Elon Musk has confirmed that Hertz paid full price for its massive Tesla Model 3 order. Recently, news broke that the American car rental giant ordered 100,000 Model 3 vehicles for its fleet. “To be clear, cars sold to Hertz have no discount. Same price as to consumers,” Elon Musk pointed out on Twitter.
Musk’s comment highlighted the strong demand that’s being experienced by Tesla’s vehicles worldwide. Typically, carmakers tend to implement discounts for orders as large as Hertz’s. The fact that Tesla had the car rental giant pay full price for its 100,000 Model 3s shows that the company is treating Hertz like a regular customer, similar to any other EV buyer in the market.
On its official website, Hertz calls the Tesla Model the “flag bearer for the electric cars market.”
“Look at the reviews of Model 3 and you’ll find this best-selling electric vehicle has 5-stars nearly across the board. A sleek and compact sedan, it competes with and surpasses many equivalent gas-engine models from rival manufacturers and has the advantage of zero emissions. And, because it’s from Tesla, you can be confident that it offers the most advanced tech you’ll find in any car,” Hertz said about the Model 3.
The car rental company claims that it now has the largest electric vehicle rental fleet in North America. With 100,000 Model 3 in its fleet, Hertz certainly seems confident about Tesla and its best-selling sedan. Hertz’s Model 3 purchase also seemed to instill confidence in Tesla as a company.
After the Hertz deal was announced, TSLA stock moved up, breaking the $1,000 barrier and resulting in the company’s market cap hitting the $1 trillion mark. Elon Musk noted that the stock’s rise was strange.
“Strange that moved valuation, as Tesla is very much a production ramp problem, not a demand problem,” Musk tweeted.
Tesla’s demand is as potent as ever, especially since the pandemic proved the need to transition to renewable energy in almost all markets. As Musk pointed out, Tesla is still working on ramping production to meet demand.
At the last earnings call, Tesla VP of Engineering Lars Moravy pointed out that the company is focusing on ramping and improving production on its current line of products. He added that adding more vehicles to the lineup is not Tesla’s main focus for now. Moravy further mentioned the supply chain challenges Tesla has faced and possible supply chain headwinds in the future.
However, Tesla seems to be handling supply chain challenges very well, especially as it continues to raise its production capabilities, most notably with its Gigafactories. Giga Shanghai has already proven quite effective as an export hub, dealing with demand in Asia and Europe. Giga Berlin and Gigafactory Texas will likely do the same once they begin operations.
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Ford is charging for a basic EV feature on the Mustang Mach-E
When ordering a new Ford Mustang Mach-E, you’ll now be hit with an additional fee for one basic EV feature: the frunk.
Ford is charging an additional fee for a basic EV feature on its Mustang Mach-E, its most popular electric vehicle offering.
Ford has shuttered its initial Model e program, but is venturing into a more controlled and refined effort, and it is abandoning the F-150 Lightning in favor of a new pickup that is currently under design, but appears to have some favorable features.
However, ordering a new Mustang Mach-E now comes with an additional fee for one basic EV feature: the frunk.
The frunk is the front trunk, and due to the lack of a large engine in the front of an electric vehicle, OEMs are able to offer additional storage space under the hood. There’s one problem, though, and that is that companies appear to be recognizing that they can remove it for free while offering the function for a fee.
Ford is now charging $495 on the Mustang Mach-E frunk (front trunk). What are your thoughts on that? pic.twitter.com/EOzZe3z9ZQ
— Alan of TesCalendar 📆⚡️ (@TesCalendar1) February 24, 2026
Ford is charging $495 for the frunk.
Interestingly, the frunk size varies by vehicle, but the Mustang Mach-E features a 4.7 to 4.8 cubic-foot-sized frunk, which measures approximately 9 inches deep, 26 inches wide, and 14 inches high.
When the vehicle was first released, Ford marketed the frunk as the ultimate tailgating feature, showing it off as a perfect place to store and serve cold shrimp cocktail.
Ford Mach-E frunk is perfect for chowders and chicken wings, and we’re not even joking
It appears the decision to charge for what is a simple advantage of an EV is not going over well, as even Ford loyal customers say the frunk is a “basic expectation” of an EV. Without it, it seems as if fans feel the company is nickel-and-diming its customers.
It will be pretty interesting to see the Mach-E without a frunk, and while it should not be enough to turn people away from potentially buying the vehicle, it seems the decision to add an additional charge to include one will definitely annoy some customers.
News
Tesla to improve one of its best features, coding shows
According to the update, Tesla will work on improving the headlights when coming into contact with highly reflective objects, including road signs, traffic signs, and street lights. Additionally, pixel-level dimming will happen in two stages, whereas it currently performs with just one, meaning on or off.
Tesla is looking to upgrade its Matrix Headlights, a unique and high-tech feature that is available on several of its vehicles. The headlights aim to maximize visibility for Tesla drivers while being considerate of oncoming traffic.
The Matrix Headlights Tesla offers utilize dimming of individual light pixels to ensure that visibility stays high for those behind the wheel, while also being considerate of other cars by decreasing the brightness in areas where other cars are traveling.
Here’s what they look like in action:
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- Credit: u/ObjectiveScratch | Reddit
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- Credit: u/ObjectiveScratch | Reddit
As you can see, the Matrix headlight system intentionally dims the area where oncoming cars would be impacted by high beams. This keeps visibility at a maximum for everyone on the road, including those who could be hit with bright lights in their eyes.
There are still a handful of complaints from owners, however, but Tesla appears to be looking to resolve these with the coming updates in a Software Version that is currently labeled 2026.2.xxx. The coding was spotted by X user BERKANT:
🚨 Tesla is quietly upgrading Matrix headlights.
Software https://t.co/pXEklQiXSq reveals a hidden feature:
matrix_two_stage_reflection_dip
This is a major step beyond current adaptive high beams.
What it means:
• The car detects highly reflective objects
Road signs,… pic.twitter.com/m5UpQJFA2n— BERKANT (@Tesla_NL_TR) February 24, 2026
According to the update, Tesla will work on improving the headlights when coming into contact with highly reflective objects, including road signs, traffic signs, and street lights. Additionally, pixel-level dimming will happen in two stages, whereas it currently performs with just one, meaning on or off.
Finally, the new system will prevent the high beams from glaring back at the driver. The system is made to dim when it recognizes oncoming cars, but not necessarily objects that could produce glaring issues back at the driver.
Tesla’s revolutionary Matrix headlights are coming to the U.S.
This upgrade is software-focused, so there will not need to be any physical changes or upgrades made to Tesla vehicles that utilize the Matrix headlights currently.
Elon Musk
xAI’s Grok approved for Pentagon classified systems: report
Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations.
Elon Musk’s xAI has signed an agreement with the United States Department of Defense (DoD) to allow Grok to be used in classified military systems.
Previously, Anthropic’s Claude had been the only AI system approved for the most sensitive military work, but a dispute over usage safeguards has reportedly prompted the Pentagon to broaden its options, as noted in a report from Axios.
Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations.
The publication reported that xAI agreed to the Pentagon’s requirement that its technology be usable for “all lawful purposes,” a standard Anthropic has reportedly resisted due to alleged ethical restrictions tied to mass surveillance and autonomous weapons use.
Defense Secretary Pete Hegseth is scheduled to meet with Anthropic CEO Dario Amodei in what sources expect to be a tense meeting, with the publication hinting that the Pentagon could designate Anthropic a “supply chain risk” if the company does not lift its safeguards.
Axios stated that replacing Claude fully might be technically challenging even if xAI or other alternative AI systems take its place. That being said, other AI systems are already in use by the DoD.
Grok already operates in the Pentagon’s unclassified systems alongside Google’s Gemini and OpenAI’s ChatGPT. Google is reportedly close to an agreement that will result in Gemini being used for classified use, while OpenAI’s progress toward classified deployment is described as slower but still feasible.
The publication noted that the Pentagon continues talks with several AI companies as it prepares for potential changes in classified AI sourcing.
Ford is charging for a basic EV feature on the Mustang Mach-E
Tesla to improve one of its best features, coding shows
