Tesla has again raised eyebrows in the EV industry of EVs. Earlier, it was recently seen that there was some sort of mysterious new prototype testing at the company’s Fremont factory in California.
Dressed in black camouflage and demonstrating minor but valuable changes in comparison to the existing cars, the vehicle has triggered a discussion among enthusiasts and analysts regarding its identity. Is this a low-cost, compact variant of the Model Y, or is Tesla about to introduce us to a new compact model?
An Alternate Roofing Construction
The roof is one of the most obvious changes to the design language of Tesla. This prototype will not have signature glass roofs featured in Model 3 and Model Y, as it looks to have a presumably solid, black rooftop. Experts guess that it might be a glossy black covering of a classic metal roof, which would indicate the thoughtful rejection of glass.
This may mean that Tesla is planning to cut costs. Glass roofs may be modern and sleek, but they are costly to manufacture and put in place. A regular painted roof would not only reduce the costs of production, but it would also offer much better insulation in warm climates, which Tesla has been accused of failing to do in places such as Australia and the southern U.S.
Analysis of the Tesla prototype spotted testing at the Fremont factory:
➡️ Roof
If you look closely, it doesn’t appear to be transparent. It looks like Tesla applied a glossy black wrap, which may suggest there’s no glass roof—just a regular painted one.➡️ Door Handles
No door… https://t.co/SvV6hySyoW pic.twitter.com/56hNzASibm— Tesla Newswire (@TeslaNewswire) June 23, 2025
No Handles to the Doors?
And, maybe, the most bizarre one is the total lack of visible door handles. Tesla has been using flush door handles for years, but in this prototype, it goes further; the doors may not even have handles. This could mean several things.
One possibility is that Tesla is adopting the Cybertruck’s approach, where door-pillar buttons are touch-sensitive and can be used to enter. Alternatively, the company could be experimenting with the concept of the automated entry system, as traditional handles could be removed only to be replaced with one of the proximity welcoming sensors or smartphone unlocking through apps.
Less Impact on the Ground
Based on the limited pictures given, the prototype seems shorter in comparison to the Model Y. But there is no other vehicle to use as a reference for the scale of the shots, and therefore, we cannot be sure. However, this impression has given rise to two big theories concerning what this new EV could be.
Hypothesis
Hypothesis 1: A Cheaper Model Y variation
Tesla has come out publicly to admit that it needs to manufacture more cars that are cheaper. The downsized version or simplified version of the Model Y may introduce new markets since the model is among the popular models of the company, establishing markets worldwide. Elimination of luxurious appearance, such as a glass roof, streamlining the body, and inventing mechanisms of doors, among others, may help reduce the costs.
This plan would be in line with the long-term objective of Tesla in mass market electrification. A crossover below the entry price of the Model Y platform would have unmatched power in the compact SUV category and especially as competition in the global EV market intensifies.
Hypothesis 2: The Brand New Tesla Compact
The second and more thrilling theory is that Tesla is experimenting on an entirely new model. There have been rumors of a smaller car, commonly referred to by fans as the Model 2, going around for a few years. Elon Musk earlier reported a future small EV that will be priced at approximately $25,000.
In case this happens to be that car, then it would be a significant step for Tesla products. An actual pocket-friendly Tesla would expand the popularity of the brand and could easily conquer some of the new markets, such as India and Southeast Asia, and Latin America.
