Tesla sets many records, but it may have a new one - the quickest discontinuation of a model. Just two weeks ago, the company introduced the Standard Range Model S and Model X. Those have been dropped, but that is not the only thing that dropped. Instead of offering a less expensive version of the luxury models, Tesla drastically reduced the prices of the flagship vehicles.
New Pricing in the U.S. and Canada
The Model S Long Range is now priced at $74,990 USD, down from $88,490, a 15% reduction. The Model X Long Range is now available for $79,990 USD, down from $98,490, an 18.7% reduction. Similarly, in Canada, the Model S Long Range now costs $99,990 CAD, down from $121,990 CAD, an 18% reduction, and the Model X Long Range is priced at $109,990 CAD, down from $135,990 CAD, a 19% reduction.
The price changes have important implications in both Canada and the U.S. Notably, the price of the Model S LR is now under the luxury tax threshold in Canada, and in the U.S., the Model X LR now qualifies for the full $7,500 federal tax credit.
Free Color Options for Model S and Model X
All colors for the Model S and Model X are now free, including the premium Ultra Red. Tesla may be trying to remain under the threshold for the federal tax credit and possibly a push to incentivize customers to opt for the more eye-catching colors, which are arguably more deserving of the Model S and Model X’s flagship status.
Full Self-Driving Package Price Reduction
In addition to vehicle prices, the cost of Tesla’s Full Self-Driving (FSD) package has also been reduced. In the U.S., the FSD package now costs $12,000 USD, down from $15,000; in Canada, it is available for $16,000 CAD, down from $19,500 CAD.
The reason for the FSD price drop is unclear, as the software package has not changed the listed features. The FSD Transfer offer is also still available until September 30.
The price changes were not limited to just North America; X.com lit up all night with different prices popping up worldwide.
The global price changes indicate a strategic move by Tesla, possibly to boost sales, clear inventory, or remain dominant in the EV market worldwide. The stock price has not indicated any problems with the company's previous trajectory.
Whatever the reason, it is a welcomed change by prospective buyers. As Tesla continues to lead the EV market, these price adjustments not only make their technology more accessible.
Last week, Mark Ruber, an engineering YouTuber best known for his glitter bombs, released a video where he tested Tesla's Autopilot against various conditions - including the iconic ACME painted wall.
During this test, many people noted that Mark was using Autopilot rather than FSD, even though his video was titled “Can you Fool a Self-Driving Car?”. The Tesla on Autopilot went up against a vehicle equipped with Luminar’s LIDAR rig, running some sort of basic autonomy or safety software.
New Video Tests FSD
Many people were disappointed with Mark’s video and his testing methods, so several creators got to work to actually test out Tesla’s FSD.
Creator Kyle Paul over on X made a much better follow-up video, using both a HW3 Model Y as well as an AI4 Cybertruck. In a relatively unsurprising turn of events, the Cybertruck was successfully able to detect the wall, slowed down, and came to a stop. The Cybertruck was running FSD 13.2.8.
Kyle’s team did a fantastic job building the wall and testing this in a private area using FSD rather than Autopilot. On top of that - they re-tested the results several times and recorded the entire thing in and out. While Mark’s video was more for entertainment, Kyle really set out to prove what would really happen in this unlikely scenario.
Sadly, the HW3 Model Y was unable to detect the wall, and manual intervention was required in each test. While the Model Y was running FSD 12.5.4.2 rather than an FSD V12.6 build, we don’t expect this to have had a significant impact on the test - this is more of an issue with how computer vision analyzes the environment.
There are several major differences between HW3 and HW4. The first is obviously that the version that runs on AI4 is more advanced, as the hardware is capable of processing a lot more data. However, AI4 also features much higher-resolution cameras than HW3, and Tesla recently added the ability for the video feeds to be processed at full resolution on FSD V13. This could have made the difference, although it’s not entirely clear. Perhaps if HW3 gets a version of FSD V13 in the future, HW3 can be retested to see if it passes the “ACME wall” test.
Watch
Kyle’s entire video is below. It’s only 10 minutes long, so definitely give it a watch. Props to Kyle on the quick and thorough execution.
What Does This Mean for FSD?
We broke down Mark’s test - and examined all the little issues that we discovered after doing some in-depth research - you can read our analysis here.
Putting aside the issues with Mark’s testing and instead using the new results - it seems that if you were to have to fight against Wile-E-Coyote and his ACME tools with your Tesla, cartoon logic may win if you’re on an HW3 vehicle. If you’re on an AI4 vehicle, you’ll likely come to a safe stop.
Vehicle depth perception is definitely something that Tesla has been hard at work to improve - and some fairly drastic improvements came with FSD V13 that haven’t been entirely translated to FSD V12 just yet. Future versions of HW3 FSD may be able to determine that the wall is there successfully. So Kyle - if you’re reading this - don’t get rid of that wall. We’d love to see more testing in the future.
However, this entire test scenario is so out of left field… there is a good likelihood this same test would fool some human drivers as well. The most important part is that the future of autonomy will not fall for these tricks, so it's very unlikely for someone to weaponize this idea as it’d only possibly work on a small segment of vehicles.
If Wile-E-Coyote is after you, someone else may drive into the wall before your Tesla does.
Not a Tesla App
We’re not kidding, this really happened already. This isn’t a realistic scenario outside of someone trying to play an insane prank - but it’s good to know that FSD V13 is capable of dodging this.
Tesla regularly holds quarterly all-hands meetings for employees, but last night marks the first time Tesla has live-streamed the event for the public.
The meeting primarily focused on Tesla’s employees, recent achievements, and the future of Tesla. While it didn’t reveal much new information, it was interesting to see Elon Musk candidly engaging with his teams, who seem to genuinely enjoy working with him. Still, there were a few noteworthy takeaways.
As with Tesla’s Earnings Calls and other live events, we’ve put together a concise, easy-to-digest recap of everything discussed.
General Points
Work-related Injuries declined over time
Planning to expand to new markets
Cell Manufacturing
Continuing to invest in battery supply
Cheapest, lowest cost per kWh cell
The supercharger network continues to grow
Vehicle range and charging speed should match the needs of humans and their required time for breaks
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