Tesla CEO Elon Musk has called on Nickel suppliers to mine more of the earth metal for the production of its electric vehicle batteries, but in the company’s bid to meet the increase in vehicle demand, Tesla is shifting its Standard Range cars to LFP, or lithium iron phosphate batteries, citing Nickel supply concerns.
Rewinding back to Summer 2020, Elon Musk hopped on the Q2 2020 Earnings Call and told Nickel miners to mine more of the metal. Offering a “giant contract” worth a lot of money, Musk was ready to put his money where his mouth is, looking to shift toward Nickel cathodes in an attempt to scale production of the cells.
During the Earnings Call, Musk said (via The Motley Fool):
“Well, I’d just like to reemphasize, any mining companies out there, please mine more nickel, OK? Wherever you are in the world, please mine more nickel, and don’t wait for nickel to go back to some long — some high point that you experienced some five years ago or whatever. Go for efficiency, as environmentally friendly, nickel mining at high volume. Tesla will give you a giant contract for a long period of time if you mine nickel efficiently and in an environmentally sensitive way. So hopefully, this message goes out to all mining companies.”
Tesla has been producing the Standard Range Model 3 in the United States with Nickel cathodes in its lithium-ion battery cells. This could change after Musk tweeted that Nickel availability isn’t what the company may have thought it would be.
Nickel is our biggest concern for scaling lithium-ion cell production. That’s why we are shifting standard range cars to an iron cathode. Plenty of iron (and lithium)!
— Elon Musk (@elonmusk) February 25, 2021
While Nickel-based cells have a higher energy density, which helps electric cars increase their range ratings, iron phosphate packs are capable of storing less energy. They are ideal for Tesla’s Standard Range vehicles, where consumers sacrifice range and performance for a lower price tag. While Tesla’s SR vehicles are still worthy of the purchase, it is no secret that people would much rather have more range. The issue is Nickel isn’t being mined in large enough quantities to support Tesla’s goal of moving to a Nickel cathode across all of its cars. Instead, it will save these cells for the Long Range and Performance variants of the vehicle.
Tesla in talks with another potential nickel supplier from Canada
Musk also said that the Standard Range vehicles have the ability to hold a “high 200…almost 300-mile range” with the iron phosphate pack. It seems that this is sufficient enough for Tesla’s Standard Range vehicles, and lines up with what he said last July.
The CEO added:
“So we think that getting a range that is in the high 200 — basically, we think you probably getting a range of almost 300 miles with an iron phosphate pack, taking into account a whole bunch of powertrain and other vehicle efficiencies. And that frees up a lot of capacity for things like the Tesla Semi and the other projects so far higher energy density. So, yes, so you have like two supply chains that you can tap into iron phosphate or nickel. We use very little cobalt in our system already, and that’s — that may to zero along, so it’s basically about nickel.”
Additionally, the Nickel cathode will be used in other cars that Tesla has not yet manufactured. The Semi is one example, as increased cargo volume decreases range, so Nickel cathodes are advantageous for the upcoming all-electric commercial vehicle.
Tesla has trimmed its Model Y offerings as its Standard All-Wheel-Drive configuration has been removed from the online configurator after roughly nine months on sale. The move follows the removal of the Cybertruck, as its trims have also been minimized as that vehicle heads for total discontinuation at the end of Summer 2027.
Launched in February 2026 as a mid-tier dual-motor option between the Rear-Wheel-Drive model and the Premium trims, the Standard All-Wheel-Drive Model Y offered 294 miles of range and a 4.6-second 0-60 mph time in a stripped-down package.
🚨 Tesla has pulled the $41,990 Model Y AWD from its U.S. configurator after nine months on sale.
The cheapest AWD Model Y you can order is now the $49,990 Premium AWD, with Premium deliveries quoted for Jan–Mar 2027.
The $39,990 RWD stays, and AWD units remain in inventory. https://t.co/uROJp2lVpx
— TESLARATI (@Teslarati) November 13, 2026
With it gone, the cheapest new AWD Model Y buyers can configure is now the Premium AWD at $49,990, with estimated deliveries pushed into January–March 2027. The $39,990 rear-wheel-drive Model Y remains available for custom orders, and some AWD units are still listed in inventory.
The move arrives days after Tesla sharply narrowed its Cybertruck lineup. New orders for the Dual Motor AWD and Premium AWD versions have been disabled, leaving only the high-performance Cyberbeast—priced around $109,990 before fees—as the sole configurable option.
Elon Musk has stated that Cybertruck production at Gigafactory Texas will wind down around the middle to late summer of 2027 to free manufacturing space for greater Cybercab output. Tesla has raised prices on remaining trims and is prioritizing higher-margin builds while working through an existing order backlog that exceeds what the line can complete before conversion.
These parallel decisions reflect a broader effort to simplify Tesla’s retail customer lineup. Lower-volume or lower-margin variants are being phased out or deprioritized in favor of core, higher-spec models that generate stronger profitability and clearer production planning.
For the Model Y, this concentrates volume on the remaining RWD and Premium configurations while Premium deliveries already stretch into 2027. For the Cybertruck, it accelerates the transition away from a stainless-steel pickup that underperformed relative to initial volume expectations.
Tesla Model Y Standard Full Review: Is it worth the lower price?
The freed capacity and reduced complexity directly support Cybercab scaling. Tesla began pilot Cybercab production at Giga Texas in early 2026, launched paid autonomous rides in Austin in September, and is preparing for substantial volume growth.
By streamlining the existing vehicle portfolio, the company is reallocating factory space, engineering attention, and supply-chain resources toward its purpose-built Robotaxi, which lacks a steering wheel or pedals and is designed exclusively for unsupervised autonomy.
The result is a leaner retail lineup today and a clearer path to high-volume Cybercab deployment tomorrow.
Elon Musk
SpaceX Starship is going for a catch that could change spaceflight forever
SpaceX will try to catch both Starship stages today, a first for any orbital rocket.
SpaceX is set to launch Starship Flight 15 from Starbase on Friday afternoon, and if both stages make it back to the tower, the mission will go down as the first time an orbital rocket has ever been fully recovered. The 75 minute launch window opens at 4:45 p.m. CT from Pad 2, a day after SpaceX rolled Ship 42 out to the pad and shared photos of the move on X.
The first catch comes quickly. About six and a half minutes after liftoff, Booster 22 is scheduled to fly back to Starbase and settle into the launch tower’s chopstick arms, the first catch attempt for SpaceX’s V3 Super Heavy. SpaceX has caught the booster three times before most recently in March 2025.
Ship 42 moves to the Starbase pad ahead of launch https://t.co/pMUFTHneJQ — SpaceX (@SpaceX) November 13, 2026
The second catch is the one that has never been done. Ship 42 will climb to an orbit about 275 kilometers up, deploy 26 Starlink V3 satellites and complete about 14 orbits. Three of those satellites carry cameras to inspect the ship’s heat shield before it commits to coming home. If its reentry, landing burn and tower approach systems pass their checks, the ship will fire its engines to leave orbit, fall through the atmosphere in its belly flop position, flip vertical and drop into the tower about 22 and a half hours after launch, on Saturday afternoon. SpaceX gave a preview of that maneuver in an animation during its third quarter earnings webcast.
Elon Musk described a successful double catch on that call as “the first time that an orbital launch vehicle has been fully recovered” and a “profound technology milestone,” putting the odds of catching the ship at “more likely than not.” SpaceX has called it a potential “breakthrough moment in making Starship a reliable, rapidly reusable rocket,”
Reuse is where the economics change. Falcon 9 lands its boosters routinely, but its upper stage is thrown away on every flight. Starship is designed so both stages can be refueled and flown again, which is key to cutting launch costs. That matters for Starlink, where each V3 satellite is expected to carry roughly 10 times the download capacity of the V2 Mini satellites flying today, and for Starmind, SpaceX’s planned constellation of AI compute satellites.
It matters for NASA too. Starship is the lunar lander for the Artemis program, and reaching the Moon requires refilling a ship in orbit using several tanker flights. That plan only works if Starships can fly again and again. Musk has said he expects Starship to reach a weekly launch cadence in the first half of 2027.
Investors are paying attention. Morgan Stanley’s Adam Jonas wrote this week that a catch of both stages would likely be “a material positive” for SpaceX stock.
The last Starship flight in September reached orbit for the first time but ended after about three hours with a splashdown in the Pacific, short of its planned 10 hours, after some engines shut down. Since then, Booster 22 has completed a full 33 engine static fire and Ship 42 a six engine firing, as Teslarati previously reported. As of Friday morning, SpaceX was still waiting on the FAA to approve a license change covering the ship’s return over land.
Elon Musk
Tesla and SpaceX merger talks hit a new stage, and one hurdle remains
Tesla and SpaceX merger talks are reportedly advancing, and a deal could arrive by December.
Tesla and SpaceX are moving closer to a combination, with a deal announcement possible as soon as December, Bloomberg reported on Thursday, citing people familiar with the matter. The companies have also discussed a scenario in which the announcement slips into early 2027.
Boards and advisers on both sides are now working through the terms of the deal and the governance structure of the combined company, according to the report. One open item is how many SpaceX shares Tesla investors would receive. Bloomberg had previously reported that the two companies were aiming to announce a deal in the first half of next year and close it before the end of President Donald Trump’s term, so a December announcement would pull that schedule forward by months.
Tesla shares rose as much as 1.9% to $398.35 after the report, while SpaceX gained 0.6% to $140.63. SpaceX carries a market value of about $1.9 trillion following its June IPO, and Tesla is valued at about $1.55 trillion, which would make a combination the largest corporate deal on record. Neither company responded to requests for comment.
The talks became official on October 20, when Elon Musk said on SpaceX’s third quarter earnings call that both companies had formed special committees of independent directors to study a merger, as Teslarati reported. Musk said he could not take part because he is “a conflicted party” and called the process “an odd kabuki dance.” He also noted that Tesla would need approval from 50 percent of all outstanding shares, a bar the company missed in 2025 when a board declassification proposal won support from only 39.4 percent.
China remains the biggest structural problem. Bloomberg’s sources said the companies still need to work out how to isolate Tesla’s large and profitable manufacturing business in China from SpaceX’s U.S. government and defense contracts. JPMorgan analyst Rajat Gupta described those two factors last month as “key dynamics that are at odds with each other” for regulatory and shareholder approval. Musk has repeatedly said Tesla has no plans to separate its China business, a position he restated in August after ARK Invest predicted a merger announcement before the end of the year.
Washington adds another layer. Democrats took control of Congress in this month’s midterms and have pledged to investigate Musk’s business and political activities, which could bring added scrutiny to a deal involving one of the Pentagon’s most important launch and satellite contractors.
The report also lands three weeks before Tesla’s December 3 annual meeting at Giga Texas. That ballot has only three items, led by the re-election of Musk, board chair Robyn Denholm and JB Straubel, and includes no merger proposal. Any deal announced in December would likely require a separate special meeting for Tesla shareholders to vote on it.
The two companies already share a growing list of projects, including the Terafab semiconductor plant in Texas. Tesla’s next generation Roadster, which uses cold gas thrusters built on SpaceX hardware, turned up on display at SpaceX headquarters last month and has become one of the clearest public examples of that overlap.
Tesla trims Model Y offerings as All-Wheel-Drive gets the axe
SpaceX Starship is going for a catch that could change spaceflight forever
