News
Tesla Showdown: We got a Model 3 and compared it to a Model S [Video]
We’ve seen a handful of Tesla Model 3 review videos floating around — including an excellent hour-long, deep-dive into the car’s features by our friends at Model 3 Owners Club. That said, we just got a chance to conduct an in-depth evaluation of Model 3 for ourselves. It’s a fascinating car and in our view, will come to dominate the mid-sized sedan segment over the next few years.
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Above: Considering the differences between the two Tesla sedans (Photo: EVANNEX)
In some ways, Model 3 demonstrates how Tesla has elevated its interior design capabilities and improved the integration of features, functionality, and storage as the company moves forward. In other ways, Model 3 reinforces the contention that Model S remains Tesla’s flagship sedan. We think it’s worth comparing and contrasting the two Tesla sedans to better understand the differences between the cars.
Above: Examining a few of the subtle, and not-so-subtle similarities and differences between Tesla’s Model 3 and Model S (Youtube: EVANNEX)
We spent two full days with the Model 3, reviewing the interior and exterior in granular detail. We examined the car through the lens of five years (since 2012!) of Model S ownership. Sure, some Tesla owners (like us) are wondering how these siblings stack up against one another. But there are many others pondering the possibility of owning their first Tesla. The big question is… if you’re considering the purchase of a Tesla Model 3 or Tesla Model S, which one should you buy?
Interior
Let’s compare and contrast some of the interior features of Model 3 and Model S with particular emphasis on driving and vehicle control displays, HVAC capabilities, interior volume and storage, the front driver’s compartment, and the little things that add functionality to the interior.
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Above: A look inside the Tesla Model 3 interior (Photo: EVANNEX)
Driving and vehicle control displays. The Model S boasts two digital displays instead of one in the Model 3. The Model 3’s horizontal, center display is also smaller (15-inch) vs. a vertical, center display which is larger (17-inch) in the Model S. Because Model S retains an information display immediately in front of the driver, it provides somewhat more comprehensive information content. As an aside, the 15-inch landscape display in Model 3 appears to be larger than it is and provides a full range of driving and vehicle information at a glance.
HVAC. Model 3’s HVAC approach demonstrates a significant step forward for Tesla. Both the Model S and Model 3 HVAC approaches are functional and capable, but the Model 3 has a definite advantage in terms of directional control and aesthetics. In addition, its novel design is impressive.
Interior volume and storage. Because Model 3 is a mid-size sedan, it can’t compete with Model S in interior volume—an important factor for many owners. Overall, interior volume in the Model S is far superior to Model 3. You get 30 cubic feet in Model S vs. 15 cubic feet in Model 3. As important in our view, the Model S hatchback design has significant advantages over the Model 3 conventional trunk opening. The hatchback opening provides very easy placement of large objects. It should be noted that the Model 3 trunk, when coupled with second row fold-down seats, does offer the ability to carry long objects with relative ease. The Model S also has a power lift gate instead of the Model 3’s manual trunk. In addition, Model S has a larger frunk than Model 3.
Seating. Model S has seating for 5 adults + 2 children (with rear facing “jump” seats). Model 3 only has seating for 5 adults. That said, Model 3’s seat quality, design, and overall spaciousness of the cabin were comparable to Model S.
Driver visibility. The interior design of Model 3 is striking in the sense that it eliminates the binnacle that normally sits directly in front of the driver, replacing it with a 15-inch landscape center display. With the binnacle removed, the Model 3 dash is lowered, allowing a more complete view of the road immediately in front of the vehicle. The large expanse of glass above the driver provides the feeling of an aircraft cockpit.
Center console. Sitting in the driver side cockpit of Model 3, it becomes obvious that Tesla has improved its interior design chops. The center console for Model 3 (available with the premium option package) is well-designed and functional. It offers easy mobile device charging, dual USB ports along with a 12V port, and elegant storage, complemented by storage compartments in the doors.
Lack of buttons. For Model 3, just about everything except window and door opening is controlled via the landscape display. This level of software control is impressive, but we felt that there might be times when it would be easier to use an analog alternative for, say, the control of the side mirrors or glove box.
The little things. There are little things you’ll find in a Model 3 that are absent from the Model S — coats hooks, built-in rear seat armrest, small storage compartments, back-of-seat kangaroo pockets, etc. To be a bit self-serving for a moment, most of these items can be had (in the aftermarket) for Model S from EVANNEX.
Exterior
Moving to the exterior, it’s apparent that Model 3 has the same vehicle DNA as Model S, but like all siblings, there are visual (as well as characteristic) differences.
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Above: Tesla’s sleek design of its new Model 3 (Photo: EVANNEX)
Looks. The most obvious (in-person) differences are the shorter hood for Model 3, the noticeably narrower width of the vehicle, and smaller wheels. Because it is shorter and narrower, Model 3 has a less striking stance than Model S. Overall, the larger size of the Model S is more visually impressive. We think it’s fair to state that many Model 3 owners will remedy some of these issues in the aftermarket, but in the case of Tesla’s sedan siblings, size matters.
Sensor suite. Autopilot (and ultimately, autonomous driving capability) will be available for both Model S and Model 3. It appears that functionality and capabilities in this domain will be identical.
Door handles. We did have a few small quibbles with Model 3. The push-rotate-grab door handles of Model 3 achieve the required aerodynamic advantages for an electric vehicle, but they pale in comparison to the auto-present and retract door-handles for Model S. We felt that Model 3 handles weren’t as ergonomic, particularly if you’re carrying something as you get into the vehicle.
Wheels. The 18-inch Model 3 aero covers are a matter of personal taste, but the underlying wheel (rim) is a bit conventional in our view and doesn’t offer an aesthetic that Model 3 deserves. The 19-inch wheels (available as an option) are more interesting, but still a bit less luxe than Model S (19-inch and 21-inch) wheel options.
Driving
Performance. Before going any further, it’s important to note that we weren’t able to test drive the Model 3 during our recent evaluation. Last year, we did enjoy a test ride in the Model 3 prototype at Tesla’s launch event. At that time the ride of Model 3 felt like a Model S, but it didn’t have the explosive torque and power that Model S owners are accustomed to. If you’re looking for ludicrous 0-60 mph times (gulp, 2.28 seconds), the Model S is your car. On the other hand, the published findings of a number of different test drives indicate that drivability and overall performance of Model 3 are quite impressive for a car at its price point. To that end, Model 3 can race a respectable 0-60 mph in 5.1 – 5.6 seconds.
Range. Both Model S and Model 3 have plenty of range for road trips and access to Tesla’s vast Supercharger network. On the whole, depending on which variant you look at, Model S will provide more range (259 – 335 miles of range) than Model 3 (220 – 310 miles of range). Also, many Model S owners will be able to take advantage of free supercharging (with a referral) whereas Model 3 owners will not have access to that particular perk.
The Verdict
In reality, the Model 3 and Model S are different vehicles for different demographics. Both have the same vehicle DNA, both will turn heads, and both are the epitome of current automotive technology. It’s clear — you definitely want a Tesla. Which Tesla is right for you?
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Foreground: A new “refresh” Tesla Model S (left) across from a used “signature” Tesla Model S (right); Background: Tesla Model 3 (Photo: EVANNEX)
Although we were extremely impressed with the Model 3, if you’re considering a Tesla (and can afford it), we recommend going with Model S. On performance and premium feel, Model S wins going away. On exterior aesthetics, Model S provides a head-turning design that Model 3 can’t match. On (a few) interior design cues, it’s Model 3 by a nose. On interior space, seating, and storage volume, Model S triumphs. And if you consider availability, you can get your hands on a new or used Model S in a matter of weeks. Model 3 availability? That’s an entirely different discussion.
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Note: Article originally published on evannex.com, by Matt Pressman
News
Tesla CEO Elon Musk says flying cars are coming
Tesla CEO Elon Musk said that flying cars will be coming to the market, something that his own company has hinted at previously.
Musk said on X, in response to a post that read, “We were promised flying cars and all we got is infinite superintelligence for everyone,” “You will get flying cars.”
You will get flying cars
— Elon Musk (@elonmusk) August 12, 2026
The post rang back to when Musk teased flying and hovering capabilities for the Tesla Roadster, the company’s supercar that has been delayed more times than anyone cares to count. It was set for an unveiling earlier this year, but it was then pushed back to August. There is still no sign of it coming.
However, that does not mean it won’t. But one of the biggest features of the Roadster that was teased was a SpaceX package that featured cold gas thrusters on the rear end that would help with white-knuckle acceleration. Another set would face the ground and would help the Roadster gain small bits of altitude, potentially helpful to jump over obstacles.
Elon Musk hints at Tesla Roadster’s “hovering” abilities in SpaceX package
But it is not a straightforward thing for Musk. As a serial entrepreneur, he tends to spend his time on major disruptors; currently, his largest projects are artificial intelligence and compute power, as well as SpaceX’s launches that will eventually make life multiplanetary.
In the past, he has been critical of flying cars and has been in favor of tunnels, one of the big reasons he started the Boring Company. In 2017 at a TED talk, he said:
“There is a challenge with flying cars in that they’ll be quite noisy. The wind force generated will be very high. Let’s just say that if something’s flying over your head, if there are a whole bunch of flying cars all over the place, that is not an anxiety-reducing situation…You’re thinking, ‘Did they service their hubcap? Or is it going to come off and guillotine me as they’re flying past?’”
However, he’s never been against them. He has also said he’s in favor of both tunnels and flying cars.
Contrary to press reports, I’m not against flying cars. Just said it was important to consider both pros and cons.
— Elon Musk (@elonmusk) March 24, 2015
Most recently, Musk said that anyone who wants a flying car should be able to get one. This was stated last October on the Joe Rogan Experience:
“My friend Peter Thiel once reflected that the future was supposed to have flying cars, but we don’t have flying cars… I think if Peter wants a flying car, we should be able to buy one.”
Whether the Roadster will be Tesla’s flying car or potentially another one remains in the mind of Musk. Of course, the Roadster will have to make its way to production lines before we find out.
Elon Musk
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.
Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.
The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.
We made rockets reusable and are rebuilding the internet in space. The next challenge: making life multiplanetary and understanding the true nature of the universe
Watch @ElonMusk deliver a company update to @SpaceX employees pic.twitter.com/5c8rxoCQfu
— SpaceX (@SpaceX) August 11, 2026
Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.
The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.
Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.
Investor's Corner
Tesla has one big financial question to answer for investors: Morgan Stanley
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.




