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Tesla is revamping the Model 3, and it is about time

Credit: Tesla

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Tesla is reportedly revamping the Model 3 in a new project code-named “Highland.” In all honesty, it’s about time.

The Model 3 is arguably the most crucial vehicle in Tesla’s history. Before the Model 3, Tesla was confined to expensive, luxury vehicles with the Model S and Model X. While every day, and “average” people wanted to embark on the journey of owning and driving an electric car, very few in this category could ideally and logically afford Tesla’s first two commercial releases.

In mid-2017, the Model 3 rolled off Fremont production lines for the first time, and by 2019, the Model 3 was a regularly spotted EV in areas where EVs were few and far between. I am in York County, PA, and here, before the Model 3, the BMW i3 was all I really saw. Sometimes an e-Golf or Bolt EV would appear, but EVs didn’t become a regular sighting in South Central Pennsylvania until 2019 or 2020.

Small-town America is what truly encapsulates this country. I may be biased, but after spending time in big cities and small towns, there is no doubt, to me at least, that low-population towns are where true humankind is observed. Here is where tech tends to arrive much later than the hubs of American ingenuity. iPhones were rare in my high school of 1,000 people until 2011. Everyone drove a car from the 90s, for the most part. When I started writing about electric cars in 2019, many people I told didn’t realize EVs were truly in existence. Many believed they still needed gas to operate.

The Model 3 truly changed that narrative in my area. Since then, I’ve seen more EVs in general in my area, and it is not uncommon to see 5-6 different EV manufacturers in a 20-minute drive to the store.

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Tesla truly catapulted EVs to what they are today, hate them or love them, they cannot be discredited. The Model 3 made EVs such a mainstream idea, that it may be somewhat of a sentimental design to some. However, feelings aside, it is time the car gets an upgrade.

According to a report from Reuters earlier today, Tesla is planning to revamp the Model 3’s most crucial features, including its interior and infotainment system. In my opinion, these things deserve upgrades because, simply put, they’re old.

Interior Update

Internally, Tesla’s infotainment is always up-to-date. However, an improved center screen with more intuitive designs, a high-quality and crystal-clear 5K monitor that could support gaming is the first idea. The center screen is oriented differently than the Model S and Model 3. It is a good size, but it is definitely time for Tesla to increase the quality of this monitor.

Interiors are a completely subjective topic, but I have personally felt minimalistic interiors are not a better option. Personally, I have found that touchscreens are not a less distracting option than knobs or buttons. Yes, knobs and buttons are clanky and can become invasive when they are placed too prominently on a dashboard. However, scrolling through a series of different screens to turn the air conditioning up or down a few degrees is more of a task than it should be.

tesla model 3 interior

Credit: Tesla

What about the exterior?

Tesla hasn’t done much to change the look of the Model 3 from the outside for several years. Some might call chrome delete a major change, but it truly wasn’t monumental. To me, it only helped me recognize which Model 3s were newer than others in my area.

How much can you truly change the design of a vehicle before it becomes something else entirely? Honda has made the Civic for decades, and the 2022 versions are vastly different from even the models of ten years ago. I’m not sure how the Tesla community would take significant changes in the Model 3 design; it might be too mainstream of an idea. Tesla hasn’t done much to the Model S other than modernizing its front bumper and moving away from the old nose cone. For the most part, that car has stayed the same too.

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tesla model s nosecone

(Photo: Ma. Claribelle Deveza)

Why the Model 3 deserves an update

The Model 3 was more than a catalyst for Tesla’s domination in the EV sector. It deserves to be updated and kept fresh for new owners, and it will only increase the possibility that people will return to Tesla for their next vehicle. I don’t know if I would ever drive a vehicle for a few years and then want to buy something that looks exactly the same on the inside and out.

Although the Model Y has overtaken the Model 3 as Tesla’s best-seller, some consumers may enjoy driving a sedan but will want an entirely new look in their next car. An update to the Model 3 is just what Tesla can do to keep things moving and fresh within the company’s most important product.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Will Tesla thrive without the EV tax credit? Five reasons why they might

Here are five reasons Tesla might be in better shape without the tax credit being available.

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(Credit: Tesla)

The $7,500 EV tax credit has officially expired, as it came to its closure at midnight on September 30. Many are wondering what will happen to the EV makers in the United States that had a huge competitive advantage over their competitors, a $7,500 discount that could be applied at the point of sale.

Tesla stands to thrive from the lack of tax credit, and although it is hard to believe, brighter days could be ahead for the company, starting with Q4, which began today.

Here are five reasons Tesla might be in better shape without the tax credit being available:

No Tax Credit Means Price Cuts

Tesla has to adjust its pricing strategy now that the $7,500 tax credit is gone, and when it lost the previous tax credit after reaching its cap in 2019, it used a more affordable model to surge sales. At the time, that more affordable model was the Model 3.

Tesla boosted deliveries by over 50 percent that year without any tax credit by simply offering a cheaper model. The credit, in a way, distorts the market, and companies, while attempting to innovate, are able to offer the discount with the help of the government.

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Tesla price cuts push EV market toward affordability with broader influence

Companies will now have to weigh what they can discount their vehicles by to keep profits reasonable, but also stoke demand.

Ultimately, Tesla has the ability to use manufacturing and technological efficiencies to increase affordability. It has more control to fluctuate pricing, and price cuts could be on the way.

The Playing Field Becomes Fairer

Companies like Ford and General Motors have also reaped the benefits of the tax credit, but their situation is much different than Tesla’s.

Ford and GM are not profitable on their EV projects, so the EV tax credit has been relied upon to mask high production costs and dealer markups, which have widely impacted their demand. Ford is among the more popular brands that have dipped their toes into the EV market, but they have been forced to adjust their strategy on several occasions due to a lack of profits.

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Tesla’s vehicles have been profitable for some time, and the company has been able to make money from its offerings faster. Cybertruck was profitable after just one year of production.

Tesla Cybertruck achieves positive gross margin for first time

Removing subsidies will expose the financial weaknesses of those domestic competitors, and we will likely see those companies scale back their EV efforts in the coming months and years. This will help Tesla more than having access to the tax credit would, which is something CEO Elon Musk has said for years:

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Tesla’s Maturity Shows and Investor Confidence Will Boost

Tesla was once dismissed as a subsidy-dependent startup, but that narrative truly died years ago, as it continued to perform well against competitors even after losing the tax credit.

Musk has said himself that the cancellation of these subsidies “will only help Tesla,” as it will highlight the company’s ability to be self-sufficient.

Elon Musk reiterates call for all subsidies on all industries to be removed

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Using things like manufacturing efficiencies and vertical integration, Tesla has been less dependent than others on help to build its cars. If anything, investors will likely see the next few months as a make-or-break period for companies building EVs.

Subsidies Sometimes Can Inhibit True Innovation

Some companies can tend to become complacent when government subsidies are offered on their products. Instead of making things better and trying to find new ways to make cars more affordable, some can lean on the help they’re getting.

After subsidies ended for Tesla in 2019, the company achieved two major breakthroughs: the Cybertruck and its energy storage projects scaled to gigawatt-hours. The argument is not that Tesla becomes complacent with the tax credits, but the company is going to feel more pressure to fight for innovation now that its back is up against the wall.

It already offers a better product from a tech standpoint, so affordability could truly be the next major change we see.

Affordable Models Will Be Even More Sought After

Tesla will launch its affordable models this quarter, and with no more tax credit to lean on, these new cars will be what many consumers go for.

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If Tesla can launch a model that is close to $30,000 without a tax credit, the company stands to regain a significant portion of its market share from competitors that have eroded it over the past few years. This will undercut the vast majority of electric cars that are currently offered.

  • 2025 Nissan Leaf S Trim – $28,140
  • 2025 Fiat 500e Base Trim – $32,500
  • 2025 Chevrolet Equinox EV – $33,600

Those are the three most affordable EVs available in the U.S. right now, and those prices are without the EV tax credit. If Tesla can get close to $30,000, it will truly make a mark and there might not be all that much of a change in its yearly delivery figures.

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Tesla makes first move to counter loss of $7500 EV tax credit

Essentially, Tesla is reducing the price of a vehicle for those who choose to lease the vehicle by $6,500.

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(Credit: Tesla)

Tesla has made its first move to counter the loss of the $7,500 electric vehicle tax credit by offering a $6,500 lease credit, which it is offering internally.

Essentially, Tesla is reducing the price of a vehicle for those who choose to lease the vehicle by $6,500, which is a bit of a double-edged sword. However, it appears the company had this strategy ready to fire with the expiration of the EV tax credit, which occurred last night.

Tesla makes a big change to reflect new IRS EV tax credit rules

Tesla is offering the lease credit automatically, it says on its website, as the monthly payment amount already reflects the $6,500 discount. The company said in its terms:

“Monthly lease payment already includes the $6,500 Tesla lease credit, which is subject to change or end at any time. Order does not guarantee eligibility.”

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The lease credit offer mostly offsets the loss of the tax credit, although, from a financial standpoint, it seems Tesla will take a bit of a hit in its profit margins. It will be interesting to see how long the company maintains the lease incentive because of its pressure on profits.

Lease pricing for the Model 3 and Model Y was also adjusted by Tesla after the expiration of the tax credit at midnight. The company increased these prices by up to 11 percent, as the Model Y’s payment range increased from $479 to $529 to between $529 and $599.

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Model 3 prices came up from between $349 and $699 to $429 and $759.

These are with default options, including $3,000 down, a 36-month lease period, and 10,000 miles per year.

How Tesla’s sales will respond to the removal of the tax credit is one of the more discussed topics in the community over the past few months.

EV tax credit rule adjustment provides short-term win, but long-term warning

It was relatively evident that the Trump Administration planned to get rid of any subsidies for electric vehicles, something that Tesla CEO Elon Musk supported.

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However, the true impact likely will not be seen until Q1 2026, as the credit will still be applied to any order placed before September 30. Leases do not apply to this condition, as deliveries had to be completed by yesterday to apply. Deliveries made after September 30 must be financed or paid for in cash.

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Starlink makes a difference in Philippine province ravaged by typhoon

The Severe Tropical Storm battered the province, leaving communications networks in the area in shambles.

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Credit: Starlink/X

The Philippines’ Department of Information and Communications Technology (DICT) is using Starlink to provide connectivity in the municipality of Masbate, which was affected by Severe Tropical Storm Opong (international name Bualoi). 

The Severe Tropical Storm battered the province, leaving communications networks in the area in shambles.

Starlink units enhance connectivity

DICT Secretary Henry Aguda visited the province to assess internet and communications infrastructure and deliver 10 additional Starlink satellite units, according to the Philippine News Agency. The is move aimed at strengthening emergency response and restore digital access to the area.

Aguda met with Masbate Governor Richard Kho during his visit and joined telecommunications representatives in inspecting provincial offices, free charging stations, and Wi-Fi connectivity sites for residents. 

According to DICT officer-in-charge Rachel Ann Grabador, three Starlink units, 10 routers, and a 2kW solar-powered station have already been deployed in the province following the typhoon. The units have been installed at key facilities such as Masbate Airport’s communications tower and the Masbate Provincial Hospital’s administrative office. 

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Game-changing technology

Thanks to its global coverage and its capability to provide high-speed internet connectivity even in remote areas, Starlink has become the best communications solution that can be deployed in the aftermath of natural disasters. Its low-cost kits, which are capable of of providing fast internet speeds, are also portable, making them easy to deploy in areas that are damaged by natural disasters.

As noted in a Space.com report, there are currently 8,475 Starlink satellites in orbit, of which 8,460 are working, as of September 25, 2025. Initially, SpaceX had filed documents with International regulators to place about 4,000 Starlink satellites in Low Earth Orbit. Over time, however, the number of planned Starlink satellites has grown, with SpaceX aiming to launch as many as 42,000 Starlink satellites to fully connect the globe.

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