How Tesla’s solar business works in 2026 after killing Solar Roof

<div class="feat-image"><img src="https://electrek.co/wp-content/uploads/sites/3/2026/05/Tesla-solar-panels.jpeg?quality=82&#038;strip=all&#038;w=1600" /></div><p class="wp-block-paragraph">Tesla’s residential solar business has been shrinking for most of a decade, ever since the company absorbed SolarCity in 2016. Now, with electricity rates climbing across the US, Tesla is trying to revive it around a new in-house solar panel and Powerwall 3 — while quietly retiring the product it was once best known for.</p> <p class="wp-block-paragraph">Earlier this month, Tesla <a href="https://electrek.co/2026/08/20/tesla-discontinues-solar-roof-panels-only/">discontinued its Solar Roof</a>, the glass solar tile it launched in 2016. It was always a tiny piece of the business, and its end says more about where Tesla solar is going than where it’s been.</p>