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Tesla-Hertz partnership expands to sixteen new cities

Tesla Model 3 at Hertz (Credit: Hertz)

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Tesla’s partnership with Hertz has expanded to sixteen new cities, including Boston, Las Vegas, New York City, Philadelphia, and San Diego, among many others.

Tesla and Hertz struck a non-signed deal late last year that would see 100,000 all-electric vehicles from the Elon Musk-headed company make their way to the rental agency. Since then, Tesla has been fulfilling orders for the Model 3 and Model Y vehicles for several months. In January in a statement to Teslarati, Hertz confirmed it was receiving Model 3 units. Hertz also clarified to us that Model Ys were included in the original order, and the 100,000 cars were not specifically Model 3 units.

Hertz says it is ‘actively receiving’ Tesla Model 3 rental cars across the country

Initially, Hertz made its Model 3 and Model Y vehicles available in Atlanta, GA, Fort Lauderdale, FL, Los Angeles, CA, Miami, FL, Orlando, FL, San Francisco, CA, and Washington D.C. Now, sixteen new cities are being added to the company’s locations that have Teslas available for rent:

  • Albuquerque, New Mexico
  • Atlanta, Georgia,
  • Boston, Massachusetts
  • Burbank, California
  • Chicago, Illinois
  • Cincinnati, Ohio
  • Co. Mountains, Colorado
  • Dallas, Texas
  • Denver, Colorado
  • Fort Lauderdale, Florida
  • Las Vegas, Nevada
  • Los Angeles, California
  • Miami, Florida
  • Newark, New Jersey
  • New York City, New York
  • Orlando, Florida
  • Phoenix, Arizona
  • Philadelphia, Pennsylvania
  • Sacramento, California
  • San Diego, California
  • San Francisco, California
  • San Jose, California
  • Washington D.C.

Tesla’s partnership with Hertz has also allowed other companies that specialize in sustainable powertrains to obtain deals with the rental agency. Polestar also has a deal for 65,000 units of the Polestar 2. It started deliveries in June.

Polestar begins deliveries of Polestar 2 as part of Hertz Deal

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Hertz has not disclosed how many Tesla units it has accepted delivery of since the partnership began, but it seems the numbers are getting somewhat sizeable considering this new expansion of locations. The $4.2 billion deal for 100,000 Tesla vehicles, which was, appears to be helping Hertz offer new, technologically superior electric vehicles, omitting ICE engines from its fleet and encouraging more customers to try an EV.

Disclosure: Joey Klender is a TSLA Shareholder.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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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Investor's Corner

Tesla releases Q4 and FY 2025 vehicle delivery and production report

Deliveries stood at 406,585 Model 3/Y and 11,642 other models, for a total of 418,227 vehicles.

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Credit: Tesla

Tesla (NASDAQ:TSLA) has reported its Q4 2025 production and deliveries, with 418,227 vehicles delivered and 434,358 produced worldwide. Energy storage deployments hit a quarterly record at 14.2 GWh. 

Tesla’s Q4 and FY 2025 results were posted on Friday, January 2, 2026. 

Q4 2025 production and deliveries

In Q4 2025, Tesla produced 422,652 Model 3/Y units and 11,706 other models, which are comprised of the Model S, Model X, and the Cybertruck, for a total of 434,358 vehicles. Deliveries stood at 406,585 Model 3/Y and 11,642 other models, for a total of 418,227 vehicles.

Energy deployments reached 14.2 GWh, a new record. Similar to other reports, Tesla posted a company thanked customers, employees, suppliers, shareholders, and supporters for its fourth quarter results.

In comparison, analysts included in Tesla’s company-compiled consensus estimate that Tesla would deliver 422,850 vehicles and deploy 13.4 GWh of battery storage systems in Q4 2025. 

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Tesla’s Full Year 2025 results

For the full year, Tesla produced a total of 1,654,667 vehicles, comprised of 1,600,767 Model Y/3 and 53,900 other models. Tesla also delivered 1,636,129 vehicles in FY 2025, comprised of 1,585,279 Model Y/3 and 50,850 other models. Energy deployments totaled 46.7 GWh over the year.

In comparison, analysts included in Tesla’s company-compiled consensus expected the company to deliver a total of 1,640,752 vehicles for full year 2025. Analysts also expected Tesla’s energy division to deploy a total of 45.9 GWh during the year. 

Tesla will post its financial results for the fourth quarter of 2025 after market close on Wednesday, January 28, 2026. The company’s Q4 and FY 2025 earnings call is expected to be held on the same day at 4:30 p.m. Central Time. 

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Elon Musk

Starlink achieves major milestones in 2025 progress report

Starlink wrapped up 2025 with impressive growth, adding more than 4.6 million new active customers and expanding service to 35 additional countries, territories, and markets.

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Credit: Starlink/X

Starlink wrapped up 2025 with impressive growth, adding more than 4.6 million new active customers and expanding service to 35 additional countries, territories, and markets. The company also completed deployment of its first-generation Direct to Cell constellation, launching over 650 satellites in just 18 months to enable cellular connectivity.

SpaceX highlighted Starlink’s impressive 2025 progress in an extensive report.

Key achievements from Starlink’s 2025 Progress

Starlink connected over 4.6 million new customers with high-speed internet while bringing service to 35 more regions worldwide in 2025. Starlink is now connecting 9.2 million people worldwide. The service achieved this just weeks after hitting its 8 million customer milestone.

Starlink is now available in 155 markets, including areas that are unreachable by traditional ISPs. As per SpaceX, Starlink has also provided over 21 million airline passengers and 20 million cruise passengers with reliable high-speed internet connectivity during their travels.

Starlink Direct to Cell

Starlink’s Direct to Cell constellation, more than 650 satellites strong, has already connected over 12 million people at least once, marking a breakthrough in global mobile coverage.
Starlink Direct to Cell is currently rolled out to 22 countries and 6 continents, with over 6 million monthly customers. Starlink Direct to Cell also has 27 MNO partners to date.

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This year, SpaceX completed deployment of the first generation of the Starlink Direct to Cell constellation, with more than 650 satellites launched to low-Earth orbit in just 18 months. Starlink Direct to Cell has connected more than 12 million people, and counting, at least once, providing life-saving connectivity when people need it most,” SpaceX wrote.

starlinkProgressReport_2025 by Simon Alvarez

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News

Tesla Giga Nevada celebrates production of 6 millionth drive unit

To celebrate the milestone, the Giga Nevada team gathered for a celebratory group photo. 

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Tesla’s Giga Nevada has reached an impressive milestone, producing its 6 millionth drive unit as 2925 came to a close.

To celebrate the milestone, the Giga Nevada team gathered for a celebratory group photo. 

6 million drive units

The achievement was shared by the official Tesla Manufacturing account on social media platform X. “Congratulations to the Giga Nevada team for producing their 6 millionth Drive Unit!” Tesla wrote. 

The photo showed numerous factory workers assembled on the production floor, proudly holding golden balloons that spelled out “6000000″ in front of drive unit assembly stations. Elon Musk gave credit to the Giga Nevada team, writing, “Congrats on 6M drive units!” in a post on X.

Giga Nevada’s essential role

Giga Nevada produces drive units, battery packs, and energy products. The facility has been a cornerstone of Tesla’s scaling since opening, and it was the crucial facility that ultimately enabled Tesla to ramp the Model 3 and Model Y. Even today, it serves as Tesla’s core hub for battery and drivetrain components for vehicles that are produced in the United States.

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Giga Nevada is expected to support Tesla’s ambitious 2026 targets, including the launch of vehicles like the Tesla Semi and the Cybercab. Tesla will have a very busy 2026, and based on Giga Nevada’s activities so far, it appears that the facility will be equally busy as well.

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