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Volkswagen ID.2 to rival Tesla’s expected $25,000 vehicle

(Credit: Volkswagen)

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Volkswagen is preparing to enter the same segment as Tesla’s upcoming affordable car with the ID.2 electric vehicle. 

Sales of the all-electric Volkswagen ID.2 are expected to start in 2025. The VW ID.2 will use the German automaker’s upgraded MEB-Plus platform, an enhanced version of VW’s modular electric drive matrix featured in the ID.Family lineup. Volkswagen’s ID.2 will also be equipped with lithium iron phosphate prismatic battery cells for improved charging capabilities. The ID.2 design might be capable of charging speeds up to 200 kW. 

The Volkswagen ID.2 might be the electric equivalent of the German automaker’s popular compact five-seater, the VW Golf. 

The ID.2 is expected to be sold for a starting price of €22,500 ($23,938.69)—as of today’s exchange rate, potentially making it a formidable challenger against affordable EVs, including Tesla’s widely-speculated compact car, in Europe.

The Volkswagen Golf

The Golf hatchback was the best-selling vehicle in Europe for decades until recently. JATO—a company that analyzes the European car market and global trends—shared data that revealed the VW Golf’s declining sales trend. JATO’s recent data showed that car sales across all European Union member states dropped. In the UK, Norway, Switzerland, and Iceland, car sales fell by 4.1% to 11,309,310, the lowest since 1985. 

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Revamping the Golf name and attaching it to an all-electric compact vehicle might be good for sales and popularity. Pricing the ID.2 a little shy of $24,000 is an even better move. At about $24,000, the Volkswagen ID.2 might compete in the same price range as Tesla’s upcoming affordable vehicle. 

Tesla’s Affordable Car

Speculations about Tesla’s affordable vehicle have been swirling around the rumor mill for quite some time. The company is expected to price the car at about $25,000, making it a really affordable electric vehicle by today’s standards. 

Tesla seems better positioned to start working on an affordable concept than a few years ago. For one, Semi production and deliveries have already started, and Cybertruck pre-production is expected to start later this year. Tesla still needs to work on the new Roadster design, but with the Semi and Cybertruck’s production underway, it will have more time to work on the next-generation vehicle. 

At the Q4 2022 earnings call earlier this year, Elon Musk hinted at some future products Tesla is currently working on. 

Giga Nevada’s upcoming expansion and additional 4680 battery assembly line also hint at Tesla’s plans for future car models. Musk and Tesla CFO Zachary Kirkhorn stated that only some 4680 cells manufactured in Giga Nevada would go to Semi vehicles. Musk hinted that some would be made for Tesla’s future products.  

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Loup Ventures believes that Tesla will unveil a “Model 2” vehicle in 2024, bringing its sales schedule around the same time as the Volkswagen ID.2. The Wall Street firm believes that unveiling the affordable car too early might slow down Model 3 sales. Tesla is due to release a Model 3 revamp this year, codenamed “Project Highland.”

The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via Twitter @Writer_01001101.

Maria--aka "M"-- is an experienced writer and book editor. She's written about several topics including health, tech, and politics. As a book editor, she's worked with authors who write Sci-Fi, Romance, and Dark Fantasy. M loves hearing from TESLARATI readers. If you have any tips or article ideas, contact her at maria@teslarati.com or via X, @Writer_01001101.

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Tesla arsonist who burned Cybertruck sees end of FAFO journey

The man has now reached the “Find Out” stage.

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Credit: U.S. Attorney’s Office, District of Arizona

A Mesa, Arizona man has been sentenced to five years in federal prison for setting fire to a Tesla location and vehicle in a politically motivated arson attack, federal prosecutors have stated. 

The April 2025 incident destroyed a Tesla Cybertruck, endangered first responders, and triggered mandatory sentencing under federal arson laws.

A five-year sentence

U.S. District Judge Diane J. Humetewa sentenced Ian William Moses, 35, of Mesa, Arizona, to 5 years in prison followed by 3 years of supervised release for maliciously damaging property and vehicles by means of fire. Moses pleaded guilty in October to all five counts brought by a federal grand jury. Restitution will be determined at a hearing scheduled for April 13, 2026.

As per court records, surveillance footage showed Moses arriving at a Tesla store in Mesa shortly before 2 a.m. on April 28, 2025, carrying a gasoline can and backpack. Investigators stated that he placed fire starter logs near the building, poured gasoline on the structure and three vehicles, and ignited the fire. The blaze destroyed a Tesla Cybertruck. Moses fled the scene on a bicycle and was arrested by Mesa police about a quarter mile away, roughly an hour later.

Authorities said Moses was still wearing the same clothing seen on camera at the time of his arrest and was carrying a hand-drawn map marking the dealership’s location. Moses also painted the word “Theif” on the walls of the Tesla location, prompting jokes from social media users and Tesla community members. 

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The “Finding Out” stage

U.S. Attorney Timothy Courchaine noted that Moses’ sentence reflects the gravity of his crime. He also highlighted that arson is never acceptable. 

“Arson can never be an acceptable part of American politics. Mr. Moses’ actions endangered the public and first responders and could have easily turned deadly. This five-year sentence reflects the gravity of these crimes and makes clear that politically fueled attacks on Arizona’s communities and businesses will be met with full accountability.”

Maricopa County Attorney Rachel Mitchell echoed the same sentiments, stating that regardless of Moses’ sentiments towards Elon Musk, his actions are not defensible. 

“This sentence sends a clear message: violence and intimidation have no place in our community. Setting fire to a business in retaliation for political or personal grievances is not protest, it is a crime. Our community deserves to feel safe, and this sentence underscores that Maricopa County will not tolerate political violence in any form.”

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Tesla says its Texas lithium refinery is now operational and unlike anything in North America

Elon Musk separately described the site as both the most advanced and the largest lithium refinery in the United States.

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Credit: Tesla/YouTube

Tesla has confirmed that its Texas lithium refinery is now operational, marking a major milestone for the company’s U.S. battery supply chain. In a newly released video, Tesla staff detailed how the facility converts raw spodumene ore directly into battery-grade lithium hydroxide, making it the first refinery of its kind in North America.

Elon Musk separately described the site as both the most advanced and the largest lithium refinery in the United States.

A first-of-its-kind lithium refining process

In the video, Tesla staff at the Texas lithium refinery near Corpus Christi explained that the facility processes spodumene, a lithium-rich hard-rock ore, directly into battery-grade lithium hydroxide on site. The approach bypasses intermediate refining steps commonly used elsewhere in the industry.

According to the staff, spodumene is processed through kilns and cooling systems before undergoing alkaline leaching, purification, and crystallization. The resulting lithium hydroxide is suitable for use in batteries for energy storage and electric vehicles. Tesla employees noted that the process is simpler and less expensive than traditional refining methods.

Staff at the facility added that the process eliminates hazardous byproducts typically associated with lithium refining. “Our process is more sustainable than traditional methods and eliminates hazardous byproducts, and instead produces a co-product named anhydrite, used in concrete mixes,” an employee noted. 

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Musk calls the facility the largest lithium refinery in America

The refinery’s development timeline has been very impressive. The project moved from breaking ground in 2023 to integrated plant startup in 2025 by running feasibility studies, design, and construction in parallel. This compressed schedule enabled the fastest time-to-market for a refinery using this type of technology. This 2026, the facility has become operational. 

Elon Musk echoed the significance of the project in posts on X, stating that “the largest Lithium refinery in America is now operational.” In a separate comment, Musk described the site as “the most advanced lithium refinery in the world” and emphasized that the facility is “very clean.”

By bringing large-scale lithium hydroxide production online in Texas, Tesla is positioning itself to reduce reliance on foreign refining capacity while supporting its growth in battery and vehicle production. The refinery also complements Tesla’s nascent domestic battery manufacturing efforts, which could very well be a difference maker in the market.

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Tesla Optimus V3 gets early third-party feedback, and it’s eye-opening

Jason Calacanis’ remarks, which were shared during a discussion at CES 2026, offered one of the first third-party impressions of the yet-to-be-unveiled robot

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Credit: Tesla/YouTube

Angel investor and entrepreneur Jason Calacanis shared some insights after he got an early look at Tesla’s upcoming Optimus V3. His remarks, which were shared during a discussion at CES 2026, offered one of the first third-party impressions of the yet-to-be-unveiled robot.

Calacanis’ comments were shared publicly on X, and they were quite noteworthy.

The angel investor stated that he visited Tesla’s Optimus lab on a Sunday morning and observed that the place was buzzing with energy. The investor then shared a rare, shocking insight. As per Calacanis, Optimus V3 will be so revolutionary that people will probably not even remember that Tesla used to make cars in the future.

“I don’t want to name drop, but two Sundays ago, I went to Tesla with Elon and I went and visited the Optimus lab. There were a large number of people working on a Sunday at 10 a.m. and I saw Optimus 3. I can tell you now, nobody will remember that Tesla ever made a car,”  he noted.

The angel investor also reiterated the primary advantage of Optimus, and how it could effectively change the world.

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“They will only remember the Optimus and that he is going to make a billion of those, and it is going to be the most transformative technology product ever made in the history of humanity, because what LLMs are gonna enable those products to do is understand the world and then do things in the world that we don’t want to do. I believe there will be a 1:1 ratio of humans to Optimus, and I think he’s already won,” he said. 

While Calacanis’ comments were clearly opinion-driven, they stood out as among the first from a non-Tesla employee about Optimus V3. Considering his reaction to the humanoid robot, perhaps Elon Musk’s predictions for Optimus V3 might not be too far-fetched at all.

Tesla has been careful with its public messaging around Optimus V3’s development stage. Musk has previously stated on X that Optimus V3 has not yet been revealed publicly, clarifying that images and videos of the robot online still show Optimus V2 and V2.5, not the next-generation unit. As for Calacanis’ recent comments, however, Musk responded with a simple “Probably true” in a post on X.

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