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Tesla’s “Project Highland” Model 3 photos hint at upcoming updates worth keeping secret

Image Credit: The Kilowatts/Twitter

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Tesla has always had a rebellious streak. It doesn’t follow the dealership model, its cars are sold with most options already built in, and its CEO does not lead the company like a traditional chief executive. It is then noteworthy when Tesla — despite its tendency to behave like a rebel — adopts practices that are quite conventional. 

This does seem to be the case with the Model 3’s upcoming “Project Highland” update, which is expected to be rolled out later this year. Previous reports suggest that “Project Highland” would include some changes to the all-electric sedan’s exterior and powertrain. It would reportedly reduce the number of components that will be used to build the car as well. 

Prototypes of “Project Highland” Model 3 units have been reported over the past weeks, and interestingly enough, each prototype that has been spotted has been fitted with coverings on the front and rear end. This practice is common among automakers particularly when a refresh is coming, but it is something that Tesla typically does not do. 

Take the Tesla Model Y, for example. In the months leading up to the Model Y’s deliveries, photos and videos of the all-electric crossover’s release candidates were shared online, and none had camouflage. The same was true for the Model S Plaid, whose prototypes were also spotted driving out in the open without any coverings whatsoever. And when Tesla finally brought a Model Y over to Germany, the company seemed to poke fun at the practice of camouflaging upcoming vehicles when it placed a sticker on the all-electric crossover which read “Not Model Y.” 

Tesla’s “Not Model Y” “camouflage” in Germany. (Credit: @tesla_adri/Twitter)

With these in mind, it might be justifiable to infer that Tesla’s “Project Highland” Model 3 would feature exterior changes that warrant some real camouflage. What these changes would remain to be seen, but Tesla must have a pretty good reason why parts of the upcoming vehicle must be hidden from sight today. Some EV enthusiasts have speculated that the coverings might be due to the “Project Highland” units being fitted with new sensors that are best left hidden for now. 

A Tesla Model S Plaid release candidate (Credit: Teslarati via @BlakeM in San Francisco)

Tesla Model 3 units today utilize a pure vision system. This means that they are not fitted anymore with radar or ultrasonic sensors. Last year, however, Tesla’s online parts catalog featured references to a new radar unit, which led to speculations among EV enthusiasts that the company may include a new radar system for its vehicles in the future. Others, however, have suggested that the apparent “Project Highland” Model 3 units and their camouflage covers are a red herring. 

Considering that Tesla is a unique company that develops its vehicles in a pretty unconventional manner, it would not be surprising if such speculations prove accurate. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

The Boring Company’s latest Tesla tunnel truck mod “fits like a glove”

The Boring Company has modified a Tesla powered tunnel truck to carry freight containers underground.

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The Boring Company has found a second job for the Tesla hardware it already runs underground. In a post on X, Elon Musk’s tunneling company showed its latest Prufrock Liner Truck modified to carry a standard 20 foot shipping container. “Using TBC tunnels to transport freight,” the company wrote. “The latest Prufrock Liner Truck (using Tesla Model 3 batteries and drive units) has been modified to carry a standard 20′ shipping container. Fits like a glove!”

The photo shows a red container sitting on a long, low white chassis parked outside, with drive hardware visible at one end. The Boring Company did not say where or when freight hauling would start, which customers it has in mind, or how many trucks it is converting.

Until now, the liner trucks have hauled concrete. Teslarati reported in August on Liner Truck 3, which uses Model 3 battery packs and drive units to move more than 22,000 pounds of precast tunnel segments to the boring machine. It has 28 miles of range, tops out at 12 mph, and is piloted remotely from the company’s operations center in Texas. The freight version appears to be the same platform with a different bed, and The Boring Company has not said whether it will also be remotely piloted.

Freight has been on the company’s menu for years. When TBC updated its product lineup in 2021, its freight tunnel was described as sized to fit a standard shipping container, “barely.” The company later used the idea at Tesla’s own factory, where Prufrock 3 dug a tunnel to Giga Texas that now moves finished Cybertrucks away from the production line.

The Boring Company closed a $3 billion Series D in September at a $23 billion valuation, and Teslarati has covered how that money is tied to a UAE tunneling push and a faster Nashville build. In Nashville, Prufrock MB1 and MB2 are mining at the same time, and a third machine is expected to launch in late October. Each machine needs a steady supply of liner trucks, so any design that works for segments and containers alike gives the company more use out of the same Tesla parts.

The Vegas Loop remains the only Boring Company system open to the public, and it moves passengers in Tesla vehicles. A freight service would be a separate product, and the post gave no indication that one is close to launch. For now, it is a truck, a container and a short caption saying they fit together.

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Elon Musk will give ‘every kid in America’ a SpaceX share in 2027

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Credit: Grok Imagine

Elon Musk said he is planning to give “every one of his SpaceX shares to every kid in America” in 2027, stating that “this will be the first of many.”

SpaceX went public earlier this year, and its stock price has been relatively stable since leveling off shortly after its IPO. Based on its current price, it’s a gift of just over $10 billion to children across the United States.

It appears to be closely related to President Donald Trump’s bank accounts for children, which were set up earlier this year as Trump Accounts.

Just hours earlier, Anthropic had announced the establishment of its Anthropic Public Benefit Fund, “a new wholly-owned entity dedicated entirely to public benefit.” Musk responded by stating he recommended “giving the shares directly to the public,” and that he would be doing it that way.

Just a little bit later, Musk said children across the U.S. would be getting a share from him:

There are roughly 70 million children, meaning someone under the age of 18, in the United States, according to the Federal Interagency Forum on Child and Family Statistics. Musk’s ownership of SpaceX stock shows he has around 849 million Class A shares of SpaceX stock, according to filings with the SEC.

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Elon Musk reveals why Boring Co’s biggest East Coast project never happened

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(Credit: The Boring Company)

Elon Musk revealed in a post on X that “Permits were impossible to get,” explaining the fate of The Boring Company’s most ambitious East Coast proposal.

The comment responded to a query about what became of his July 20, 2017 announcement that he had “just received verbal govt approval” for an underground Hyperloop connecting New York City, Philadelphia, Baltimore, and Washington, D.C., capable of carrying passengers from the Big Apple to the Nation’s Capital in just 29 minutes.

The Boring Company receives verbal ‘approval’ to build NY to DC Hyperloop tunnel

The 2017 post, which envisioned city-center stations and multiple elevators in each city, sparked immediate scrutiny. Local and state officials in New York, Philadelphia, Baltimore, and D.C. said they had no knowledge of any approval. A White House spokesperson confirmed only “promising conversations” about the transformative infrastructure.

Musk clarified shortly after that there was “still a lot of work” to do for formal approvals.

Limited progress followed, as Maryland Governor Larry Hogan’s administration issued a conditional utility permit and supported work near Fort Meade. In 2018, Washington, D.C., granted a preliminary permit for site preparation and excavation on a vacant lot at 53 New York Ave. NE in the NoMa neighborhood, which The Boring Company said could become a station.

A draft environmental assessment for a D.C.-Baltimore segment was released in 2019. Yet, by April 2021, the company had removed the project from its website, and the Federal Highway Administration reported receiving no indication of further interest. Communication with Maryland officials had ceased.

The full corridor would have required coordination among the District of Columbia, Maryland, Pennsylvania, New York, the Federal Highway Administration, the Army Corps of Engineers, the National Park Service, and other agencies.

Environmental reviews under the National Environmental Policy Act, utility clearances, and approvals for novel infrastructure added to the overall complexity of the project and its approval.

Speculation on the permitting barriers centers around a few factors, but a multi-state, multi-level route involving unproven high-speed vacuum-tube technology inherently triggers exhaustive safety, environmental, and engineering reviews that can stretch for years, even for conventional projects.

There are also other elements, of course, like officials who may face political exposure if a privately funded, untested system encountered anything such as cost overruns, delays, or safety issues. On the outset of this project, there were limited things such as engineering plans or demonstrated technology maturity, which also added to the potential skepticism.

The East Coast vision for Boring Co., once framed as a privately funded revolution that could reshape Northeast travel, quietly ended without construction of the promised network. Musk’s recent statement frames the outcome as a regulatory impasse, unfortunate but not unexpected.

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