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Tesla’s end-of-Q3 Model 3 production and delivery ramp looks like an electric car invasion

[Credit: Harbles/Twitter]

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It seems that Tesla board member Kimbal Musk was not kidding when he noted in a CNBC Closing Bell segment that the number of Model 3 which would appear in US roads near the end of September would be shocking to some. After Tesla’s volunteer-boosted delivery weekend — which saw members of the community dedicating some of their time to help out new owners with the features and functions of their electric cars — it is starting to become evident that Q3 2018 could be the quarter when the Model 3 starts its invasion of the US passenger car market.

The Model 3 is Tesla’s most ambitious vehicle. Radically designed from the ground up, the Model 3 was the car that would determine Tesla’s future. Elon Musk himself dubbed the vehicle as a “bet-the-company” situation, where its success or failure would equate to Tesla’s own rise or fall. It took a while for Tesla to hit its stride with Model 3 production, with the company only hitting its then-mythical goal of manufacturing 5,000 of the electric sedans in a week by the end of Q2 2018, six months later than initially expected.

Tesla accelerates its delivery push as Q3 nears its end. [Credit: @Harbles/Twitter]

The Model 3 has started to show its potential in the US passenger car market over the past months. Back in July, sales estimates from auto tracking website GoodCarBadCar suggested that Tesla sold 14,250 Model 3 in the month, making it 7th place in America’s list of best-selling passenger cars. Considering that mainstream, lower-priced vehicles like the Toyota Camry and the Honda Civic were included in GCBC‘s list, the Model 3’s 7th place was more than respectable.

While the Model 3’s sales in July were undoubtedly impressive, its August estimates were even more noteworthy. With an expected 20,450 units sold during August, the Model 3 became the 5th-best-selling passenger car in the US, beating out the Hyundai Elantra and the Nissan Altima. The Model 3 was even listed as the 15th-best-selling vehicle in GCBC‘s overall Top 20 list, which includes titans like the Ford F-150 and the Toyota Rav4.

https://twitter.com/danahull/status/1043655097819979776

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It is no secret that Tesla has a tendency to initiate a blitz of deliveries and production before a quarter ends. The company did this in Q1 when it was struggling to build 2,500 Model 3 in a week, and it adopted the same strategy for Q2 when it was trying to manufacture 5,000 of the electric sedans in a seven-day period. This third quarter, Tesla is aiming to produce 50,000-55,000 Model 3 — a record number of vehicles — while attaining profitability. For the company to get a shot at achieving these targets, cars have to be delivered to reservation holders. These efforts, of course, culminated in the recent volunteer-boosted delivery weekend.

As the Tesla community was mobilized in the United States and Canada, it soon became apparent that the company is moving a vast number of vehicles. In the United States, social media posts from Tesla owners shared images of numerous semitrailers transporting electric cars all across the country. Anecdotes from owners who volunteered in the weekend delivery push indicated that numerous vehicles were being moved to service centers, where reservation holders await them. Even a journalist who covers Tesla on a consistent basis shared a clip of a truck full of Model 3 being transported. In Canada, members of the Tesla community have also spotted large lots filled with Model 3, Model S, and Model X. Images taken of centers in British Columbia, Vancouver, Toronto, and Ontario, also depicted a busy, yet very productive volunteer-boosted weekend.

https://twitter.com/TeslaArmy/status/1043960545014013952

In a letter to employees, Elon Musk wrote that Tesla is “about to have the most amazing quarter in (its) history, building and delivering more than twice as many cars as (it) did last quarter.” Kimbal Musk, for his part, noted that “it’s really gonna blow people’s minds how many Model 3s are gonna appear in America in just the next couple of weeks.” If Tesla’s busy delivery weekend, as well as the apparent invasion of electric cars being sighted in the US and Canada, are any indication, the company might very well exceed expectations this quarter. It will not even be surprising if the Tesla Model 3 moves up a couple more steps in GoodCarBadCar‘s list of best-selling passenger cars in the US for September.

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Tesla has only been in the auto industry for 15 years, and over that time, it has transformed itself from a niche manufacturer that offered one small, quick, two-seater all-electric sports car into a company that is taking on veterans with premium electric cars that force legacy carmakers to come up with compelling EVs of their own. Tesla still has a long way to go before it masters the auto business, and Elon Musk himself would be the first to admit that gross miscalculations, such as the Model X’s overcomplicated design and the Model 3 ramp’s over-reliance on robots, have happened in the past. Despite this, Tesla remains a company that commands a strong following — one that is willing to pay it forward when needed.

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.

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Investor's Corner

Tesla Optimus Gen 3 shows off a cleaner, factory-ready design in new app discovery

Renders hidden inside Tesla’s Android app show Optimus Gen 3’s design before any official reveal.

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Tesla Optimus Gen 3 [Credit: Tesla]

Tesla may have accidentally given a first look at its newest Optimus Gen 3 humanoid robot when photos were found in the Tesla smartphone app.

Design files tucked inside a recent Android version of the Tesla app appear to show the third generation humanoid robot next to the older Gen 2.5 prototype. The assets were extracted from the app package by Tesla community member @wholemars, who posted the renders on X late Tuesday night before deleting them. The Tesla Newswire reshared the side by side comparison on Wednesday, and the images have circulated widely since.

Tesla Optimus Gen 2.5 vs Gen 3 comparison via @WholeMars on X

Tesla Optimus Gen 2.5 vs Gen 3 comparison via @WholeMars on X

The files are labeled “gen3” and were built as models for Tesla app’s own interface, as validated directly by Grok to be official.

The comparison shows a robot that looks built for a factory line rather than a lab bench. Gen 2.5’s exposed mechanical linkages and gold plating on the knees and shins are gone. In their place, Gen 3 uses matte black fairings on the lower legs, paired with a more contoured champagne gold body. Flexible covers now seal the joint where the torso meets the upper thighs, keeping bearings and moving parts sealed from debris and unnecessary contact.

The body panels fit more tightly, and the hands, which Tesla has said carry 22 degrees of freedom, look far more refined than those on earlier units.

This most recent leak fills a gap Tesla has left open for most of the year. Elon Musk said on March 31 that Optimus 3 was walking around but needed “some finishing touches” before it could be shown, a delay Teslarati covered when Tesla missed its first quarter reveal target. Musk later said Tesla would hold the design back until closer to production, partly to keep competitors from copying it. No reveal date has been announced.

The app itself has been preparing for Optimus for months. In July, code in the Tesla app pointed to a dedicated robot phone key, a consent screen for collecting video and spatial data while Optimus works inside a home, and an alert system for low battery and mechanical faults. Finished 3D models of Gen 3 suggest the interface owners will eventually use is moving past placeholder code toward something Tesla intends to ship.

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Manufacturing is moving in parallel. Tesla tore out the original Model S and Model X lines at Fremont this summer to make room for Optimus production, with a planned capacity of one million robots a year. At Giga Texas, the steel frame of a dedicated Optimus factory is nearing completion ahead of a targeted 2027 start, with Musk pointing to an eventual output of 10 million units annually.

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X changed how everyone gets paid, and this lawsuit shows why

X sued a Bitcoin account network over fake payouts as its creator pay model shifts

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Elon Musk’s X has taken a Bitcoin-focused engagement ring to court, and the case doubles as a receipt for how differently the platform pays creators today. The company filed suit in the High Court of England and Wales against Vivek Kumar Sen and Zamyang Sherpa, alleging the pair ran six accounts, including @Vivek4real_, @Bitcoin_Teddy and @TrendingBitcoin, as one coordinated operation to fake the kind of engagement that used to translate directly into money.

According to the filing, first reported by Gizmodo, the accounts posted near identical “BREAKING” crypto headlines seconds apart, in one case 11 seconds, then had three more handles like, reply to and repost the material to manufacture what X called “a false appearance of genuine, human communication and interaction.” X says the scheme pulled in at least £207,384, about $278,000, and pegs its own investigation and remediation costs at another £75,000. The accounts were suspended August 18. X general counsel James Burnham announced the case on X last weekend, writing that the company “will act forcefully to protect our platform and the earnings of genuine creators.” Musk’s own reaction, posted shortly after, was three words: “Don’t mess with 𝕏.”

The timing lines up with a a recent update to how X pays its creators. The program these accounts allegedly gamed, Creator Revenue Sharing, launched in mid 2023 and paid out based on how much a post got engaged with. Originality was never part of the formula, which is exactly how the platform ended up flooded with recycled clips, copy pasted “BREAKING” posts and replies engineered purely to farm reactions from paying subscribers.

X tried patching the model more than once, including an April cut to aggregator payouts and a March regional weighting change that Musk personally paused hours after it was announced. X retired Creator Revenue Sharing for good on September 7 and opened its replacement, Original Content Rewards, the next day.

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The new math is stricter. Payouts now come only from qualified impressions, meaning unique Home Timeline views from Premium subscribers where at least half the post is visible, and replies no longer count toward eligibility at all. Copied posts, reuploaded media and reposts without meaningful changes are explicitly excluded. Allegra Jacchia, senior product manager for Creators at SpaceXAI, which now runs X’s product and AI work following xAI’s acquisition of the platform, put it bluntly, saying the goal is to reward creators who bring original ideas and perspective, “not those who have become best at gaming the system.”

Read that way, the lawsuit isn’t really about six crypto accounts. It’s X putting a dollar figure on what the old incentive structure cost, then suing to collect it right as the new one goes live. For live updates on how the case and the new rewards program shake out, follow @Teslarati on X.

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Elon Musk

Why automakers keep turning down Elon Musk’s Tesla Full Self-Driving offer

Elon Musk confirms no automaker has ever accepted Tesla’s offer to license Full Self-Driving software.

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Elon Musk gave a brief answer on X Monday that confirmed that Tesla’s standing offer to license Full Self-Driving to other automakers still has zero takers. Sawyer Merritt wrote that “Tesla has for years openly invited other automakers to license FSD. None of them have accepted,” responding to a prediction from Boom Supersonic founder Blake Scholl that Tesla would eventually open FSD the way it opened its Supercharger network to rival brands. Musk’s reply to Merritt was one word: “Exactly.”

It is not the first time Musk has made this point. He said something similar in November, when he called legacy automakers reluctance to adopt FSD “crazy,” and Tesla has floated the offer publicly since at least 2021. Scholl’s prediction touches on something real. Once NACS became the de facto charging standard, adoption from Ford, GM, Rivian and others followed within about a year. FSD licensing was supposed to work the same way once Tesla built enough of a lead that switching made sense for everyone.

The case for licensing now is stronger than it was two years ago. Waymo and Zoox are logging hundreds of thousands of unsupervised autonomous miles, along with Tesla’s own Robotaxi fleet. Every automaker still selling driver assist systems that lag FSD has given the robotaxi conversation to Tesla, Waymo and Zoox by default. Licensing FSD would let a GM or a Ford compete on the same field without spending a decade and billions of dollars building a stack from scratch, the same argument Tesla made when it opened the Supercharger network to bring more EVs onto its chargers.

But FSD is not a connector standard. As one reply to Musk’s post pointed out, licensing FSD is not a software license the way NACS was a plug spec. It requires adopting Tesla’s eight camera layout and its onboard compute architecture, meaning a licensee’s cars would effectively become Tesla hardware wearing someone else’s badge. That is the visible obstacle. The less visible one is data. A licensed FSD stack would report back the same telemetry Tesla collects from its own fleet, giving Tesla a continuous read on how a competitor’s cars are actually driven, where they struggle, and how often drivers intervene. For an automaker trying to build its own autonomy program, or simply trying to keep its build quality and safety record private, handing Tesla that visibility could be a bigger cost than the hardware bill. It is the reason the Supercharger comparison only goes so far. Opening a charging plug cost Tesla very little. Opening FSD would cost a rival something it cannot get back.

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