Tesla is internally testing Apple CarPlay integration after years of CEO Elon Musk dismissing the feature as unnecessary, Bloomberg reported today. The stunning reversal comes as the electric vehicle maker faces collapsing sales across global markets and increased pressure following the September 30, 2025 expiration of federal EV tax credits.

The move represents a dramatic about-face for Tesla and Musk, who as recently as 2024 insisted “We’re not adding CarPlay. Our UI is the best in the industry.” Now, with sales imploding from California to China, Tesla appears willing to offer the most-requested feature it spent a decade refusing to implement.

Tesla’s Limited CarPlay Implementation

Unlike most vehicles where CarPlay takes over the entire infotainment display, Tesla plans to display CarPlay within a window inside its existing interface, according to sources familiar with the matter who spoke to Bloomberg. The implementation will use standard CarPlay rather than the more advanced CarPlay Ultra that provides deeper vehicle integration.

Tesla’s version won’t tap into proprietary features like Full Self-Driving mode. Drivers wanting autonomous capabilities will still need to use Tesla’s native navigation system. The company plans to support wireless CarPlay connections, allowing iPhone users to connect without cables.

CarPlay includes Apple’s Messages, Music, and Maps apps, plus Siri voice assistant and third-party applications like Google Maps and Spotify. Apple redesigned standard CarPlay as part of iOS 26, adding widgets for weather and appointments.

Years Of Resistance Crumble Under Sales Pressure

Musk’s hostility toward CarPlay dates back years. In 2017, he called CarPlay “a crutch” and insisted “Tesla’s interface is designed from the ground up for the car.” During Tesla’s Q3 2020 earnings call, he doubled down, stating the company had “no plans” to support either CarPlay or Android Auto, adding “We believe our in-house software is superior and more integrated with the vehicle.”

That confidence looks misplaced today. A 2024 McKinsey study found approximately one-third of car buyers consider the absence of CarPlay or Android Auto a dealbreaker. Tesla has discussed rolling out CarPlay in the coming months, though sources cautioned the company hasn’t finalized plans and could delay or cancel the project entirely.

Tesla declined to comment on the Bloomberg report. Apple also declined to comment.

Timing Reveals Desperation As Markets Collapse

The CarPlay testing comes during Tesla’s worst sales period in years. The company faces double-digit declines across virtually every major market, from established territories like Europe to critical growth markets like China.

In the United States, Tesla’s first-quarter 2025 sales dropped 9% even as the overall EV market grew 11%, according to Cox Automotive. The company’s market share fell from 51% a year earlier to 44%. California, Tesla’s home state, saw sales plummet 21% in Q1 2025 compared to the same period in 2024, while competitors like BMW (+26%), Mercedes-Benz (+8%), and Ford (+24%) posted strong gains.

European markets tell an even grimmer story. Tesla registrations in the UK fell 36% in May 2025, Sweden dropped 86% in July, and Denmark declined 52%. Germany, Europe’s largest automotive market, saw Tesla sales fall 54% in October. The company’s year-to-date European sales are down more than 30%.

China presents perhaps the greatest challenge. Tesla’s October 2024 sales collapsed to just 26,006 vehicles—a three-year low representing only 3.2% market share. Chinese smartphone-turned-automaker Xiaomi posted 48,654 units in October despite facing multiple fatal crashes and recalling 38% of all vehicles sold.

Apple’s EV Exit Changes Competitive Landscape

The relationship between Tesla and Apple has evolved significantly since Apple canceled its Project Titan electric vehicle initiative in 2024. When Apple was developing its own car, integrating CarPlay into Tesla vehicles would have effectively promoted a competitor’s ecosystem.

With Apple no longer pursuing automotive manufacturing, that competitive tension has dissolved. Additionally, Musk now relies on Apple as a critical partner for distributing his X social networking app and Grok AI service, creating business incentives for improved relations.

Musk’s previous criticism of Apple centered largely on App Store policies and his anger when Apple recruited Tesla engineers for Project Titan. Those tensions appear less relevant now that the companies no longer compete directly in the automotive space.

Industry Moving Opposite Directions On CarPlay

Tesla’s CarPlay reversal comes as competitor General Motors doubles down on removing the feature from all future vehicles. GM began phasing out CarPlay and Android Auto from its electric vehicles in 2023, starting with the 2024 Chevrolet Blazer EV.

GM CEO Mary Barra recently confirmed the elimination will eventually extend across the entire GM portfolio, including gas-powered vehicles. The company claims its Android Automotive-based system provides “a much more immersive environment” than CarPlay.

However, GM’s strategy appears motivated primarily by subscription revenue opportunities. Without CarPlay, customers must purchase data subscriptions to keep using infotainment apps after trial periods expire. The move has generated fierce customer backlash, with many buyers threatening to avoid GM vehicles entirely.

Other automakers including Ford, Hyundai, and Volkswagen continue offering CarPlay across their lineups, recognizing its importance to buyers. Tesla and Rivian remain the only major EV manufacturers that have never offered smartphone projection features.

EVXL’s Take

This CarPlay reversal is textbook Tesla crisis management disguised as customer service. EVXL has been documenting Tesla’s global sales collapse throughout 2025—from California’s 21% drop to Europe’s double-digit implosions to China’s three-year lows. The company that insisted its software was too superior for CarPlay is now scrambling to add it precisely when every sales lever matters.

The timing couldn’t be more transparent. As we covered extensively, the federal $7,500 EV tax credit expired September 30, 2025, eliminating Tesla’s artificial price advantage. Without subsidies masking the real cost, buyers are discovering what we’ve been saying for months: Chinese competitors offer better value, traditional luxury brands deliver actual luxury, and Tesla’s aging Model 3/Model Y lineup doesn’t justify premium pricing.

When Musk called CarPlay “a crutch” in 2017, Tesla was the only serious EV option for most buyers. That monopoly is gone. BYD overtook Tesla across Europe in multiple markets throughout 2025. Chinese manufacturers reverse-engineered the Model Y, improved quality and luxury, and undercut Tesla’s pricing. Legacy automakers finally delivered competitive EVs with features like—wait for it—CarPlay support.

The contrast with GM’s opposite strategy is illuminating. GM removes CarPlay chasing subscription revenue fantasies while alienating customers. Tesla adds CarPlay because it’s hemorrhaging sales and can’t afford to lose another buyer over a missing feature. One company prioritizes executive revenue projections over customer preferences. The other finally admits customer preferences matter when survival is at stake.

But here’s the deeper issue this exposes: Tesla’s entire value proposition rested on software superiority. That was the justification for premium pricing, for avoiding industry-standard features, for Musk’s dismissive attitude toward customer requests. If Tesla’s vaunted software advantage can’t keep buyers from fleeing to competitors with CarPlay, what exactly are customers paying extra for? An aging design? A CEO whose political controversies alienate the progressive, environmentally conscious buyers who were Tesla’s natural base? The privilege of not having a feature that’s standard on a $25,000 Kia?

We’ve been tracking this trajectory throughout 2025. Tesla’s Q1 sales dropped while the overall EV market grew. The UK showed Tesla down 36% as EVs captured record market share. China’s eight consecutive months of decline demonstrated competitors winning on both price and features. Each report validated the same conclusion: without subsidies and monopolistic advantages, Tesla’s product doesn’t justify its premium.

The CarPlay addition won’t solve Tesla’s fundamental problems—stale designs, controversial leadership, intensifying competition, and the post-tax credit reality where every EV competes on actual merit rather than artificial incentives. But it does confirm what EVXL has been documenting: Tesla’s era of dictating terms to customers is over. Welcome to actual competition, where customer preferences matter and “our software is the best” doesn’t work when buyers can compare alternatives.

What do you think? Will CarPlay help Tesla reverse its sales collapse, or is this too little, too late? Share your thoughts in the comments below.