It’s the kind of decision that might have gone unnoticed, had it not involved two of Tesla’s most recognizable vehicles. As of mid-2026, Model S and Model X will disappear from the production lines. No press event, no grand send-off. Just a quiet shift that says more about Tesla’s future than its past.
These aren’t just two more models being discontinued. The Model S was once described as the “iPhone moment” of electric cars. The Model X, with its dramatic falcon wing doors, stood out as a bold experiment in EV luxury. Their departure isn’t driven by nostalgia, but by numbers, and, more importantly, by a company that’s changing course.
The End of a Chapter for Tesla’s Historic Lineup
Launched in 2012 and 2015 respectively, the Model S and Model X were not just Tesla’s first mass-market entries; they became icons of the early electric vehicle movement. The Model S set new benchmarks for EV range and performance, while the Model X, with its signature falcon wing doors, pushed the boundaries of design and functionality in electric SUVs.
Yet, over time, their significance diminished. As reported by L’Automobile Magazine, combined sales of the two models, including the Cybertruck, barely crossed 50,000 units in 2025. This is a modest figure compared to the staggering 1.6 million Model 3 and Model Y deliveries over the same period. Recent design refreshes, especially those introduced in Europe, failed to reverse this decline.
Manufacturing Shifts from Cars to Humanoid Robots
Beyond the symbolic significance, Tesla’s decision is also industrial. The production lines at its Fremont, California plant will be repurposed to build Optimus, Tesla’s humanoid robot. During the Q4 2025 earnings call, Elon Musk confirmed this move, stating that “it’s time to end the S and X programs” as the company transitions “toward an autonomous future.”
The Fremont factory, which once stood as a landmark of EV manufacturing, will soon be producing up to one million Optimus units per year. That projection is ambitious, even by Tesla’s standards, and underlines how robotics and AI development are beginning to overshadow the brand’s automotive origins.
Cars Become Software Platforms, Not Just Products
Tesla is not abandoning cars, but its relationship with them is changing. The company now positions its vehicles as hardware platforms designed to support autonomous features, software subscriptions, and eventually robotaxi services. The upcoming Cybercab, expected to launch without a steering wheel or pedals, reflects this direction.
Investment and research resources are increasingly directed toward autonomous driving systems, even at the expense of profitability. The firm’s declining margins in late 2025 were attributed in part to growing expenditures in robotics and AI training.
This pivot comes amid rising pressure from global competitors, particularly BYD in China, which now challenges Tesla in both pricing and scale. Rather than compete head-to-head on unit sales, Tesla seems intent on redefining what it means to be a mobility company.
Where Tesla Goes Next
The retirement of the Model S and Model X isn’t simply a case of aging products reaching the end of their cycle. It’s a sign that Tesla’s original mission, to accelerate the world’s transition to sustainable transport, is evolving into something broader. The focus now appears to be autonomy, machine learning, and humanoid robotics.
As with many decisions driven by Elon Musk, this one walks a fine line between vision and risk. Whether the gamble pays off remains to be seen, but for now, the road that once led to premium EV dominance is branching off into a different kind of future.
