Musk Announces MASSIVE Change

Elon Musk in a suit talking. — HUGE MUSK ANNOUNCEMENT

Tesla CEO Elon Musk announced the end of Model S and Model X production to convert Fremont factory lines into a massive robotics manufacturing facility, abandoning two iconic American vehicles that helped revolutionize the electric car industry in favor of humanoid robots.

Story Snapshot

Tesla will cease all Model S and Model X production by Q2 2026, ending 14 years of manufacturing the flagship vehicles
Fremont factory lines will be repurposed to produce Optimus humanoid robots, targeting one million units annually
Approximately 730,000 Model S and X vehicles have been sold globally since 2012, with no successor models announced
The move signals Tesla’s strategic pivot away from traditional consumer vehicles toward robotics and autonomous technology

Tesla Abandons Flagship Electric Vehicles

Elon Musk confirmed Tesla will wind down production of the Model S sedan and Model X SUV by mid-2026, marking the end of the company’s first high-volume electric vehicles. Musk told investors the decision is “slightly sad” but necessary as part of Tesla’s shift toward an autonomous future.

The Model S launched in 2012, followed shortly by the Model X, establishing Tesla as a serious automotive manufacturer and paving the way for the mass-market Model 3 and Model Y. With approximately 730,000 units delivered globally, these vehicles demonstrated that electric cars could compete with luxury gasoline-powered sedans and SUVs.

Elon Musk says Tesla ending Models S and X production, converting Fremont factory lines to make Optimus robots https://t.co/4CQI5MONLo

— CNBC (@CNBC) January 28, 2026

Fremont Factory Conversion to Robot Production

Tesla plans to convert the Fremont factory production lines previously dedicated to Model S and X manufacturing into facilities for building Optimus humanoid robots. Musk stated the company expects to produce one million Optimus units annually in the long term, a dramatic shift from traditional automotive manufacturing.

The decision eliminates half of Tesla’s current vehicle lineup, with only the Model 3, Model Y, and Cybertruck remaining in production. This represents an unprecedented move in the automotive industry, as no major manufacturer has abandoned high-volume flagship models to pursue robotics manufacturing at this scale.

Market Impact and Customer Concerns

Tesla closed order books for Model S and X in right-hand-drive markets, including the United Kingdom, in February 2025 and Japan in March 2025, citing engineering difficulties. Australian customers who reserved vehicles in 2021 received refunds in 2023 after Tesla canceled right-hand-drive development plans entirely.

Left-hand-drive markets in North America and Europe can still order the vehicles until production ends in Q2 2026. Tesla has promised ongoing support and service for existing Model S and X owners, though the discontinuation raises questions about long-term parts availability and resale values for the approximately 730,000 vehicles already on the road.

Strategic Shift Raises Questions

Tesla’s decision to prioritize Optimus robot production over proven automotive products reflects Musk’s bet on robotics and autonomy as the company’s future growth drivers. The Model S and Model X represented a shrinking share of Tesla’s sales after the introduction of the more affordable Model 3 and Model Y, with sales figures combined with Cybertruck reporting since October 2023.

However, abandoning these vehicles without announced replacements cedes the luxury electric vehicle market to competitors.

For conservative Americans who value innovation, job creation, and manufacturing competitiveness, this pivot away from producing actual vehicles in American factories toward experimental robotics raises legitimate concerns about Tesla’s commitment to traditional automotive manufacturing and the thousands of workers whose jobs depend on it.