News
Tesla Model S Drive Unit Replacement by the Numbers
During my early days of researching the Tesla Model S, I had concerns about a number of things that were emerging in the press. Fires, Model S drive unit issues, and handling in the snow. Tesla quickly addressed the “firegate” issue by retrofitting the Model S with a titanium shield. My concerns around winter driving, in particular handling in the snow, also became a non-issue after watching several winter driving videos put together by Bjørn Nyland.
Within no time, I became a new Model S owner and quickly learned that driving in the winter could actually be quite fun with a good set of winter tires. Tesla later introduced the all-wheel drive “D” models putting to rest any remaining doubt that the Model S could be the best and safest handling car in the world.
But one question still remains for me, Has Tesla dealt with the Drive Unit issues?
Model S Drive Unit Replacement by the Numbers
There is a group of Model S owners across the forums, but also validated by major publications such as Edmunds, that have had one or more drive unit replacements.
Early reports of drive unit issues ranged from total failures that left the Model S inoperable, to more recent complaints of clunking and milling noises. Elon has said in the past that many of these pre-emptive drive unit replacements were unnecessary and a simple $0.50 shim was all that was really needed, yet Tesla Service centers have been proactively replacing drive units.
The following polls from TMC show that a majority of Model S owners have had their drive units replaced.
While the poll only represents a small sample of Model S owners, one might draw significance in the numbers as the density circles around owners needing a drive unit replacement at relatively low mileage, and without any harsh driving prior to failure.
The polls also give insight to the motive behind each drive unit replacement.
Though it appears the issues mainly center around earlier versions of the Model S, there’s been reports of newer Model S with Autopilot hardware hearing milling noises coming from the drive unit. One viewer described the sound as “sawing wood”.
Tesla’s Response to Drive Unit Issues
In typical Tesla fashion, the company acted fast to address the issues, and curb concerns by offering an unlimited mile/8 year warranty on the drive unit. I think this was a great response by Tesla which put to rest any concerns about the quality and long term durability of their drive units.
Elon is now talking about building a power train that will last a million miles and I believe Tesla continues to put significant energy into improving the drive units. Tesla continues to honor the warranty and is proactively replacing drive units that show early signs of problems.
My Experience
After 12 months of Model S ownership and 30k miles drive, I started hearing a humming noise from the rear of my Model S during highway cruising. The noise was unusual as I had gotten used to hearing only the noise of the tires and wind, but there was a new noise only noticeable when cruising or decelerating with regeneration at 65 MPH and over. The noise continued to become more audible over the next few months, but I learned to live with it and did not contact Tesla. My personal rule of thumb on noise related issues is to wait for passengers to comment on it first. It’s my self crazy check.
Two months after the original drive unit humming noises began, a higher pitched milling type noise started occuring when traveling at speeds of 20 MPH or less. The sound varied depending on how much power was being used. That’s when I reached out to Tesla.

Tesla service record
Tesla service had me come in for a test drive which they can do on demand without you needing to wait. We drove about a block before the Tesla service technician said the drive unit needed to be replaced.
The explanation was that tolerances inside the drive unit have led to metal particles getting into the fluid around the drive unit, and as the concentration of particles increased, it caused the noise from the drive unit to become louder when under load. The new drive units evidently have better tolerances and are less prone to having metal particles being shaved off.
At that time, Tesla service has been very backed up here in Massachusetts so my appointment for the drive unit replacement was scheduled six weeks out. I put on another 4,000 miles during that wait time, with an increasingly louder drive unit, before it was finally replaced.
When Tesla replaces a drive unit, they replace both the drive unit and inverter as you can see from a copy of the parts list. The last letter in the drive unit part number (“M” in my case) seems to indicate the generation of the drive unit. The later the letter the better, with the “Q”s seeming to have the best longevity according to the forums.
I’m happy to say that I’ve logged 8,000 miles of happy and noise-free driving after my drive unit replacement. The replacement was done recently so my guess is that I have a newer unit, and thus hope this will be my only replacement.
Thankfully for all of us, Tesla has a first class warranty and level of service. While it goes without saying that inconveniences such as this may happen, rest assured that Tesla has you covered and will always strive to make things right.
Investor's Corner
SpaceX’s biggest earnings test yet lands Tuesday, and Tesla shareholders should be watching
SpaceX reports earnings Tuesday as Wall Street watches AI spending, Starlink growth and Tesla merger
SpaceX reports third quarter results after the market closes Tuesday, with a webcast at 4:30 p.m. ET streamed on X, and Tesla follows a day later. Bloomberg consensus, cited by Pepperstone, calls for revenue of $12.89 billion, adjusted EBITDA of $6.62 billion and adjusted EPS near $0.15. That would be about 65% growth from the second quarter and SpaceX’s first profitable quarter since its IPO. Analysts expect roughly $6.4 billion from AI and $4.9 billion from Starlink, which is projected to reach 14.3 million consumer subscribers. Capital spending is forecast at $19.6 billion, leaving free cash flow near negative $11.6 billion.
The numbers matter because SpaceX has spent months trying to win over a skeptical market. It priced its record IPO at $135, spiked to $225.64, then sank near $105 in early August. Friday’s close of $146.03 sits about 28% below the June high. The Q2 report beat on revenue at $7.8 billion and put Starlink at 12 million subscribers, but $18.4 billion of capex hurt the stock. Since then SpaceX reached orbit on Starship Flight 14 with 26 Starlink V3 satellites, agreed to buy 800 MHz spectrum for about $8 billion as part of its Starlink Mobile push, and signed a fourth compute hosting deal in four months worth roughly $13 billion a year from December. Management is targeting more than 2 gigawatts of compute by year end and a $100 billion annualized revenue run rate. Evercore ISI, which raised its target to $275, said the quarter may be judged more on those targets than the reported figures
All of this sits under the Tesla merger question. Barclays analyst Dan Levy expects an all stock deal in which SpaceX buys Tesla at a premium, using reference values of $2.1 trillion and $1.5 trillion, and said an announcement would need to come by late October or early November to be voted on at Tesla’s December 6 annual meeting. Barclays estimates Musk would hold about 37% of the combined company and 56% of the votes. Musk said in July that combining companies cannot be discussed on an earnings call, but an investor question asking when SpaceX will merge with Tesla is sitting on SpaceX’s Q&A platform, and Teslarati has tracked how the Roadster demo revived the talk.
If a deal happens, Tuesday’s result would effectively set the price Tesla holders would receive. Their shares would convert into SpaceX stock, along with exposure to a company with a heavy investment on AI, while Tesla itself expects 2026 capex above $25 billion. A strong quarter and calmer spending would make that exchange easier to sell. Another round of heavy capex and a falling stock would make it harder.
News
SpaceX’s Gwynne Shotwell just made a quiet gesture toward Tesla
SpaceX president Gwynne Shotwell quietly followed Tesla on X, and merger watchers noticed right away.
SpaceX President and COO Gwynne Shotwell has started following Tesla’s official account on X, a small change that landed in the middle of a very loud merger conversation. Whole Mars Catalog joked about it on Sunday.
A follow is not an announcement, and neither company has said anything about a deal. What gives the moment weight is the timing. Barclays analyst Dan Levy has told clients that an agreement could come before Tesla’s annual meeting, which must be held by December 6, with SpaceX as the buyer in an all stock deal, as we reported after the Roadster unveiling. Wedbush’s Dan Ives has stuck with a 2027 timeline.
“Shit, I better start following their X account if i’m gonna be helping run the company”
— Whole Mars Catalog (@wholemars) October 18, 2026
Shotwell is the executive most worth watching if the two companies do move closer. When Musk was asked at the All In Summit why Tesla and SpaceX remain separate, Shotwell sat next to him and said SpaceX personnel had already moved into xAI to fill leadership and engineering gaps. The businesses were integrating “faster than I thought,” she said, though “not fully integrated yet.” Her responsibilities have also grown since SpaceX absorbed xAI, and she now oversees operations that include Grok and the company’s AI compute buildout.
The financial links are already there. Tesla’s $2 billion xAI investment turned into a stake of less than one percent in SpaceX, the two share the Terafab chip project in Austin, and Musk exercised his 2018 Tesla options a week after SpaceX began trading, a sequence analysts flagged as giving SpaceX public shares to use in a deal. Musk holds about 20 percent of Tesla and controls 85.1 percent of SpaceX’s voting power, according to our earlier breakdown.
The next test is close at hand. SpaceX reports its second earnings as a public company on Tuesday after the close, and Tesla follows on Wednesday. Musk told analysts in July that “we can’t talk about combining companies and that kind of thing on an earnings call,” so a direct answer is unlikely from either stage. Tesla shareholders can still submit and vote on questions through the Say portal until 4 p.m. EDT on Monday, and the merger is a recurring theme in the queue.
Elon Musk
Tesla Roadster owners to get “Flying Stunt Mode” and looping track access
Musk says Roadster owners can command the unveiling stunts autonomously, with a Texas looping track.
Elon Musk says owners of the new Tesla Roadster will be able to ask the car to perform the stunts Tesla showed at its unveiling, with the car doing the driving itself. Musk made the comment Saturday in a reply on X to tech blogger Robert Scoble, and he added a promise of a looping track at Tesla’s Texas headquarters.
Scoble had argued that the person in the Roadster is not really driving it. In his description, the driver operates a computer that tells another computer what to do, with steering, braking and acceleration all handled by wire. Musk answered, “True. You will be able to ask the Roadster to perform any of the tricks shown autonomously, as it will be sentient. Also, we will have a wild looping track (crazier even than Hot Wheels) at our Texas HQ where you can test out your Roadster.”
@Scobleizer True.
You will be able to ask the Roadster to perform any of the tricks shown autonomously, as it will be sentient.
Also, we will have a wild looping track (crazier even than Hot Wheels) at our Texas HQ where you can test out your Roadster.
— Elon Musk (@elonmusk) October 17, 2026
At the October 15 event outside Waco, the car drove up a curved ramp until it was upside down, flew off on cold gas thrusters, flipped and landed. It also hovered over a Cybercab, Cybertruck, Semi, Model Y and Model 3 while moving. As we noted in our breakdown of the three Roadster configurations, Musk said at the event that the car “literally is just going to puff itself up” to perform the maneuvers whenever an owner wants. Saturday’s reply adds that the car would run them on its own.
Tesla has described some of the hardware that would make that possible. The Roadster uses steer by wire with a yoke, and its cold gas thrusters rely on electric actuators for small adjustments in flight. A fan system under the car creates suction, which Tesla says is strong enough to hold it upside down, a setup we covered in our look at the Roadster’s fan system and thrusters.
Musk did not say when an autonomous stunt feature might arrive, how it would work, or what he means by sentient. He also gave no size, location or opening date for the Texas track. Production is planned for Giga Texas in 2027 or 2028, and Tesla says the car is not approved for public road use. The Rocket version, the one built to fly, is invite only.
The comment follows a week of Musk teasing the event, including his claim that the demo would be a banger, which we covered before the stream. Tesla reports third quarter earnings on October 21, and shareholders can submit and vote on questions through the Say portal until 4 p.m. EDT on October 20, according to our earnings Q&A preview. A question about autonomous Roadster stunts and the Texas track would be a quick way to get specifics from management.


