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Tesla opens up first Model 3 test drives in the San Francisco Bay Area
Tesla is beginning to offer its first Model 3 test drives in the San Francisco Bay Area to US customers that placed a reservation deposit on the all-electric compact sedan. The Silicon Valley electric carmaker chaperoned Model 3 test drives on Friday from its Dublin-Amador Plaza, Corte Madera, Sunnyvale, and Palo Alto showroom stores, and expected to extend the test drive program to its San Jose, Burlingame, San Francisco, and Palo Alto store in the Stanford Shopping Center soon after.
The first Model 3 test drives in the Bay Area come ahead of Tesla’s nationwide summer rollout, where Model 3 reservation holders will be able to set appointments for test drives from Tesla’s official website.
Tesla’s test drives are available for individuals with a valid driver’s license who are 21 years old and above. If the Tesla showroom is located in a shopping mall, individuals are first required to check in at the showroom and given a brief overview before being directed to a Tesla product specialist. Tesla’s official website states that test drives are usually 15 minutes long to demonstrate the capabilities and performance of its electric cars, although anecdotes from the online community state that Tesla’s test drives could, at times, extend well beyond the 15-minute mark.
Considering that Tesla still has hundreds of thousands of Model 3 customers and high demand to experience the vehicle first-hand, it’s presumed that Model 3 test drives would be held to a strict time-boxed schedule.
Although first test drive vehicles in the Bay Area are the non-Performance variant, the company will introduce Model 3 Performance into its test drive fleet soon.
Model 3 Performance order page progressively rolling out to reservation holders over the next week or so. It’s a really great car. Not saying that lightly. Test drive is a mindwarp. Aiming to have these as our first test drive Model 3 cars in stores within 4 to 6 week’s.
— Elon Musk (@elonmusk) June 3, 2018
Having the Model 3 Performance as the test drive units for the compact electric car could be seen as a strategic move for Tesla, which is currently attempting to hit profitability this third quarter. The Model 3 Performance, after all, is the top tier variant of the electric car, with the vehicle starting at $64,000 before options. With all options including white seats, the “Performance Package,” premium paint, Autopilot and Full Self-Driving, the Model 3 Performance costs $80,000, a significant premium over the vehicle’s base price of $35,000. With this in mind, every reservation holder that upgrades their order to the Model 3 Performance after test driving the car is another drop in the bucket for Tesla’s revenue this Q3 2018.
Tesla has managed to hit its ever-elusive target of producing 5,000 Model 3 per week by the end of the second quarter. With this milestone achieved, Tesla finally seems ready to start taking in more reservations for the vehicle. As of date, Tesla expects deliveries for reservations of the Model 3 to be delivered in 2-4 months. Orders for the Long Range RWD variant are listed with an estimated delivery time of 3-5 months, and reservations for the $35,000 base model with a standard battery are listed with an estimated delivery time of 6-9 months.
Tesla just told us twice that the Model Y L is coming to the U.S., and two social media posts definitely just tipped the company’s hand, as if they wanted it to be any other way.
The two social media posts basically confirm that the slightly longer version of the Model Y will be heading to the United States soon, and many have speculated that the company could launch the vehicle as soon as this weekend.
The first post was directly from Tesla, and it showed an incredibly long Dachshund, with words above that said, “Looking forward to the long weekend.”
Looking forward to the long weekend pic.twitter.com/URzH6zOUdn
— Tesla (@Tesla) July 1, 2026
Anyone who knows Tesla knows the company loves to troll its fans and have fun, and this is a perfect example of that. While not a direct acknowledgement, Tesla is very involved on social media, especially CEO Elon Musk’s platform X, and the company is well aware of what is being discussed within the community.
With recent sightings of Model Y L test mules in California, peeks of the vehicle at Giga Texas, and a large call for the car to come to the U.S., Tesla is simply stoking conversation with this.
However, the company also made another move that was recognized on social media. Tesla has a large gallery that includes photos of its products so media and others can use them. This gallery applies to the U.S. market specifically, unless otherwise specified.
Tesla uploaded a Model Y L to the Gallery last night:
This looks like a Model Y L https://t.co/TpnBwrLmH9
— TESLARATI (@Teslarati) July 2, 2026
This seems to be another indication that the Model Y L is coming to the United States.
Musk said last year that the Model Y L could make its way to the United States late this year, but it was not something that was set in stone by Tesla. The company definitely needs to establish something in the SUV market that is larger than the Model Y, and the Model Y L might be the answer.
Even still, there are consumers out there who would love Tesla to develop something even larger, like a competitor to the Tahoe or Expedition. Tesla has not really given much of an indication that it will go in that direction.
Tesla is using the vehicles’ internal microphones to improve build quality, Vice President of Engineering Lars Moravy revealed recently.
It’s no secret that Tesla is always finding ways to make its manufacturing operations more efficient, accurate, and valuable. Constantly trying to make its cars better, the company has never placed any restrictions on what it will do to improve everything from panel gaps to paint.
As Teslas have been driving autonomously on the property of the Gigafactory Texas plant for a while now, Moravy revealed to Herbert Ong in a new interview that cars rolling off production lines now autonomously navigate themselves through a bumps, squeaks, and rattles (BSR) portion of the line. This helps to identify any loose or improperly installed internal parts.
The cabin’s microphones, which are used for a variety of things in ownership, simultaneously monitor any noises inside the vehicle while it rolls through the BSR portion of the production line. Moravy actually revealed that Tesla is trying to build “Full Self-Hearing,” an AI system that will detect minor imperfections so they can be corrected before delivery.
It’s no secret that build quality is something that Tesla struggled with as it scaled to a fully massive production operation that manufactures over 1.6 million vehicles per year. However, in recent years, especially, there have not been as many complaints. Tesla has truly improved upon its build quality and paint quality over the past several years, especially in the U.S.
Tesla’s ‘megacasts’ are key to massive build quality improvements
While those improvements have been evident, there are still some complaints; no automaker is perfect with this. But this step will now ensure that every single car that rolls off the production lines at Gigafactory Texas will be void of any creaks, squeaks, or squeals when it leaves the factory.
This measure is one of the most unique we’ve seen in terms of a strategy to avoid build quality issues, but it is not exclusive to Tesla.
Ford uses acoustic analysis AI to find abnormalities in seat motors, climate control units, and other components. Suppliers and OEMs will also use microphone arrays or particle velocity sensors in end-of-line stations.
The full interview with Lars Moravy is available below:
🚨 If you’re a Tesla investor, this is one interview you don’t want to skip. The full video posted below.
Jeff Lutz @thejefflutz and I sat down with Tesla VP of Engineering Lars Moravy, and it was packed with insights!
A few of the biggest takeaways:
• Cybercab is expected to… pic.twitter.com/fhYSr2dCqP
— Herbert Ong (@herbertong) July 1, 2026
Investor's Corner
Tesla crushes Wall Street expectations, beats delivery estimates by over 15 percent
Tesla (NASDAQ: TSLA) beat Wall Street expectations of 406,000 vehicles delivered in Q2 by reporting 480,126 deliveries for the three months ending in June.
Tesla reported it delivered 467,762 Model 3 and Model Y units, while 12,364 Model S, Model X, and Cybertrucks switched hands during the quarter. The Model S and Model X were officially sunset this past quarter and will no longer be part of the company’s Production & Delivery reports moving forward.
🚨 BREAKING: Tesla delivered 480,126 vehicles in Q2, ANNIHILATING Wall Street expectations of 406,000. Production was reported at 451,758.
Deliveries:
Model 3/Y: 467,762
Other Models: 12,364Production:
Model 3/Y: 442,936
Other Models: 8,822 https://t.co/TTHwQAsKt8 pic.twitter.com/7qI4Zj6FE5— TESLARATI (@Teslarati) July 2, 2026
The quarter is a pleasant surprise and a good rebound from Q1, when Tesla slightly missed the Wall Street consensus of 365,645 cars by reporting 358,023 deliveries for the first three motnhs of the year.
Energy storage deployments also provided some strength in Tesla’s delivery report, hitting 13.5 GWh for Q2. This is a particular division of Tesla’s business that has been overwhelmingly robust over the past few years, truly being a strong point of the company’s overall model.
For the year, Tesla analysts still predict deliveries to trend in the 1.69 million unit region, a modest 3 to 5 percent increase from the 1.64 million cars the company delivered last year. Tesla will likely return to more sequential and noticeable year-over-year growth as the Cybercab project starts to ramp up considerably in the next few years.
Tesla has some other potential catalysts to spur vehicle deliveries, too. Not only is it expecting Cybercab to truly start making a change in the next few years, but other vehicles could be entering the company’s lineup.
Tesla sends production Cybercab with no steering wheel, pedals to on-road testing
The slightly longer Model Y L has been a highly speculated release candidate in the U.S. It has already done incredibly well in China, and U.S. buyers have been wanting slightly more interior space than the Model Y. Now that the Model X is gone, it is more needed than ever.
Q2 highlights a pretty stable automotive division within Tesla, and no true concerns arise from these figures, especially considering it managed to beat expectations convincingly.
Tesla just told us twice that Model Y L is coming to the U.S.
Tesla is using vehicle microphones to improve build quality: here’s how
