For nearly a decade, it has been the holy grail for Tesla fans and the key to its mainstream future: a truly affordable electric car for the masses. After years of promises, delays, and speculation, the company confirmed on Wednesday that the long-awaited cheaper Tesla is finally moving from myth to reality.

Tesla has said it will build cheaper cars and win approval for its self-driving software in Europe this year after seeing sales fall at the sharpest rate in at least a decade. Elon Musk's electric car firm told investors it had started "first builds of a more affordable model in June" while posting a slump in car deliveries and shrinking profits.

Elon Musk finally admitted that Tesla’s long-promised, more affordable EV is just a stripped-down Model Y. Unsurprisingly, Verge readers had some thoughts. In an earnings call Wednesday, Tesla CEO Elon Musk “let the cat out of the bag”: The new,

The stock price of Tesla dropped sharply Thursday, declining about 8% in morning trading. It is now down more than 36% from its December high. Revenue was $22.5 billion for the three months ending June 30, down 12% from a year ago, while earnings were 40 cents per share, down 23% from a year ago.

Tesla revenue slipped 12% year over year in the second quarter of 2025, the company's July 23 earnings release showed. The Elon Musk-helmed electric car manufacturer took in $22.5 billion in revenue,

Tesla had said in April it would start producing the model by the end of the first half and sources had told Reuters the ve