Tesla Teases Announcement on October 7, Low-Cost Model Y Likely to Debut

Tesla has published two teasers on its social media accounts over the past few hours, one showing a fan or turbine spinning up, and the other showing only a pair of headlights shining against a dark backdrop. While there’s no firm indication of whether this refers to a new product launch, the timing lines up with the expected unveiling of a lower-cost, stripped-down Model Y. This will be Tesla’s attempt to reach a more price-sensitive customer base in the US, especially now that a long-standing federal tax subsidy to reward EV purchases has been withdrawn, raising prices across the industry. 

While less likely, the company could also be planning to show off the anticipated Tesla Roadster, a hovering car that CEO Elon Musk has joked about in the past, or even developments related to the Optimus humanoid robot line.

Musk announced earlier this year that Tesla has been developing a version of its Model Y with reduced features and comforts. While this might somewhat dilute the Tesla brand’s appeal, it also gives the company flexibility to roll out new offerings without needing to develop all-new models and establish new production lines. The company has been dealing with declining demand in many parts of the world over the past year, credited largely to Musk’s involvement in politics and a product line that hasn’t been refreshed in a long time.

The affordable car, which is likely to be sold as Model Y Standard, was spotted without any camouflage for the first time last week. Fans and industry watchers have also noted that a number of known Tesla influencers and industry figures visited the company’s Texas Gigafactory location at around the same time, lending credence to the theory that a launch is imminent. 

Leakers and enthusiasts have also found hints in Tesla’s website backend and recent car software updates. It seems likely that the new car will be sold starting at $39,990 in the US (approximately ₹35.49 lakh). It will have a simpler front fascia and headlight assemblies, no glass roof, and no second-row touchscreen. It is also expected to ditch some comforts, offering only manually adjustable steering wheel and rear air vents, textile upholstery, and a less capable air filter.

Tesla fans have been hoping for a lower-cost option for years. A purported “Model 2”, which would have been the company’s entry-level model, was reportedly scrapped in favour of the two-seater Cybercab autonomous taxi effort. This model had previously been targeted to launch in late 2025, and reports at the time had even suggested it could be manufactured in India, helping Tesla establish a foothold here.

It is not yet known if or when the Model Y Standard might be introduced in countries outside the US. In markets such as India, a lower price might help attract buyers interested in buying the Model Y here, but put off by high import tariffs. The company also recently introduced a three-row Model Y and a long-range Model 3 exclusively in China, with no plans yet to offer them elsewhere.