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Volkswagen is taking the Tesla approach by shifting its EV focus on software

(Credit: Joe Black/Instagram )

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After the difficulties it faced with software glitches in the ID.3 and the 8th-generation Golf, Volkswagen appears to have shifted its priorities from simply producing electric cars at scale to developing software for its upcoming lineup of vehicles. The shift was evident in the German auto giant’s 150 billion-euro ($178 billion) five-year investment plan, which lists a massive increase in spending on digital technologies. 

Automotive News Europe, citing a source from within the German carmaker, stated that the Volkswagen is “raising the tempo” when it comes to software. The reason for this is simple: the company’s needs in software are greater than its needs in other areas, as represented by the massive issues that plagued the ID.3. Under the new five-year plan, Volkswagen will be increasing its funding for software development to 27 billion euros, double the amount proposed last year. 

Included in this software push is an initiative to increase the amount of work done in-house. Currently, only about 10% of Volkswagen’s software is developed within the company, but with the new plan, this number is expected to increase to 60%. This approach is quite similar to Tesla’s, albeit tempered down, as the American electric car maker develops its vehicles’ own software in-house. Tesla’s vertical integration is so notable that the company designs the chips used in its vehicles’ Autopilot computer as well. 

VW Group CEO Herbert Diess has admitted that the shift towards becoming a digital company capable of operating millions of connected “mobility devices” is more challenging than the shift to electric vehicles. While presenting at the Handelsblatt automotive summit earlier this month, Diess highlighted this point by describing his previous meeting with Elon Musk, which involved the two executives taking a test drive on the ID.3 with the Tesla CEO at the wheel. 

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“The price point with which the car goes to market impressed him. He immediately reacted with a very aggressive cost approach to the battery.” Diess also highlighted that Volkswagen still had a lot of ground to make up, in particular when it comes to continually improving the vehicles after they’re sold via improved software pushed to the vehicles over the air. 

Diess also talked about plans to use over-the-air updates for its family of vehicles. Amidst Volkswagen’s current efforts, the VW Group CEO expects the veteran carmaker to offer over-the-air updates at the same extent and pace as Tesla today in a few years. “The new ID vehicles will receive the first updates next year, then we need to increase the pace. By 2023 and 2024 we want to be in the position to offer OTA updates to the same extent as Tesla does today,” he said. 

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Cybertruck

Tesla set to activate long-awaited Cybertruck feature

Tesla will officially activate the Active Noise Cancellation (ANC) feature on Cybertruck soon, as the company has officially added the feature to its list of features by trim on its website.

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Credit: Tesla

Tesla is set to activate a long-awaited Cybertruck feature, and no matter when you bought your all-electric pickup, it has the hardware capable of achieving what it is designed to do.

Tesla simply has to flip the switch, and it plans to do so in the near future.

Tesla will officially activate the Active Noise Cancellation (ANC) feature on Cybertruck soon, according to Not a Tesla App, as the company has officially added the feature to its list of features by trim on its website.

Tesla rolls out Active Road Noise Reduction for new Model S and Model X

The ANC feature suddenly appeared on the spec sheet for the Premium All-Wheel-Drive and Cyberbeast trims, which are the two configurations that have been delivered since November 2023.

However, those trims have both had the ANC disabled, and although they are found in the Model S and Model X, and are active in those vehicles, Tesla is planning to activate them.

In Tesla’s Service Toolbox, it wrote:

ANC software is not enabled on Cybertruck even though the hardware is installed.”

Tesla has utilized an ANC system in the Model S and Model X since 2021. The system uses microphones embedded in the front seat headrests to detect low-frequency road noise entering the cabin. It then generates anti-noise through phase-inverted sound waves to cancel out or reduce that noise, creating quieter zones, particularly around the vehicle’s front occupants.

The Model S and Model X utilize six microphones to achieve this noise cancellation, while the Cybertruck has just four.

Tesla Cybertruck Dual Motor AWD estimated delivery slips to early fall 2026

As previously mentioned, this will be activated through a software update, as the hardware is already available within Cybertruck and can simply be activated at Tesla’s leisure.

The delays in activating the system are likely due to Tesla Cybertruck’s unique design, which is unlike anything before. In the Model S and Model X, Tesla did not have to do too much, but the Cybertruck has heavier all-terrain tires and potentially issues from the aluminum castings that make up the vehicle’s chassis, which are probably presenting some challenges.

Unfortunately, this feature will not be available on the new Dual Motor All-Wheel-Drive configuration, which was released last week.

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Tesla Model S and X customization options begin to thin as their closure nears

Tesla’s Online Design Studio for both vehicles now shows the first color option to be listed as “Sold Out,” as Lunar Silver is officially no longer available for the Model S or Model X. This color is exclusive to these cars and not available on the Model S or Model X.

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Credit: Tesla

Tesla Model S and Model X customization options are beginning to thin for the first time as the closure of the two “sentimental” vehicles nears.

We are officially seeing the first options disappear as Tesla begins to work toward ending production of the two cars and the options that are available to those vehicles specifically.

Tesla’s Online Design Studio for both vehicles now shows the first color option to be listed as “Sold Out,” as Lunar Silver is officially no longer available for the Model S or Model X. This color is exclusive to these cars and not available on the Model S or Model X.

Tesla is making way for the Optimus humanoid robot project at the Fremont Factory, where the Model S and Model X are produced. The two cars are low-volume models and do not contribute more than a few percent to Tesla’s yearly delivery figures.

With CEO Elon Musk confirming that the Model S and Model X would officially be phased out at the end of the quarter, some of the options are being thinned out.

This is an expected move considering Tesla’s plans for the two vehicles, as it will make for an easier process of transitioning that portion of the Fremont plant to cater to Optimus manufacturing. Additionally, this is likely one of the least popular colors, and Tesla is choosing to only keep around what it is seeing routine demand for.

During the Q4 Earnings Call in January, Musk confirmed the end of the Model S and Model X:

“It is time to bring the Model S and Model X programs to an end with an honorable discharge. It is time to bring the S/X programs to an end. It’s part of our overall shift to an autonomous future.”

Fremont will now build one million Optimus units per year as production is ramped.

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Tesla Cybertruck Dual Motor AWD estimated delivery slips to early fall 2026

Tesla has also added a note on the Cybertruck design page stating that the vehicle’s price will increase after February 28.

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Credit: Grok Imagine

Tesla’s estimated delivery window for new Cybertruck Dual Motor All-Wheel Drive (AWD) orders in the United States has shifted to September–October 2026. This suggests that the vehicle’s sub-$60,000 variant is now effectively sold out until then.

The updated timeline was highlighted in a post on X by Tesla watcher Sawyer Merritt, who noted that the estimated delivery window had moved from June 2026 to September-October 2026, “presumably due to strong demand.”

The Dual Motor AWD currently starts at $59,990 before incentives. Tesla has also added a note on the Cybertruck design page stating that the vehicle’s price will increase after February 28.

If demand remains steady, the combination of a later delivery window and a pending price increase suggests Tesla is seeing sustained interest in the newly-introduced Cybertruck configuration. This was highlighted by Elon Musk on X, when he noted that the Cybertruck Dual Motor AWD’s introductory price will only be available for a limited time.

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When the Cybertruck was first unveiled in November 2019, Tesla listed the Dual Motor AWD variant at $49,990. Adjusted for inflation, that figure equates to roughly $63,000 in 2026 dollars, based on cumulative U.S. inflation since 2019.

That context makes a potential post-February price in the $64,000 to $65,000 range less surprising, especially as material, labor, and manufacturing costs have shifted significantly over the past several years.

While Tesla has not announced a specific new MSRP, the updated delivery timeline and pricing note together suggest that the Cybertruck Dual Motor AWD could very well be the variant that takes the all-electric full-sized pickup truck to more widespread adoption.

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