Tesla is killing off the Model S and Model X

In a significant announcement during Tesla's quarterly earnings call, CEO Elon Musk revealed that the production of the Model S sedan and Model X SUV will be discontinued. The final units of these iconic electric vehicles are set to roll off the assembly line next quarter. Musk emphasized the need to conclude the Model S and X programs gracefully, stating, "It’s time to basically bring the Model S and X programs to an end with an honorable discharge, because we’re really moving into a future that is based on autonomy." He encouraged potential buyers to place their orders soon, as this marks the end of an era for these pioneering electric models. Both the Model S and Model X have been manufactured at Tesla's Fremont factory in California. Following the cessation of production for these vehicles, the company plans to repurpose the same facility for the production of Optimus robots. Launched in 2012, the Model S is credited with revolutionizing the appeal of electric vehicles, while the Model X followed as Tesla's second major electric offering. Although the company always anticipated that more affordable models, like the Model 3 sedan and Model Y SUV, would dominate sales, the demand for these vehicles has stagnated in recent years despite various updates. Tesla faces stiff competition in the luxury electric vehicle market from established automakers as well as newer entrants such as Rivian and Lucid Motors. Musk expressed a bittersweet sentiment about the end of the Model S and X, acknowledging, "So that is slightly sad, but it’s… it is time to bring the S and X programs to an end." The situation continues to evolve as Tesla navigates its future direction.