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Tesla’s Model 3 and the death of plug-in hybrids: ‘Full electric is a much more elegant solution’
Tesla took a big bet when it decided to launch the Model 3. Being a vehicle designed for the mass market, the sheer scale of the sedan’s production was something that Tesla has not dealt with before. It took more time than expected and a trip through “production hell,” but the Model 3 has now been ramped, with Elon Musk noting that producing 5,000 of the vehicles per week is currently no big deal for Tesla.
The market’s reception to the Model 3 has been encouraging. The vehicle has been performing well in the United States, ranking among America’s best-selling passenger cars. In September alone, the Model 3 became the 4th best-selling car in the US based on sales volume. Based on revenue, the Model 3 was even more impressive, ranking first among passenger cars sold in the country. Tesla does not seem to be planning on pulling back from its Model 3 push either, as the electric carmaker has started rolling out exhibits of the vehicle to Europe and Asia this month.
Amidst the evident success of the Model 3 and Elon Musk’s high-stakes bet on the electric sedan, another class of vehicles has begun to show notable signs of a decline — the plug-in hybrids. Plug-in hybrid electric vehicles (PHEV) are equipped with both an electric motor and an internal combustion engine. Popular cars in this class include the Chevy Volt, with its all-electric range of up to 53 miles, and a total range of 420 miles with a full battery and a full tank of gas.
PHEVs have mostly served as the “gateway” vehicles for customers looking to make the jump to electric transportation. Being equipped with a gasoline engine, owners need not worry about any of the initial drawbacks of pure EVs, such as limited range. Plug-in Hybrid and Electric Vehicle Research Center director Gil Tal noted to Bloomberg that in a way, PHEVs are like the “training wheels” of the electric car movement. That said, Tal noted that as practical, capable EVs like the Model 3 emerge, consumers might simply skip PHEVs and adopt all-electric cars instead.
“A full electric (car) is a much more elegant solution. It’s very simple to build and very low maintenance. It’s just a much more simple story. Plug-in hybrids are just the training wheels in the industry’s preparation for electric cars,” Tal said.
The death of plug-in hybrid electric vehicles became more real recently, with GM announcing that it was closing several of its plants across the United States and Canada. Among these plants was GM’s oldest factory at Detroit-Hamtramck, which produces the Volt. In a later statement, GM confirmed that it would be discontinuing the production of the Volt, with the company focusing on developing all-electric cars like the Bolt EV instead.
GM has announced that it is discontinuing the production of the Chevy Volt. [Credit: Chevrolet]
In a way, the apparent death of the PHEV seemed to have been predicted by Elon Musk eight years ago. In a statement to the media during the opening ceremony of the Fremont factory, Musk likened PHEVs to amphibians during the process of evolution. And just like amphibians, Musk noted that the number of PHEVs would likely decrease as the market moves into the full-electric era.
“(PHEVs are) similar to an amphibian. In the transition from the oceans to land, initially, there were a lot of amphibians. Now there’s not that many amphibians. So the only reason you’d ever need that gasoline engine is if the battery pack does not have enough range, if the recharge times are really slow, and all those things will get solved. So there’s a medium-term role for a plug-in hybrid, but in our view, not a long-term role. I think there’s a role for plug-in hybrids today and there’s a role for electrics, but I think long-term, it all goes electric.”
The seemingly impending death of the plug-in hybrid is not just the result of electric cars like Tesla’s Model S, 3, and X. Earlier this year, a Forbes report earlier this year noted that the efforts (or lack thereof) of manufacturers such as GM are partly to blame for the decline of PHEVs. Inasmuch as the Volt was warmly received by owners and well-reviewed by critics, for example, the vehicle remained a rare sight among GM’s dealerships across the United States. GM’s TV advertising campaigns have not featured the Volt, or its all-electric sibling, the Bolt EV, either.
That said, GM appears to be taking its EV initiative seriously this time around. Earlier this month, for one, VP of global strategy Mike Ableson boldly declared during a press conference that GM is looking to “lead the industry in EVs sometime in the next decade or so.” The next years will determine if these words will be true.
News
Tesla Semi lands the biggest electric truck deal in U.S. history
Tesla leads a record 2,500 truck order, but not every truck will be a Semi.
Tesla has landed the largest electric truck order in U.S. history. ZET SCALE, a new alliance of shippers and carriers, named Tesla its primary manufacturer on Tuesday for an initial order of 2,500 electric Class 8 trucks. The deal alone would nearly double the number of electric heavy trucks operating in the country.
According to the press release from Catalyst Mobility, the nonprofit formerly known as CALSTART, Kenworth, RIDE and Volvo were also selected as secondary manufacturers that carriers can pick if their operations call for it. No split between the four brands has been published, so the exact number of Semis in the order is not yet known.
Tesla was selected as the primary OEM for the largest electric Class 8 order in the US by ZET SCALE, a new shippers’ alliance
With 2,500 Semis on order, this will double the entire US electric Class 8 fleet
We’re serious about scale, and ZET SCALE is too!… pic.twitter.com/IiTAdzgken
— Tesla Semi (@tesla_semi) September 22, 2026
Tesla won the top slot through a competitive request for proposals. The alliance, which Catalyst Mobility runs with the Smart Freight Centre, scored bidders on price, range, charging capability and production capacity. Pooling freight demand from founding shippers, including Microsoft and PepsiCo, let every truck maker bid lower than it would for a single fleet. “The Tesla Semi is designed for lower cost per mile operations than diesel,” said Dan Priestley, director of the Tesla Semi program, as noted in the press release.
The financing is built to pull in carriers who have avoided electric trucks. ZET Financial is issuing the purchase order for all 2,500 units and will place them with fleets through a fair market value lease. The trucks will be deployed over the next few years across 10 freight hubs in Los Angeles, Stockton, Bakersfield, Seattle and Tacoma, Houston, Dallas, San Antonio, Chicago, Atlanta, and the Newark and New York area. ZET SCALE says the first order is only the opening round, with a longer term goal of 10,000 trucks or more.
Even if Tesla ends up with only a majority share, it would still be the biggest Semi deal to date. Einride’s 500 unit order in August was the previous record, and WattEV’s 370 truck order in May was the largest California deal at the time. Einride’s CEO has since said he expects all 500 trucks delivered by the end of 2027.
The announcement lands two days before Tesla formally inaugurates its Semi factory in Nevada on September 24. The 1.7 million square foot plant sits next to Gigafactory Nevada’s 4680 cell lines and is designed for 50,000 trucks a year.
Tesla has expanded Grok from an in-car chatbot into a hands-free work assistant. On September 22, Tesla officially launched Grok Bot capability, confirming that drivers can now manage email, calendars, files, chats, and tasks by voice and then hand more ambitious errands to the AI-fueled productivity cheat code.
Grok itself is built by xAI. The new car features split into two layers: Connectors link Grok to outside accounts. Grok Bot, currently limited to SuperGrok Heavy subscribers, can complete multi-step tasks such as placing a usual coffee order, booking a reservation, or scheduling an appointment. It truly puts the driver in a nearly complete hands-free driving and productivity setting, with ironically the only task truly requiring your hands being to touch the “Start Self-Driving” button.
We were granted access to Grok Bot’s Tesla integration a few weeks back, and we’ve been able to do a handful of things with it. On a handful of occasions, we’ve used it to order food and have it ready for pickup slightly later into the evening; we’ve managed to pick up groceries after a day of errands with Grok Bot, and outside of the car, it’s helped with budgeting and even my fantasy football draft.
We’ve been using @Grok Bot in Tesla for a few weeks after gaining Early Access, which we thank the awesome engineers for
Grok Bot makes things much easier across your entire life. From the Tesla, I’ve used it to place pickup orders for my Fiancée and I, we’ve ordered groceries… https://t.co/ZJSLieG1s5
— TESLARATI (@Teslarati) September 22, 2026
Tesla shows another way to utilize it: in their demo, a driver says “Hey Grok,” asks the assistant to check an inbox, and hears that a message concerns a weekend reservation. Grok then scans the calendar, reports no conflicts, and confirms the Tahoe trip is clear. It can also add check-in details to a road-trip itinerary. The point is not novelty chat. It is keeping eyes on the road, or on Full Self-Driving, while the car handles the paperwork of a trip:
.@Grok in your Tesla can now do meaningful work for you
With Connectors, you can manage your inbox, clean up your calendar, or talk through existing files/chat/tasks – all hands-free pic.twitter.com/W1LuybQh0P
— Tesla (@Tesla) September 22, 2026
This Grok rollout is not a gadget add-on as much as it is Tesla’s thesis in software form: the car should stop being a machine you operate and start being a room you occupy.
Connectors and Grok Bot treat the cabin as an office that happens to move, and that has truly been Tesla’s intention for years now. The car has slowly become an extension of a home more than a vehicle. Inbox, calendar, groceries, takeout, and reservations become voice work, not dashboard chores that you need to do before you get in your car.
Responsibility shifts from the driver to the stack, and as many Tesla owners rely on FSD for travel, Grok Bot now handles the monotony of dinner reservations or appointments.
Elon Musk
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
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.”
Don’t mess with 𝕏 https://t.co/HSmd5hL6aQ
— Elon Musk (@elonmusk) September 21, 2026
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.
Today, we’re launching Original Content Rewards.
The reality is that Revenue Sharing had reached a point where its incentives were misaligned. Creators should be focused on bringing net new content to the platform instead of maximizing payouts. We could have kept adding more… pic.twitter.com/VJIxqlPrjm
— Allegra Jacchia (@allegrajacchia) August 7, 2026
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.
Tesla Semi lands the biggest electric truck deal in U.S. history
Tesla integrates Grok Bot into its vehicles for the ultimate personal assistant
