Is Tesla saying goodbye? Is the end of the road for these models

Tesla says goodbye to the Model S and Model X

Although Tesla’s first vehicle was the Roadster, it was the Model S that truly placed the company at the forefront of the modern electric vehicle era. The sedan was launched in 2012 as Tesla’s first mass-produced vehicle, as the Roadster had essentially been a limited-production proof of concept. Following its major success, the Model S opened the door to the global electric car market. Three years later, Tesla added the Model X to its lineup, a three-row SUV that stood out for its striking falcon-wing doors.

The decision to discontinue both models does not come as a surprise to the automotive industry. In recent years, production costs for the Model S and Model X have no longer been proportional to their sales, and both models have gradually accounted for an increasingly smaller share of Tesla’s global sales.

With this announcement, it might appear that Tesla is de-emphasizing electric vehicle production; however, Dan Coatsworth, market analyst at investment platform AJ Bell, noted that it will continue to be a fundamental part of the business. “Tesla still needs this part of its business to run smoothly, as it helps fund Musk’s robotic vision, which is becoming more ambitious by the day,” Coatsworth said.

In 2025, the Model 3 and Model Y accounted for a total of 1.6 million deliveries in the United States, compared to just 50,850 units for the rest of the lineup. As a result, the Model 3 and Model Y are now positioned as Tesla’s core offerings for the mass market and its primary source of future revenue.

In addition, Tesla reaffirmed that the steering-wheel-free Cybercab, the Semi truck, and the Roadster supercar remain in development and are still on track.