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Tesla Top 5 Week in Review: Model 3, Gigafactory, a brush with the law, and more
The Tesla Model 3 was big news again this week, as Tesla announced a February date for pilot production. Also, no longer will occupied Supercharger stations be so stress-inspiring, as Tesla has an onboard map update that shows Supercharger location availability. With news of a proposed federal import tax a topic of serious discussion, Tesla seemed on the winning side, with its prominent domestic manufacturing. The Gigafactory construction costs rose above $1 billion this week as noted through permits that Tesla filed. And a story emerged in which another Model S driver was detained by police who investigated reports of an abduction, only to quickly ascertain that rear-facing seats were the real culprit. Here are those stories in review.
Tesla to begin pilot production of Model 3 on February 20
Red Tesla Model 3 at the vehicle unveiling event on March 31, 2016 from the company’s Hawthorne, CA Design Center.
As the more affordable all-electric vehicle in the Tesla catalog, the announcement of Model 3 pilot production staring on February 20 brought smiles to a lot of faces. The Model 3 will have a base price of $35,000, and that’s before government tax incentives. The appealing Model 3 price point is just a start: it will offer a range of at least 215 miles. The Model 3 pilot production creates a vehicle that is targeted for demonstration and evaluation, as pilot manufacturing is used to calibrate the assembly line, assess the car against design standards, and confirm quality of outside suppliers’ components. Some Model 3 pilot vehicles will be destined for safety crash tests, while others will generate media visibility. Importantly, strong demand for the Model 3 will push Tesla’s production capabilities, already exceeding 373,000 pre-orders.
Tesla unlocks real-time Supercharger occupancy data on vehicle map
Any Tesla owner will attest to the frustration that happens when you pull up to a Supercharger stall and find that it’s occupied. Knowing what’s happening at Superchargers ahead is newly improved. Tesla owners can now see Supercharger stall availability at a particular moment in time. Owners have already begun to report that data has appeared via the map app in the form of little bars over Supercharger stations that display availability. This is a very important component of Tesla’s overall goal to reduce range anxiety for its customers and to provide the smoothest and easiest vehicle experience of any currently available on the market.
Tesla on the winning end of proposed U.S. import tax
A new study suggests that Tesla would be well-positioned if a proposed federal tax on imports is implemented. Baum & Associates LLC determined that most automakers would need to add thousands of dollars to vehicle sticker prices to compensate for costs incurred with the import tax. Jaguar’s Land Rover would experience the worst case scenario with price increases near to $17,000, as it imports all its vehicles. Companies with significant domestic manufacturing would absorb only the smallest price increases among major automakers, with Ford accruing about $282 per vehicle and General Motors Co. at about $995. With its extensive domestic manufacturing, Tesla is the sole automaker that may be able to keep prices level. The study’s goals were to expose the relative impact of the tax plan on each automaker, according to Alan Baum, founder of Michigan’s Baum & Associates.
Tesla Gigafactory surpasses $1 billion in construction costs: Section D/E addendum filed
Tesla, Inc. has been granted a total of 153 building permits for its Gigafactory to date from the Storey County Community Development Department. In sum, the permits correlate with an estimated $1.03 billion in construction costs. Storey County remitted these permits after receiving $5.58 million in fees from Tesla. Twenty-nine permits are mentioned in an addendum, which total $542.65 million of construction work. Many of the other permits relate to the installation and anchoring of the equipment needed for the factory. Other permits include a nitrogen yard, a thermal energy storage tank, and the Panasonic equipment installed in Section B and C. In addition, the installation and expansion of the contractor accommodation indicated the number of construction workers on site has increased.
Tesla Model S rear-facing child seats lead to false kidnapping report
Tesla Model S owners who have opted for additional, rear-facing seats are aware that their size and location offers a fun and efficient place for youngsters to sit. The Sheriff’s Department in Newhall, California, who responded to reports of an abduction, didn’t have this same background knowledge about the Tesla Model S. It turns out that “it was not a kidnapping,” according to Lt. Rob Hahnlein, who spoke on behalf of the Sheriff’s Deparment, but, rather, an individual assisting a child into a Tesla. “The new Teslas have a weird back seat,” Hahnlein acknowledged, “and when they put the (child) in the back seat it looked like they were putting them in the trunk.” The Sheriff’s Department noted how they are obliged to investigate every kidnapping report until the situation is resolved. They also detained the Tesla driver at gun point with the child observing from the seats in question.
Tesla Cybercab units finally got a definitive date for when they will be able to be purchased by consumers, ending speculation regarding whether the fully autonomous vehicle would be available in the near term.
During Tesla’s third-quarter 2026 earnings call on October 21, Vice President of Engineering Lars Moravy said the company is aiming to begin delivering its purpose-built Cybercab robotaxi to customers before year-end.
🚨 In short, Cybercabs are slated to go to customers by end of the year. All units are going into Robotaxi fleet currently, per @larsmoravy
Cybercab will be “transport-as-a-service,” but vast majority of Cybercab will be “Tesla-owned,” @elonmusk says https://t.co/R8Qu8QWdmp
— TESLARATI (@Teslarati) October 21, 2026
“We’re trying to get Cybercabs to customers by the end of this year, 2026,” Moravy said. He added that production is underway on the line at Gigafactory Texas, but “all of those are currently going to our own internal Robotaxi fleet.”
Moravy explained that as operations scale, Tesla will “mainly deliver fully designed autonomous vehicles to our customers,” with the Cybercab as the first such vehicle. Initial customer deliveries will start small while the company gains experience with delivery logistics, ownership models, fleet management, and operating autonomous vehicles outside its direct control.
CEO Elon Musk reinforced the limited nature of private sales, describing the Cybercab primarily as a “transport-as-a-service” offering rather than a personal ownership vehicle like the Model 3, Model Y, or upcoming Roadster. “The vast majority of the Cybercab stuff will be Tesla-owned and transport-as-a-service,” Musk said.
The Cybercab is a two-seater vehicle developed by Tesla without a steering wheel or pedals. It relies completely on Tesla’s Full Self-Driving suite and has been in production since February. Early units have been put in Tesla’s Robotaxi service as of early September, when the company launched rides to the public. Tesla previously indicated it would aim to sell Cybercabs for about $30,000.
Unsupervised Full Self-Driving is expected to ship to consumer cars during Q2 2027, Ashok Elluswamy, Tesla’s Head of AI, indicated during the call. Early buyers or fleet operators may receive vehicles whose autonomous operation remains geographically restricted due to lagging regulatory agencies. There are some hurdles that remain ahead of Cybercab deliveries.
Tesla (NASDAQ: TSLA) reported its earnings for the third quarter of 2026, marking a reasonable performance on the various financial metrics. Tesla still plans to hold a call that will field investor questions at 5:30 p.m. ET, 4:30 p.m. CT.
Here’s where Earnings came in:
- Total Revenues: $28.046 reported vs. $28.34B expected
- Non-GAAP EPS: $0.48 reported vs. $0.45 expected
- Operating Margin: 2.6 % reported vs. 2.5% expected
- Operating Income: $718M reported vs. $721M expected
- Free Cash Flow: $1.531B reported vs. ~-$4.51B expected
Tesla $TSLA Earnings Results:
Revenues: $28.046B
Non-GAAP EPS: $0.48
Operating Margin: 2.6%
Operating Income: $718M
FCF: $1.531B— TESLARATI (@Teslarati) October 21, 2026
Major Takeaways
Full Self-Driving (Supervised)
“FSD (Supervised)⁴ attach rate continued to grow, reaching over 75% of new vehicle deliveries in North America – our most mature market – a nearly twenty percentage point sequential increase. We believe that FSD is driving demand in markets where it is available, and we continue to work with regulators to get it approved in other markets.”
Tesla Semi
“We began volume production of Tesla Semi, our Class 8 heavy-duty truck. The top variant can go 500 miles at full 82,000 lbs gross combination weight while achieving an efficiency of 1.7 kWh/mile. That efficiency allows the Tesla Semi to use a third of the energy used by a comparable diesel truck to haul the same payload. In a transportation market where energy is one of the largest components of total cost per mile, this will provide a meaningful advantage to Tesla Semi operators.”
SI Compute
“We plan to reach 400 MW of SI training compute by the end of the year, supporting the development of both vehicle and humanoid robot autonomy software. Additionally, we continued construction for the Austin Fab, where we plan to start commissioning equipment in 2027.”
Robotaxi
“We began deployment of Cybercab into our Robotaxi fleet in Austin. We reached nearly two million cumulative unsupervised miles for our Robotaxi service as of the end of the quarter. Operating hours in Austin are now 6am to midnight, and we expect to reduce wait times via increased fleet supply and improvement of Robotaxi orchestration algorithms. Grok is available in Cybercab with access to Grok Bot and Connectors, which allows users to manage their inbox, calendars, files, chats and tasks – all hands free via voice command – making Cybercab a mode of transport, a productivity space and, with our entertainment options, a second living room.”
Interested in ordering a Tesla? Use my referral code for three free months of Full Self-Driving (Supervised) here.
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.
Tesla Cybercab gets a for sale date at last
Tesla Q3 2026 Earnings results: in-line revenues, slight beat on EPS
