News
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.
I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.
Elon Musk
SpaceX to launch military missile tracking satellites through new Space Force contract
SpaceX wins a $178.5M Space Force contract to launch missile tracking satellites starting in 2027.
The U.S. Space Force awarded SpaceX a $178.5 million task order on April 1, 2026 to launch missile tracking satellites for the Space Development Agency. The contract, designated SDA-4, covers two Falcon 9 launches beginning in Q3 2027, one from Cape Canaveral Space Force Station in Florida and one from Vandenberg Space Force Base in California. The satellites, built by Sierra Space, are designed to bolster the nation’s ability to detect and track missile threats from orbit.
The award falls under the National Security Space Launch Phase 3 Lane 1 program, which Space Force uses to move payloads to orbit on faster timelines and at more competitive prices. “Our Lane 1 contract affords us the flexibility to deliver satellites for our customers, like SDA, more easily and faster than ever before to all the orbits our satellites need to reach,” said Col. Matt Flahive, SSC’s system program director for Launch Acquisition, in the official press release.
SpaceX is quietly becoming the U.S. Military’s only reliable rocket
The SDA-4 contract is the latest in a long string of national security wins for SpaceX. As Teslarati reported last month, the Space Force recently shifted a GPS III satellite launch from ULA’s Vulcan rocket to SpaceX’s Falcon 9 after a significant Vulcan booster anomaly grounded ULA’s military missions indefinitely. That move made it four consecutive GPS III satellites transferred to SpaceX after contracts were originally awarded to its competitor.
This didn’t come without a fight and dates back years. SpaceX originally had to sue the Air Force in 2014 for the right to compete for national security launches, at a time when United Launch Alliance held a near monopoly on the market. Since then, the company has steadily displaced ULA as the dominant provider, and last year the Space Force confirmed SpaceX would handle approximately 60 percent of all Phase 3 launches through 2032, worth close to $6 billion.
With missile defense satellites now part of its launch manifest alongside GPS, communications, and reconnaissance payloads, SpaceX is giving hungry investors something to chew on before its imminent IPO.
Elon Musk
Tesla’s Q1 delivery figures show Elon Musk was right
On the surface, the numbers reflect a mature EV market facing competition, softening demand, and the loss of certain incentives. Yet they also quietly validate a prediction Elon Musk has repeated for years: Tesla’s traditional auto business is becoming far less central to the company’s future.
Tesla reported its Q1 delivery figures on Thursday, and the figures — solid but unspectacular — show that CEO Elon Musk was right about what the company’s most important production and division would be.
We are seeing that shift occur in real time.
Tesla delivered 358,023 vehicles in the first quarter of 2026, according to the company’s official report released April 2.
The figure represents modest year-over-year growth of roughly 6 percent from Q1 2025’s 336,681 deliveries but a sharp sequential drop from Q4 2025’s 418,227. Production reached 408,386 vehicles, while energy storage deployments hit 8.8 GWh.
On the surface, the numbers reflect a mature EV market facing competition, softening demand, and the loss of certain incentives. Yet they also quietly validate a prediction Elon Musk has repeated for years: Tesla’s traditional auto business is becoming far less central to the company’s future.
Musk has long argued that vehicles alone will not define Tesla’s value.
Optimus Will Be Tesla’s Big Thing
In September 2025, Musk stated bluntly on X that “~80% of Tesla’s value will be Optimus,” the company’s humanoid robot.
He has described Optimus as potentially “more significant than the vehicle business over time.” Those comments were not abstract futurism. In January 2026, during the Q4 2025 earnings call, Musk announced the end of Model S and X production, framing it as an “honorable discharge,” he called it.
Those are the biggest factors.
~80% of Tesla’s value will be Optimus.
— Elon Musk (@elonmusk) September 1, 2025
The Fremont factory space, once dedicated to those flagship sedans, is being converted into an Optimus manufacturing line, with a long-term target of one million robots per year from that single facility alone.
The Q1 2026 numbers arrive at precisely the moment this strategic pivot is accelerating. Model 3 and Y deliveries totaled 341,893 units, while “other models” (including Cybertruck, Semi, and the final wave of S/X) added 16,130.
Growth is no longer explosive because Tesla is no longer chasing volume at all costs. Instead, the company is reallocating capital and factory floor space toward autonomy, energy storage, and robotics, businesses Musk believes will command far higher margins and enterprise value than incremental car sales.
Delivery Hits and Misses are Becoming Less Important
Wall Street’s pre-release consensus had pegged deliveries near 365,000. Coming in below that estimate might have rattled investors focused solely on automotive metrics. Yet Musk’s thesis has never been about maximizing quarterly vehicle shipments.
Tesla, he has insisted, “has never been valued strictly as a car company.”
The modest Q1 auto performance, paired with the deliberate wind-down of legacy programs and the ramp of Optimus, underscores that point. While EV demand stabilizes, Tesla is building the infrastructure for Robotaxis and humanoid robots that could dwarf today’s car business.
The future is here, and it is happening. It’s funny to think about how quickly Tesla was able to disrupt the traditional automotive business and force many car companies to show their hand. But just as fast as Tesla disrupted that, it is now moving to disrupt its own operation.
Cars, once the only recognizable and widely-known division of Tesla, is now becoming a background effort, slowly being overtaken by the company’s ambitions to dominate AI, autonomy, and robotics for years to come.
Critics may still view the shift as risky or premature. But the Q1 figures, solid but unspectacular in the auto segment, illustrate exactly what Musk has been signaling: the era when Tesla’s valuation rose and fell with every Model Y delivery is ending.
The company’s long-term bet is on AI-driven products that turn vehicles into high-margin robotaxis and factories into robot foundries. Thursday’s delivery report did not just meet the market’s tempered expectations; it proved Elon Musk was right all along.
The car business, once everything, is quietly becoming an important piece of a much larger puzzle.
Investor's Corner
Tesla reports Q1 deliveries, missing expectations slightly
The figure, however, fell short of Wall Street’s consensus estimate of 365,645 units, reflecting ongoing headwinds in the global EV market.
Tesla reported deliveries for the first quarter of 2026 today, missing expectations set by Wall Street analysts slightly as the company aims to have a massive year in terms of sales, along with other projects.
Tesla delivered 358,023 vehicles in the first quarter of 2026, marking a 6.3 percent increase from 336,681 vehicles in Q1 2025.
The figure, however, fell short of Wall Street’s consensus estimate of 365,645 units, reflecting ongoing headwinds in the global EV market. Production reached approximately 362,000 vehicles, with Model 3 and Model Y accounting for the vast majority. The results come as Tesla navigates softening demand, intensifying competition in China and Europe, and the expiration of key U.S. federal tax incentives.
🚨 BREAKING: Tesla delivered 358,023 vehicles in Q1 2026
Tesla also reported record energy deployments of 8.8 GWh
Wall Street had delivery consensus estimates of 365,645 pic.twitter.com/EVNAu5L3UT
— TESLARATI (@Teslarati) April 2, 2026
Energy storage deployments provided a bright spot, hitting a record 8.8 GWh in Q1. This underscores the accelerating momentum in Tesla’s energy segment, which has become a critical growth driver even as automotive volumes stabilize.
Year-over-year, the energy business continues to outpace vehicle sales, with analysts noting strong backlog demand for Megapack systems amid rising grid-scale needs for renewables and AI data centers.
Looking ahead, analysts project full-year 2026 vehicle deliveries in the range of 1.69 million units—a modest 3-5% rise from roughly 1.64 million in 2025.
Growth is expected to accelerate in the second half as production ramps and new incentives emerge in select markets. However, risks remain: persistent high interest rates, price competition from legacy automakers and Chinese EV makers, and potential margin pressure could cap upside.
Tesla has not issued official full-year guidance, but executives have signaled confidence in sequential quarterly improvements driven by cost reductions and refreshed lineups.
By the end of 2026, Tesla plans several major product launches to reignite momentum. The refreshed Model Y, including a new 7-seater variant already rolling out in select markets, is expected to boost family-oriented sales with updated styling, efficiency gains, and interior enhancements.
Autonomous ambitions remain central to Tesla’s mission, and that’s where the vast majority of the attention has been put. Volume production of the Cybercab (Robotaxi) is targeted to begin ramping in 2026, potentially unlocking new revenue streams through unsupervised Full Self-Driving (FSD) deployment.
A next-generation affordable EV platform, possibly under $30,000, is also in advanced planning stages for 2026 or 2027 introduction. On the energy front, the Megapack 3 and larger Megablock systems will drive further deployment scale.
While Q1 highlights transitional challenges in autos, Tesla’s diversified roadmap, spanning refreshed consumer vehicles, commercial trucks, Robotaxis, and explosive energy growth, positions the company for a stronger second half and beyond. Investors will watch Q2 closely for signs of sustained recovery, especially with new vehicles potentially on the horizon.
SpaceX to launch military missile tracking satellites through new Space Force contract
Tesla’s Q1 delivery figures show Elon Musk was right
Tesla reports Q1 deliveries, missing expectations slightly
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
