News
I drove the new Tesla Model 3, here’s what got better
The new Tesla Model 3 is now available for test drives at several Tesla Showrooms. It was available just an hour from me, so I decided to drive up and give it a spin.
The first Tesla I ever drove was a Model 3 back in 2019 when I first started writing for Teslarati. Since then, I have had the chance to drive the four models in its lineup. The Cybertruck is not yet available near me, but when it is, I’ll be sure to take that for a spin, too.
My expectations going into the drive were pretty standard. I knew that Tesla had changed a lot about the car, and I really do love the new look of the Model 3; it’s sporty and sleek, and just a better aesthetic than what was previously offered. However, looks only go so far, and what I was really interested in was the true performance and interior changes that the new Model 3 equipped.
It definitely was not what I expected, and I was pleasantly surprised by some features but underwhelmed by others.
First Thoughts and Initial Impressions
When I arrived, I was pleasantly surprised by the look. I really do like the new front end of the car. It looks sporty and tough and clean, but also it just seems more appealing. I think the legacy Model 3 is a good design, but it was just too generic when comparing it to this option.
The new headlight design is sleek and slim and, from the outside, you truly do think you’re getting into something that is super luxurious. I also loved this color in particular. I usually like white cars, but this Stealth Grey was super clean.
Getting In
The new interior is similar to the legacy Model 3 interior, but there are a few noticeable changes. I will say I don’t think I’d ever want to own a car without stalks. I totally understand the removal of things in preparation for Full Self-Driving, but we’re pretty far off from having a fully autonomous vehicle, so I think there should be an option for people to have traditional stalks.
Without them, and without a lot of other things, the interior of this car just feels empty. I am still a firm believer in having some more physical buttons and knobs because things are easier to adjust and are more accessible that way. In my car, I am able to change the climate, adjust which vents are active, and control other features, like my drive mode, with the touch of a button or the turn of a knob. It takes less than five seconds to do so.
In the Model 3, it takes a few touches on the center screen to adjust everything from the mirrors to the steering wheel. To me, it’s too much of a process to perform these simple tasks, and the lack of things to look at is something I personally do not enjoy. I do understand the appeal, though.
Tesla moved from haptics to physical buttons on this new steering wheel, which was an interesting touch. It only took me about three or four turns, or roughly ten minutes, to realize I needed to stop reaching for stalks. I feel like the buttons are super convenient, but there were times I would push the edges or corners, and the signal would not come on.
You have to push the center of the signal button for it to activate, and it also holds that hand captive on that portion of the wheel.
The high-beam button is also where things get dicey. During my drive, someone was attempting to merge over into my lane in front of me. I flashed my lights at him to get over, which he did. But it was more difficult than just flicking a stalk a couple of times.
I totally realize that these are pretty tedious complaints, but I do believe there are some people who would see this as such an inconvenience that it would stop them from buying a car.
A lot of things I liked, including the ventilated seats, the wireless charger, the center console, and the cup holder covers are a sleek touch. Everything felt very high-quality. There was not very much creaking or movement from these parts, which can sometimes be cheap and seem like an inferior quality. This was not the case in this car, I was really impressed with everything.
Driving
It is fun to drive an electric car. Every EV I have ever had the opportunity to drive has been more fun than a gas version that is similar. The Model 3 is definitely an improvement from its legacy build, and I was impressed by the suspension feel, the cabin noise reduction, and the overall ride quality in general.
I started on a four-lane highway that featured stoplights to test how it felt in traffic. It was as you’d expect. Where I really wanted to test it was on backroads in Pennsylvania, which there are plenty of. This is where the most fun driving is done, at least in my opinion.
I took it on some windy and tight backroads and it hugged the corners super well. The suspension kept the car feeling sporty and capable during some of the curves. I tried to push the car as much as I could responsibly, and it passed with flying colors. I will say there are only a handful of vehicles that have given be this amount of confidence when taking turns with some speed, one of them being the Ford Mustang Mach-E.
Even the updated Model 3 outperformed the Mustang Mach-E, which was one of the most fun driving experiences I have had in recent memory.
I had a Rear-Wheel-Drive version of this car, and it was missing that truly face-melting instant torque that I have had in other cars, especially the Long Range All-Wheel-Drive and Performance configurations that I’ve driven in the past.
For me, I don’t drive super fast. I was in a couple of car accidents in high school as a passenger, and they taught me to be more responsible on the road. I know when I have to drive with some aggressiveness and with some speed, and it is not often. However, this configuration was just not enough pep for me. If I were to make an order, I’d be going a step up.
Other Thoughts
A couple of things worth mentioning are the rear legroom, the rear touchscreen, trunk and frunk space, and the road noise.
Rear Legroom
I am 5′ 8″, and I did not move the driver’s throne when I decided to hop in the backseat to see how much room there was.
There wasn’t much, and I don’t know if I could see myself being strong enough or patient enough to make it more than a few hours with such little space to move.
For a sedan, it’s pretty understandable to have limited space. You will be stuck in this generic position for most of the ride, but the back is definitely more suitable for children.
Rear Touchscreen
I think the rear touchscreen is a nice addition. A lot of cars have one now, and it is a good thing to have. It is packed with features to keep your rear occupants busy, but I feel that it is more of a novelty move than anything. It’s a decent size, can play some of the games in the Tesla Arcade, and streaming is available.
Trunk and Frunk
The frunk and power trunk are both spacious and provide room for a lot of things. I couldn’t get a good gauge on how much luggage you could fit in the trunk, but the frunk space would be nice for those daily trips to the grocery store to pick up odds and ends.
My biggest concern would be fitting a few golf bags in the trunk, and it seems like two or three would be the limit there.
Cabin Noise
Last week, I had to drive to Penn State to cover a wrestling match, and I went by myself. Spending 10-12 hours in front of a computer screen daily, constantly having to listen to things, living with a dog, and barely ever having peace and quiet prompted me to turn the stereo off and take the two-hour trip in silence. It was great.
One thing I truly love about this new Model 3 is the cabin noise. It was so quiet in the car and so peaceful, that it was undoubtedly my favorite part of the test drive. I never turned the music on once, I just chose to drive in the quiet, and I really liked how peaceful it was inside the cabin because road noise has been a huge complaint of some drivers in the past. I didn’t have that issue at all.
Closing Thoughts
Tesla did a good job of improving some of the parts of the Model 3 with this update. The sleek and sporty exterior look is great, the amount of noise in the cabin was excellent, and the suspension and ride comfort were top notch.
Were there things I wish were different? Yes. Absolutely. I wish stalks were still a thing, I wish changing climate control settings and other things that are commonly adjusted throughout the course of a drive were more easily accessible.
Do I think this is a mini Model S? It’s tough to say. Personally, the interior of this car makes me feel like I’m not getting much for the price. I didn’t feel blown away by the inside of the car from an aesthetic perspective. It just felt too minimalistic, and I’ve liked driving other Teslas more than this.
“Would I trade in my current car for this one?” is the question I ask myself when I have the opportunity to drive other vehicles. I did not get that impression from the Model 3. In fact, the Model X and Model Y are the only two cars I’d even remotely consider at this point from Tesla, but there are a few reasons for that.
- I prefer an SUV or something with more interior space than I truly need,
- I drive my car on the beach every year; I wouldn’t sacrifice that privilege for a sedan that doesn’t blow me away in every aspect,
- The minimalism truly is a major turn off for me. I liked the stalks, the display behind the steering wheel in the Model X and S, and more things to look at
Did Tesla improve this car? Yes. Was it the best EV I’ve ever driven? No. But it’s also the entry-level Tesla, and if you want more, you have to pay more, or settle for another car. It is unrealistic to expect this vehicle to check off all the boxes at this price. Is it a good car for a first-time/young driver? Absolutely. It is something I’d consider if I drove an hour to Baltimore or 45 minutes to Harrisburg for work. As someone who works from home and spends a limited amount of time behind the wheel, it would not be my first choice. But, it’s still a great car.
What did you think of my Model 3 review? Were there things I missed? Things you’d like to hear about further? Shoot me an email at joey@teslarati.com.
News
SpaceX and Google mull massive partnership on Musk’s orbital data dream: report
The two companies are currently in talks for a rocket launch deal to support the placement of data centers in orbit as part of their push into space-based computing.
SpaceX and Google are in the process of ironing out the details of a potential partnership, a new report from the Wall Street Journal says. The two companies are currently in talks for a rocket launch deal to support the placement of data centers in orbit as part of their push into space-based computing.
In a move that blends cutting-edge AI demands with the final frontier of space exploration, Google is in exclusive talks with Elon Musk’s SpaceX for a rocket launch deal to deploy data centers in orbit. The Wall Street Journal is now reporting today, May 12, that the discussions mark Google’s aggressive expansion into space-based computing, addressing the exploding energy needs of artificial intelligence that terrestrial infrastructure can no longer sustain.
Exclusive: Google is in talks with SpaceX for a rocket launch deal as the search giant expands its own efforts to put orbital data centers in space https://t.co/QUCD3cPjxi
— The Wall Street Journal (@WSJ) May 12, 2026
SpaceX, nor Google, have commented on the report.
The catalyst for a potential deal is clear: AI’s voracious appetite for electricity. Global data centers consumed about 415 terawatt-hours (TWh) of electricity in 2024—roughly 1.5 percent of worldwide usage—according to the International Energy Agency. That figure is projected to more than double to around 945 TWh by 2030, with AI-focused servers growing at 30 percent annually, outpacing overall electricity demand growth by more than four times.
Some forecasts peg data center consumption exceeding 1,000 TWh by 2026, equivalent to Japan’s entire national electricity use. A single large AI training facility can draw as much power as 100,000 homes. On Earth, this translates to grid overloads, skyrocketing costs, land shortages, and massive water demands for cooling—constraints that threaten to throttle AI progress.
Orbital data centers promise a radical workaround. In space, satellites can harness constant, unobstructed sunlight for power—solar panels generate roughly five times more energy in orbit than on the ground, with no night cycle or atmospheric interference.
Excess heat radiates harmlessly into the vacuum of space, eliminating energy-intensive cooling systems and water usage. No terrestrial land or power grid is required, freeing operations from regulatory and environmental bottlenecks.
Musk has long championed the concept, framing it as inevitable. “Space-based AI is obviously the only way to scale,” he wrote on SpaceX’s site following the xAI merger. “Global electricity demand for AI simply cannot be met with terrestrial solutions… In the long term, space-based AI is obviously the only way to scale.”
He has repeatedly highlighted solar advantages: “Space has the advantage that it’s always sunny,” and “any given solar panel is going to give you about five times more power in space than on the ground.”
Musk predicted in early 2026 that “in 36 months but probably closer to 30 months, the most economically compelling place to put AI will be space,” adding that within five years, annual space-launched AI compute could surpass Earth’s cumulative total. “SpaceX will be doing this,” he declared when discussing scaled-up Starlink satellites with high-speed laser links for orbital data transfer.
Meanwhile, Google has been quietly advancing a similar vision under Project Suncatcher, its internal “moonshot” initiative. CEO Sundar Pichai has described plans to launch two prototype satellites equipped with Tensor Processing Units (TPUs) by early 2027 for testing thermal management and reliability in orbit. In interviews, Pichai has called orbital computing a potential “normal way to build data centers” within a decade, enabled by launch cost reductions.
SpaceX is uniquely positioned to make this reality. The company recently filed with the FCC to launch up to one million satellites dedicated to orbital data centers at altitudes between 500 and 2,000 kilometers, projecting capacity for 100 gigawatts of AI compute.
These talks align with SpaceX’s broader ambitions, including a potential IPO where orbital infrastructure features prominently in investor pitches.
FCC accepts SpaceX filing for 1 million orbital data center plan
Challenges remain formidable, as is expected with a project with expectations so lofty. Radiation-hardened hardware, laser-based inter-satellite and Earth-downlink communications, launch economics, and orbital debris management are key hurdles.
Yet early movers like Starcloud (which trained the first large language model in orbit in late 2025) and Google’s prototypes signal accelerating momentum. Rivals, including Amazon and Blue Origin, are exploring similar paths, but SpaceX’s Starship and Starlink heritage give it a launch cadence edge.
This partnership could redefine AI infrastructure, turning the skies into the next data center frontier. As Earth’s power limits loom, Musk’s vision, combined with Google’s ambition, could position space not as sci-fi, but as the scalable solution for humanity’s computational future.
Investor's Corner
Legendary investor Ron Baron says Tesla and SpaceX stock buys will continue
In a wide-ranging appearance on CNBC’s Squawk Box on May 12, legendary investor Ron Baron, founder, CEO, and portfolio manager of Baron Capital, reaffirmed his deep conviction in Elon Musk’s two flagship companies.
Legendary investor Ron Baron says he will continue buying stock of both Tesla and SpaceX, as he continues his support behind CEO Elon Musk, who he says is a special person and “brilliant.”
In a wide-ranging appearance on CNBC’s Squawk Box on May 12, legendary investor Ron Baron, founder, CEO, and portfolio manager of Baron Capital, reaffirmed his deep conviction in Elon Musk’s two flagship companies.
With assets under management approaching $55–56 billion, Baron detailed his firm’s substantial holdings, outlined plans for the anticipated SpaceX IPO, and painted an exceptionally optimistic picture for both Tesla (NASDAQ: TSLA) and SpaceX, framing them as generational opportunities that will reshape industries and deliver extraordinary long-term returns.
Baron Capital’s position in SpaceX has grown dramatically since the firm began investing around 2017. What started as roughly $1.7 billion has ballooned to more than $15 billion, making it the firm’s largest holding.
Tesla ranks second, valued at approximately $5 billion in the portfolio. Together with stakes in xAI and related Musk-led ventures, these investments account for roughly one-third of Baron Capital’s $60 billion in lifetime profits since 1992. Baron emphasized that the growth stems from Musk’s singular ability to execute ambitious visions—from reusable rockets to global satellite internet and beyond.
The centerpiece of the discussion was SpaceX’s expected initial public offering, targeted for mid-2026 following a confidential S-1 filing. Baron announced plans to purchase an additional $1 billion in shares at the IPO.
Ron Baron said today that he plans on buying an additional $1 billion of SpaceX stock during the upcoming IPO:
“At the IPO price, I’ve got an order for $1 billion. I want to buy more stock at the IPO. I don’t know if we’re going to get filled, but we’re going to try. I believe… pic.twitter.com/KOv1HvYcZ0
— Sawyer Merritt (@SawyerMerritt) May 12, 2026
He described the company’s trajectory in sweeping terms: “This is going to become the largest company on the planet.”
He highlighted Starlink’s expansion of high-speed internet to every corner of the globe, the revolutionary economics of reusable rockets, and Starship’s potential to enable massive space-based data centers and interplanetary infrastructure.
Baron sees SpaceX not merely as a rocket company but as a platform poised for exponential scaling once it goes public, with post-IPO appreciation potentially reaching 10- to 20- or even 30-times current levels over the next decade or more.
On Tesla, Baron struck an equally enthusiastic note, declaring that “now is Tesla’s moment.” He projected the stock could reach $2,000 to $2,500 per share within 10 years—implying a market capitalization near $8.3 trillion and roughly 5–6 times upside from recent levels. While Tesla remains a major holding, Baron’s optimism centers on its evolution beyond electric vehicles into an AI, robotics, autonomous-driving, and energy platform.
He pointed to robotaxis, Full Self-Driving (FSD) technology, Optimus humanoid robots, energy storage, and the vast real-world data advantage from Tesla’s global fleet as catalysts that will fundamentally alter the company’s revenue model and valuation multiples. Baron views these developments as transformative, shifting Tesla from a traditional automaker to a high-margin technology and infrastructure powerhouse.
Throughout the interview, Baron’s admiration for Musk was unmistakable. He has likened the entrepreneur to a modern Leonardo da Vinci for his artistic, multidisciplinary approach to solving humanity’s biggest challenges.
Baron’s personal commitment mirrors this confidence: he has repeatedly stated he does not expect to sell a single share of his own Tesla or SpaceX holdings in his lifetime, positioning himself as the “last one out” after his clients. This stance underscores a philosophy of patient, long-term ownership rather than short-term trading.
Baron’s comments arrive at a time of heightened anticipation around SpaceX’s public debut, which could rank among the largest IPOs in history and potentially value the company at $1.5–2 trillion or more at listing.
For investors, his message is clear: the Musk ecosystem—spanning electric vehicles, autonomy, robotics, satellite communications, and space exploration—represents one of the most compelling secular growth stories of the era. While short-term volatility in tech and EV stocks may persist, Baron sees these as buying opportunities for those who share his multi-decade horizon.
In summarizing his outlook, Baron reinforced that the combination of technological breakthroughs, massive addressable markets, and Musk’s leadership creates asymmetric upside that few other investments can match.
For Baron Capital’s clients and long-term Tesla and SpaceX shareholders alike, the investor’s latest CNBC remarks serve as both validation and a call to remain patient through the inevitable ups and downs. As Baron sees it, the best days for both companies—and the returns they can deliver—are still ahead.
Elon Musk
Trump’s invite for Elon just reshuffled Tesla’s big Signature Delivery Event
Tesla rescheduled its final Model S farewell to May 20 after Musk joined Trump in China.
Tesla has rescheduled its Model S and Model X Signature Edition delivery event to Wednesday, May 20, 2026, after abruptly calling off the original May 12 celebration. The event will take place at Tesla’s factory at 45500 Fremont Boulevard in Fremont, California, the same location where the Model S first rolled off the line in 2012. Invitees received a follow-up email asking them to reconfirm attendance and download a new QR code ticket, with Tesla noting that all travel and accommodation expenses remain the buyer’s responsibility.
The reason behind the original cancellation came into focus the same day it was announced. President Trump invited Elon Musk, Apple’s Tim Cook, BlackRock’s Larry Fink, Boeing’s Kelly Ortberg, and executives from Goldman Sachs, Blackstone, Citigroup, and Meta to join his trip to China this week for a summit with President Xi Jinping. The agenda covers trade, artificial intelligence, export controls, Taiwan, and the Iran war, following weeks of escalating friction between Washington and Beijing over AI technology, sanctions, and rare earth exports. Trump wrote on Truth Social, “I am very much looking forward to my trip to China, an amazing Country, with a Leader, President Xi, respected by all.”
Tesla launches 200mph Model S “Gold” Signature in invite-only purchase
The vehicles at the center of all this are the last Model S and Model X units Tesla will ever build. Priced at $159,420 each, the 250 Model S and 100 Model X Signature Edition units come finished in Garnet Red with a one-year no-resale agreement, giving Tesla right of first refusal if the owner decides to sell. As Teslarati reported, the Model S defined Tesla’s early identity as a serious luxury automaker, and the Fremont factory line that built it is now being converted to manufacture Optimus humanoid robots.
Musk’s inclusion in the China delegation drew attention given his very public relationship with Trump, and the invitation signals the two have moved past and past grievances. Trump originally brought Musk on to lead the Department of Government Efficiency following his inauguration, and despite a sharp public dispute in mid-2025, the two have appeared together repeatedly in recent months. A seat on the China trip, the most diplomatically consequential visit of Trump’s current term, puts Musk back at the table on U.S. economic policy at a moment when Tesla’s China revenue remains one of the company’s most important financial pillars.
SpaceX and Google mull massive partnership on Musk’s orbital data dream: report
Legendary investor Ron Baron says Tesla and SpaceX stock buys will continue
