News
Once-hailed ‘Tesla Killer’ Mercedes-Benz EQC sells less than 700 since launch: report
The Mercedes-Benz EQC, a vehicle once considered as a potential “Tesla Killer” and a legitimate threat to the Model X, has reportedly sold less than 700 units in its home country since it was launched. This was according to data from Germany’s Federal Motor Transport Authority, which stated that only 397 units of the EQC were sold in 2019 and 276 have been sold during the first four months of the year.
It should be noted that Mercedes-Benz has not disclosed any official sales numbers for its first modern all-electric vehicle. Nevertheless, the figures from the country’s Federal Motor Transport Authority were quite alarming. The EQC, after all, is not lacking in any advertisement from the veteran automaker. Parent company Daimler has not been one to shy away from its alleged focus on electric powered transportation, as evidenced by its “Electric First” slogan.
Yet despite this, the sales of the EQC have been incredibly underwhelming. As noted by German media outlet Handelsblatt, Daimler executives have described the EQC as a “pipe cracker” and its sales figures a “total disaster.” The news agency added that only one in about 400 customers in Europe have been opting for the all-electric SUV. And it’s worse in other countries. The EQC has not even been launched in the United States yet, with Mercedes-Benz pushing back the release of the vehicle to 2021, despite initial plans for a 2020 rollout.
Auto publication Mercedes-Fans.de was able to speak with some Mercedes-Benz dealers, and the sentiment about the EQC were equally negative. Dealers reportedly spoke about the vehicle’s sales as something that can be considered a “catastrophe,” while noting that there is simply “zero demand” for the all-electric SUV. This raises some questions, considering that the EQC was hyped by the automaker as its response to the rapidly-growing premium EV market that is currently dominated by American automaker Tesla.
What is interesting is that electric vehicles are actually picking up in Germany and Europe. The Audi e-tron, for example, was able to sell 4,500 units between May 2019 and April 2020. The Tesla Model 3 sold even more, with 8,700 being handed over to local customers over the same period. This all but shows that EVs from both veteran automakers and new companies can find some footing in Germany. The vehicles just have to be impressive and compelling for consumers.
The Mercedes-Benz EQC caught some headlines when it was launched. Then Daimler AG Chief Executive Officer Dieter Zetsche noted that the company is “going all in” on EVs, since there is simply “no alternative to betting on electric cars.” The vehicle also looked quite promising, with plush interiors and impeccable build quality. Yet, even then, there were reservations about the EQC’s range and performance, which were rather conservative compared to rivals such as the Audi e-tron, Jaguar I-PACE, and the Tesla Model X.
Elon Musk
Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story
Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.
Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.
🚨 Our LIVE updates on the Tesla Earnings Call will take place here in a thread 🧵
Follow along below: pic.twitter.com/hzJeBitzJU
— TESLARATI (@Teslarati) April 22, 2026
The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.
The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.
For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.
Elon Musk
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Tesla’s Optimus factory in Texas targets 10 million robots yearly, with 5.2 million square feet under construction.
Tesla’s Q1 2026 Update Letter, released today, confirms that first generation Optimus production lines are now well underway at its Fremont, California factory, with a pilot line targeting one million robots per year to start. Of bigger note is a shared aerial image of a large piece of land adjacent to Gigafactory Texas, that Tesla has prominently labeled “Optimus factory site preparation.”
Permit documents show Tesla is seeking to add over 5.2 million square feet of new building space to the Giga Texas North Campus by the end of 2026, at an estimated construction investment of $5 billion to $10 billion. The longer term production target for that facility is 10 million Optimus units per year. Giga Texas already sits on 2,500 acres with over 10 million square feet of existing factory floor, and the North Campus expansion is being built to support multiple projects, including the dedicated Optimus factory, the Terafab chip fabrication facility (a joint Tesla/SpaceX/xAI venture), a Cybercab test track, road infrastructure, and supporting facilities.
Credit: TESLA
Texas makes strategic sense beyond the existing infrastructure. The state’s tax structure, lower labor costs relative to California, and the proximity to Tesla’s AI training cluster Cortex 1 and 2, both located at Giga Texas and now totaling over 230,000 H100 equivalent GPUs, means the Optimus software stack and the factory producing the hardware will share the same campus. Tesla’s Q1 report also confirmed completion of the AI5 chip tape out in April, the inference processor designed specifically to power Optimus units in the field.
As Teslarati reported, the Texas facility is intended to house Optimus V4 production at full scale. Musk told the World Economic Forum in January that Tesla plans to sell Optimus to the public by end of 2027 at a price between $20,000 and $30,000, stating, “I think everyone on earth is going to have one and want one.” He has previously pegged long term demand for general purpose humanoid robots at over 20 billion units globally, citing both consumer and industrial use cases.
Tesla (NASDAQ: TSLA) reported its earnings for the first quarter of 2026 on Wednesday afternoon. Here’s what the company reported compared to what Wall Street analysts expected.
The earnings results come after Tesla reported a miss on vehicle deliveries for the first quarter, delivering 358,023 vehicles and building 408,386 cars during the three-month span.
As Tesla transitions more toward AI and sees itself as less of a car company, expectations for deliveries will begin to become less of a central point in the consensus of how the quarter is perceived.
Nevertheless, Tesla is leaning on its strong foundation as a car company to carry forward its AI ambitions. The first quarter is a good ground layer for the rest of the year.
Tesla Q1 2026 Earnings Results
Tesla’s Earnings Results are as follows:
- Non-GAAP EPS – $0.41 Reported vs. $0.36 Expected
- Revenues – $22.387 billion vs. $22.35 billion Expected
- Free Cash Flow – $1.444 billion
- Profit – $4.72 billion
Tesla beat analyst expectations, so it will be interesting to see how the stock responds. IN the past, we’ve seen Tesla beat analyst expectations considerably, followed by a sharp drop in stock price.
On the same token, we’ve seen Tesla miss and the stock price go up the following trading session.
Tesla will hold its Q1 2026 Earnings Call in about 90 minutes at 5:30 p.m. on the East Coast. Remarks will be made by CEO Elon Musk and other executives, who will shed some light on the investor questions that we covered earlier this week.
You can stream it below. Additionally, we will be doing our Live Blog on X and Facebook.
Q1 2026 Earnings Call at 4:30pm CT https://t.co/pkYIaGJ32y
— Tesla (@Tesla) April 22, 2026
Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
