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.
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.
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.
(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.
Tesla Cybercab units finally got a definitive date for when they will be able to be purchased by consumers, ending speculation regarding whether the fully autonomous vehicle would be available in the near term.
During Tesla’s third-quarter 2026 earnings call on October 21, Vice President of Engineering Lars Moravy said the company is aiming to begin delivering its purpose-built Cybercab robotaxi to customers before year-end.
🚨 In short, Cybercabs are slated to go to customers by end of the year. All units are going into Robotaxi fleet currently, per @larsmoravy
Cybercab will be “transport-as-a-service,” but vast majority of Cybercab will be “Tesla-owned,” @elonmusk says https://t.co/R8Qu8QWdmp
— TESLARATI (@Teslarati) October 21, 2026
“We’re trying to get Cybercabs to customers by the end of this year, 2026,” Moravy said. He added that production is underway on the line at Gigafactory Texas, but “all of those are currently going to our own internal Robotaxi fleet.”
Moravy explained that as operations scale, Tesla will “mainly deliver fully designed autonomous vehicles to our customers,” with the Cybercab as the first such vehicle. Initial customer deliveries will start small while the company gains experience with delivery logistics, ownership models, fleet management, and operating autonomous vehicles outside its direct control.
CEO Elon Musk reinforced the limited nature of private sales, describing the Cybercab primarily as a “transport-as-a-service” offering rather than a personal ownership vehicle like the Model 3, Model Y, or upcoming Roadster. “The vast majority of the Cybercab stuff will be Tesla-owned and transport-as-a-service,” Musk said.
The Cybercab is a two-seater vehicle developed by Tesla without a steering wheel or pedals. It relies completely on Tesla’s Full Self-Driving suite and has been in production since February. Early units have been put in Tesla’s Robotaxi service as of early September, when the company launched rides to the public. Tesla previously indicated it would aim to sell Cybercabs for about $30,000.
Unsupervised Full Self-Driving is expected to ship to consumer cars during Q2 2027, Ashok Elluswamy, Tesla’s Head of AI, indicated during the call. Early buyers or fleet operators may receive vehicles whose autonomous operation remains geographically restricted due to lagging regulatory agencies. There are some hurdles that remain ahead of Cybercab deliveries.
Tesla (NASDAQ: TSLA) reported its earnings for the third quarter of 2026, marking a reasonable performance on the various financial metrics. Tesla still plans to hold a call that will field investor questions at 5:30 p.m. ET, 4:30 p.m. CT.
Here’s where Earnings came in:
- Total Revenues: $28.046 reported vs. $28.34B expected
- Non-GAAP EPS: $0.48 reported vs. $0.45 expected
- Operating Margin: 2.6 % reported vs. 2.5% expected
- Operating Income: $718M reported vs. $721M expected
- Free Cash Flow: $1.531B reported vs. ~-$4.51B expected
Tesla $TSLA Earnings Results:
Revenues: $28.046B
Non-GAAP EPS: $0.48
Operating Margin: 2.6%
Operating Income: $718M
FCF: $1.531B— TESLARATI (@Teslarati) October 21, 2026
Major Takeaways
Full Self-Driving (Supervised)
“FSD (Supervised)⁴ attach rate continued to grow, reaching over 75% of new vehicle deliveries in North America – our most mature market – a nearly twenty percentage point sequential increase. We believe that FSD is driving demand in markets where it is available, and we continue to work with regulators to get it approved in other markets.”
Tesla Semi
“We began volume production of Tesla Semi, our Class 8 heavy-duty truck. The top variant can go 500 miles at full 82,000 lbs gross combination weight while achieving an efficiency of 1.7 kWh/mile. That efficiency allows the Tesla Semi to use a third of the energy used by a comparable diesel truck to haul the same payload. In a transportation market where energy is one of the largest components of total cost per mile, this will provide a meaningful advantage to Tesla Semi operators.”
SI Compute
“We plan to reach 400 MW of SI training compute by the end of the year, supporting the development of both vehicle and humanoid robot autonomy software. Additionally, we continued construction for the Austin Fab, where we plan to start commissioning equipment in 2027.”
Robotaxi
“We began deployment of Cybercab into our Robotaxi fleet in Austin. We reached nearly two million cumulative unsupervised miles for our Robotaxi service as of the end of the quarter. Operating hours in Austin are now 6am to midnight, and we expect to reduce wait times via increased fleet supply and improvement of Robotaxi orchestration algorithms. Grok is available in Cybercab with access to Grok Bot and Connectors, which allows users to manage their inbox, calendars, files, chats and tasks – all hands free via voice command – making Cybercab a mode of transport, a productivity space and, with our entertainment options, a second living room.”
Interested in ordering a Tesla? Use my referral code for three free months of Full Self-Driving (Supervised) here.
Tesla (NASDAQ: TSLA) reports its earnings for Q3 today. Here’s what to expect, as the company will reveal its balance sheet after the market closes on Wednesday.
Tesla already reported deliveries just after Q3 ended, and it demolished Wall Street consensus estimates of roughly 462,000 vehicles. Tesla delivered 486,532 cars in the third quarter, which was a big beat, but was down 2.1 percent from the same quarter last year. Energy storage deployments were 13.7 GWh, up year-over-year.
Tesla showrooms picked clean ahead of Q3 end as demand looks strong
For the quarter, analysts have already compiled their predictions for what Tesla will report this afternoon:
- Total Revenues: $28.34B
- Non-GAAP EPS: $0.43
- Operating Margin: 2.5%
- Operating Income: $721M
- Free Cash Flow: ~-$4.51B
Here are a few things we are looking forward to hearing about on the call:
Automotive Gross Margin and Overall Profitability
This was 16.3 percent in Q2, down from 19.2 percent in Q1, and was impacted by warranty charges and some fading regulatory credits. Consensus implies overall gross margin near 18 percent, but a miss here would potentially reinforce concerns about pricing pressure on its vehicles.
Pay attention to energy storage margins as well, especially since Tesla missed GWh expectations, although it was still a strong quarter.
Robotaxi/Cybercab, Unsupervised FSD, and Optimus Progress
The Say questions from retail investors usually focus on these types of projects, and this quarter is no different. Scaling the Cybercab fleet beyond Austin amid the open NHTSA safety review, timeline for Unsupervised FSD in customer cars, Robotaxi unit economics, and Optimus cost per unit plus when it could start generating revenue, are all things to be looking for.
Any concrete timelines or regulatory path details will likely move the stock more than the near-term numbers. SpaceX merger speculation, which was detailed during SpaceX’s earnings call last night, may also surface, although the key details were shared last night.
Elon Musk just confirmed the Tesla and SpaceX merger step everyone was waiting for
Say Investor Questions
- How does the Cybercab fleet scale past Austin, and what’s the regulatory path outside Texas given NHTSA’s open safety review?
- When can we anticipate FSD unsupervised in customer cars?
- When will the CyberCab be available for customer purchase/ownership?
- What’s the unit economics per paid robotaxi mile, and how does it compare to the thirty-cent target?
- Tesla has acknowledged that HW3 vehicles cannot support unsupervised FSD. When will owners know whether they can upgrade their hardware for free, and when will Tesla provide a clear plan?
The full Earnings Call will be streamed this evening after market close around 5 p.m. this evening.
Tesla Cybercab gets a for sale date at last
Tesla Q3 2026 Earnings results: in-line revenues, slight beat on EPS
