Council member Bapu Vaitla, who said his actions were offensive. The two sparred verbally for a few seconds before their argument ended.

City Council Vote Result

Ultimately, the City of Davis chose to pass the motion, but they also amended it to exclude Starlink because of its emergency system benefits.

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