Tesla is reportedly shutting down its two flagship luxury vehicles—with no replacements—so its California factory can chase a future of humanoid robots.
Story Snapshot
- Elon Musk says Tesla will end Model S and Model X production in 2026, and the reports say no successors are planned.
- Reporting indicates Tesla intends to convert Fremont factory lines to ramp production of Optimus humanoid robots, targeting up to one million units annually.
- The move underscores Tesla’s pivot away from legacy vehicle programs and deeper into autonomy and robotics, where Musk sees the biggest long-term payoff.
- Customers, suppliers, and Fremont-area workers could face disruption as Tesla reallocates equipment and labor away from the S/X lines.
What Musk Says Is Ending—and When
Elon Musk has publicly indicated Tesla will bring its Model S and Model X programs to an end, with production scheduled to stop in 2026. The reporting emphasizes this is not a typical “pause” for upgrades, but a termination of both vehicle lines with no direct replacement announced.
For longtime Tesla watchers, that’s a major shift: the Model S helped define the modern EV era, and the Model X anchored Tesla’s premium SUV offering.
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
Tesla’s position, as described in the reporting, is framed as a strategic reallocation rather than a retreat. Musk described the decision as “slightly sad,” but tied it to what he calls a “shift to an autonomous future.”
What remains unclear from the available sources is the exact date the remarks were made and whether Tesla will offer any comparable premium vehicle program to fill the gap. As of now, the key public signal is straightforward: S and X are slated to end in 2026.
Fremont’s New Priority: Optimus, Not Luxury EVs
The most consequential operational detail is the Fremont factory plan. Multiple reports say Tesla intends to convert Fremont production lines currently associated with the Model S and Model X to support Optimus, Tesla’s humanoid robot project.
The stated target—up to one million robots per year—illustrates how large Tesla believes the opportunity could be. Fremont is Tesla’s oldest major U.S. manufacturing site, so decisions there ripple across staffing, suppliers, and logistics.
Tesla first revealed Optimus in 2021 and has shown prototypes in the years since, building a narrative that robotics and autonomy will eventually eclipse the car business.
From a conservative, kitchen-table perspective, the big question is practical: can a company that struggles at times with vehicle production consistency truly industrialize a sophisticated humanoid platform at scale? The sources do not provide detailed manufacturing or timeline proof, so the million-unit goal should be treated as an ambition, not a verified output forecast.
Why the Model S/X Are Being Cut Despite Their Legacy
Reporting points to a familiar business reality: the Model S (launched in 2012) and Model X (2015) are older platforms facing heavier competition and shifting consumer demand. Rivals like Rivian and Lucid have entered the premium EV arena, while Tesla’s cheaper, higher-volume Model 3 and Model Y dominate deliveries.
That context helps explain why Tesla might be willing to sacrifice legacy nameplates—especially if factory space and capital can be redirected toward the next “big thing” Musk is selling to investors.
The coverage also notes Tesla has paused S/X production before—such as for battery-related updates—but emphasizes this time is different because the plan is to end the programs outright. For buyers, that means the top-end Tesla options could disappear without a clear successor.
For the broader auto market, it signals that Tesla may increasingly behave less like a traditional automaker and more like a tech-industrial company placing large bets on automation, software, and robotics as core identity.
Workforce and Community Disruption: What We Know, What We Don’t
Any time a major manufacturer announces a product-line shutdown, workers and local communities hear the same alarms: layoffs, retraining, and uncertain timelines. The research notes potential job shifts at Fremont, but the available sources do not provide confirmed staffing plans, union agreements, or detailed headcount impacts tied specifically to ending S/X.
What can be stated with confidence is narrower: Fremont lines are reportedly being repurposed, and repurposing usually changes roles, training needs, and supplier relationships.
Investors and customers may also experience turbulence. The research suggests S/X represented a meaningful slice of Tesla’s deliveries, and eliminating them could create short-term revenue questions even if margins were attractive.
Meanwhile, Tesla’s long-term story becomes more binary: if Optimus and autonomy scale, the bet pays off; if they don’t, Tesla has voluntarily narrowed its vehicle lineup at the premium end. The sources do not include independent expert analysis, so conclusions beyond that remain speculative.
Sources:
DEAD: Tesla Is Killing Off the Model S and Model X
Tesla Model S And Model X Production Ending
