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Tesla’s in-house body repair shop restores damaged Model 3 in 25 hours
Back in Tesla’s 2018 Annual Shareholder Meeting, Elon Musk stated that the company is opening in-house body shops to reduce the time it takes for owners to get their cars repaired. The first nine of these in-house body shops were announced in Tesla’s official website earlier this month, and so far, reports of the service they provide have been very positive.
Just last week, u/ekobres, a Model 3 owner and member of the r/TeslaMotors subreddit, shared his experience with Tesla’s in-house repair shop in Marietta, Georgia, which reportedly fixed a panel alignment issue in one day. According to the Model 3 owner, Tesla picked up the car, loaned him a vehicle, and delivered it back fully fixed and cleaned within nine hours. While this turnaround time was impressive, the work done in u/ekobres’ Model 3 was rather minor. Thus, it remained to be seen how fast Tesla’s in-house repair shops could fix a vehicle with more significant damages.
One such vehicle was sent to the same in-house body repair shop in Marietta, GA recently. The Model 3 was owned by the hosts of YouTube’s Like Tesla channel, who noted that their vehicle was damaged after a car backed into it. The electric car was still drivable after the accident, but a portion of its front bumper was hanging out, and its left headlight was cracked from the impact. Kim, the YouTube channel’s host, even aired her concern as to when they would get their Model 3 back, considering Tesla’s notorious wait times even for otherwise simple repairs.
Fortunately for the Model 3 owners, they were in the vicinity of Tesla’s in-house body shop in Marietta. Within an hour of the accident, the shop had been contacted, and necessary information such as the claim number and the electric car’s VIN were taken. The shop also started coordinating with the responsible party’s insurance provider. The next day, Tesla Service came by, dropped off a Model X loaner, and took the damaged Model 3 to be repaired.
Forty-five minutes after that, Tesla notified the Model 3 owners that their car had arrived at the shop, and around four hours later, images of the vehicle being worked on were sent over. Not long after, the in-house body shop sent another message informing the Model 3 owners that their car had been fully repaired, complete with a new bumper, front fender, headlight, and wheel. It was just 25 hours after the accident.
The rapid turnaround time of the Model 3’s repair stands as yet another example of Tesla’s continued attempts at improving its service to its growing customer base. This was highlighted in one of Elon Musk’s tweets last month, when he noted that Tesla is aiming to improve its in-house repair shops to such a level that same-day repairs become possible.
Tesla body shops are ramping up fast. Aiming to go from 30+ days using external body repair shops to same day body repair with prestocked parts at Tesla service centers.
— Elon Musk (@elonmusk) July 31, 2018
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If these recent accounts are any indication, it appears that Tesla’s ramp of its in-house repair shops is moving alongside the company’s ramp for Model 3 production. While Tesla’s body shops are only addressing minor repairs for now (major damages are still referred to the company’s network of certified, third-party repair shops), the service they provide undoubtedly improves the ownership experience. Once Tesla’s in-house shops are fully ramped, the company might finally be able to shake off its image of providing great cars that are beautiful and powerful, but are a pain to get repaired.
Watch Like Tesla‘s Model 3 repair experience with an in-house body shop in the video below.
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.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
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High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
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Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
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However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
