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Tesla Second Hand Market Emerges

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Tesla Second Hand Market

The Tesla used car market has been relatively small up until this point mainly because many owners just don’t part with their Teslas. Thanks to the recent D announcement, the Tesla second hand market just doubled in size and will continue to grow as Model S owners begin selling off their cars in exchange for Teslas with newer features.

It’s truly a genius tactic by Tesla Motors that allows early adopters to remain happy by having the latest and greatest, but also enables people that wouldn’t regularly be able to afford a $100k+ Tesla to purchase one at a deeply discounted second hand price.

So, what is a used Tesla Model S worth? Well, that depends on how much you drive and Model S owners that drive between 12k – 15k miles per year can expect trade in values ranging between $55k – $70k. This works out to an effective cost (the amount paid during ownership) between $30k to $40k.

The trade in value on my Model S 85, assuming I put on 25k miles by the time the D option becomes available, will be approximately $49k. If this seems low to you, that’s because it is. There are a few reasons for it which I’ll explain. First, your car loses substantial value the instant you drive it off the lot. Second, Tesla is jump starting a secondary market by placing a pretty low residual value.

Chances are that you’ll get a better price selling the Model S on your own to another private party, which incidentally is exactly what many Model S owners are doing.

Trading in Your Model S for a New Dual Motor Variant

Tesla updated the pricing of the Model S and its options when it added the new dual motor and updated Tech Package to the order selection screen. For fun I decided to configure a Model S with very similarly specifications to my own with the only additional feature being the dual motors. The sticker price for that configuration came out to $98,140 or about $4,000 more than my S85.

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Tesla-Dual-Motor

You may be eligible for another Federal tax incentive of $7,500 and a State-level $2,500 rebate (varies by state) for having a battery electric vehicle. Tax and registration adds another $6,000 which ends up netting out a zero after factoring in the Federal and State incentives.

Trading in my S85 for a newly configured 85D would cost me $48,473. Not only would I have the dual-motor upgrade, but I’d also have the new autopilot feature along with a brand new car with 0 miles and a fresh battery.

The cost to “upgrade” from an old Model S to the new one will obviously vary by owner depending on the age and condition of the trade-in, but will generally cost you between $30k – $50k. On the other hand, brand new buyers have the option to add the dual motor option for “just” $4,000 extra.

Are the dual motor and autonomous driving features worth $48K? Not to me at least. I’d love to have them but I love my Model S as it is.

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"Rob's passion is technology and gadgets. An engineer by profession and an executive and founder at several high tech startups Rob has a unique view on technology and some strong opinions. When he's not writing about Tesla

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Elon Musk and Tesla AI Director share insights after empty driver seat Robotaxi rides

The executives’ unoccupied tests hint at the rapid progress of Tesla’s unsupervised Robotaxi efforts.

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Ashok Elluswamy

Tesla CEO Elon Musk and AI Director Ashok Elluswamy celebrated Christmas Eve by sharing personal experiences with Robotaxi vehicles that had no safety monitor or occupant in the driver’s seat. Musk described the system’s “perfect driving” around Austin, while Elluswamy posted video from the back seat, calling it “an amazing experience.”

The executives’ unoccupied tests hint at the rapid progress of Tesla’s unsupervised Robotaxi efforts.

Elon and Ashok’s firsthand Robotaxi insights

Prior to Musk and the Tesla AI Director’s posts, sightings of unmanned Teslas navigating public roads were widely shared on social media. One such vehicle was spotted in Austin, Texas, which Elon Musk acknowleged by stating that “Testing is underway with no occupants in the car.” 

Based on his Christmas Eve post, Musk seemed to have tested an unmanned Tesla himself. “A Tesla with no safety monitor in the car and me sitting in the passenger seat took me all around Austin on Sunday with perfect driving,” Musk wrote in his post.

Elluswamy responded with a 2-minute video showing himself in the rear of an unmanned Tesla. The video featured the vehicle’s empty front seats, as well as its smooth handling through real-world traffic. He captioned his video with the words, “It’s an amazing experience!”

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Towards Unsupervised operations

During an xAI Hackathon earlier this month, Elon Musk mentioned that Tesla owed be removing Safety Monitors from its Robotaxis in Austin in just three weeks. “Unsupervised is pretty much solved at this point. So there will be Tesla Robotaxis operating in Austin with no one in them. Not even anyone in the passenger seat in about three weeks,” he said. Musk echoed similar estimates at the 2025 Annual Shareholder Meeting and the Q3 2025 earnings call.

Considering the insights that were posted Musk and Elluswamy, it does appear that Tesla is working hard towards operating its Robotaxis with no safety monitors. This is quite impressive considering that the service was launched just earlier this year.

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Starlink passes 9 million active customers just weeks after hitting 8 million

The milestone highlights the accelerating growth of Starlink, which has now been adding over 20,000 new users per day.

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Credit: Starlink/X

SpaceX’s Starlink satellite internet service has continued its rapid global expansion, surpassing 9 million active customers just weeks after crossing the 8 million mark. 

The milestone highlights the accelerating growth of Starlink, which has now been adding over 20,000 new users per day.

9 million customers

In a post on X, SpaceX stated that Starlink now serves over 9 million active users across 155 countries, territories, and markets. The company reached 8 million customers in early November, meaning it added roughly 1 million subscribers in under seven weeks, or about 21,275 new users on average per day. 

“Starlink is connecting more than 9M active customers with high-speed internet across 155 countries, territories, and many other markets,” Starlink wrote in a post on its official X account. SpaceX President Gwynne Shotwell also celebrated the milestone on X. “A huge thank you to all of our customers and congrats to the Starlink team for such an incredible product,” she wrote. 

That growth rate reflects both rising demand for broadband in underserved regions and Starlink’s expanding satellite constellation, which now includes more than 9,000 low-Earth-orbit satellites designed to deliver high-speed, low-latency internet worldwide.

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Starlink’s momentum

Starlink’s momentum has been building up. SpaceX reported 4.6 million Starlink customers in December 2024, followed by 7 million by August 2025, and 8 million customers in November. Independent data also suggests Starlink usage is rising sharply, with Cloudflare reporting that global web traffic from Starlink users more than doubled in 2025, as noted in an Insider report.

Starlink’s momentum is increasingly tied to SpaceX’s broader financial outlook. Elon Musk has said the satellite network is “by far” the company’s largest revenue driver, and reports suggest SpaceX may be positioning itself for an initial public offering as soon as next year, with valuations estimated as high as $1.5 trillion. Musk has also suggested in the past that Starlink could have its own IPO in the future. 

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NVIDIA Director of Robotics: Tesla FSD v14 is the first AI to pass the “Physical Turing Test”

After testing FSD v14, Fan stated that his experience with FSD felt magical at first, but it soon started to feel like a routine.

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Credit: Grok Imagine

NVIDIA Director of Robotics Jim Fan has praised Tesla’s Full Self-Driving (Supervised) v14 as the first AI to pass what he described as a “Physical Turing Test.”

After testing FSD v14, Fan stated that his experience with FSD felt magical at first, but it soon started to feel like a routine. And just like smartphones today, removing it now would “actively hurt.”

Jim Fan’s hands-on FSD v14 impressions

Fan, a leading researcher in embodied AI who is currently solving Physical AI at NVIDIA and spearheading the company’s Project GR00T initiative, noted that he actually was late to the Tesla game. He was, however, one of the first to try out FSD v14

“I was very late to own a Tesla but among the earliest to try out FSD v14. It’s perhaps the first time I experience an AI that passes the Physical Turing Test: after a long day at work, you press a button, lay back, and couldn’t tell if a neural net or a human drove you home,” Fan wrote in a post on X. 

Fan added: “Despite knowing exactly how robot learning works, I still find it magical watching the steering wheel turn by itself. First it feels surreal, next it becomes routine. Then, like the smartphone, taking it away actively hurts. This is how humanity gets rewired and glued to god-like technologies.”

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The Physical Turing Test

The original Turing Test was conceived by Alan Turing in 1950, and it was aimed at determining if a machine could exhibit behavior that is equivalent to or indistinguishable from a human. By focusing on text-based conversations, the original Turing Test set a high bar for natural language processing and machine learning. 

This test has been passed by today’s large language models. However, the capability to converse in a humanlike manner is a completely different challenge from performing real-world problem-solving or physical interactions. Thus, Fan introduced the Physical Turing Test, which challenges AI systems to demonstrate intelligence through physical actions.

Based on Fan’s comments, Tesla has demonstrated these intelligent physical actions with FSD v14. Elon Musk agreed with the NVIDIA executive, stating in a post on X that with FSD v14, “you can sense the sentience maturing.” Musk also praised Tesla AI, calling it the best “real-world AI” today.

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