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U.S. market share of EVs hits record high in Q3 as competition grows

Credit: Wu Wa

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Sales of electric vehicles (EVs) surpassed an important milestone in Q3, marking a record quarter as the options available to consumers continue to increase.

EV market sales in the U.S. reached 300,000 during the third quarter, according to data from Cox Automotive in a report from Reuters this week. The increase represents an almost 50-percent increase from last year’s Q3, while overall EV adoption rose to 7.9 percent in the same quarter.

Dominant EV leader Tesla fell short of Q3 analyst delivery estimates, as announced earlier this month, and the automaker’s market share dropped from 62 to 50 percent in Q3. During the Q2 earnings call earlier this year, the automaker also predicted a drop in production during the third quarter due to factory upgrades.

Tesla has also stirred what many have termed a “price war” by reducing prices across its lineup throughout much of the year.

Most recently, Tesla cut the price of its Model 3 sedan and Model Y SUV just this week, which is the latest reduction after the automaker launched lineup-wide price cuts in January with more following in the months since. Tesla also began offering a more affordable Model Y configuration earlier this month.

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Tesla price cuts push EV market toward affordability with broader influence

The result has put pressure on other automakers, as they have been forced to either cut prices on their EVs or miss out on buyers seeking the best deal. An increase in electric options and lower prices on EVs are expected to boost demand, and the Cox report showed that average EV prices dropped to $50,683 in September from $52,212 in August.

“Higher inventory levels, more product availability, and downward pricing pressure have helped spur continued linear growth of EV sales in the U.S. market,” Cox said in the Thursday report.

Credit: Reuters

Credit: Reuters

The news comes after the price cuts have brought the price of the Tesla Model 3 and the Model Y beneath the average car price in the U.S. this year. It also comes ahead of Tesla’s initial deliveries of the highly anticipated Cybertruck. Although the automaker’s market share decreased in Q3, the increase of overall EV deliveries is considered a positive for the automaker.

In the past, Tesla CEO Elon Musk has emphasized the company’s goal to accelerate the world’s transition to EVs, even embracing increased competition as a means to that end.

“So, for us, we’re very philosophically motivated. We care about the advancement of electric vehicles,” Musk said in an interview in 2015. “To that end, we also open sourced all of our patents. So, we said any car company can use our technology — it’s no problem. They don’t even have to pay a fee to us.”

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What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.

Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Energy

Tesla Lathrop Megafactory celebrates massive Megapack battery milestone

The Tesla Megapack is the backbone of Tesla Energy’s battery deployments.

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Credit: Tesla Megapack/X

The Tesla Lathrop Megafactory recently achieved a new milestone. As per the official Tesla Megapack account on X, the Lathrop Megafactory has produced its 15,000th Megapack 2 XL battery.

15,000 Megapack Batteries

Tesla celebrated the milestone with a photo of the Lathrop Megafactory team posing with a freshly produced Megapack battery. To commemorate the event, the team held balloons that spelled out “15,000” as they posed for the photo.

The Tesla Megapack is the backbone of Tesla Energy’s battery deployments. Designed for grid-scale applications, each Megapack offers 3.9 MWh of energy and 1.9 MW of power. The battery is extremely scalable, making it perfect for massive energy storage projects.

https://twitter.com/Tesla_Megapack/status/1932578971700638203

More Megafactories

The Lathrop Megafactory is Tesla’s first dedicated facility for its flagship battery storage system. It currently stands as the largest utility-scale battery factory in North America. The facility is capable of producing 10,000 Megapack batteries every year, equal to 40 GWh of clean energy storage.

Thanks to the success of the Megapack, Tesla has expanded its energy business by building and launching the Shanghai Megafactory, which is also expected to produce 40 GWh of energy storage per year. The ramp of the Shanghai Megafactory is quite impressive, with Tesla noting in its Q1 2025 Update Letter that the Shanghai Megafactory managed to produce over 100 Megapack batteries in the first quarter alone.

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Tesla Energy’s Potential

During the first quarter earnings call, CEO Elon Musk stated that the Megapack is extremely valuable to the energy industry. 

“The Megapack enables utility companies to output far more total energy than would otherwise be the case… This is a massive unlock on total energy output of any given grid over the course of a year. And utility companies are beginning to realize this and are buying in our Megapacks at scale,” Musk said.

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Tesla launches “TeslaVision” video contest to celebrate Model Y deliveries

The program marks a revival of Tesla’s popular Project Loveday initiative back in 2017.

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Credit: Tesla Asia/X

Tesla has announced the TeslaVision Contest, a global video showcase inviting fans and owners to highlight the impact of the company’s vehicles on people. 

The program marks a revival of its Project Loveday initiative in 2017, which was extremely well-received by the electric vehicle community. 

A Contest to Celebrate the New Model Y

As per the TeslaVision contest’s official website, the program is being rolled out to commemorate the launch and deliveries of the new Model Y across all continents. Thus, the contest could be seen as a global celebration and showcase of owners and fans who made Tesla the household brand that it has become today.

Participants are tasked with creating a 90-second or shorter video demonstrating how Tesla vehicles provide “more freedom, more safety, more fun, more convenience.” Submissions must be uploaded to YouTube and shared on X and Instagram with the tag @Tesla and the phrase “TeslaVision contest.” 

Videos must align with Tesla’s mission to accelerate sustainable energy, be suitable for all ages, and avoid references to non-Tesla brands. English text or voice-overs are required, and entrants must relinquish rights to their content for Tesla’s commercial use.

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https://twitter.com/Tesla/status/1932559030892802153

A Big Prize Awaits

When Tesla launched Project Loveday in 2017, the company noted that the contest’s winner would receive an all-expenses paid invitation to an upcoming Tesla product launch. For TeslaVision, the grand prize is a lot more tangible, with the winner receiving a new Model Y AWD. They will also get an all-expenses-paid trip to Gigafactory Texas. Second and third-place winners will also receive a Giga Texas tour. 

Finalists will be selected based on creativity, originality, relevance to the prompt, and entertainment value. Tesla will shortlist 100 videos, with the top 10 subject to public voting to influence the final judging. The contest is open to legal residents of the United States, Mexico, and Canada, aged 18 or older, with a valid driver’s license and Tesla account. No purchase is necessary, though entries are limited to just one per person. 

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Starlink India launch gains traction with telecom license approval  

Starlink just secured its telecom license in India! High-speed satellite internet could go live in 2 months.

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starlink-spain-portugal-blackout
(Credit: Starlink)

 

Starlink India’s launch cleared a key regulatory hurdle after securing a long-awaited license from the country’s telecom ministry. Starlink’s license approval in India paves the way for commercial operations to begin, marking a significant milestone after a three-year wait.

The Department of Telecommunications granted Starlink a Global Mobile Personal Communication by Satellite (GMPCS) license, enabling it to roll out its high-speed internet service. Local reports hinted that Starlink plans to launch its services within the next two months. Starlink India’s services are expected to be priced at ₹3,000 per month for unlimited data. Starlink service would require a ₹33,000 hardware kit, including a dish and router.

“Starlink is finally ready to enter the Indian market,” sources familiar with the rollout plans confirmed, noting a one-month free trial for new users.

https://www.teslarati.com/starlink-india-launch-spectrum-rules/

Starlink’s low-Earth orbit satellite network promises low-latency, high-speed internet that is ideal for rural India, border areas, and hilly terrains. With over 7,000 satellites in orbit and millions of global users, Starlink aims to bridge India’s digital divide, especially in areas with limited traditional broadband.

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Starlink has forged distribution partnerships with Indian telecom giants Reliance Jio and Bharti Airtel to streamline deployment and retail logistics. However, the company still awaits spectrum allocation and final clearances from India’s space regulator, IN-SPACe, and national security agencies before its full launch, expected before August 2025.

India’s satellite internet market is becoming increasingly competitive, with Starlink joining rivals like OneWeb and Jio Satellite Communications. While Starlink positions itself as a premium offering, its entry has sparked debate among domestic telecom operators over spectrum pricing.

Local reports noted that other players in the industry have raised concerns over the lower regulatory fees proposed for satellite firms compared to terrestrial operators, highlighting tensions in the sector.

Starlink India’s launch represents a transformative step toward expanding internet access in one of the world’s largest markets. Starlink could redefine connectivity for millions in underserved regions by leveraging its advanced satellite technology and strategic partnerships. As the company navigates remaining regulatory steps, its timely rollout could set a new standard for satellite internet in India, intensifying competition and driving innovation in the telecom landscape.

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