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Tesla Model 3 impresses former rally champion after high-speed testing

(Photo: Team O'Neil Rally School/Facebook)

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After conducting high-speed tests of the Tesla Model 3 Performance and evaluating its potential as a rally car, professional driver and former champion Wyatt Knox realized that the electric sedan could be a game changer. In a conversation with Teslarati, Knox described the Model 3 Performance as a “fantastic” car, thanks to its dual motors, its Track Mode feature, and its superb handling.

Wyatt Knox, a former rally champion who currently works as the special projects director of the Team O’Neil Rally School in New Hampshire, stated that the Model 3 Performance’s dual motors are a difference-maker, allowing the electric car to “do a lot of things that a normal AWD car cannot.” It should be noted that Knox’s point of comparison in this statement is conventional rally cars, which are already frighteningly powerful in their own right. Rally cars, for one, are famed for their brutal acceleration, allowing them to reach highway speeds in unpaved terrain.  

“Because of the dual motors, (the Model 3 Performance) can infinitely vary the amount of drive to the front and rear however much it is programmed to, based on your steering angle, throttle position, brake position, yaw sensor, wheel speed sensors, (and) probably more that I’m not even aware of. A Subaru or an Audi or something with one engine driving a normal transmission and center diff cannot do that,” Knox stated.

The Tesla Model 3 Performance gets tested in a rally course. (Photo: Team O’Neil Rally School/Facebook)

Coupled with Track Mode, which was engaged during the high-speed tests, Tesla’s dual motor system allowed for superb handling of the Model 3 Performance in the challenging, icy rally course. Referring to the car’s potential for rallying later, Knox remarked that if Tesla eventually allows owners to “tune” their vehicles by allowing them to adjust their cars’ settings, it could open up a lot of doors for the top-trim Model 3 to perform even more impressively.

“The Tesla dual motor (system) could theoretically be 100% front wheel drive, 100% rear wheel drive, or any mix of the two. That’s not how it’s really programmed to work, but that’s the tech it’s based on. That opens a LOT of really interesting doors. If you could plug in and ‘tune’ the system to your application, yeah, that would be would be a game changer,” the rally driver wrote.

Elon Musk actually mentioned a rather similar feature in an interview with YouTube tech reviewer Marques Brownlee last year. During his conversation, Musk described Track Mode’s capabilities, comparing the feature to an “expert user mode” for a computer. Musk noted that with Track Mode enabled, drivers would be able to “overclock” their electric cars’ performance.

“Track Mode will open up a lot of settings. You can adjust settings, and it’s kinda like an ‘Expert User Mode.’ You can sort of adjust traction control, adjust battery temperature. You can basically configure a bunch of things, and it will tell you, like ‘Hey, you know if you do this, it’s a bit risky. You’re gonna wear out your brakes sooner; you might blow a circuit.’ But like, it’ll be clear — like, you know, this is the risk you’re taking. It’s kinda like if you have a graphics card in a computer. You can go in there and change the settings and you can overclock things,” Musk said.

The Tesla Model 3 Performance gets tested in a rally course. (Photo: Team O’Neil Rally School/Facebook)

By the end of his session with the electric sedan, Knox observed that the Model 3 performed very well, especially since the vehicle’s only optimization were its Pirelli Sottozero winter tires. Despite the intensive testing sessions having been conducted in single-digit weather, Knox observed that the Model 3 Performance’s battery consumption during the tests was nominal as well.

The idea of utilizing an electric vehicle for rally events is already part of the World Rally Championship’s roadmap. Earlier this month, the WRC announced that it would be moving forward with an electric or hybrid solution from 2022. With this in mind, the sight of the Model 3 Performance ripping through the woods, in loose gravel and snow, might eventually be commonplace. For the former champion, at least, the idea of using the Model 3 Performance as a rally car is definitely a welcome thought.

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The Model 3 and its Track Mode has already been proven on the track. In a recent segment, for example, Chinese auto group Know the Car tested the Model 3 Performance on the racetrack, pitting it against fellow electric cars, high-performance sedans, and supercars. The Model 3 Performance dominated in straight line acceleration in the group’s tests. In actual track tests, the Model 3 Performance proved competitive, beating similar class cars, the BMW M3 and the Mercedes-AMG C63, around the track.

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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Space finally faced the people living next to its next Terafab mega-project

SpaceX confirmed Terafab’s Grimes County site is locked in, with construction starting within months.

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SpaceX and Terafab representatives sat across from Grimes County residents for the first time on Wednesday, telling a packed Commissioners Court room that the $55 billion chip manufacturing project is now a done deal at the Gibbons Creek Reservoir site.

The meeting followed a $10 million check SpaceX sent the county earlier this week, satisfying a payment deadline built into the tax abatement agreement both sides signed in June. Elon Musk shared a post on X confirming the payment, and County Judge Joe Fauth told the San Antonio Express-News his office deposited the check after it beat its deadline.

Wednesday’s session, first reported by KBTX, moved the project from paperwork to construction. Terafab representative Riley Trennell told residents the JETI tax break agreements with Iola ISD and Anderson-Shiro CISD are signed and active, and that civil work and foundation prep are starting almost immediately. Renderings of the facility could be released within days, he said, with construction beginning within months.

Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry

Musk first announced Terafab in March as a joint venture between Tesla, SpaceX and xAI aimed at producing over a terawatt of AI compute annually, an amount that dwarfs the roughly 20 gigawatts the entire global chip industry produces today. Intel joined as a manufacturing partner in April. Musk has said the project needed its own day in the spotlight rather than being squeezed into an earnings call, and for months the Grimes County site remained unconfirmed even as reporting pointed there.

SpaceX attorney Buck Brannon used Wednesday’s meeting to note that the company’s abatement is roughly 78 percent, not the 100 percent some earlier reports suggested. In exchange, SpaceX will pay Grimes County a fixed $20 million a year for 35 years, a total of $710 million, which Brannon said exceeds the $14 million Tesla paid Travis County in 2025.

SpaceX also addressed environmental concerns that have followed the project since Musk’s Terafab partnership with Intel was announced. Representatives said Terafab will not raise electric bills for other ratepayers, will not deplete local water supplies and will not draw down the Navasota River. SpaceX confirmed it owns the Navasota River pumping station, which it plans to use to divert stormwater into the Gibbons Creek Reservoir, and said it will build its own natural gas plants to power the facility rather than pulling from the ERCOT grid.

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Grimes County commissioners also approved an addendum letting county employees use ten approved AI chatbots for work, including Grok.

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SpaceX has solved Starship’s biggest challenge, Elon Musk says

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Credit: SpaceX

Elon Musk has declared that SpaceX has effectively solved one of Starship’s most persistent engineering challenges: the reliability of its heat shield tiles.

During the company’s first-ever Earnings Call, the SpaceX CEO stated:

“I don’t want to jinx it or anything, but I think I would call the heat shield problem solved at this point. All indications from data and visual inspection is we have solved it. That doesn’t mean we won’t make improvements, but we do not see any technical obstacles to achieving rapid reusability at this point.”

Starship’s heat shield consists of roughly 18,000 hexagonal ceramic tiles covering the windward side of the upper stage. These tiles form the thermal protection system that shields the vehicle’s stainless-steel structure from the extreme heat of atmospheric reentry.

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During descent, atmospheric friction generates temperatures exceeding several thousand degrees Celsius and creates plasma flows capable of melting unprotected metal. The tiles absorb, radiate, and insulate against this energy, allowing the vehicle to survive and potentially fly again. Without a durable heat shield, full and rapid reusability, the cornerstone of Starship’s design for frequent launches, satellite deployments, and deep-space missions, would remain impossible.

The tiles have long been a source of difficulty. On earlier test flights, a significant number of tiles detached during ascent due to vibration, aerodynamic loads, and imperfect attachment methods using pins and adhesives. Gaps between tiles allowed hot plasma to infiltrate, causing secondary damage and hot spots on the underlying structure.

These issues echoed challenges faced by NASA’s Space Shuttle, whose ceramic tiles required extensive, labor-intensive inspections and replacements between missions, preventing rapid turnaround. SpaceX has iteratively improved materials, standardized tile shapes, refined attachment techniques, added secondary ablative layers, and tested sealing methods such as “crunch wrap” felt to close gaps.

Progress was visible across Flights 10–12, with steadily better tile retention, yet questions remained about whether the system could support the minimal-refurbishment goal of rapid reuse.

Flight 13 on July 24 provided the decisive evidence. Ship 40 flew a deliberately more demanding profile with higher dynamic pressure to stress the heat shield beyond typical operational loads. It successfully deployed 20 operational Starlink V3 satellites, the first such payload on a Starship mission, performed an in-space Raptor engine relight, and executed a controlled reentry.

Elon Musk sheds two new bits of detail on Starship after 13th test launch

Cameras on six of the satellites and onboard sensors captured extensive imagery and data of the shield throughout the flight. The ship then achieved its softest splashdown to date in the Indian Ocean, remaining intact and floating rather than breaking apart or exploding as on prior missions. This allowed drone inspections and continuous telemetry of the heat shield in near-real time.

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Post-flight analysis showed the majority of tiles remaining attached with only minor damage and limited plasma streaking at seams. Musk noted that the mission delivered “all the heat shield data we needed and then some.” Combined with visual inspections, these results underpinned his subsequent assessment that the core technical barriers to rapid reusability have been cleared. While refinements will continue, Flight 13 marked a pivotal step toward Starship’s operational future.

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SpaceX is coming for wireless giants with Starlink Mobile

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SpaceX COO Gwynne Shotwell outlined ambitious plans for Starlink Mobile during the company’s August 4 Earnings call, signaling a direct challenge to U.S. wireless giants like AT&T, T-Mobile, and Verizon.

Shotwell noted that the three companies generate roughly $600 billion in combined annual revenue. “I anticipate us to be able to acquire quite a few of their customers because I think our service will be better,” she said. “We will eliminate dead zones leveraging the satellites in orbit. It will be better during any natural disaster… I’m quite excited about Starlink Mobile.”

SpaceX intends to combine its satellite constellation with terrestrial infrastructure. The company has acquired about 65 MHz of spectrum from EchoStar and plans to deploy next-generation Starlink Mobile satellites in 2027, with upgraded service targeted for the end of that year.

Shotwell described the enhanced network, leveraging more satellites and spectrum, as potentially “100 times better” than the current direct-to-cell offering, which already supports basic texting and app-based voice/video in coverage gaps through partnerships. She also indicated plans for low-cost cellular base stations that could integrate with existing Starlink dishes, creating a hybrid system for broader capacity in urban, suburban, and rural areas.

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For the general public, Starlink Mobile promises significant advantages. Satellite connectivity can fill gaps where traditional cell towers fail, delivering service in remote locations, mountains, or during outages caused by storms, wildfires, or infrastructure damage—conditions in which ground networks often collapse.

Users could enjoy more consistent coverage without relying solely on dense tower builds, potentially at competitive prices as SpaceX scales. The hybrid approach aims to support full mobile services, including higher-speed data, while working with unmodified smartphones over time.

These developments revive long-standing but unfounded rumors of a Musk-developed “Tesla phone.” Speculative claims of a “Pi Phone” or similar device with built-in Starlink connectivity have circulated for years on social media, often featuring fabricated images and details. Elon Musk has repeatedly denied any such plans, stating Tesla has no intention of entering the smartphone market unless forced by extreme circumstances with app stores.

Tesla Phone rumors clarified by CEO Elon Musk

No official product, filings, or development announcements have ever materialized; the rumors remain hoaxes.

The announcement quickly pressured telecom stocks. Shares of AT&T, Verizon, and T-Mobile fell between roughly 2 and 4 percent in after-hours and premarket trading as investors weighed the competitive threat from a hybrid satellite-terrestrial network.

While execution challenges remain—spectrum deployment, infrastructure rollout, and regulatory hurdles—Shotwell’s remarks mark SpaceX’s clearest signal yet of entering the consumer mobile market as a full competitor.

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