Tesla has lost its edge, but rival car brands could be made to fear it once again

Tesla CEO Elon Musk’s political dalliances, idiotic antics and eyebrow raising hand gestures over the course of 2025 absolutely (and quite understandably) will have contributed to the decline in sales the brand has been seeing. But Musk isn’t the only reason the company could be in big trouble, he may not even be the biggest.

There’s no denying Tesla remains one of the most influential, innovative and important companies in the world. But the Cybertruck has been an unmitigated flop, while here in Europe, Tesla cars simply no longer have an edge over the competition. 

Back when it was an upstart start-up, Tesla led the way in electric-car technology and its rapid rise to power struck fear into the boardrooms of established carmakers like BMW, Hyundai, Volvo, Mercedes and Volkswagen, to name but a few. 

After years of playing catch up, those companies have all developed their own EV technology which can match, or in some cases surpass, what Teslas offer in terms of range, efficiency and charging speeds. Plus, they’re offering these better electric cars at more attractive prices and still have the same advantage of being household names that customers have grown up with. Newer Chinese brands pose a threat too, of course, and self-sabotage remains an issue within Tesla where decisions like removing the indicator stalks from one of its cars have cost the company.

Just look at the new Tesla Model Y Standard that just launched as an example. This new base model served to cut nearly £3,000 off the electric SUV’s starting price, but did so only by removing some of the car’s kit. At £41,990 it’s still as much as £10k more expensive than key rivals like the Citroen e-C5 Aircross or Renault Scenic. The Model Y is no longer far enough ahead to make that kind of price premium look worthwhile. 

Tesla isn’t going to get its mojo back overnight or suddenly announce a game-changing new car – but if any car company was capable of staging a comeback, it would be this one. If I could hear some semblance of a game plan or roadmap for the future in 2026 and beyond, I wouldn't bet against Tesla remaining a formidable force rather than becoming a forgotten one. 

Did you know you can sell your car with Auto Express? Get the highest bid from our network of over 5,500 dealers and we'll do the rest. Click here to try Auto Express Sell My Car now...