Why The Tesla Model Y Will Take Over in 2026

Energy Independence

The 2026 Tesla Model Y Update is Here!

Transcript

00:002026 will be the biggest year so far for Tesla's most popular vehicle, the Model Y.

00:06Not only because the car itself will be literally getting bigger,

00:10but also because it will be getting smaller and cheaper,

00:13becoming the most affordable vehicle the company has ever sold.

00:18In 2026, there will be a Model Y for just about every customer out there,

00:23and this is how they stack up.

00:26Every new Model Y is going to be based on a common platform,

00:29which was just refreshed at the beginning of this year.

00:32A lot of people call this update Juniper,

00:35although Tesla themselves have never used that word,

00:37so don't look for it when car shopping,

00:39but you will see it a lot on the internet.

00:42Basically, what we are referring to is the Model Y's evolution

00:45from soft curves and wide eyes to pointy and aggressive.

00:50That's the most obvious change,

00:51but there's a lot going on under the skin as well.

00:55In many ways, this is the first platform

00:57that's been designed specifically for the Model Y.

01:01This vehicle has been going through changes

01:03ever since it was first introduced in spring 2020

01:05as an inflated version of the Model 3 sedan.

01:09Tesla kind of used the Model Y as a testbed

01:11for all kinds of new vehicle construction ideas and technologies.

01:15It was the first Tesla to receive a gigacast rear end,

01:19replacing 300 stamped metal parts

01:21with one giant piece of cast aluminum.

01:25Then it was the first Tesla to get a front gigacast.

01:29Then it was the first Tesla to be made with a structural battery pack,

01:32replacing the entire subframe assembly

01:34with a rigid sandwich of battery cells and sheet metal.

01:38You won't find most of those innovations in the new Model Y.

01:41For the vehicle refresh,

01:42Tesla decided on one unified vehicle platform

01:46that can be built the same

01:47across all of the company's global manufacturing hubs.

01:50So you still have a gigacast rear end,

01:53but the battery pack is going to be the same

01:55as any other electric car,

01:57with battery modules held in a tray under the floor,

02:00and the front end assembly is going to be

02:02a large collection of small stamped parts.

02:06Now, we can't say exactly why Tesla made that decision,

02:09but we can say that one of the advantages

02:11from having a less rigid frame design

02:13is that it gives you the freedom

02:15to make variations on the platform.

02:17You can stretch it out, you can shrink it down,

02:19all without having to do any major retooling.

02:22This is how most car makers operate.

02:25They design one base platform,

02:27and then they make like five different cars on it,

02:29all that are just subtle variations.

02:32And that's how Tesla is injecting more choice

02:34into their vehicle lineup than ever before,

02:37starting with the brand new Model Y L.

02:39It could stand for large,

02:41but it could also mean long,

02:42because that's the biggest change we're looking at here.

02:45This is a Model Y with three rows of seating,

02:48but it's very different

02:49from the vehicle's previous three-row option.

02:52Tesla briefly offered a seven-seat configuration

02:55beginning in 2021.

02:57It essentially just dropped two extra booster seats

02:59into the trunk space,

03:00which nuked the vehicle's cargo capacity,

03:03leaving only the front compartment for storage.

03:06And in return, all you really get

03:07is additional seating capacity

03:09that's limited to small children only.

03:12That didn't last.

03:14But this time, Tesla is doing the job right.

03:17Instead of just wedging in more seats,

03:19they've given the entire vehicle a stretch,

03:21making something a little more reminiscent

03:23of an old station wagon design.

03:25Those sometimes had a third-row seat

03:27that faced backwards.

03:28I can remember riding in one.

03:30A lot of fun.

03:31Probably super dangerous.

03:32Anyway, what Tesla has gone for here

03:34is a two-by-three seating design.

03:37So you get six seats total in three rows of two.

03:39That way, you get extra passenger capacity

03:42without anyone being crammed in together.

03:45To achieve this, the vehicle platform

03:46has been stretched by seven inches,

03:49with six additional inches

03:50being added to the wheelbase.

03:52That's the distance between the front and rear wheels.

03:55They've also extended the height of the vehicle,

03:57adding an extra 1.7 inches of headroom

04:00in the rear seat area.

04:01Now, the extended length allows you

04:03to fit three rows of seating

04:04and still have a little cargo space

04:06left over in the trunk,

04:08which is great,

04:08but there's a secret utility in the Model YL

04:11because it's just been revealed

04:13that both the second and third-row seats

04:15will be fold-flat designs.

04:18So when there are no passengers on board,

04:20you can drop the seats

04:21and create one continuous open cargo space,

04:24essentially giving the Model YL

04:25the same utility factor

04:27as a small van or pickup truck.

04:30So this isn't just the best Tesla vehicle for families,

04:33it's also arguably the best Tesla vehicle

04:36for cargo hauling unless your cargo is cinder blocks,

04:40then you'd still definitely want a Cybertruck.

04:42But for most other things,

04:43this extended Model Y could be a game changer.

04:47Now, as interesting as that might be,

04:49things get even more exciting

04:51when we think about the potential

04:52of a shrunken Model Y,

04:54a concept that the internet has been calling

04:56the Model Y Mini.

04:58Again, I don't think Tesla will ever use that word,

05:00but that's what you'll see online.

05:02This will be a shortened wheelbase variation

05:05that prioritizes low cost over everything else.

05:08Not that the Tesla Model Y was ever a luxurious car,

05:11but it does come standard with a lot of nice features

05:13like a humongous glass roof,

05:16double-pane acoustic windows,

05:17rear entertainment screen,

05:19wireless phone chargers,

05:20premium audio system,

05:22LED cabin lighting,

05:23the list goes on.

05:24So if you're wondering what features

05:26the Model Y Mini won't include,

05:28that would be a pretty good list to start with.

05:30We know from early spy photos

05:32that the glass roof is definitely gone,

05:34which is going to make the car a lot cheaper,

05:36but also lighter as well.

05:38There's also potentially less glass in the rear end.

05:41Tesla could be going for a more traditional

05:43hatchback rear window design

05:44that has a shorter piece of glass

05:46in a more rectangular or oval shape,

05:49something like a VW Golf or a Corolla hatchback.

05:52The most obvious result of the Mini design

05:55is going to be a reduced amount of rear seat legroom

05:58and potentially a little less cargo capacity in the trunk,

06:01which is not the end of the world.

06:03In fact, most of the world drives small cars

06:06and is perfectly happy with them.

06:08Europe, Asia, South America,

06:10in most places, small size is considered an asset

06:13where the roads are small

06:14and the traffic congestion is high.

06:17So a Model Y Mini probably won't be a huge hit

06:20in the SUV-loving USA,

06:22but on the global scale,

06:23this could be Tesla's best-selling vehicle yet.

06:26And that's definitely going to be true

06:28if they can follow through with an affordable price tag.

06:31This has been a topic of great contention

06:34around the Tesla world.

06:35First, they promised to build a brand new,

06:37revolutionary, affordable EV

06:39and release it in 2023.

06:41That didn't happen.

06:42But Tesla still said it was going to happen.

06:45Then Elon Musk said it was never going to happen.

06:48Then they released the Cyber Cab,

06:50which is a small, affordable,

06:52revolutionary new EV design,

06:54except it can only ever drive itself

06:56and you can't buy one.

06:57Then Tesla said that they were going to build

06:59an affordable new car that you could buy.

07:02And then Elon Musk said it would just be a Model Y,

07:05except smaller.

07:06And that's where we're at today.

07:08According to Tesla,

07:09the Model Y Mini actually started production

07:11two months ago at their Fremont, California factory,

07:13which is where we've seen the majority of these spy photos.

07:16But sources indicate that the affordable model

07:18is also being manufactured

07:20at Tesla's Gigafactory in Shanghai, China.

07:23And it's definitely coming to Giga Berlin as well.

07:26Tesla says that production will continue to ramp up

07:29over the next couple of months

07:30with the first product launch coming

07:32in the fourth quarter of this year,

07:34meaning sometime between October and December.

07:37So that's a pretty good indication

07:38that Tesla will be sitting on a stockpile of these things

07:42before it goes live on the website for pre-orders.

07:44And all signs point to this being a very easy vehicle

07:47to manufacture at high volume.

07:49And that mass manufacturing combined

07:50with cost-saving measures should get the retail price

07:53of this vehicle down to a level of affordability

07:56that Tesla hasn't reached before,

07:58which is going to be critical in the months and years to come

08:01as the USA brings an end

08:03to their longstanding $7,500 tax credit

08:06for electric vehicles.

08:08That means the effective price of all EVs will go up,

08:11and most other carmakers have already hedged

08:14against that inevitability

08:15with their own smaller, more affordable option.

08:19The Rivian R3, the Volkswagen ID.2,

08:21the Kia EV2, the new Chevy Bolt.

08:24So we're entering an interesting new phase

08:27for electrified transport.

08:29The technology that started off as a luxury item

08:31over a decade ago

08:32is making its way down into the economy class.

08:35It's a world where EVs don't need government subsidies

08:39to be compelling options for the everyday consumer.

08:42And it gives an American-based manufacturer like Tesla

08:45a new foothold in the global market

08:48that is so far being dominated by Chinese competition.

08:52But is it enough to put the Model Y back

08:54at the top of global auto sales in 2026?

08:58We'll find out.

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