Tesla Kills Models S and X

Published: Thursday, January 29, 2026 at 2:16 am

Tesla to Discontinue Model S and X, Shifting Focus to Robotics

Tesla is set to discontinue production of its Model S sedan and Model X SUV, according to an announcement made by CEO Elon Musk during a recent earnings call. The move, expected to be completed in the next quarter, marks a significant shift in the company's focus away from its existing vehicle lineup and towards the development of robotics.

The Model S, the oldest model currently in production, has been available since 2012. The Model X, a luxury crossover SUV, followed three years later. The company's remaining non-truck models include the Model 3, the most affordable option, and the Model Y, a cheaper crossover SUV.

Musk cited the need to free up production space at Tesla's Fremont, California plant for the mass production of the Tesla Optimus robot as the primary reason for the discontinuation. The company aims to transition from being primarily a car manufacturer to an automation company. Musk has made ambitious claims about the potential of the Optimus robot, suggesting it could eliminate poverty and provide universal high income.

This strategic pivot comes as Tesla attempts to fulfill promises made in recent years. The company's move to prioritize robotics over its existing vehicle models has been met with mixed reactions.

BNN's Perspective:

While the discontinuation of the Model S and X may disappoint some Tesla enthusiasts, the company's shift towards robotics represents a bold move. The success of this transition hinges on Tesla's ability to deliver on its ambitious promises. It remains to be seen whether the market will fully embrace this new direction, but the potential for innovation and disruption is undeniable.

Keywords: Tesla, Model S, Model X, Discontinuation, Robotics, Elon Musk, Optimus, Production, Electric Vehicles, Automation, Earnings Call, Fremont, California, Robot, SUV, Sedan

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