Tesla Pulls Plug on Model S, Model X EVs
Key Points
- Tesla ending production of its first mainstream electric vehicles
- Model S and Model X will not be replaced
- Production capacity to be designated for Optimus humanoid robot
Tesla is discontinuing its first volume EVs after more than a decade of sales. The automaker splashed into the mainstream for 2012 with the Model S sedan, its first high-volume product after debuting with the Lotus-based Roadster in 2008. It later cashed in on the SUV trend with the Model X SUV for 2016 before the smaller, more affordable and higher-volume Model 3 sedan and Model Y SUV appeared in the ensuing years.
Related: Tesla Refines Aerodynamics, Updates Tech for Model S, Model X
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Time for Change
With sales diminished by their aging designs, Tesla’s own in-house competition, a burgeoning EV market and CEO Elon Musk’s divisive political activities, the Model S and Model X will be discontinued. On an earnings call Jan. 28, Musk told investors Tesla will “basically stop production of Model S and X next quarter.”
According to estimates from industry authority Automotive News, Model S sales in the U.S. fell by one-third in 2025, while Model X volume was roughly halved. Tesla will be reconfiguring the Model S and Model X factory in Fremont, Calif., to build Optimus humanoid robots. Musk says the ultimate goal is to build 1 million Optimus units annually.
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