This past week, the big news I want to talk about is the Model 3 AWD performance boost and the Federal Tax Credit extension that never happened. I will also highlight a weekly tip for you all.
Performance Boost for Model 3 AWD
Tesla added a new option for Performance Boost for AWD vehicles. Though other owners have seen it appear on their page, it looks like it’s just for Model 3 AWD (Non-Performance). If you have an upgrade, you’ll see it on your account for your car or on your phone app. The update will set you back $2,000.
What’s interesting is that this Performance Boost is different from the past 5% boost the Model 3 owners have received in the past. Before, we had our performance boost as a free upgrade. Now, this is a paid upgrade. Similar to how Model S & X had a Ludacris mode as paid options. Except, this was utterly a software upgrade version.
Interestingly, this is the approach that Tesla decided to take. In my last article, I mentioned that the Premium Connectivity would bring in an influx of cash. If we applied the same approach here and assumed there were 500,000 Dual Motor Model 3s in the fleet today. If only 10% were to upgrade for the Performance Boost, that would $100,000,000 of added revenue!
I was surprised that Software Updates were always free. I wouldn’t be surprised if Tesla uses this to test the market to see what they can and can’t charge for an upgrade. And since Teslas can survive a very long time, Tesla would need to find an alternative source of revenue. Software subscription models have proven to be very successful.
Tesla & GM’s Federal Tax Credit Not Extended
Early reports indicated that Congress would extend the program to add 400,000 vehicles and $7,000 tax credit for those looking to buy an EV. As both Tesla & GM reached this limit, it would help bolster new sales.
And as hope started to grow, it was immediately squashed by President Trump. This reversal shouldn’t have surprised anyone. Seeing how oil companies lobby hard in Washington, anything that would help EV adoption wouldn’t get passed. I don’t see this hurting Tesla, but this will hurt GM as there are other vehicles from other manufacturers that offer the same features, range & price.
Tesla Tip of the Week
So I’m hoping to share something every week. This tip may not be new for everyone. But I hope I can help someone learn something new.
Today I want to talk about setting the speed on the Traffic-Aware Cruise Control (TACC), also applicable for AutoPilot. If you use the right scroll wheel up and down, we know it can increase or decrease max speed by 1. But if you do a fast scroll, it adjusts it goes to the closest number divisible by 5. The same can be applied to the touch screen, tap vs. hold.
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If you are in the market for a new Tesla Model S, X or 3 and want 1000 free Supercharger miles, please consider using my referral code: https://ts.la/sunil91588 when you make your order online! Or give the code sunil91588 to a Tesla sales representative to get it applied to your order!