News
Tesla’s next-gen Roadster is ushering in the automotive industry’s ‘Megacar’ era
Elon Musk is a man driven by his limits. The man behind electric car maker Tesla, Musk has led the company from its small Silicon Valley startup days to its current status as a $50 billion automaker with a market cap that rivals that of Ford and GM. With each vehicle that Musk releases, Tesla disrupts an industry, and with the next-generation Roadster, the CEO is aiming to create a true halo car.
Christian von Koenigsegg is a man driven by his passion. The man behind the small, exclusive supercar company Koenigsegg, Christian is known for pushing the limits of the vehicles he releases. Koenigsegg might be far smaller than supercar makers like Ferrari and Lamborghini, but the few cars that it makes shake the automotive world. The Koenigsegg Agera RS, for one, currently holds the title as one of the fastest cars in the world after it reached speeds of 278 mph. The Koenigsegg One:1, named for its equal power-to-weight ratio, also packs 1,341 horsepower, or the equivalent of one megawatt of power. Koenigsegg’s cars are so powerful that some of them actually qualify as a hypercar instead of a supercar.
When Christian von Koenigsegg heard the specs of Tesla’s next-generation Roadster, his entire company’s roadmap for the coming years was shaken. In a recent statement to Top Gear, Koenigsegg admitted that his company was completely thrown off course by the listed specs of the all-electric supercar, even admitting that the experience itself was “frustrating.”
“We kind of had our future mapped out, and then we heard about the new Tesla Roadster and its insane acceleration numbers, and we thought ‘damn that’s put the gauntlet down.’ Sure, it must be really heavy, but that kind of acceleration? That’s frustrating!” he said.
https://www.instagram.com/p/BnDT8v1hKJH/?tagged=teslaroadster
Christian noted that one of the biggest revelations by the arrival of the next-generation Tesla Roadster was that Elon Musk’s quoted specs for the vehicle were actually possible. In order to respond to the arrival of an electric car designed to deliver a “hardcore smackdown” to gas-powered vehicles, Koenigsegg and his engineers came up with a strategy that would allow one of its cars to give the Roadster some good competition.
“We thought, ‘this is not OK.’ We wondered whether it was possible, and yeah, it’s possible. Then we thought, ‘OK how do we deal with it? This is embarrassing.’ In two days we’d thought of a few things. The simplest way of putting it is like this: it’s combining direct drive, with the hybridization we have in a different format with free-valve engine technology, in a peculiar layout,” he said.
The concept that Koenigsegg and his team came up with is pretty much the fossil fuel-powered counterpart of the next-generation Tesla Roadster — one that is beyond a hypercar, perhaps even a “megacar” of sorts. Christian noted that he was partly annoyed at himself, for “needing a kick in the head to start thinking” about improving his vehicles’ acceleration.
“We’re talking 0-250 mph in 14 seconds, or something like this. It’s like, black marks all the way up to 250 mph (400 kph), pushing the combustion engine into the wall to try to make it more power dense than an EV for as long as possible. What we see with our engines, we’ve noticed that we’re just scratching the surface of what we can achieve,” he said.
https://www.instagram.com/p/BnHiOO4FYQv/?taken-by=koenigseggnewportbeach
Elon Musk threw the gauntlet at legacy automakers when he unveiled the next-generation Tesla Roadster last year, and if Christian von Koenigsegg’s reaction to the vehicle is any indication, it appears that the all-electric supercar is doing precisely what it was intended for — it is forcing automakers to see electric cars as a formidable force, and it is driving them to adapt and come up with ways to make their vehicles even better and faster.
Interestingly, such a sentiment has been echoed by Tesla’s test driver for the next-generation Roadster, Emile Bouret, earlier this year. In a segment with YouTube’s VINwiki channel, Bouret, who drove the all-electric car the whole night during its unveiling, encouraged the auto community to support projects and vehicles like the next-generation Roadster, stating that the existence of such vehicles would affect the auto industry in a positive way as a whole.
“I love that I live in a world where all these cars exist. You have Koenigseggs and Paganis and Ferraris and Lamborghinis and McLarens and Porsches and Rimacs and Teslas. So, I know there’s a lot of hate out there, but I just don’t understand it. If you’re a car person, wouldn’t you root for everybody? I’m definitely rooting for them because the world will be a better place if that car does get built and it gets on the road because other people are gonna build cars to beat it — and we’re gonna win,” he said.
Considering that Koenigsegg appears to have come up with a solution to match the next-gen Roadster, it seems that Buoret’s words are coming true. As the Tesla Roadster and Koenigsegg’s upcoming vehicle are released to the market, the era of megacars could very well begin.
Elon Musk has firmly denied recent media reports suggesting that SpaceX has reduced its target valuation for an upcoming initial public offering.
The denial came directly from the SpaceX and Tesla frontman on his social media platform X, where he responded with a single word, “False,” to a post from ZeroHedge that cited Bloomberg sources.
This swift rebuttal underscores Musk’s ongoing effort to manage speculation surrounding one of the most anticipated market debuts in recent history.
False
— Elon Musk (@elonmusk) May 29, 2026
According to the disputed reports, SpaceX had lowered its IPO valuation goal to at least $1.8 trillion from previous ambitions exceeding $2 trillion.
The claims emerged amid growing anticipation for the company’s confidential S-1 filing, which positions it for a potential public listing as early as June.
Some had pointed to strong revenue growth, particularly from the Starlink satellite internet service, which contributed heavily to the firm’s 2025 figures of $18.7 billion. Yet challenges persist in other areas, including substantial investments and losses tied to ambitious projects like Starship development and artificial intelligence initiatives, which plan to make life multiplanetary eventually.
Musk’s response highlights a pattern in which he actively counters what he views as inaccurate portrayals of his companies’ trajectories.
SpaceX, already valued privately at extraordinary levels, stands as a cornerstone of Musk’s empire alongside Tesla and xAI. The entrepreneur has long emphasized the transformative potential of reusable rockets and global broadband access, factors that fuel investor enthusiasm despite operational hurdles.
By rejecting the valuation downgrade narrative, Musk signals confidence in SpaceX’s fundamentals and its readiness for public markets on terms favorable to its long-term vision. People have been waiting a very long time to invest in SpaceX, and the valuation, as well as the introductory share price, is not going to need adjusting.
They’ll have plenty of suitors.
This episode reflects broader dynamics in the technology sector, where rumors often swirl around high-profile entities. Musk’s direct engagement with media narratives serves to maintain transparency and control the narrative around his ventures.
As SpaceX prepares for greater scrutiny in public markets, the founder’s denial reinforces optimism about its prospects. Supporters argue that the company’s innovative edge positions it for enduring success, far beyond short-term valuation debates. With the denial now public, attention turns to forthcoming regulatory filings that could provide clearer insights into SpaceX’s strategy and financial health.
The coming weeks promise to reveal more about how SpaceX will transition into a publicly traded powerhouse.
Tesla’s dreams of operating a fully autonomous ride-hailing platform just took a massive step toward reality, as two separate events have indicated the company is perhaps closer than ever to achieving self-driving as a product.
On Thursday, Tesla was granted authorization by the State of Texas to operate driverless vehicles in a commercial manner. On May 28, Senate Bill 2807, passed by the 89th Texas Legislature, took effect after being passed back on September 1, 2025.
The bill establishes a statewide regulatory framework requiring authorization from the Texas Department of Motor Vehicles for companies to operate automated vehicles commercially on Texas roads.
This covers driverless, or SAE Level 4+, operations for passenger transport, meaning Robotaxi, or freight.
Tesla and other companies can self-certify their vehicles and tech as long as they:
- Operate in compliance with Texas traffic laws
- Maintain proper registration, title, and insurance
- Use compliant automated driving systems
- Record onboard activity and handle system failures and glitches safely.
The new authorization, which was first reported by James Stephenson on X, allows companies to utilize their own processes to determine if their vehicles are ready to operate without drivers.
🚨BREAKING:
Tesla has been authorized by the State of Texas to operate driverless vehicles commercially under the new law that took effect today, May 28th, 2026. Tesla has officially self-certified the software running on its robotaxis as Level 4. $TSLA pic.twitter.com/KSJdsvlaW5— James Stephenson (@ICannot_Enough) May 28, 2026
It is a rule that expedites the entire approval process, keeping agencies out of a usually long, lengthy, and frustrating task that is essential to technological advancements. It essentially means Tesla can launch commercial Robotaxi operations at this point.
On the very same day, Tesla continued the momentum as CEO Elon Musk shared a video of Cybercab units autonomously driving off the property at Gigafactory Texas. This is a major step in the story of the Cybercab.
Mass production of the Cybercab started at Giga Texas in April, and it is already heading out of the factory on its own.
Cybercab driving itself out of the GigaTexas factory pic.twitter.com/EwAMVVDjYy
— Elon Musk (@elonmusk) May 28, 2026
These two major events mark a drastic step forward in Tesla’s progress toward Cybercab and the permissions it needs to operate a self-driving ride-hailing service. Tesla is now able to operate autonomously under Texas law by self-certifying, and with the potentially imminent rollout of Cybercab, Tesla’s autonomous dreams are starting to take serious shape.
Elon Musk
The Tesla and SpaceX merger everyone is talking about is quietly building
Tesla and SpaceX may be closer to merging than Wall Street or either company is admitting.
Elon Musk has reportedly discussed merging Tesla and SpaceX with people close to him, according to CNBC, which cited sources familiar with the conversation. Tesla employees have long expected such a transaction and the topic is openly discussed internally, according to internal sources. With SpaceX is days away from kicking off its Wall Street roadshow for what could be the largest IPO in market history, this would be the first time the company will have public market currency to execute a stock-for-stock deal with Tesla.
The financial logic for a merger would make sense. A combined SpaceX and Tesla would create a conglomerate spanning rockets, satellites, electric vehicles, AI infrastructure, and energy storage valued at roughly $3.35 trillion to $3.6 trillion based on SpaceX’s IPO target range and Tesla’s current market capitalization. The two companies are already more intertwined than most people realize. SpaceX bought $697 million worth of Tesla Megapack systems for xAI data centers and $131 million worth of Cybertrucks. Tesla invested $2 billion in xAI, which subsequently merged with SpaceX. Past transactions also include Tesla selling solar equipment and parts to SpaceX, and SpaceX helping with Cybertruck materials.
Will Tesla join the fold? Predicting a triple merger with SpaceX and xAI
Musk himself signaled where this was heading in November 2025 when he posted on X, “My companies are, surprisingly in some ways, trending towards convergence.” Tesla and SpaceX announced a joint semiconductor fabrication facility in Austin called Terafab on the Gigafactory Texas campus, covering two advanced chip factories, with one serving Tesla’s AI needs for vehicles and Optimus robots, the other targeting space-based data centers under SpaceX’s infrastructure vision.
Wedbush analyst Dan Ives places the probability of a merger at 80% to 90% with a target completion in the first half of 2027. The mechanics of a deal became possible the moment SpaceX filed its S-1. Legal experts said a merger likely would not spark antitrust issues but would raise concerns among shareholders in each company, with questions around which company would be the parent, how a stock swap would take place, and who determines the appropriate price. Musk holds about 20% of Tesla’s equity but controls 85.1% of SpaceX’s voting power through a super-voting share class, meaning he would largely be negotiating the terms with himself.
Not everyone is convinced the timing is imminent. Traders on Kalshi place only 33% odds that a merger will happen before May 2027. The more immediate concern for Tesla shareholders is whether the SpaceX IPO pulls capital and Musk’s attention away from Tesla before any merger consolidates the upside for both.
What is clear is that the structural groundwork is already being laid. The Terafab announcement, the xAI merger, the shared supply chain, the cross-company balance sheet transactions, and now the IPO all point in the same direction. Whether the merger follows in 2027 or later, the two companies are already operating more like divisions of a single entity than independent competitors.
Elon Musk strikes down reports on SpaceX IPO rumors
Tesla’s Robotaxi dreams just took a massive step toward reality
