Tesla Launches New Extended Warranty Option for Some Vehicles

Tesla now offers an extended warranty in some regions

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Tesla has begun offering an extended warranty called Extended Service Agreement (ESA) in the U.S. The service provides further coverage for eligible vehicles following an accidental leak last year on their mobile app.

You may recall Tesla unintentionally revealed a new extended warranties program when version 4.11.0 of the mobile app went live in July 2022. A new item appeared in the Upgrades section titled Tesla ESA, priced at $7,700.

The description was unclear, with several grammatical errors, spelling mistakes, and poor formatting, suggesting that it was not ready for public consumption. It was unknown whether the ESA was being prepared for all models or if the price was a placeholder.

Fast forward to today, Tesla's Vehicle Extended Service Agreement (Vehicle ESA) is now officially available for eligible Model S, Model X, Model 3, and Model Y owners. The Vehicle ESA commences when the Basic Vehicle Limited Warranty expires and ends upon reaching the selected time or mileage threshold, whichever comes first.

Eligibility and Coverage

To be eligible, the new vehicle must be purchased directly from Tesla, and the Vehicle ESA must be purchased no later than when the Basic Vehicle Limited Warranty expires.

Pricing

The pricing for the Vehicle Extended Service Agreement (in USD) is:

Model S (2 years or 25,000 miles, whichever occurs first): $3,100.00

Model X (2 years or 25,000 miles, whichever occurs first): $3,500.00

Model 3 (2 years or 25,000 miles, whichever occurs first): $1,800.00

Model Y (2 years or 25,000 miles, whichever occurs first): $2,000.00

These prices are notably lower than the previously leaked $7,700 price tag. The Vehicle ESA purchase price does not include applicable state and local taxes.

The new ESA covers Model S built between 2012 and 2020, and Model X built between 2015 and 2020. There are no similar production date limitations for Model 3 and Model Y.

Unfortunately, there is no grace period. The ESA must be purchased before the Basic Vehicle Limited Warranty expires (4 years or 50,000 miles). This means 2018 and some early 2019 Model 3 sedans are not eligible.

Exclusions and Deductible

The ESA covers the repair or replacement necessary to correct defects in the materials or workmanship of most parts manufactured or supplied by Tesla during the coverage period. However, it does not include the high-voltage battery or drive unit, which have their own standard 8-year warranty.

Tesla clarifies that the ESA is not a Maintenance Plan and will not cover wear and tear items like brake pad replacements.

The deductible for Model 3 and Model Y is $100 per visit, and it's believed it will be $200 for Model S and Model X.

How to Get ESA

To purchase the ESA, open the Tesla mobile app, go to the 'Upgrades' tab, and select the 'Extended Service Agreement' option. Follow the prompts to complete the purchase, and the ESA will be added to your account. It's important to note that the ESA only takes effect after your Basic Vehicle Limited Warranty expires. It can be transferred to the next owner, which the company says can improve aftermarket value.

Tesla's Vehicle Extended Service Agreement has evolved from last year's accidental leak to its current official offering. This additional protection aims to provide greater peace of mind and an improved ownership experience for Tesla customers.

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Tesla Increases Price of Model S; Starts Offering Free Lifetime Supercharging

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For the first time in quite a while, Tesla has increased the price of one of its vehicle offerings. The Model S Long Range and the Model S Plaid have both received a hefty price increase. However, not all is bad - as Tesla also added a new benefit for buyers.

Price Increase

The price increase for the Model S is $5,000 - currently only in the United States. This price increase will likely impact other markets, including Canada, in the coming days.

The Model S Long Range now starts at $79,990, while the Model S Plaid now starts at $94,990. The Model S and Model X now have the same starting price. Interestingly, that’s also the same pricing point for the Cybertruck AWD and Cyberbeast Trimotor non-Foundation Series. 

The vehicle configuration does not appear to have changed, so the new pricing is simply an increase rather than the addition or removal of features. Tesla previously cut the price of the Model S and Model X by 15% in 2023, so this could simply be an adjustment to ensure that the vehicle pricing stays in line with inflation and other factors.

Free Lifetime Supercharging

For those on the fence about ordering a Model S, Tesla has brought back Free Lifetime Supercharging when you order a new Model S on or after December 13, 2024. As always, Free Lifetime Supercharging is restricted to the buyer’s Tesla account and to that specific vehicle. It cannot be transferred to another vehicle or another owner after ownership transfer. It’s worth noting, that it also doesn’t exclude the owner from receiving Supercharger idle fees or congestion fees. There is currently no end date for this promotion.

There are currently no changes to the Model X, neither a price increase nor the addition of Lifetime Superchargering. However, when Tesla makes changes to one of their premium vehicles, it usually affects the other one as well. So be on the lookout for potential changes to the Model X offering in the coming days.

We’ve seen Tesla value Lifetime Supercharging at $5,000, so this falls in line with the price increase we’re seeing. It’s possible that Tesla will begin to bring back Lifetime Supercharging as a perk for buying into their more premium Model S and Model X cars, or this could be another temporary promotion to get buyers who are on the fence to go ahead and make their purchase while this promotion lasts.

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Tesla’s Optimus Robot Learns to Walk Without Vision [VIDEO]

Optimus Falls - but catches itself!

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Tesla recently showed off a demo of Optimus, its humanoid robot, walking around in moderately challenging terrain—not on a flat surface but on dirt and slopes. These things can be difficult for a humanoid robot, especially during the training cycle.

Daily walks help clear your mind pic.twitter.com/dUsW58trS6

— Tesla Optimus (@Tesla_Optimus) December 9, 2024

A Look Behind the Curtain

Most interestingly, Milan Kovac, VP of Engineering for Optimus, clarified what it takes to get Optimus to this stage. Let’s break down what he said.

Optimus is Blind

Optimus is getting seriously good at walking now - it can keep its balance over uneven ground - even while walking blind. Tesla is currently using just the sensors, all powered by a neural net running on the embedded computer. 

Essentially, Tesla is building Optimus from the ground up, relying on as much additional data as possible while it trains vision. This is similar to how they train FSD on vehicles, using LiDAR rigs to validate the vision system’s accuracy. While Optimus doesn’t have LiDAR, it relies on all those other sensors on board, many of which will likely become simplified as vision takes over as the primary sensor.

Today, Optimus is walking blind, but it’s able to react almost instantly to changes in the terrain underneath it, even if it falls or slips. 

What’s Next?

Next up, Tesla AI will be adding vision to Optimus - helping complete the neural net. Remember, Optimus runs on the same overall AI stack as FSD - in fact, Optimus uses an FSD computer and an offshoot of the FSD stack for vision-based tasks.

Milan mentions they’re planning on adding vision to help the robot plan ahead and improve its walking gait. While the zombie shuffle is iconic and a little bit amusing, getting humanoid robots to walk like humans is actually difficult.

There’s plenty more, too - including better responsiveness to velocity and direction commands and learning to fall and stand back up. Falling while protecting yourself to minimize damage is something natural to humans - but not exactly natural to something like a robot. Training it to do so is essential in keeping the robot, the environment around it, and the people it is interacting with safe.

We’re excited to see what’s coming with Optimus next because it is already getting started in some fashion in Tesla’s factories.

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