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Why Tesla won’t lose sleep over other automakers achieving massive range ratings
Tesla is normally confronted with plenty of interesting and challenging metrics from competitors, especially in terms of range and speed. With the Mercedes-Benz VISION EQXX accomplishing a major feat of over 1,000 kilometers (620 miles) driven on a single charge earlier this week, many may wonder if Tesla engineers are scrambling around attempting to crank out some new EV with 2,000 kilometers of range. I can assure you they are not.
The accomplishments of Mercedes-Benz in its electric vehicle program are not to be slighted. While the luxury automaker is working to develop and ramp its EQ lineup, which will consist of fully and partially electric vehicles, Mercedes is definitely coming out with some pretty interesting and eye-grabbing records and points of strength, especially indicated in its most recent range ratings and assessments of its semi-autonomous driving functionality. Its most recent release from April 13 tells us the story of the VISION EQXX and how it drove 626 total miles on a charge.
“We did it! Powering through more than 1,000 kilometers with ease on a single battery charge and a consumption of only 8.7 kWh/100 km (7.1 kWh per 62 miles) in real-world traffic conditions,” Ola Källenius, Charman of the Board of Management for Mercedes-Benz Group AG, said. “The VISION EQXX is the most efficient Mercedes ever built. The technology program behind it marks a milestone in the development of electric vehicles. It underpins our strategic aim to ‘Lead in Electric.’”
Traveling on a route through Germany and Italy, crossing the towns and cities of Sindelfingen, Gotthard Tunnel, Milan, and Cassis, 11 hours and 32 minutes of driving time ended its 626-mile trek successfully with a single charge.
Erfolgreicher Roadtrip MissionXX – von Sindelfingen über die Schweizer Alpen nach Cassis an der Côte d’Azur. Der Mercedes-Benz VISION EQXX fährt über 1.000 km mit einer Batterieladung und einem Durchschnittsverbrauch von 8,7 kWh/100 km. // Successful MissionXX road trip – from Sindelfingen across the Swiss Alps to Cassis on the Cote d’Azur. The Mercedes-Benz VISION EQXX sets efficiency record – over 1,000 km on a single battery charge and average consumption of 8.7 kWh/100 km.
Many of those interested in electric vehicles may be thinking, “This is just another thing Tesla has been beaten on.” “It’s only a matter of time before others do it, too.” “Tesla won’t achieve this, they’re stuck in the 400-mile range threshold.”
Tesla, as a company, is likely excited other companies are accomplishing these endurance-type runs so they don’t have to. If the automotive industry in 2022 was the same as what it was in 2010: a gas engine-dominated sector with relatively no electric options, then sure, maybe Tesla would care. But maybe not. The landscape of the EV industry has become so obsessed with these incredible metrics that many consumers forget they won’t need over 600 miles of range. How many gas car drivers go to a dealership thinking, “I will only buy a car if it offers me 620 miles of driving on a tank?”
CEO Elon Musk even stated recently that having “too much” range is not necessarily a good thing for electric vehicles.
“We could’ve made a 600-mile Model S 12 months ago, but that would’ve made the product worse imo, as 99.9% of time you’d be carrying unneeded battery mass, which makes acceleration, handling & efficiency worse,” Musk said recently. “Even our 400+ mile range car is more than almost anyone will use.” ABC News says the average American only travels sixteen miles per day for work. U.S. Census data even says Americans only spend around 27.6 minutes driving to work one way.
Tesla has held this perspective for some time. “Mass is the enemy of both efficiency and performance, and minimizing the weight of every component is an ongoing goal for our design and engineering teams,” it said in a blog post announcing the 400-mile Model S in June 2020.“Several lessons from the engineering design and manufacturing of Model 3 and Model Y have now been carried over to Model S and Model X. This has unlocked new areas of mass reduction while maintaining the premium feel and performance of both vehicles. Additional weight savings have also been achieved through the standardization of Tesla’s in-house seat manufacturing and lighter weight materials used in our battery pack and drive units.”
While there is certainly no reason to knock on Mercedes-Benz’s accomplishments, there needs to be a relative sense of what is ultimately appropriate in terms of EV range. Endurance runs are completely legitimate and interesting ways to prove your battery and efficiency metrics, but they’re not something proven EV companies will look at down the road. The successful automakers will be focusing on avoiding supply chain issues, ramping battery supply chain manufacturing, becoming more vertically integrated, and working to create price parity between EVs and their gas counterparts.
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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.
SpaceX confirmed the date of Starship’s 15th launch window with some massive ambitions for the mission, as it will attempt to catch Ship for the first time.
CEO Elon Musk confirmed during SpaceX’s Earnings Call last night on October 20 that it would launch Starship for its 15th test flight in November, and there are some incredible things the company wants to try, making it perhaps the most groundbreaking launch in the program’s history.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
The most major development of the call was SpaceX’s intention to catch Ship alongside catching the Super Heavy Booster, something that has happened in the past. SpaceX showed an animation of the Ship catch, which will be done on the launch tower’s chopsticks:
SpaceX has released a new Starship tower catch animation for the upcoming Flight 15! https://t.co/kStn01Da8u
— Truthful🛰️ (@Truthful_ast) October 20, 2026
This monumental goal is to catch both the Ship and Booster in a dual-catch scenario, an incredible feat since SpaceX has never been able to reuse a Ship after launch. Musk said it would be “the first time that an orbital launch vehicle has been fully recovered,” and said it would be a “profound technology milestone.”
Musk said the odds of success on this first Ship catch attempt are “more likely than not,” but SpaceX is ultimately prepared for more tries moving forward. The SpaceX frontman said that, starting next year, Starship would have a “steady stream” of flights through the end of the year.
The cadence will accelerate in 2027, with Musk stating the company plans to target weekly flights in the first half of 2027 and twice-weekly by year-end.
The Flight 15 attempt follows that of Flight 14, which took off in late September and was Starship’s first orbital mission. It deployed 26 Starlink V3 satellites, accomplished a controlled ocean splashdown of both stages, and shed more light on potential challenges for the program moving forward.
As of now, the Starship program is firing on all cylinders.
Interested in ordering a Tesla? Use my referral code for three free months of Full Self-Driving (Supervised) here.
Tesla Q3 2026 Earnings results: in-line revenues, slight beat on EPS
Tesla reports Q3 Earnings today: here’s what to expect
