Connect with us

News

Once-deemed Tesla 'killer' VW ID.3 is rolling off the line without complete software: report

(Credit: Volkswagen)

Published

on

The Volkswagen ID.3, the German auto giant’s first step in its efforts to embrace a fully-electric future, formally entered production last month. Despite this, reports from German business media have indicated that the ID.3 being built today are rolling off the factory without a complete software architecture. 

According to a report from Manager Magazin, the lack of a fully-complete software in the ID.3 is due to “massive software problems” that the company’s developers are encountering. As a result, ID.3 units that have been produced so far are reportedly being parked in specially-rented parking lots, where they await the installation of new software. This system is expected to be adopted for the first 10,000 ID.3 that are produced. 

A second wave of Volkswagen ID.3, which is expected to correspond to over 20,000 units, should be reworked. These vehicles, unlike the 10,000 units that preceded them, should be installed with Volkswagen’s latest software via “over-the-air” updates. This is a rather ambitious jump, but it is more than feasible considering that American automaker Tesla has been adopting an over-the-air model for years. 

There was once a time when the term “Tesla Killer’ was a hot keyword among the Silicon Valley-based electric car maker’s critics. Among them, the ID.3, with its affordable price and size, was hailed as a potential “killer” of the Tesla Model 3. The fact that the ID.3 was coming from one of the world’s biggest automakers was considered as a key edge against the Silicon Valley-made vehicle. 

Advertisement

Yet, similar to other EVs from traditional OEMs before it like the Jaguar I-PACE and the Audi e-tron, the ID.3 actually seems to be bogged down by details that traditional automakers are simply not very good at. Among these is software, something which Tesla CEO Elon Musk noted was a pain point for traditional car companies. 

That being said, Musk has shown significant support for Volkswagen and its electric car initiatives. The ID.3 is only the first vehicle in its modular MEB electric car kit, which means that several other EVs are coming through the pipeline in the near future. This is something that VW CEO Herbert Diess is very particular about. 

While Volkswagen is currently struggling with the software of the ID.3, the German automaker intends to eventually sell its software architecture to competitors. This would be a great idea for Volkswagen, but it would have to ensure that its software is working perfectly for its own electric cars first.

Advertisement

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

Advertisement
Comments

News

Tesla Model Y prices just went up for the first time in two years

Published

on

Credit: Tesla Asia | X

Tesla just raised Model Y prices for the first time in two years, with the largest increase being $1,000.

The move signals shifting dynamics in the competitive electric vehicle market as the company continues to work on balancing demand, profitability, and accessibility.

The new pricing affects premium trims while leaving entry-level options unchanged. The Model Y Premium Rear-Wheel Drive (RWD) now starts at $45,990, a $1,000 increase.

The Model Y Premium All-Wheel Drive (AWD)—previously referred to in the post as simply “Model Y AWD”—rises to $49,990, also up $1,000. The top-tier Model Y Performance sees a more modest $500 bump, bringing its starting price to $57,990.

Base models remain untouched to preserve affordability. The entry-level Model Y RWD holds steady at $39,990, and the base Model Y AWD stays at $41,990. This selective approach keeps the crossover accessible for budget-conscious buyers while extracting more revenue from higher-margin configurations.

After years of aggressive price cuts to stimulate volume amid slowing EV adoption and rising competition from rivals like BYD, Ford, and GM, Tesla appears confident in underlying demand. Recent lineup refreshes for the 2026 Model Y, including refreshed styling and efficiency gains, have helped maintain its status as America’s best-selling EV.

By protecting base prices, Tesla avoids alienating price-sensitive customers while improving margins on the more popular variants.

Tesla Model Y ownership review after six months: What I love and what I don’t

For consumers, the changes are relatively modest—under 3% on affected trims—and still position the Model Y competitively against gas-powered SUVs in the same class. Federal tax credits and potential state incentives may further offset costs for eligible buyers.

This marks a subtle but notable shift from the deep discounting era that defined much of 2024 and 2025. As the EV market matures into 2026, Tesla’s pricing strategy will be closely watched for clues about production ramps, new variants like the rumored longer-wheelbase Model Y, and broader profitability goals.

In short, today’s adjustment reflects a company that remains dominant yet pragmatic—willing to test higher pricing where demand supports it. It is unlikely to deter consumers from choosing other options.

Continue Reading

Elon Musk

Elon Musk explains why he cannot be fired from SpaceX

Published

on

Credit: SpaceX

Elon Musk cannot be fired from SpaceX, and there’s a reason for that.

In a blunt post on X on Friday, Elon Musk confirmed plans to structurally shield his leadership at SpaceX, ensuring he cannot be fired while tying a potential trillion-dollar compensation package to the company’s long-term goal of establishing a self-sustaining colony on Mars.

The revelation stems from a Financial Times report detailing SpaceX’s intention to restructure its governance and compensation framework. The moves are designed to protect Musk’s control and align his incentives with the company’s founding mission rather than short-term financial pressures. Musk’s reply left no ambiguity:

“Yes, I need to make sure SpaceX stays focused on making life multiplanetary and extending consciousness to the stars, not pandering to someone’s bullshit quarterly earnings bonus!”

He added that success in this “absurdly difficult goal” would generate value “many orders of magnitude more than the economy of Earth,” though he cautioned that the journey will not be smooth. “Don’t expect entirely smooth sailing along the way,” Musk wrote.

The strategy reflects Musk’s deep concerns about how public-market expectations could derail SpaceX’s core objective. Founded in 2002, SpaceX has repeatedly stated its purpose is to reduce the cost of space travel and ultimately make humanity a multiplanetary species.

Unlike Tesla, which went public in 2010 and has faced repeated battles over Musk’s compensation and board influence, SpaceX remains privately held. Musk has long resisted taking the rocket company public precisely to avoid the quarterly earnings treadmill that forces most CEOs to prioritize short-term stock performance over ambitious, high-risk projects.

By embedding protections against his removal and linking any outsized pay package to verifiable milestones—such as a functioning Mars colony—SpaceX aims to insulate its leadership from activist investors or board members who might demand faster profits or safer bets.

SpaceX Board has set a Mars bonus for Elon Musk

Musk has referenced past experiences, including his ouster from OpenAI and shareholder lawsuits at Tesla, as cautionary tales. In those cases, he argued, external pressures risked diluting the original vision.

Critics may view the arrangement as excessive, especially given Musk’s already substantial voting power and wealth. Supporters, however, argue it is a necessary safeguard for a company pursuing goals measured in decades rather than quarters. Achieving a Mars colony would require sustained investment in Starship development, orbital refueling, life-support systems, and in-situ resource utilization—technologies that may deliver no immediate financial return.

Musk’s post underscores a broader philosophical point: true breakthrough innovation often demands tolerance for volatility and a willingness to ignore conventional business wisdom. As SpaceX prepares for increasingly ambitious Starship test flights and eventual crewed missions, the new governance structure signals that the company’s North Star remains unchanged—humanity’s expansion beyond Earth.

Whether the trillion-dollar package materializes depends on execution, but Musk’s message is clear: SpaceX exists to reach the stars, not to chase the next earnings beat. For investors or employees who share that vision, the protections are not a perk—they are a prerequisite for success.

Continue Reading

News

Tesla discloses two Robotaxi crashes to NHTSA

Newly unredacted data filed with the National Highway Traffic Safety Administration (NHTSA) reveals the two incidents. 

Published

on

Tesla has disclosed information on two low-speed crashes that occurred in Austin with its Robotaxi platform. These incidents occurred with teleoperators steering the vehicle, and there were no passengers in the car at the time they happened.

Newly unredacted data filed with the National Highway Traffic Safety Administration (NHTSA) reveals the two incidents.

The first crash took place in July 2025, shortly after Tesla launched its nascent Robotaxi network in Austin. The ADS reportedly struggled to move forward while stopped on a street. A teleoperator assumed control, gradually accelerating and turning left toward the roadside. The vehicle then mounted the curb and struck a metal fence.

In the second incident, in January 2026, the ADS was traveling straight when the safety monitor requested navigation support. The teleoperator took over from a stop, continued forward, and collided with a temporary construction barricade at approximately 9 mph, scraping the front-left fender and tire.

Tesla Robotaxi service in Austin achieves monumental new accomplishment

Tesla has previously told lawmakers that teleoperators are authorized to pilot vehicles remotely—but only at speeds below 10 mph, as the only maneuvers they were approved to perform were repositioning in awkward areas.

“This capability enables Tesla to promptly move a vehicle that may be in a compromising position, thereby mitigating the need to wait for a first responder or Tesla field representative to manually recover the vehicle,” the company stated in filings earlier this year.

Before this week, Tesla redacted the NHTSA reports, but they decided to reveal all 17 Robotaxi incidents recorded since the launch in Austin last Summer. Most of the other crashes involved the Tesla being struck by other road users and were not caused by the self-driving suite itself.

There were other incidents, including two additional self-caused accidents involving the ADS clipping side mirrors on parked cars. In September 2025, one Robotaxi struck a dog that darted into the roadway (the dog escaped unharmed), while another made an unprotected left turn into a parking lot and hit a metal chain.

Although Waymo and Zoox have reported more total crashes, Tesla operates at a far smaller scale. The cautious pace reflects the company’s broader safety concerns; it has been very slow with the Robotaxi rollout to ensure the suite is ready for operation.

Last month, CEO Elon Musk acknowledged that “making sure things are completely safe” remains the primary bottleneck to expanding the network, describing the company’s approach as “very cautious.”

The unredacted filings arrive amid heightened regulatory scrutiny of autonomous vehicles. NHTSA recently closed a separate probe into Tesla’s Full Self-Driving software repeatedly striking parking-lot obstacles such as bollards and chains—a problem that also prompted a recall at Waymo last year.

Tesla Robotaxi has been a widely successful program in its early days of operation, and the transparency Tesla brings here is greatly appreciated. Incidents will happen, of course, but the honesty gives customers and regulators a sense of where Tesla is in terms of developing its self-driving and fully autonomous ride-hailing suite.

Continue Reading