Beyond the Numbers: Tesla's Q1 Tale of Economic Turbulence and Technological Promise

By Kevin Armstrong
Tesla Q1 Numbers Under the Lights
Tesla Q1 Numbers Under the Lights
Tesla

In case you missed it, Tesla’s first-quarter numbers came in, and they have Wall Street running for the hills, with critics cheering: “I told you so.”

The company reported its first quarterly drop in deliveries in nearly four years, a moment some have termed a stark deviation from its historical trajectory of relentless growth. However, it’s worth delving deeper to understand the factors at play.

Economic and Competitive Landscape

First and foremost, the broader economic landscape cannot be overlooked. With rising interest rates dampening consumer spending power, the cost of living soaring, and the global economy showing signs of strain, the automotive sector, especially the EV market, has not been immune to these headwinds. Therefore, Tesla's sales performance this quarter cannot be viewed in isolation but as part of a larger economic tableau that has also left its mark on other sectors. The company also expected this, which prepared investors for a difficult year during the last earnings call.

Moreover, the competitive landscape has been intensifying. BYD, Tesla's closest competitor and a powerhouse in its own right, briefly overtook Tesla in sales in the last quarter of 2023, only to experience its own significant sales drop of 43% in the first quarter of 2024. This parallel trajectory underscores a shared challenge: navigating a market that is becoming increasingly saturated, competitive, and sensitive to pricing dynamics.

Musk's Commentary

In the wake of Tesla's reported delivery numbers, Elon Musk took to his platform X, which he has 180 million followers, to address critics directly. Musk's response to investment analyst Ross Gerber's continued criticism, stating, "He’s such an idiot that he can’t even tell he’s an idiot," defending Tesla's position by highlighting BYD's significant sales drop and asserting, "This was a tough quarter for everyone."

Amidst this, Tesla's disproportionate share of media scrutiny makes these numbers seem even worse. For example, Reuters's story on BYD's 43% decline in deliveries was less than 400 words, while Tesla’s miss on deliveries was more than 800 words. The company's every move, statement, and quarterly performance is magnified, analyzed, and debated, creating a narrative battleground that extends far beyond the confines of financial spreadsheets, production lines, or even fair play.

Tesla’s Technological Innovations Extend Beyond the Car

Tesla's commitment to pushing the boundaries of technology remains unwavering, especially in the realm of Full Self-Driving (FSD) capabilities. The company's confidence in this revolutionary technology is apparent in a new offer of a complimentary one-month trial of its FSD software.

This bold move underscores Tesla's belief in the transformative potential of its autonomous driving technology and its readiness to showcase this innovation to a wider audience, inviting them to experience the future of driving firsthand.

Moreover, Musk's pinned post on X offers a visionary glimpse into Tesla's future, emphasizing the transformative potential of Tesla's Full Self-Driving technology.

Most people still have no idea how crushingly good Tesla FSD will get. It will be superhuman to such a degree that it will seem strange in the future that humans drove cars, even while exhausted and drunk!

The Future of Tesla and the EV Market

Tesla's strategic decisions, including price adjustments and the anticipation of a slower growth year, reflect a calculated approach to these challenges. The company's focus on ramping production for the updated Model 3 and navigating unforeseen disruptions, such as the Red Sea conflict and an arson attack at its Berlin factory, speaks to the operational hurdles it faces amid a complex global environment.

For Tesla and BYD, this period is a chapter in a longer saga of adaptation, resilience, and relentless pursuit of a future where electric vehicles are at the heart of global mobility. As the dust settles on this quarter's developments, the focus inevitably shifts to the strategies, innovations, and decisions that will define the next phase of growth for these electric vehicle titans.

New Tesla Model Y Adds 4D Radar; Calls 911 If Child Left Behind, Increases Safety

By Karan Singh
Not a Tesla App

Tesla’s refreshed Model Y is currently being manufactured as Tesla prepares for its first deliveries next month. While we’ve already seen quite a few cool new features, there’s more that has yet to be revealed. A recent video interview with Tesla’s engineering team hosted by Tesla Owners Silicon Valley reveals that the vehicle includes a new 4D cabin radar.

4D Radar

While Tesla has included an in-cabin radar since 2022, this appears to be a new, more capable radar. The current cabin radar is used to verify seat occupancy, but Tesla plans to add more functionality to this new system.

This updated radar will be used to provide a lot more detail than the current radar or cabin camera can provide today. The radar is located in the same location as the current version, directly above the rearview mirror.

Classify Passenger Size

This new radar has several new safety-focused features, and they’re all quite exceptional. First off, the radar will detect and classify passenger size to determine which airbags to deploy dynamically. That means that if a shorter individual is sitting up front, the dashboard airbag may not activate - but the curtain airbag will.

That will reduce injuries in impacts from airbag activation while also reducing repair costs by not activating unnecessary airbags. By having a better idea of the passenger’s size, height, and weight, the vehicle can also better determine when to activate the airbag.

Children Left in Car

But that’s not all - because of that classification system, the radar can differentiate an adult passenger from a baby or child sitting in the second row - and automatically make the necessary dynamic safety adjustments.

The cabin radar will also detect heart rate and breathing, and Tesla will automatically send a reminder through the Tesla app if it detects a child is left unattended in the vehicle. If this occurs, the vehicle will perform a variety of functions, the first being to turn on the HVAC system and send you a reminder. And if that’s not enough - in the case of an emergency, your vehicle will automatically call emergency services for you and report its location.

It’s important to note that while vehicles outside North America have eCall capabilities, in North America, they cannot call 911 unless a phone is connected to the vehicle via Bluetooth. We hope that Tesla can contact 911 via an alternative method or add eCall capabilities to these vehicles.

In late 2023, Tesla added the ability for the vehicle to call 911 over Bluetooth when the vehicle is involved in a crash.

The cabin radar in the 2024 Model Y
The cabin radar in the 2024 Model Y
Not a Tesla App

Coming Soon

While the refreshed Model Y will be shipping in March, this new radar and its associated features won’t be available immediately. Tesla intends to activate these new safety features in Q3 2025 - so sometime in late summer or early fall. We’ll dive into this new feature once it’s available later this year.

Tesla Confirms Update Issue for FSD V13.2.2; Fix Coming

By Karan Singh
Not a Tesla App

A member of Tesla’s AI development team, Kalena Brown, took to X to mention that an update is on its way for AI 4 vehicles on older FSD V13.2 builds.

It seems that Tesla has caught an issue that has been preventing vehicles from safely updating from FSD V13.2.2 to newer builds such as FSD V13.2.4 or V13.2.6.

The Bug

Tesla usually catches these issues early in testing, but sometimes, they make their way out into the wild, necessitating a stop to a rollout. In this case, the rollout was likely halted to prevent this issue from spreading to other vehicles.

There have been a lot of comments on social media that users haven’t seen an update since late December or early January. While that’s not completely abnormal, this update, version 2024.45.25.5 includes an issue that prevents it from being updated.

The Fix

Brown says that Tesla is aware of the issue and is working hard to get a build with the fix released soon. It may be a couple of weeks before it’s ready, but you can expect Tesla to roll this one out slowly to make sure the issue is addressed.

The issue appears to be specific to FSD V13.2.2, so anyone on another update should not be affected. Keep an eye out on our feeds - and we’ll let you know once the update is released.

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