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Tesla patent hints at possible Model S, X refresh with new HVAC system
Details coming out of a new international patent application filed by Tesla reveals an infotainment-controlled HVAC system that could be intended for an upcoming Model S and Model X refresh.
A similar HVAC control system has already been rolled out by Tesla in its compact electric sedan, the Model 3. The Model 3 uses two intersecting planes of air for vertical control. Lateral fins hidden within the electric car’s dashboard provide horizontal air control while also providing a clean, minimalistic look. Tesla’s filed patent describes features that are similar to Model 3’s air vent system that’s controlled through its 15″ center touchscreen. Patent US2017 / 058015 titled “Infotainment System with Air-Vent Control,” describes a system to manipulate the airflow inside the vehicle through the vehicle’s media control unit.
The air vent assembly includes a first vent portion placed in front of the driver and a second vent portion that is placed in front of the passenger. These vent portions may be elongated as compared to traditionally known designs of air vent assemblies in that they have longer, more linear vents instead of more circular or boxy vents.
Embodiments of the present disclosure enhance the capabilities of this air vent assembly to provide air flow in a leftward, rightward, onward, and a split configuration using a single rotary actuator. In certain embodiments, the user interface may also allow a user to define the degree to which the vents may cause air to flow in the rightward, leftward, or split direction.
Similar to Model 3’s unique HVAC system, the one described in the patent application also allows passengers to customize the airflow within the vehicle according to passenger preferences.
In certain embodiments, the user customizes the airflow, for example, the specific direction of the airflow. This can allow for a more comfortable experience for the occupants of a vehicle. For example, certain occupants may desire for air to be directed towards themselves while other occupants may desire the temperature of the vehicle cabin to be set to a certain value without having air directly impinging on themselves.
An illustration of Tesla’s recent patent on an infotainment-controlled HVAC system. [Credit: World Intellectual Property Organization]
With anticipation running high that Model S and Model X is due for a refresh, an update to its HVAC system would not only unify the dashboard design across its fleet of vehicles but could also simplify production. For one, Tesla’s unique air vent system requires less hardware and thus minimizes the need for multiple suppliers. Using a simpler design, Tesla’s thinner HVAC system can efficiently utilize space in the dashboard, and provide a much more expansive interior feel. Such a system, as proven by the Model 3, would also give drivers better road visibility.
While Tesla’s international patent application did not specifically mention a vehicle model, illustrations included in the document resembles the design of the Model S and Model X’s dashboard. Figure 1, for example, features a dashboard that is similar to the all-electric luxury sedan and SUV. Apart from a similar-looking instrument cluster and infotainment system, the illustration also features a dashboard curvature that’s aligned with that of Model S and Model X’s current design. Armrest cupholders located between the front seats at the bottom of Fig. 1 also draws resemblance to ones found in the Model S and Model X.
Adopting an HVAC system that’s akin to the Model 3 for the Model S and Model X would likely be a welcomed change for Tesla enthusiasts. During his testing and teardown of the vehicle earlier this year alone, Detroit veteran Sandy Munro, who issued a harsh critique of the electric car’s build quality, admitted in a later comment that the Model 3’s HVAC system was “brilliant,” citing its simple yet ingenious design.
Aside from major refreshes, Tesla continues to improve the components of its vehicles over time. As revealed by Elon Musk in a recent conversation with Consumer Reports’ Jake Fisher, the Tesla CEO noted that improvements have been rolled out to the Model 3 since its production began, from better interior materials that reduce road noise to a software update that improves the vehicles’ controls. Tesla’s flagship Model S and Model X are no strangers to this, and a revamped HVAC system can only improve the experience for its driver and passengers.
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.
SpaceX confirmed the date of Starship’s 15th launch window with some massive ambitions for the mission, as it will attempt to catch Ship for the first time.
CEO Elon Musk confirmed during SpaceX’s Earnings Call last night on October 20 that it would launch Starship for its 15th test flight in November, and there are some incredible things the company wants to try, making it perhaps the most groundbreaking launch in the program’s history.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
The most major development of the call was SpaceX’s intention to catch Ship alongside catching the Super Heavy Booster, something that has happened in the past. SpaceX showed an animation of the Ship catch, which will be done on the launch tower’s chopsticks:
SpaceX has released a new Starship tower catch animation for the upcoming Flight 15! https://t.co/kStn01Da8u
— Truthful🛰️ (@Truthful_ast) October 20, 2026
This monumental goal is to catch both the Ship and Booster in a dual-catch scenario, an incredible feat since SpaceX has never been able to reuse a Ship after launch. Musk said it would be “the first time that an orbital launch vehicle has been fully recovered,” and said it would be a “profound technology milestone.”
Musk said the odds of success on this first Ship catch attempt are “more likely than not,” but SpaceX is ultimately prepared for more tries moving forward. The SpaceX frontman said that, starting next year, Starship would have a “steady stream” of flights through the end of the year.
The cadence will accelerate in 2027, with Musk stating the company plans to target weekly flights in the first half of 2027 and twice-weekly by year-end.
The Flight 15 attempt follows that of Flight 14, which took off in late September and was Starship’s first orbital mission. It deployed 26 Starlink V3 satellites, accomplished a controlled ocean splashdown of both stages, and shed more light on potential challenges for the program moving forward.
As of now, the Starship program is firing on all cylinders.
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Wall Street analysts rapidly raised price targets on SpaceX (NASDAQ: SPCX) after the company reported a bullish third quarter for 2026 following the market close on October 20. Shares were sent sharply higher in after-hours and premarket trading.
SpaceX posted revenue of $14.6 billion, a 161 percent year-over-year increase that comfortably topped consensus estimates, which fell near $12.7 billion. The company also posted a net profit of $4.4 billion from a prior-year loss, with adjusted EBITDA reaching $8.8 billion.
More price target movement:
🚀 Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
🚀 Barclays raised its target to $300 from $254 (Overweight).
🚀 Citi increased its target to $240 from $200 (Buy),
🚀 UBS moved to $230 from $210 (Buy)
🚀TD Cowen raised its target to $224 from $200 (Buy).
🚀Morgan Stanley held an Overweight rating with a $300 target.
🚀Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.— TESLARATI (@Teslarati) October 21, 2026
Its Super Intelligence (AI) division generated roughly $7.6 billion and became the largest revenue contributor, growing nearly 830 percent year-over-year, while the Connectivity segment delivered $5.2 billion on strong subscriber additions that lifted the consumer base to 13.6 million for Starlink.
The Earnings Call proved especially catalytic, as CEO Elon Musk and CFO Bret Johnsen outlined Q1 2027 revenue guidance of $33 billion to $37 billion, which was far above the roughly $22 billion analysts had modeled, alongside fourth-quarter capital-expenditure plans of $35 billion to $40 billion focused on AI compute infrastructure at sites including Memphis and Southaven.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
Management targets 2.5 to 3 gigawatts of nameplate compute capacity by year-end and discussed pathways to 13 gigawatts or more by the end of 2027. Musk described relentless demand from hyperscalers and other customers, with compute pricing supporting payback periods of less than a year and potentially as short as six months.
Additional highlights included Starship’s recent orbital success and V3 satellite deployment, Starlink pricing and enterprise momentum, rapid Grok Bot adoption, spectrum expansion plans, and the formation of special committees to explore a possible combination with Tesla.
These elements prompted a wave of price-target increases:
- JPMorgan more than doubled its target to $500 from $240 while maintaining an Overweight rating.
- Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
- Barclays raised its target to $300 from $254 (Overweight).
- Citi increased its target to $240 from $200 (Buy),
- UBS moved to $230 from $210 (Buy), and
- TD Cowen raised its target to $224 from $200 (Buy).
- Morgan Stanley held an Overweight rating with a $300 target.
- Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.
Shares, which closed at $147.79 on October 20, jumped roughly 8 percent in early premarket trading on October 21 as investors digested the results and the newly elevated Street targets.
The average analyst price target has moved higher, which reflects greater conviction in SpaceX’s trajectory across launch, connectivity, and the Super Intelligence business, even as elevated spending remains a point of focus.
Tesla reports Q3 Earnings today: here’s what to expect
SpaceX confirms Starship 15 launch window with massive ambitions
