Tesla was battered and bruised last year by a series of headwinds, from Giga Shanghai’s shutdowns to CEO Elon Musk’s TSLA stock sales to fund his Twitter acquisition. It was then no surprise that the EV maker started 2023 on a much different stance. Just a few days and weeks into the year, Tesla started a price war.
Tesla’s aggressive price cuts to its lineup of vehicles are not just a warning shot in the electric vehicle sector. It is also a power play of sorts, as it shows that the company has what it takes to significantly reduce the prices of its vehicles and possibly still be profitable. It’s a move that other automakers may follow at their own risk.
A Reuters analysis estimated that Tesla earned $15,653 in gross profit per vehicle during Q3 2022. That amount is over twice as much as Volkswagen and five times as much as Ford. This is a notable development for Tesla, considering that the company was once one of the auto industry’s biggest money losers.
Tesla’s transformation into an automaker with a commanding lead over rivals in terms of profit per vehicle is quite incredible. It involved a lot of difficult choices, such as using technologies like Giga Presses to create mega casts that would then reduce production costs. Tesla is not done either, as the company is still busy with other projects, such as its in-house battery production ramp.
Bill Russo of Automobility, an industry consultancy in Shanghai, noted that Tesla’s aggressive price cuts could give a notable blow to the company’s rivals, some of whom are operating on thin margins. “Tesla has taken the nuclear option to bully the weaker, thin-margin players off the table. Big pie, fewer slices, more to eat for those that remain,” Russo noted.
In China, such a scenario seems to be playing out. Following Tesla’s aggressive price cuts, Chinese EV maker Xpeng also decided to cut its vehicles’ prices. However, Reuters data estimates that Xpeng is already at a net loss of $11,735 per vehicle, which would make its price-cut strategy a risky move. The same is true for Vietnamese EV startup VinFast, which is trying to enter the US market. In recent comments, the company stated that it would be using price promotions to fight back against Tesla.
Perhaps the company best positioned to stand against Tesla’s price war would be BYD, which is already beating the American EV maker’s volumes in China. BYD has so far not initiated price cuts of its own, but its $5,456 per vehicle gross margins do provide the automaker more headroom to compete in Tesla’s price war.
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News
Tesla Model Y and Model 3 named safest vehicles tested by ANCAP in 2025
According to ANCAP in a press release, the Tesla Model Y achieved the highest overall weighted score of any vehicle assessed in 2025.
The Tesla Model Y recorded the highest overall safety score of any vehicle tested by ANCAP in 2025. The Tesla Model 3 also delivered strong results, reinforcing the automaker’s safety leadership in Australia and New Zealand.
According to ANCAP in a press release, the Tesla Model Y achieved the highest overall weighted score of any vehicle assessed in 2025. ANCAP’s 2025 tests evaluated vehicles across four key pillars: Adult Occupant Protection, Child Occupant Protection, Vulnerable Road User Protection, and Safety Assist technologies.
The Model Y posted consistently strong results in all four categories, distinguishing itself through a system-based safety approach that combines structural crash protection with advanced driver-assistance features such as autonomous emergency braking, lane support, and driver monitoring.
This marked the second time the Model Y has topped ANCAP’s annual safety rankings. The Model Y’s previous version was also ANCAP’s top performer in 2022.
The Tesla Model 3 also delivered a strong performance in ANCAP’s 2025 tests, contributing to Tesla’s broader safety presence across segments. Similar to the Model Y, the Model 3 also earned impressive scores across the ANCAP’s four pillars. This made the vehicle the top performer in the Medium Car category.
ANCAP Chief Executive Officer Carla Hoorweg stated that the results highlight a growing industry shift toward integrated safety design, with improvements in technologies such as autonomous emergency braking and lane support translating into meaningful real-world protection.
“ANCAP’s testing continues to reinforce a clear message: the safest vehicles are those designed with safety as a system, not a checklist. The top performers this year delivered consistent results across physical crash protection, crash avoidance and vulnerable road user safety, rather than relying on strength in a single area.
“We are also seeing increasing alignment between ANCAP’s test requirements and the safety technologies that genuinely matter on Australian and New Zealand roads. Improvements in autonomous emergency braking, lane support, and driver monitoring systems are translating into more robust protection,” Hoorweg said.
News
Tesla Sweden uses Megapack battery to bypass unions’ Supercharger blockade
Just before Christmas, Tesla went live with a new charging station in Arlandastad, outside Stockholm, by powering it with a Tesla Megapack battery.
Tesla Sweden has successfully launched a new Supercharger station despite an ongoing blockade by Swedish unions, using on-site Megapack batteries instead of traditional grid connections. The workaround has allowed the Supercharger to operate without direct access to Sweden’s electricity network, which has been effectively frozen by labor action.
Tesla has experienced notable challenges connecting its new charging stations to Sweden’s power grid due to industrial action led by Seko, a major Swedish trade union, which has blocked all new electrical connections for new Superchargers. On paper, this made the opening of new Supercharger sites almost impossible.
Despite the blockade, Tesla has continued to bring stations online. In Malmö and Södertälje, new Supercharger locations opened after grid operators E.ON and Telge Nät activated the sites. The operators later stated that the connections had been made in error.
More recently, however, Tesla adopted a different strategy altogether. Just before Christmas, Tesla went live with a new charging station in Arlandastad, outside Stockholm, by powering it with a Tesla Megapack battery, as noted in a Dagens Arbete (DA) report.
Because the Supercharger station does not rely on a permanent grid connection, Tesla was able to bypass the blocked application process, as noted by Swedish car journalist and YouTuber Peter Esse. He noted that the Arlandastad Supercharger is likely dependent on nearby companies to recharge the batteries, likely through private arrangements.
Eight new charging stalls have been launched in the Arlandastad site so far, which is a fraction of the originally planned 40 chargers for the location. Still, the fact that Tesla Sweden was able to work around the unions’ efforts once more is impressive, especially since Superchargers are used even by non-Tesla EVs.
Esse noted that Tesla’s Megapack workaround is not as easily replicated in other locations. Arlandastad is unique because neighboring operators already have access to grid power, making it possible for Tesla to source electricity indirectly. Still, Esse noted that the unions’ blockades have not affected sales as much.
“Many want Tesla to lose sales due to the union blockades. But you have to remember that sales are falling from 2024, when Tesla sold a record number of cars in Sweden. That year, the unions also had blockades against Tesla. So for Tesla as a charging operator, it is devastating. But for Tesla as a car company, it does not matter in terms of sales volumes. People charge their cars where there is an opportunity, usually at home,” Esse noted.
Elon Musk
Elon Musk’s X goes down as users report major outage Friday morning
Error messages and stalled loading screens quickly spread across the service, while outage trackers recorded a sharp spike in user reports.
Elon Musk’s X experienced an outage Friday morning, leaving large numbers of users unable to access the social media platform.
Error messages and stalled loading screens quickly spread across the service, while outage trackers recorded a sharp spike in user reports.
Downdetector reports
Users attempting to open X were met with messages such as “Something went wrong. Try reloading,” often followed by an endless spinning icon that prevented access, according to a report from Variety. Downdetector data showed that reports of problems surged rapidly throughout the morning.
As of 10:52 a.m. ET, more than 100,000 users had reported issues with X. The data indicated that 56% of complaints were tied to the mobile app, while 33% were related to the website and roughly 10% cited server connection problems. The disruption appeared to begin around 10:10 a.m. ET, briefly eased around 10:35 a.m., and then returned minutes later.
Previous disruptions
Friday’s outage was not an isolated incident. X has experienced multiple high-profile service interruptions over the past two years. In November, tens of thousands of users reported widespread errors, including “Internal server error / Error code 500” messages. Cloudflare-related error messages were also reported.
In March 2025, the platform endured several brief outages spanning roughly 45 minutes, with more than 21,000 reports in the U.S. and 10,800 in the U.K., according to Downdetector. Earlier disruptions included an outage in August 2024 and impairments to key platform features in July 2023.
Tesla Model Y and Model 3 named safest vehicles tested by ANCAP in 2025
Tesla Sweden uses Megapack battery to bypass unions’ Supercharger blockade
