News
Tesla’s launch of Model Y RWD is the nail in the coffin at the worst time for legacy auto
Tesla’s launch of the Model Y Rear-Wheel-Drive (RWD) comes at perhaps the worst time for legacy automotive companies. It is affordable, comparable to similar models from competitors, and is perhaps the nail in the coffin, especially for the U.S. market, as it is an affordable car that features some of the best add-ons that EV buyers could need.
Last night, Tesla launched the Model Y RWD on its website, and with federal and local incentives, it could cost buyers under $31,000 as it qualifies for the full EV tax credit from the government. Packing the LFP, or lithium iron phosphate battery pack, Tesla has brought its most popular car to an affordable level with reasonable range ratings and more than acceptable performance metrics.
While it was a timely offering in terms of Tesla’s trek for 1.8 million deliveries this year after a lackluster Q3 due to factory upgrades that required production pauses, this vehicle offers the automaker two things:
- A new mode of demand for the Model Y, especially in the U.S. market, where it has already been extremely popular
- Another edge over the already-frustrated competition, which is falling further behind due to a number of factors, and has already thrown in the towel to Tesla and will use its Superchargers next year because developing infrastructure is difficult
Of course, the Model Y RWD is not the best crossover out there. We would likely reserve this for the Long Range version of the Model Y, which offers more travel distance per charge and better performance metrics.
That’s not to say that the Model Y RWD is something worth overlooking because, for many, it is the answer to the question they’ve had: how will I put the most popular EV in the U.S. in my driveway for roughly $35,000?
This was Tesla’s answer.
Obviously, there is no shortage of people who are at least thinking about buying an EV. Recent figures have shown that Tesla commands the U.S. EV market by a considerable margin, and although it seems there is still plenty of demand for its vehicles in the North American market, Tesla still has to find ways to cater to customers who need certain vehicles at certain price points.
The Long Range Model Y is an ideal car for most people and families. Crossovers are an extremely sought-after body style in this market, but they come at a price. Give someone who needs a crossover EV at a price they cannot pass up and pack on the world’s most expansive charging network on top of it, and it is simply not a matter of whether people will buy it. It’s a matter of when, and how many will be bought.
It is no secret that people may be somewhat worried that Tesla may not reach its 1.8 million unit delivery goal for the year. Even with the Model 3+, or Highland, whatever you want to call it, starting deliveries this month in Europe, Asia, and the Middle East and the Cybertruck likely beginning deliveries soon, there still needs to be some movement in the U.S. market.
Cybertruck deliveries are likely going to be somewhat small for the last quarter of the year, and Highland will contribute plenty of units to the Q4 figures, but the U.S. is still where Tesla dominates the most, but neither of these vehicles are available here yet.
Enter the Model Y RWD as the nail in the coffin for companies that are either striking due to UAW demands for better wages and benefits, or are struggling with EV software and quality, or just an overall lack of awareness in terms of the auto market.
Yes, there are some people out there that have no interest in an EV. However, there are plenty that are. Ford, GM, and Stellantis are not building any in the U.S. currently because of the UAW strike, Volkswagen may have some things to offer, but it hasn’t chosen to adopt the NACS charging connector to gain access to the Supercharger network. Hyundai is still early in its EV venture, and the IONIQ is certainly an attractive option, but the Model Y RWD will trump it because of its price and Tesla’s overall advantages, including charging and overall EV prowess.
We have talked plenty about nails in the coffin for EV makers before, but with a new demand trigger with the Model Y RWD for Tesla and Detroit pausing EV production while the terms of a new UAW contract get worked out, this is spelling nothing but trouble for Tesla’s competitors.
The Model Y RWD has opened a new can of worms for competitors to try and combat. Right now, at least in the U.S., it’s Tesla’s world, and competitors are just living in it.
I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.
News
Tesla Roadster livestream: everything Tesla has revealed before Thursday night
Tesla will stream the Roadster event Thursday at 7:55 p.m. Central. Here is what’s known.
Tesla will stream its next generation Roadster event live this Thursday, October 15, at 7:55 p.m. Central, according to a post from the official Tesla account shared late Monday. Texas is on daylight time, and outlets have read the post as local Central time, which puts the Tesla Roadster livestream at 8:55 p.m. Eastern and 5:55 p.m. Pacific. The stream is expected on Tesla’s X account, where the announcement went up.
This is the second date for the event. Tesla posted a “Go for launch” image on September 12 that set the unveil for October 1, and invitations sent to reservation holders placed it in Waco, Texas, at 8:30 p.m. Eastern, for guests 21 and older with tickets that could not be transferred. Until this week, Tesla had not said the event would be broadcast at all.
Roadster event streaming live this Thursday at 7:55pm CST https://t.co/AbsmpVucui
— Tesla (@Tesla) October 14, 2026
On September 28, Tesla moved the event to October 15, citing severe weather and the fact that the demo can only be held outdoors. Elon Musk then said the cause was high winds, a comment that pushed speculation that the car will leave the ground on stage.
The event will be held in Waco, which sits close to SpaceX’s McGregor rocket test site, where the FAA closed airspace up to 10,000 feet from September 18 through October 2 for the original date. Another restriction covering Wednesday, October 14, has been reported near the site, which could mean a rehearsal, though that is unconfirmed.
What Tesla will actually show comes from speculative reports that the vehicle will be unmanned, and spectators will be kept several hundred yards back for safety. A SpaceX package is reportedly code named A71, and linked to what Musk has hinted at in the past – thrusters that could bring 0 to 60 mph down to about one second, compared with the 1.9 seconds quoted for the base car in 2017. Tesla also closed its Semi event with a Roadster teaser suggesting a design that looks different from the original prototype, and has said the event will include pricing, specifications, and production targets.
The 2017 figures remain the only official ones: 620 miles of range, a top speed above 250 mph, and prices of $200,000 for the base car and $250,000 for the Founders Series. Tesla reopened reservations last month with a $5,000 card payment followed by a $45,000 wire within ten days, and the deposit is refundable. Production is expected at Giga Texas in 2027 or 2028.
Tesla reports third quarter earnings on October 21, six days after the stream, so whatever price or timeline appears Thursday night will land just ahead of that call.
Elon Musk
SpaceX just combined Grok, Cursor, and X into one mega plan
SpaceXSI merges Grok, Cursor, and X Premium into one plan, raising questions for Tesla owners.
SpaceX Super Intelligence has rolled out The X Subscription, a single plan that combines Grok, Grok Bot, Cursor, and X Premium.
There are five levels, including a free plan that includes daily Grok access and a starter allowance for Cursor’s coding agents. Plus is $8 per month, Premium is $30, Super is $100, and Ultra is $200. Usage scales as you move up, with Premium offering four times the Plus allowance, Super 15 times, and Ultra 50 times. Annual billing brings the prices down a bit further, with Premium at $300 per year.
We’ve unified plans across Grok, Cursor, and X Premium.
Introducing The X Subscription. https://t.co/SvkrVvBa0p
— SpaceX Super Intelligence (@SpaceXSI) October 12, 2026
The $30 Premium tier is where SpaceXSI says it packs the benefits of SuperGrok, Cursor Pro, and X Premium+, which previously added up to $90 per month. Grok Bot, the agent that handles tasks like ordering food or managing a calendar, is included from Premium upward but not on Plus. Paid plans share one weekly usage pool across Grok and Cursor, and each plan includes at least twice the coding usage of the comparable Cursor plan. Third party models in Cursor remain available on Premium and above, but they are billed separately at API list prices.
That last detail matters because of what has happened around Cursor this year. SpaceX exercised its option to buy the company for $60 billion in June, and the deal closed in August. Weeks later, OpenAI said it will cut Cursor’s access to its models on November 12. Bundling Cursor with Grok usage gives SpaceXSI a reason to steer developers toward its own models.
Tesla integrates Grok Bot into its vehicles for the ultimate personal assistant
For Tesla owners, the connection is Grok Bot. Tesla brought it into its vehicles last month, and at that point access inside the car was limited to SuperGrok Heavy subscribers. Grok Bot is now enabled across every Cybercab and the rest of the Model Y Robotaxi fleet. Neither SpaceXSI nor Tesla has said how the new plans change inside the car access for owners, or whether a $30 Premium subscription now covers Grok Bot in a personal Tesla. That is the question owners will want answered first.
The company is also changing its name along the way. The rollout follows the rebrand Musk announced on October 4, when he said SpaceXAI would become SpaceXSI, and the plan page now carries that branding.
The X Subscription is available to new customers starting now, and SpaceXSI says it will reach everyone globally over the next few days. Existing SuperGrok, Cursor, and X Premium subscribers do not have to switch. The option to move will appear gradually in billing settings, with a prorated refund for the unused time on the old plan. Switching is permanent once the accounts are unified, and old plans are closed to new sign ups.
Energy
Taiwan power firm bets big on Tesla Megapacks as AI data center thirst grows
Taiwan’s Apollo Power orders 260 Tesla Megapacks, betting AI data centers will need more electricity.
A Taiwanese power company has ordered 260 Tesla Megapack 2XL units, roughly 1GWh of storage, betting that electricity rather than chips will decide how fast AI data centers come online. Apollo Power signed the contract with Tesla’s Taiwan energy arm on October 8, according to the company’s filing with the Taiwan stock exchange.
The filing says the units are meant for behind the meter storage and resilient grid projects, with delivery in batches from the end of 2027 and sites operating in 2028. Apollo and Tesla did not disclose a price, citing a confidentiality agreement. Apollo plans to pay for the equipment through a cash capital increase and bank financing, and it noted the purchase is not revenue and does not mean it holds firm orders from its partners.
Biggo reported that only about 33 units are under signed customer contracts, with roughly 150 more in negotiation. The same report put total project investment near NT$130 billion, but that figure includes installation work, with the equipment itself making up about 40 to 50 percent. In other words, a large share of this order is Apollo reserving supply ahead of demand. Apollo’s chairman told local media global large storage supply is tight, which is why the company locked in the units early, according to Yahoo Taiwan Finance.
Apollo also launched an AI data center and grid resilience alliance with Phison, Gigabyte and Shihlin Electric. The pitch rests on a pilot at Phison’s Zhunan plant, where Apollo and Tesla Energy Taiwan installed grid forming Megapack 2XLs in June. Tesla Energy Taiwan general manager Sun Hsiao-Han said the project went from demo to 1GWh in four months, and that Tesla Energy has deployed more than 50GWh worldwide.
Taiwan’s cabinet has approved amendments that would require large energy users to install their own generation and storage, which gives enterprise storage a regulatory tailwind.
The deal fits a pattern Teslarati has tracked. Tesla’s Megablock targets 1GWh commissioned in 20 business days, a pitch aimed squarely at fast moving data center builds. Megapacks already back xAI’s Colossus in Memphis and a 400MW AI campus in Brazil. Sun Media adds that Megapack 2XL was named among the first products in Nvidia’s DSX Ready qualification for battery storage in AI factories.
Deliveries are more than a year away, so the real test is how much of that 260 unit order turns into signed customer contracts.
Tesla Roadster livestream: everything Tesla has revealed before Thursday night
SpaceX just combined Grok, Cursor, and X into one mega plan
Taiwan power firm bets big on Tesla Megapacks as AI data center thirst grows
The Pentagon taps Elon Musk to design the battlefield of the future
Tesla Roadster’s new patent preps white-knuckle speeds, keeping it grounded
