Tesla has quietly raised the prices for two of its oldest models, in a move some critics are describing as a "last hurrah" for the vehicles.
What's happening?
In mid-August, prices for Tesla's Model S and Model X both increased by $10,000, InsideEVs reports.
The price increase does come with several additional features, which Tesla refers to as the "Luxe Package." That package, which is now a mandatory feature on the two models, includes Tesla's autonomous driving package, known as Full Self-Driving, free Supercharging, and a four-year service plan, among other features.
Previously, FSD alone was priced at $8,000 for each model, but it was available as an optional add-on, not a mandatory feature. And even when using FSD, drivers must still control the car and remain focused on the road at all times.
This is the second price hike this year on both models, following a $5,000 increase in June. The Model S now has a base price of $94,990, while the Model X's base price is $99,990.
Earlier this year, a Tesla official said the company would make upgrades to the Model S and Model X.
Why are these increases important?
The price hikes come at a time when Tesla has seen sales dwindle, especially for these two models.
Kelley Blue Book data shows that, in the second quarter of 2025, Tesla sold 1,435 Model S and 2,871 Model Xs. For both models, that was a drop of at least 56% from the previous year. Overall, Tesla sales fell by 12.6% year-over-year.
Adding features to the Model S and Model X may make those cars more appealing to some would-be buyers, but the higher price tag is also likely to push some away. And some believe it could mark the end of these longtime Tesla stalwarts.
"With the latest price change, the two models' fate seems sealed, with dwindling sales and lackluster hardware updates," InsideEVs speculated.
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Tesla remains the biggest all-electric vehicle company, so it's fair to worry that any dip in its sales, or any price increases, could lead to fewer EVs on the road. And the fewer EVs there are, the more pollution is created by gas-powered cars that rely on dirty fuel.
Fortunately, EV sales are at an all-time high. And with federal tax credits for EVs ending this fall, now could be the perfect time to make the switch to an EV, drive a car that's considerably better for the environment, and potentially save thousands of dollars.
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