tech
January 29, 2026
Tesla discontinuing Model S and Model X to make room for robots
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TL;DR
- Tesla to end production of Model S and Model X in Q2 2026.
- Reason for discontinuation is to make space at the Fremont factory for Optimus robot production.
- Elon Musk described the decision as an 'honorable discharge' for the programs.
- Model S (luxury sedan) launched in 2012, Model X (SUV with gull-wing doors) launched in 2015.
- Sales for 'other models' (including S, X, Cybertruck) decreased by 40.2% year-over-year in 2025.
- Tesla is transitioning from an automotive company to a leader in AI, robotics, and autonomous driving.
- Discontinuation of high-end models may cede market share to competitors like BMW, Mercedes, Audi, and Chinese luxury brands.
- Cybercab robotaxi production confirmed to start in 2026.