Earlier this week, Tesla reduced the price of the Model S by $3,000. When a price change is applied to any of Tesla’s vehicles, it is usually a race between media outlets to report it first. I believe that many news sites look at it as an opportunity to have a post with high views, and being the first to report it could lead to that. Also, with human beings remaining relatively misinformed about EVs and Teslas’ prices in specific, whenever a price drop is applied, it is a huge deal.
But the reason for misinformation spreads to journalists as well. I found myself shocked at the Fox Business article that implied that Tesla was undergoing some sort of “sales slide.” At least, that’s what they put in their headline.
Baffled at what I had read, I felt compelled to post it on Twitter and LinkedIn (the only two forms of social media I have) and set the record straight. While it is true that the percentage of the Model S sales has gone down, it is untrue that Tesla, or the flagship sedan, is seeing record low numbers because of a “sales slide.”
https://twitter.com/KlenderJoey/status/1316017793070850053
First, Tesla just had its most successful quarter in terms of production and deliveries in Q3. 139,300 cars were delivered, and 145,036 cars were produced at Fremont and Giga Shanghai. Nothing about that indicates a sales slide, especially considering the massive growth during the quarter in both deliveries and production.
The Model S and Model X were delivered 15,200 times during the quarter. Yes, this is a relatively small percentage, just a tad more than 10% of the total deliveries that Tesla performed over the course of the quarter. It is a 33% growth from the last quarter, where the company only delivered around 10,000 of the two vehicles.
In my opinion, it isn’t that Tesla’s flagship sedan is “less popular” or even “slumping” in terms of sales. I think that the Model Y and Model 3 are simply better options for most car buyers. I’ll tell you why.
First, we have their price. The Model 3 and Model Y have better price points, and they are Tesla’s first two mass-market vehicles. This means that the prices will fit more budgets, and it will be a more popular vehicle because of that.
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Secondly, the Model 3 and Model Y technology is significantly better than the Model S and Model X. Of course, the Model S has a lot of power, and the Model X has those awesome falcon-wing doors that everyone freaks out about. But in terms of sheer technology, the Model 3 and Model Y are just better options. They are minimalistic, they are newer designs, and they are also operating with better batteries than the Model S and Model X.
The Model 3 is, as far as we know, still utilizing the 2170 cells, while some speculation suggests that Tesla could already be putting the 4680 cells in the Model Y. These cells are not only more affordable, but they’re also more efficient, offer better power, and their energy capacity is greater.
The Model S and the Model X are still using the 18650 battery cells, which are still great batteries. The Model S has an EPA record 402 miles of range, and they both have 100 kWh battery packs in their performance models, which makes them a better option for the speed demons out there. Nevertheless, battery tech has gotten better since the Model S and Model X have been built, and neither of these cars has undergone a refresh, which brings me to my next point.
Buying a Model 3 or a Model Y ensures that a car buyer has the most up-to-date Tesla technology available. In addition to the already more minimalist design that the 3 and the Y offer, these two cars’ look is fresh in people’s minds. The Model 3 literally just underwent a refresh last night, and the Model Y is only seven months old as of right now.
Meanwhile, the Model S and Model X have relatively the same design as they did when they were released. The only things that have really changed are the available colors and the grille, which are minor cosmetic modifications. I love the look of the S and the X, but some people out there need the most updated versions of things. That is why we see so many people waiting for Apple to release a new phone, even though theirs works perfectly fine.
There’s nothing wrong with wanting something new. I get it. Believe me, I will be one of the first people in Pennsylvania to have a PS5, but that’s a $500 purchase. A car is $35,000 at the least if you want a Tesla.
All of this brings me to my point: These large-scale media networks reporting price cuts should just report the price cuts. Nothing more, and nothing less. There is no reason for these media outlets who have no idea what they’re talking about to sit there and suggest that the Model S is having a sales slide when they are still selling a healthy amount of vehicles.
Even Tesla knows that the Model S and Model X are not going to be big factors in the company’s future growth. That’s why the company has confined production to Fremont and hasn’t expanded it to Shanghai or even mentioned it with Giga, Texas. There is no need to. Remember, Tesla’s ultimate mission is to accelerate sustainable energy and transportation, not turn a massive profit with really fast cars. If that were the case, I’m sure the Roadster would already be built and roaming around the streets of California being driven by celebrities and Tesla referral code masters.
There is a real danger here with the way media outlets are angling their headlines. Ultimately, Tesla is doing a great job of expanding its presence in the automotive market. If mainstream media was more responsible with its reporting, could Tesla’s popularity be even more widespread at this point?
I use this newsletter to share my thoughts on what is going on in the Tesla world. If you want to talk to me directly, you can email me or reach me on Twitter. I don’t bite, be sure to reach out!
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News
SpaceX just locked up a NASA record no other U.S. spacecraft can touch
SpaceX’s Crew-13 Dragon reached the ISS in under eight hours, and NASA confirmed a record.
SpaceX now owns every spot on the list of the five fastest trips a U.S. spacecraft has ever made to the International Space Station, and its newest entry beat the old mark by more than four hours.
Crew Dragon Grace docked to the forward port of the station’s Harmony module at 7:05 p.m. ET on October 1, just 7 hours and 55 minutes after lifting off from Space Launch Complex 40 at Cape Canaveral. NASA confirmed the milestone in a space station blog update, writing that the flight “marked the fastest launch‑to‑docking of a U.S. spacecraft in the history of the International Space Station.”
The previous U.S. record also belonged to Dragon. SpaceX’s uncrewed CRS-31 cargo mission reached the station in a little over 12 hours in November 2024. The fastest crewed trip before last week was Crew-11, which took 14 hours and 43 minutes in August 2025, according to Space.com.
A post that Elon Musk reposted on Monday filled out the rest of the ranking. Behind Crew-13, CRS-31 and Crew-11 sit Axiom’s Ax-2 mission at 15 hours and 35 minutes and NASA’s Crew-4 at 15 hours and 44 minutes. All five flew on Dragon.
SpaceX turned a heralding moment for Starship into its greatest
Crew-13 carried NASA astronauts Jessica Watkins and Luke Delaney, Canadian Space Agency astronaut Joshua Kutryk, and Roscosmos cosmonaut Sergey Teteryatnikov. NASA had projected a docking around 8 p.m. ET, as Teslarati reported the day before launch, and Dragon arrived nearly an hour early. Our launch day coverage noted that the flight was lined up to be the quickest Crew Dragon transit yet.
The speed came from timing more than hardware. SpaceX’s Julianna Scheiman said the station “was in an opportune spot in space,” which let Dragon start closing the gap almost immediately after reaching orbit. “This is close to the fastest it could be,” she added. Most Crew Dragon flights still take close to a day, using a series of Draco thruster burns to raise and phase their orbit before arrival.
Dragon’s next job at the station is a departure. NASA said Monday it is targeting 8:05 a.m. ET on Wednesday, October 7, for Crew-12 to undock, setting up a splashdown off the coast of California around 11:34 a.m. on Thursday. Clearing that port makes room for CRS-35, a cargo Dragon carrying the final set of iROSA solar arrays.
Dragon remains NASA’s only operational ride to the station while Boeing’s Starliner stays grounded, and the agency recently added Crew-15, Crew-16 and Crew-17 to SpaceX’s contract in a $946 million modification.
Elon Musk has acknowledged that early discussions with Taiwan Semiconductor Manufacturing Company (TSMC) could bring the company into his ambitious Terafab semiconductor project, signaling a possible partnership with the world’s leading contract chipmaker.
Musk confirmed that early talks are underway, but as of right now, they are “just discussions.” There is no confirmation of a deal nor dismissal of the possibility of one, leaving open the prospect of one of the largest advanced-chip collaborations under discussion in the U.S.
@wholemars Just discussions, but something may come of it
— Elon Musk (@elonmusk) October 3, 2026
The report that speculated on potential discussions between Terafab and TSMC comes from Tim Culpan, who outlined a few ways the collaboration could operate. One is TSMC using the project as an “anchor customer” for future facilities in Texas, potentially contributing process expertise, operational know-how, or capacity while Terafab provides capital, long-term purchase commitments, or both.
Tesla and SpaceX jointly developed the Terafab project, with Intel already participating on the tech side. Elon Musk announced the project in March, and it intends to produce more than one terawatt of AI compute capacity annually once fully built.
Company statements place the first phase at approximately $16.8 billion in cost, with later filings pointing to a total that could reach well into the tens of billions across multiple stages.
Intel joined the effort in April 2026 and is expected to supply its 14A manufacturing process for the full-scale plant.
Musk has said existing suppliers, including Samsung and TSMC, remain important for near-term needs; Tesla already has production arrangements with Samsung for AI5 and AI6 chips, but that future demand from Optimus robots, Cybercab vehicles, and planned space-based data centers will eventually exceed what the global industry can currently deliver.
Terafab is positioned as the long-term answer to that projected shortfall, and Tesla did something similar during COVID to avoid a chip shortage. This is just a much larger-scale solution.
If the partnership were to materialize, it would add TSMC’s industry-leading strategies to a project that already combines Tesla’s and SpaceX’s capital and offtake with Intel’s process technology. For now, the only public confirmation is Musk’s brief acknowledgement that conversations are occurring.
Tesla’s early strategy for charging units operating within its Robotaxi fleet reveals that the company surely has not lost any of that scrappy DNA that took it from an unlikely success story to the most valuable carmaker in the world.
An observer at a Tesla Supercharger in Austin spotted ten total Robotaxi vehicles arrive: one Cybercab and nine Model Y units. A Tesla employee was waiting at the lot and allowed each unit to park itself; every car that arrived had nobody in it.
Tesla wins FCC approval for wireless Cybercab charging system
The Tesla employee would walk around and plug each car in, adjusting the parking if needed:
So look at what I found. This is how Tesla charges unsupervised robotaxis at a public supercharger. Here is a driverless Cybercab showing up with no one in it. There are 9 other Model Ys that showed up too. A Tesla employee is walking around and plugging each of them in. She also moves the cars if they are not positioned well enough to charge. I love this process. One person charges multiple robotaxis at once
— Abhimanyu Yadav (@WorldlyReviewer) October 3, 2026
It’s a very interesting strategy, but extremely understandable at this early point in the Robotaxi program. It’s only been out for about 15 months, and Cybercab just entered the fleet in early September.
On top of that, Tesla is still working tirelessly on its wireless charging apparatus, and a new patent was just published regarding that product last week.
However, this is just another example of how Tesla still has plenty of that scrappy DNA leftover from the “production hell” days, when CEO Elon Musk slept on the floor of the factory, employees were working crazy hours, Tesla was building Sprung Structures to build cars in, and the company was tiptoeing on the brink of bankruptcy.
@Teslarati Sheer magnitude of the entire production system is hard to appreciate. Almost every element of production is >75% automated. Only wire harnesses & general assembly, which are <10% of production costs, are primarily manual.
— Elon Musk (@elonmusk) October 12, 2020
For now, Tesla is utilizing a simple system for recharging its ride-hailing vehicles, and that is a Tesla employee doing it manually until another solution presents itself. Sure, it’s not the most high-tech thing, and it certainly is not what people might have expected at this point in time, but it works, and it’s keeping the entire suite running.
SpaceX just locked up a NASA record no other U.S. spacecraft can touch
Elon Musk teases TSMC as potential Terafab partner
