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Why Tesla shouldn’t worry about Lucid’s 517-mile range
The Tesla Model S is no longer the highest estimated range EV on the market, and the Lucid Air is. After the latter company revealed that the Air, its first model, has an EPA-estimated range of 517 miles, it opened doors for Lucid to become a real player in the transition to sustainable passenger transportation.
However, Tesla still has a few significant advantages in the field despite the Model S losing the title of “best range on an EV,” because the company has a few things that Lucid does not.
Here are a few things to remember.
The Model S still has over 400 miles of range
Despite not having 517 miles of EV range, the Model S still has an impressive 402-mile rating per charge based on EPA estimates. The Long Range Plus variant has done wonders for EV competition and has solidified Tesla’s position as the leader in electric car development. It is important to note that Tesla’s flagship sedan still is the only currently available vehicle with at least 400 miles of range, making it a prize all on its own for anyone who wants to forget about range anxiety altogether completely.
Battery Day is only a little over a month away
Tesla’s Battery Day is September 22, so there are plenty of things to speculate about for the event. Tesla may unveil its million-mile capable battery pack at the event. But even further, the company has been working on several other developments that are geared toward using more responsible battery materials and getting rid of the controversial cobalt that is used in cells now. Regardless of what is revealed on September 22, it will likely be a response to what Lucid showed the world today. Elon is a master of responding to Tesla’s competitors.
Consumers don’t “need” 500+ miles of range
500+ miles of range is unheard of in the EV community, but it does not mean that consumers are going to flock to a vehicle that offers that capability. With higher range usually comes higher kWh battery packs, which frequently means more money. The details of the battery pack are not known and will likely be revealed at the company’s unveiling event on September 9. Lucid CEO Peter Rawlinson did state that the Air will have a 900-volt architecture.
However, consumers do not need 500 miles of range. Very few people require that amount of range for a typical commute to work and even cross country drives, which are rare, to begin with, don’t need this much range. The EV charging infrastructure has grown exponentially in the past few years, and charging stations are standard along popular routes of travel. If anything, the range is a luxury that will ease the minds of some owners.
Sam Abuelsamid, a principal analyst for Guidehouse Insights, stated that customers tend to buy cars that have functions that are not needed.
“Car buyers are not rational and never have been. Thus automakers are scrambling to build 300+ mile EVs because consumers say they want to go anywhere, anytime. How many people do you know that have ever actually driven across the country?” he said, according to Green Car Reports.
Tesla still has the lead in terms of EV development as a whole
Two sedans, one SUV, one crossover, a pickup, a Supercar, and a Semi: Those are all of the things Tesla is selling or is developing. The company has a lot to offer consumers because it has equipped itself with vehicles that fit every body style and description. Now, the company is building two new Gigafactories, one in Germany and one in Texas to keep up with increasing demand. Meanwhile, Lucid is still a new player on the block, and it has a long way to go in vehicle development, especially if it expects to keep up with Tesla’s momentum in the sector.
Tesla’s Lineup of Model S, Model X, Model 3, and Model Y. (Credit: Tesla.com)
Lucid’s 517-mile capable Air will undoubtedly drive competition in the electric vehicle market to levels that it has not seen before. When electric vehicles were first being introduced, range ratings of 100 miles or less were somewhat standard. Tesla’s focus on range and performance through high-grade battery development changed the EV sector altogether and set a standard for the industry as a whole. Now, companies are stepping up their game to match and surpass other automakers, which is what is going on with Lucid.
However, Tesla will likely have a rebuttal for this range rating, and it could come as soon as September 22. There is not much for Elon Musk’s company to worry about right now; it still holds an advantage over anyone and everyone who makes electric cars.
Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.
CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.
Musk said:
“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”
Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”
He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”
Yup. In this case, the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area. They reached a speed of 73 mph during the crash, and had the accelerator pressed even after the crash.
— Ashok Elluswamy (@aelluswamy) June 22, 2026
Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.
The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.
Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”
Tesla alleged “driverless” crash in Texas: What is known so far
“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.
This appears to be a similar situation. However, an investigation will prove what happened for sure.
SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.
The company announced an offering of senior unsecured notes expected to raise at least $20 billion.
The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.
🚨 SpaceX has announced its inaugural offering of senior unsecured notes.
The net proceeds will be used to repay outstanding loans under its bridge loan facility in full.
This inaugural debt offering represents a financing milestone for SpaceX, which previously depended… pic.twitter.com/pcOZuVbTRv
— TESLARATI (@Teslarati) June 22, 2026
According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.
The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.
SpaceX officially acquires xAI, merging rockets with AI expertise
In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.
The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.
SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.
Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Mississippi.
Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.
CNBC first reported the deal.
🚨 SpaceXAI has agreed to a new compute deal with Reflection AI.
Reflection gets access to NIVIDIA GB300s, and will pay $150M per month to SpaceXAI for the compute. pic.twitter.com/bNPare8U5u
— TESLARATI (@Teslarati) June 22, 2026
This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.
SpaceX has previously signed significant compute deals with other major players.
It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.
Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.
SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.
These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.
Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.
The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.
For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
SpaceX makes $20 billion move to optimize its balance sheet
