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Tesla is performing Model Y Giga Press casting tests at Texas factory: rumor

Credit: Joe Tegtmeyer | Twitter | @JoeTegtmeyer

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Tesla’s Giga Texas production facility is rumoredly undergoing some test runs of the Model Y’s rear, one-piece casting months ahead of its scheduled initial production phases, according to some close to the project.

Tesla has spent the last year developing land and constructing its largest Gigafactory production facility to date in Austin, Texas. In what will eventually become a production facility that will supply the Eastern portion of North America with Model 3 and Model Y builds and the Cybertruck, Tesla has made tremendous progress in Austin. It appears that the company is already performing casting tests ahead of production phases.

According to Texas resident and frequent Giga Texas visitor Joe Tegtmeyer, who also flies drones over the site to track progress, a source close to the operation in Austin says that the first test casting was completed by Giga Press #1. The Giga Press is a large casting machine from IDRA, an Italian manufacturer. Tesla has utilized the Giga Press for the Model Y’s single-piece rear casting.

“I was given information by a reliable on-site source that late last evening…the first test casting was completed by Gigag Press #1! This was a Model Y rear casting,” Tegtmeyer said.

Tesla introduced the rear casting with the Model Y to eliminate an excessive number of parts that make up the frame of the car. Tesla went from 70 pieces to 1 single-piece with the introduction of the Giga Press and the single-piece casting, and it has been one way the automaker has increased production efficiency and build quality. Tesla also plans to use the Giga Press’s single-piece casting for the Cybertruck by using an over 8,000-tone-force machine. Giga Texas is not and will not be the only facility under Tesla ownership to utilize a Giga Press, either. There are currently three casting machines installed in China at Giga Shanghai, two at Tesla’s Fremont Factory in Northern California, and there will be Giga Presses at both Giga Texas and Giga Berlin, where the Model Y will be the top priority when production begins.

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Tesla Gigafactory Texas gets its second Giga Press machine

The use of a casting machine to create a one-piece rear frame for the Model Y not only increases production efficiency and build quality but also improves vehicle safety in the event of a rear-end collision. While the Model Y and the Cybertruck will be using the Giga Press casting design in the near future, CEO Elon Musk said that the Model 3 would also eventually use a single-piece casting, just not anytime soon.

Musk said in an interview with Sandy Munro:

“At some point, we probably will switch to a single-piece casting, but I think we need to get the Texas factory and the Berlin factory going. We do have an issue. It is hard to change the wheels on the bus when it is going 80 MPH down the highway. So, Model 3 is…well, was most of our volume. Model Y will exceed Model 3, but we just need an opportunity to redo the factory without blowing the cash flow of the company.”

The news of Tesla performing casting test runs at Giga Texas only helps the company’s narrative that production will begin soon. Currently, Tesla’s contracted crews on the site are working to install and commission the machinery that will eventually pump out hundreds of thousands of electric vehicles every year.

Check out Joe Tegtmeyer’s most recent Giga Texas flyover below.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla CEO Elon Musk says flying cars are coming

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Credit: Grok Imagine

Tesla CEO Elon Musk said that flying cars will be coming to the market, something that his own company has hinted at previously.

Musk said on X, in response to a post that read, “We were promised flying cars and all we got is infinite superintelligence for everyone,” “You will get flying cars.”

The post rang back to when Musk teased flying and hovering capabilities for the Tesla Roadster, the company’s supercar that has been delayed more times than anyone cares to count. It was set for an unveiling earlier this year, but it was then pushed back to August. There is still no sign of it coming.

However, that does not mean it won’t. But one of the biggest features of the Roadster that was teased was a SpaceX package that featured cold gas thrusters on the rear end that would help with white-knuckle acceleration. Another set would face the ground and would help the Roadster gain small bits of altitude, potentially helpful to jump over obstacles.

Elon Musk hints at Tesla Roadster’s “hovering” abilities in SpaceX package

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But it is not a straightforward thing for Musk. As a serial entrepreneur, he tends to spend his time on major disruptors; currently, his largest projects are artificial intelligence and compute power, as well as SpaceX’s launches that will eventually make life multiplanetary.

In the past, he has been critical of flying cars and has been in favor of tunnels, one of the big reasons he started the Boring Company. In 2017 at a TED talk, he said:

“There is a challenge with flying cars in that they’ll be quite noisy. The wind force generated will be very high. Let’s just say that if something’s flying over your head, if there are a whole bunch of flying cars all over the place, that is not an anxiety-reducing situation…You’re thinking, ‘Did they service their hubcap? Or is it going to come off and guillotine me as they’re flying past?’”

However, he’s never been against them. He has also said he’s in favor of both tunnels and flying cars.

Most recently, Musk said that anyone who wants a flying car should be able to get one. This was stated last October on the Joe Rogan Experience:

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“My friend Peter Thiel once reflected that the future was supposed to have flying cars, but we don’t have flying cars… I think if Peter wants a flying car, we should be able to buy one.”

Whether the Roadster will be Tesla’s flying car or potentially another one remains in the mind of Musk. Of course, the Roadster will have to make its way to production lines before we find out.

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Elon Musk

SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff

Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.

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Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.

The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.

Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.

Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry

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None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.

The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.

Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.

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Investor's Corner

Tesla has one big financial question to answer for investors: Morgan Stanley

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Credit: Tesla

In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.

Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.

Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue

Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.

The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”

Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”

Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”

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Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.

Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.

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