Tesla has been teasing the existence of an “affordable” model for years. The idea first surfaced in 2020 during a battery event, when CEO Elon Musk said denser batteries would allow the company to build a $25,000 car. Rumors of the mythical cheap Tesla stuck around until Musk squashed any plans of such a vehicle back in October, calling it “silly and pointless.”
The company hasn’t completely given up on breaking into a more affordable segment, telling investors it plans to launch cheaper models by the end of 2025. Tesla will reveal its first affordable model tonight—but it won’t be an entirely new car. As confirmed by Musk back in July, it’ll just be a Model Y with less standard equipment.
The Model Y in question should look a bit different, too, if these spy shots taken of an undisguised prototype turn out to be legit. These photos, published to X by user Ryan Mable and shared by The Verge, show a white Model Y with slightly revised fascias running on Florida manufacturer plates driving around near Tesla’s Austin, Texas headquarters.
How Different Will It Look?
The most obvious difference lies in the nose, where there’s no longer a lightbar uniting the two headlights. The car in these photos has that space occupied by an extended bumper area. The updated, slimmer headlights from the normal Model Y are still present, though. Out back, the central taillight has been replaced by what looks to be a black piece of plastic, and all badging has been removed. The tailgate piece has also been redesigned to reach over into the lower black plastic portion of the bumper, which looks kinda awkward.
@SawyerMerritt spotted an uncovered cheaper Model Y variant driving near Giga Texas pic.twitter.com/Fy6devXree
— Ryan Mable (@RyanMable) October 2, 2025
These images match up with a photo shared by The Tesla Newswire, a fan account on X that tracks Tesla happenings. The image, shared earlier this month, shows an identically restyled Model Y that was, according to that account, lifted from code within Tesla’s own website. It’s impossible to make any guarantees without an official announcement, but considering that, plus the manufacturer plate, this car is likely what we’ll be seeing revealed later tonight.
What Will The Cheap Model Y Be Missing?
Tesla hasn’t made any official statements with regard to standard equipment or specs, but that hasn’t stopped people from finding out what to expect. The Verge cites a hacker on X who goes by GreenTheOnly, who claims to have discovered exactly what the cheap Model Y will be missing compared to its more expensive counterpart in a tweet published last month, citing Tesla’s own firmware:
simplified fiberglass headliner
simplified cabin lighting (footwell only)
simplified seat controls (single axis)
no power mirror folding
no puddle lamps
no glass roof
no second row display
no tpms
simplified 18″ wheels— green (@greentheonly) September 20, 2025
In case you can’t see the above tweet, some subtractions to the cheap Model Y could include obvious cost-cutting moves, like no glass roof, no second-row display, a cheaper fiberglass headliner, no power-folding mirrors, simpler seat controls, and smaller 18-inch wheels. Weirdly, this hacker also reports that the cheap Model Y won’t have a tire pressure monitoring system, even though TPMS sensors have been mandatory in the United States since 2007. If I had to guess, it’s possible their data was tied to a car destined for sale outside of the U.S.
The hacker, as well as Electrek, say the affordable Model Y will also have a “downgraded” suspension setup. But while the hacker says there will be rear-wheel drive and all-wheel drive options, Electrek seems to think the car will be rear-wheel drive only. That is to say, we won’t know for sure just how much stuff has been taken out until Tesla reveals all the info.
How Much Will It Cost?
Tesla hasn’t released a number, per se, but its German CEO leaked a few details on the car yesterday ahead of tonight’s reveal, including some hints about its design and an approximate starting price. From German publication Handelsblatt:
The US electric car manufacturer Tesla plans to launch a light version of its Model Y this year. German CEO André Thierig announced this at an internal event on Monday at the Tesla plant in Grünheide. Series production and delivery will begin “in a few weeks.”
The Model Y Standard has a “completely redesigned front, completely new bumpers, a completely redesigned rear, and different lights. It simply looks like a different car,” Thierig said at the launch. Regarding the planned price, the plant manager said: “It will be about ten percent cheaper than the current Model Y.”
Let’s do the math here. The current Model Y starts at $44,990 before destination charges. Ten percent of that number is $4,499. Subtract that from the car’s MSRP, and you get $40,491. This lines up with the $40,000 starting price rumored by several outlets already. The lowest I’ve seen reported is $39,990, by that Tesla fan page I mentioned earlier.
The ironic part about all of this is that up until recently, the current Model Y was actually cheaper than this new model, thanks to the $7,500 federal tax credit. Previously, you could’ve gotten a nicer Model Y for less money. But now, because of the disappearing incentive, you’ll be paying more for a car with less equipment.
Would You?
It’s unclear right now whether Tesla will extend that $6,500 lease credit it came up with at the start of the month to owners of the cheaper Model Y. That would make the car way more palatable for buyers looking to save some cash. Because while $39,990 is certainly cheaper, it’s definitely not cheap. It’s also nowhere near that magical $25,000 mark promised by Musk all those years ago.
This begs the question: What would you be willing to pay for a stripped-out Model Y? I think that $35,000 mark is the sweet spot here; it would put the car right in line with cars like the Hyundai Kona Electric and the Chevrolet Equinox EV, two of the cheapest electric cars on the market. Otherwise, I don’t see a way to justify buying the Tesla over either of those cars (especially the Chevy, which gets over 300 miles of range).
Betteridge’s law of headlines strikes again.
I only clicked this article to check that someone had made this comment. Very glad to see it and the general sentiment of the comments.
Like we already didn’t know the answer (to the question) anyway, question mark or not.
I don’t think this will be a big seller, for the same reason a lot of cheap cars don’t do so hot. Used cars exist. Specifically, used versions of this same model with all the features you’d sacrifice with the low-cost model. This feels half-assed at best, and seems like the sort of thing done to cars destined for fleet duty. If the price really is $40k, that’s still more than competitors from familiar brands that come with more features and range, such as the Equinox.
The only way to make this work is for it to be $35k or less. That seems to be the benchmark for a “cheap” EV at the moment. $40k is a bit too much to ask for a de-contented model.
Regarding TPMS, I assume it’ll have something like my Sportwagen. You press a button in the glove box when all the tires are at the correct pressures. If one gets low, the change in wheel speed is detected by the ABS system and triggers a warning light.
no glass roof and 18s sound like upgrades but a 1year old normal one will still be cheaper so I doubt they will move many
Glass roofs need to go away – I like not to be completely blasted with sunlight. Definitely sounds like an “upgrade”
Just like folding a sheet of paper continuously in half, theoretically it could be unlimited but mostly it’s just 7 times. Elon hit the magical halves limit. Let me count the ways:
1) 1/2 of world is not Chinese
2) 1/2 of potential American buyers left when he went politically rogue this year
3) next 1/2 gone because they’ll buy an electric car when Hell freezes
4) next 1/2 gone because they can’t afford any new car (ie. lost job, inflation, can’t pay current bills, etc)
5) next 1/2 gone because even if they could afford, they have no reasonable way to consistently charge electric vehicle
6) next 1/2 gone because even though they don’t know who Elon is their friends/family won’t let them drive because of “stigma”
7) remaining half don’t really like idea of a skimpy new moldeY (oops ModelY) that has changed looks to even further shame them.
8) WAIT..Elon has many children. That’s it. He can sell the remainder to all of his progeny to meet sales targets.
Re. 8, hasn’t he alienated about half of the kids at this point?
Yeah. Good point
He’s still making more.
I would rather have the Equinox EV LT1, cheaper MSRP, local dealership for the minimal manteinance and warranty jobs, and the big difference with the Y, cheaper insurance!
Funny you mention insurance when I traded in my 2023 Miata RF for my 2022 Polestar 2 and was expecting to pay more for insurance but it was actually cheaper to my surprise. I get it that it isn’t a red sports car but I am 32 now (so not super young for insurance to screw me anymore hah) and the Polestar being a “luxury” brand EV really expected to pay more.
I had a 2021 P2 PPP and my insurance was ok at first but then it went up so much by the end of the lease. One of the best cars I ever had so far.
I have had terrible ownership and service experiences with Ford, but I’d spend $40k on a Mach-E all day long over a Model Y.
I think I’d buy my one true nemesis over this (a Nissan Altima).
(Excuse me, I need to vomit now.)
It seems to me that I can buy a new Leaf, an Equinox EV, or some other sort of entry-level EV model for the same, or less, if I was so inclined to dip my toe into the EV waters.
As for Tesla ownership, I think I would rather jump into bathtub with a toaster, if I’m going to stubbornly stick to my clumsy EV waters metaphor.
No. I was trying to talk myself into a used MY when they were hovering around $25k. I couldn’t stomach it at that price. They already feel like a penalty box. I can’t imagine being in a de-contented one.
Nope. I wouldn’t even if the price were $40 out the door, but I’m currently filled with hatred for the CEO, so that might bias my opinion.
“Would You Buy A
Stripped DownTeslaModel Y For $40,000?”NO.
There are too many other affordable EVs out there to even consider a car from a Nazi-supporting lunatic. My Nissan Ariya Platinum AWD, for example, which is nicer than any Tesla I’ve ever driven or ridden in (and that includes their “top of the line” Model S). And, if I buy it at lease-end, I will be all-in for about $36k. Add to that the Hondas and Chevys and Fords, etc. that are available for relatively low cost (especially if you lease), and Tesla is out of the running.
The new Leaf S+ should get solid range, be just as if not better equipped than a totally stripped down Tesla, and cost 9k less than this.
Tesla should be very concerned. I’d take the Leaf even without the Elon factor considered.
Same. I get to check out the new Leaf at my neighborhood Nissan dealer next week. Based on paper specs and photos, I’ve already pretty much decided a teal Leaf is in my future after I return my leased Polestar 2 in April, but I’m excited to check one out IRL.
Regarding TPMS, I believe manufacturers are allowed to use a wheel speed differential algorithm to alert you when 1 tire is lower than the others. It won’t recognize that all 4 tires are flat, but can alert you if one is.
TBH, most of the stuff they’re removing I’d prefer not to have anyways. I hate big glass roofs that don’t open and don’t have a shade.
I don’t know what system they currently use, if it’s direct TPMS, but I was also wondering if it actually meant a switch to the setup as you described.
yep, probably changing from Direct TPMS to Indirect TPMS.
I have indirect TPMS on my car and it sucks. it’s only good if you have a slow leak from a nail. I had a fast leak and when I realized it was flat from steering control, not the sensor, I’d driven too far and ruined the sidewall and needed a new tire.
There are aftermarket pressure based TPMS systems available, both with internal sensors and ones that screw onto the Schrader valve if you want to try those.
I was under the impression that the wheel speed option wasn’t accurate enough for the requirement.
there were a few older cars that had that type of TPMS but had to update to the fancier sensors for the new model year because the wheel speed ones weren’t good enough?
I wish that was the case, but my 2023 Volvo has the cheaper sensors.
As does my 2022 Accord.
I wouldn’t consider buying one new or even used I didn’t look into buying a Tesla when I was looking at used EV’s this year as I just do not care for the styling of their blob mobiles (besides the model S which is the only current Tesla I think looks decent). As I have stated on here before I am waiting for the R3X and the Scout EV’s to come out (if they even do) and to see what the prices will be on those till then I’ll have my Polestar 2 and FJ cruiser as my dailies.
Just like Apple products, I cannot be bothered to support douche bags heads of the companies. Even after Jobs is gone, it just feels dirty to support something the schmuck was attached to.
The thing is though all these giant companies are ran by billionaires and I think most of them are likely all crappy terrible people (some worse then others) so at this point it is really just picking your poison to try and not support the crappiest.
No
I tried buying a “simplified” Tesla
It was called the Standard Range Model 3, or at least was supposed to be called that.
At the time of my Pre Order it was supposed to come with a glass roof (prior to my ordering they said it would come with a steel roof) and manual cloth seats.
I placed my Pre Order and waited. Heard on Electrek that instead of making the Standard Range Model 3 I ordered they were going to just software limit Standard Range Plus Model 3s (which have fake leather electric seats I specifically ordered the SR M3 to avoid getting). Not long after I got a delivery date less than a week away, so I called their customer service line (back when they had one) and tried to get an answer as to whether I’d be getting the car I ordered or not, and if not I would like to cancel said order, as my order looked exactly the same as what I wanted, with no changes listed, no updates to the spec list, nothing.
It took 3 calls, one per day, before I got an answer. No I would not be getting the car I ordered. So I canceled my order. The one “good” thing about the process was returning the Tesla brand accessories I ordered was that the shipping was paid for, same cannot be said for the aftermarket stuff I ordered, some of which I was charged a “restocking fee” for which I think is pretty shitty considering I got screwed out of the car I ordered.
I’m probably better off because Tesla never made the car I ordered, but it still irks me.
Since then I’ve yet to see a car made by Tesla I actually want to purchase, and with hindsight being 20/20 I wouldn’t willingly buy a new car with electric door handles (like what the M3 has) unless I could easily and legally remove the doors and drive without them on.
I am so sick of electric door handles I get not having them stick out for aerodynamic reasons but you could still have a mechanical lever that sits more flush (like old AMC door handles) but then again the door handles we have been using on car for what 20+ years now have been shown to be reliable over any other style so stop trying to fix what isn’t broke. Then again they seem to want to make EV’s as techy as possible instead of just making them good cars.
Subaru had it figured out with the XT back in the 80s as well.
The term I use to describe most BEVs today is “Technophilic”.
Wait, no TPMS and reasonable 18″ wheels?
I think I’d pay MORE to get these options on a lot of cars…
Sell me one with a small screen and a gauge cluster and baby, we might have a deal. I did not see that coming, Elon.
What’s the downside of having TPMS?
Annoyance. Every time I’ve needed tires with tpms the dealership breaks atleast one. Best case they charge 400$ to replace it. Worst case they don’t notify me so it resets 5 miles from the dealer and I have to take it back and have it fixed. In which case they charge 400$ per sensor.
Or like on my beater winter truck I have to cycle through three warnings saying that the tpms system is defective before I can see the speedometer. Because I’ve installed regular valve stems due to situations as described above.
Or like on the wife’s new civic, the assumption was that it had tpms. However it’s based on speed differential and so if all four tires are under inflated you do not receive a warning. And so she still ruins the tires.
Again it’s an annoyance. But I grew up checking my air pressure when I got gas and before long trips.
$40k and this gets the axe like the short lived RWD Cybertruck. Too much content was removed and the price would motivate people to buy a higher spec. $35k and they will move.
No. It’s ugly and Tesla interior design sucks. I _might_ drive one if you gave it to me free. Or I might insist on a monthly stipend for pain and suffering related to association with Tesla bros.
Not even at 20K.
Hah. They’re selling a $40k car with the same feature set as the Slate truck that’s coming.
Even if they got it to $35k, they’d get slaughtered by the likes of GM and others because their cars come pretty loaded up with features at that price.
Also, the only way you’d get me into a Tesla is a high mile cheapo from a private sale. I refuse to give the company money directly.
I do Nazi me buying that.
Absolutely not.
Nope, don’t need a Tesla penalty box. The Equinox EV looks pretty nice for that money.
No. I’d wait until the Rivian R2/R3 come out before I’d consider buying an EV.
No. I don’t support Nazis.
NO.