What's the difference?
In a world where car upgrades often feel like saying, “Can I upsize that?”, it’s refreshing to hop into the updated Audi S3 Sportback.
The flagship RS 3 may still be the holy grail of hot hatch dreams, but with boosted engine outputs and upgraded tech, the S3 is stepping up.
Is the S3 Sportback the smarter pick over pricier rivals? It delivers serious performance and polish without stretching into RS 3 territory. With fierce competition in the segment, let’s see what this contender brings to the table.
It is highly unusual to drive around in a bed, but that’s what it felt like we were being asked to do with the new and terribly exciting Tesla Model 3 Performance.
Tesla doesn’t do media launches, nor traditional marketing, so everything about this event was predictably peculiar, but when we were told this new car was causing so much excitement that we should pull a sheet over it every time we stopped, to avoid people photographing it, or touching it (“if someone tries, just politely ask them to stop” as we were advised) we hit peak weirdness.
Eventually, they did agree to pull the sheet off one and let us have a look at the most exciting car Tesla has ever made that’s not a Cybertruck.
The Performance is the Model 3 Tesla engineers and designers always wanted to make. Clearly, it was going to be called the 'Ludicrous', because some staff kept stuffing up and calling it that. It’s a shame the name wasn’t used, but at least it still gets an 'Insane' mode.
They really wanted to go all out with the original Performance version, but “a guy called Elon” didn’t want to add all the complexity that required at the time - he was focused on quality issues and ramping up production - but this go around he has let them have their heads, and encouraged them to go hog wild.
That means an entirely new power unit at the rear, staggered 20-inch wheels for sportier turn-in, aerodynamic changes for more downforce and less lift, new seats and the fitting of active dampers to a Model 3 for the first time, to help provide proper, track-ready handling.
We set out into the embrace of the adoring Los Angeles public (truly, no city on Earth boasts so many Tesla owners, they are everywhere) to find out if all the fuss is worth it.
The updated Audi S3 Sportback is a fun-sized dynamo with impressive outputs and athletic road manners. It’s missing a few premium features, but its compact size paired with a gutsy engine makes it a compelling option for drivers who don’t want to compromise on performance (just space).
The Model 3 Performance is one of those cars that’s undeniably impressive in almost every way, and hugely fast in absolutely every way, and yet can somehow still leave you feeling slightly cold. Or at least damp with fear sweat.
It’s not my kind of sports car, but if you love speed, and EVs, and Tesla, you’re gong to think it’s the Queen Bee’s knees.
Publishers: Please place the following in BOLD after the verdict:
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The S3 Sportback may be a small car, but its S design features, like the stylised blackout grille, matrix LED headlights, and 19-inch alloys with red brake calipers, give it a distinctly athletic and fun-loving vibe. It’s compact, but definitely not diminutive and carries serious road presence. It’s hot hatch meets fun-size.
Inside, the S3 looks fabulous. Integrated ambient lighting, a sharp dashboard treatment and a driver-focused cockpit all lend it a premium feel.
The front seats look properly sporty with their integrated headrests, and the quilted Nappa leather upholstery feels great, especially with the eye-catching red contrast stitching.
As for technology, it’s as high-end as you’d expect with a 10.1-inch touchscreen multimedia display and 12.3-inch digital instrument cluster taking centre stage.
The only drawback? No sunroof. Combined with the black headliner and compact cabin, it can feel a little gloomy at times. Still, it’s a cabin you’ll enjoy spending time in.
Tesla’s design folks waxed long and loud about how they’d finally been able to visually lift and separate this Performance Model 3 from the basic one and they point to the new front and rear fascias, more aggressive styling, aerodynamic flicks, integrated cooling ducts, rear diffuser and carbon-fibre spoiler, which are there not only to look good, but to to “optimise lift balance and high-speed stability”.
Now, I’ll grant you it’s better than a normal Model 3, and that we were regularly approached by excited Tesla fans asking “is this the NEW PERFORMANCE OH MY GOD I WANT ONE NOW?!?"
But honestly, I still think it’s a bit subtle, and that includes the strange little 'Performance' sticker/badge on the rear, which does look a lot like the Ludicrous symbol that Elon loves, from the awful movie Spaceballs, but Tesla staff insist it’s not, nor is it Plaid.
Clearly, the design tweaks are there for a reason, and train spotters will note the differences immediately, but it’s still just not the most exciting car to look at, nor is it anywhere near as exciting to behold as it is to drive.
Like most hatches, the front row enjoys the most space. While it’s cosy, it never feels cramped. The seats are firm yet comfortable, thanks to their adjustability and expandable under-thigh supports. Access is fairly easy with wide door apertures, though the low seating position might earn a few grunts, especially from taller folks.
Storage up front is well sorted, with a glove box, a small centre console, a dedicated phone cradle and a couple of cup and bottle holders. It’s about what you'd expect for a car this size, but it's enough to keep things tidy.
There are plenty of charging options, with two USB-C ports in each row and a wireless charging pad up front.
The multimedia system is intuitive and easy to use. The touchscreen is responsive, and wireless Apple CarPlay connected without fuss and stayed connected all week. Wireless Android Auto is available, too.
Built-in sat nav is clear, and I love the way directions pull through to the digital instrument panel. The Sonos sound system? Pretty darn good. My son and I had more than one mini-concert on the school run.
As for the rear row, it definitely reminds you this is a small car. At 168cm, I found it on the cramped side of cosy and my husband just laughed when I asked him to try it! The wheel arch also cuts into the door aperture, making access a little awkward. Best to think of it as occasional adult seating. But given the size, that’s no surprise.
Amenities in the back are decent with a couple of map pockets, cup and bottle holders, as well as a fold-down armrest, those USB ports and rear temperature control (but curiously, no fan control). The seats are comfortable enough, but space is limited. Realistically, it’s best suited for two passengers, not three.
Boot space is quite practical. The wide opening and manageable load lip height make it easy to slide items in and out. It offers 325L of space, less than its key rivals, but expands to 1145L with the rear seats folded flat. The handy 40/20/40 split also adds versatility. Under the boot floor, you’ll find a tyre repair kit.
Inside, the big news is the new seats. Tesla was happy to admit the pews fitted to the previous Performance just weren’t up to the job of holding humans in place when applying so much G force.
The new 'Sport Seats' feature enhanced side cushioning and side bolsters for better lateral support during dynamic driving. And they can also be heated and ventilated.
Elsewhere, there’s some carbon-fibre trim on top of the dash, with a Tesla-first weave pattern to further help the Performance stand out within the Model 3 line-up.
Other than that, it’s pretty standard Tesla sedan, which will be familiar if you’ve ever caught an Uber in Los Angeles. Spartan, minimalist, slightly cheap-feeling.
As for the practicality of the tech, I'm still against the giant 15-inch tablet-style touchscreen, for everything, the replacement of an indicator stalk with buttons and not having a speedo right in front of your eyes, where you need it.
The A3 Sportback comes in three trim levels, with the S3 technically sitting in the middle, just below the performance-focused RS 3. It's priced from $78,800, before on-road costs, and it shares the same platform and underpinnings as the Volkswagen Golf R. Surprisingly, our test vehicle isn’t significantly more expensive than its Golf R rival which comes in at $70,990 MSRP.
That makes it a more affordable option when compared to premium rivals like the BMW M135 xDrive which starts at $83,600 MSRP and the Mercedes-AMG A35 which comes in at $89,700 MSRP.
The update sees engine outputs improve with it gaining 17kW and 20Nm of torque, resulting in a total of 245kW and 420Nm.
Feature highlights include 19-inch alloy wheels, red brake calipers, electrically-adjustable and heated front seats (with expandable under-thigh support), rear privacy glass, quilted Nappa leather upholstery and 'S Sport' suspension with damper control which lowers the ride height lowered by 15mm.
The updated technology is well-rounded and now comes with wireless Apple CarPlay and Android Auto. There's also three-zone climate control, a 10.1-inch touchscreen multimedia display, a 12.3-inch digital instrument cluster, digital radio, four USB-C ports, a wireless charging pad, built-in satellite navigation and a 15-speaker Sonos 3D sound system.
Still, despite its premium hot hatch status, this grade skips a few luxury touches. Ventilated front seats, a heated steering wheel, heated rear outboard seats and a sunroof are all missing. The BMW M135 xDrive, notably, includes all of these as standard.
Even the powered tailgate with kick-functionality is an optional extra here, adding $660 to the price. At this level that should be standard.
Tesla says the price for the Model 3 Performance will be "starting at" $80,900, plus on-road costs. There's no word on whether there will be different spec levels and the company does not like answering questions or providing information.
What we also know about Tesla is that the price quoted could move down, or up, at any time, quite randomly, so if phrases like "residual value" or "depreciation" are of interest to you, it can be a challenging brand.
That side swipe aside, this sounds like astonishingly good value for this much performance from your Model 3 Performance. A Hyundai Ioniq 5 N would give it run for fun and involvement, if not brand fans, but it's $111,000, while a Porsche Taycan kicks off at $164,000 (it is a lot more car for the money, but it might struggle to keep up with this Tesla, at least in base model form).
In terms of equipment, it's pretty much standard Model 3 fare, other than the fast bits and a spot of carbon here and there.
You get 'Autopilot' included, of course, but you can't use all of its 'Full Self Driving functionality' on Australian roads. Not yet, anyway.
The S3 Sportback wears the quattro badge proudly, meaning it’s all-wheel drive and it pairs a tweaked seven-speed automatic transmission with a 2.0-litre turbocharged, four-cylinder petrol engine.
This update brings a bump in performance over the previous model, including the addition of a rear torque splitter. Power is now up to a gutsy 245kW and 420Nm of torque, launching the S3 from 0 - 100km/h in just 4.7 seconds. That’s proper hot hatch territory.
If you’ve ever driven the previous Model 3 Performance you’ll know that it could well have come with Space X badging (arguably Elon’s more impressive engineering achievement), because it really did thrust rather than accelerate.
But this time the engineers wanted to go all out. Customers appreciated the incremental performance they got from the last Model 3 Performance version, but they told Tesla they wanted more.
With many enthusiasts among Tesla's engineering and development team, they looked to unlock the performance potential of the platform.
So, that meant a whole lot more madness and torque thump. It comes from a new Performance 4DU, an all-new drive unit - featuring an entirely new rear motor that uses bar-winding technology - unlocking 22 per cent more continuous power, 32 per cent more peak power and 16 per cent higher peak torque delivery.
Overall figures are 380kW and 740Nm, but looking at them written down, they seem big, yet not as big as they feel in this car, as it’s shoving you from a standing start to 100km/h in three seconds flat.
It feels faster. Sick-making fast, even.
The S3 Sportback has an official combined fuel consumption figure of 7.9L/100km and a 55-litre fuel tank, giving it a theoretical driving range of up to 696km.
Its key rivals hover around similar numbers, so it's right on the mark for the segment. After a mix of long-distance drives and my usual urban errands, my real-world figure came in at 8.0L/100km - very close to the claim, which I’m pretty happy with.
Despite being heavier and gruntier, Tesla claims the new Performance Model 3 manages to be more efficient than the one it replaces, albeit delivering just a two per cent reduction in energy consumption. Claimed energy usage is 16.7 kWh/100km.
Tesla claims a total range of 528km on the WLTP, which is obviously going to drop if you drive it the way its makers clearly intended.
Using a Tesla Supercharger, you can add 228km in 15 minutes and... that's all Tesla will tell us. There are no official figures available for how long a full charge takes, on either a Tesla charge or a home wallbox of your own.
The S3 Sportback sounds as mean as it looks, and it delivers on that promise with effortless grunt. Acceleration is immediate, with plenty of power on tap when you need it. It’s just fun all around.
The lowered sports suspension and wide tyres do bring some extra noise into the cabin, even at lower speeds. You might find yourself repeating things to rear passengers now and then, but it never feels overwhelming.
Steering and suspension are on the firmer side, so yes, you’ll feel the bumps but the payoff is sharp, responsive handling. Quick lane changes and winding coastal roads are where this car shines.
Visibility is about what you’d expect from a low-slung hot hatch. The pillars don’t obstruct the view, but sitting beside a towering SUV at the lights can make you feel a bit... compact.
Cornering is a strong suit, thanks to the car’s wide stance and AWD system. It feels confidently planted in most conditions. That said, I noticed the occasional wobble through the rear frame on rough sections in heavy rain.
Its compact size makes parking a breeze, especially with the help of multiple sensors. The reversing camera is crisp, but at this price point, the lack of a 360-degree camera view feels like a missed opportunity.
Very occasionally, one drives a car that makes the human body feel inadequate to the task. I would have worried that I’m getting old, that my body is simply too flubby and my brain too broken, to cope with the kind of wild acceleration and brutal g-forces the Model 3 Performance delivers.
But, fortunately, I had a videographer in the passenger seat, a much younger man who loves fast cars, and he kept threatening to vomit when I drove it hard, too.
I’ve driven quite a few cars that you can use make your passenger sick, or hurt their necks - one obvious competitor in the shape of a Porsche Taycan Turbo S comes to mind - but it’s very rare that a vehicle is so intense it can make you, the driver, feel bilious.
Yes, you do bring this on yourself, by choosing to push this Performance anywhere near its limits through particularly sharp and intestine-shaped roads like the canyons outside Malibu Tesla chose to launch it on.
On longer, sweeping bends it was far more of a joy, and less physically punishing, but in the tight stuff it often felt like corners were being thrown at you, as if you were driving behind the Millennium Falcon and being pulled along in its wake.
The brakes, special new sporting ones with track-ready pads, were up to the task, even though it often felt like they couldn’t possibly pull you up from the speeds you were doing.
And yes, it was entirely my fault that the very first time I even gently prodded the throttle and it launched me ahead past a California Highway Patrol officer, that was my fault too. Three minutes into the drive, holding an American fine, I had already deduced that perhaps this car was too fast for my own good.
But lots of EVs are fast in a straight line, you’re really comparing the length and depth of your “oooophhh” sounds at this point, but where this one succeeds is by being a lot better in the handling and ride and cornering departments than most.
Tesla’s stated goal with this car was to move beyond straight-line speed, to become more than a one-trick pony, and to do that it’s given the Performance a stiffer structure overall and updated the springs and stabiliser bars.
Aerodynamic changes have reduced drag by five per cent, delivered a 36 per cent lift reduction, and a 55 per cent improvement in front-to-rear lift balance.
Tesla’s own, in-house version of adaptive dampers, not an option but included in every Performance, work with the car’s 'Vehicle Dynamics Controller' through its various modes - 'Insane' and 'Track' being the most… ludicrous - to immediately respond to driver inputs.
The Performance rides well on LA’s awful concrete freeways but feels absolutely nailed down when you attack even a bumpy driver’s road.
This version also has a lot more power going to the rear wheels, to help it feel more sports-car playful and to fire out of bends the way an enthusiast’s car should. And make no mistake, I met them, the people behind this car are serious driving enthusiasts (although they demur, slightly, on whether their boss is one).
Track mode will allow some serious adjustability, drifting ability and fun, so the kind of people who want to hurl around a racing circuit in silence will love it.
Perhaps the only let downs are that it still feels a bit austere inside, just not very special, and that the steering is just a bit digital, soft and uninvolving, compared to the cars they clearly benchmarked against - BMWs and Porsches.
The S3 isn’t covered by its 2WD sibling's maximum five-star ANCAP safety rating but it is well-equipped with safety features all the same.
Safety equipment includes blind-spot monitoring, side exit assist, rear cross-traffic alert, lane departure alert, lane keeping aid, park assist, reversing camera, front/rear parking sensors, forward collision warning, autonomous emergency braking and adaptive cruise control with stop and go function.
It also has six airbags but misses out on a front centre airbag. None of the driver assist systems are intrusive to daily driving, which I always like.
The rear row has ISOFIX child seat mounts and three top-tether anchor points but only two child seats will fit.
Tesla provided no information about safety for the Performance Model but it is assumed it will be unchanged from a standard Model 3.
Aside from Autopilot that means auto emergency braking, lane keep aids, and instead of blind-spot monitoring, it gets the surround radar view and blind-spot cameras when you indicate.
The latest Model 3 has an additional centre airbag for a total of seven, as well as additional bolstering where the doors meet the body in response to requirements in its American home market.
It should be able to carry its maximum five-star ANCAP safety rating, which the original version achieved in 2019.
Audi backs the S3 Sportback with a five-year/unlimited kilometre warranty, which is on par with its European rivals. A five-year pre-paid servicing plan is available for $2890 which is cheaper than pay-as-you-go and reasonable for the class.
For those looking to go the extra mile, the 'Audi Advantage' package lets you extend the warranty and capped-price servicing by an additional two years, which represents solid value overall.
Servicing intervals are every 12 months or 15,000km, whichever comes first.
Again, we've been asked to assume the Performance will come with Tesla's standard four-year/80,000km warranty and roadside assistance. And that the battery and drive unit will fall under an eight-year/192,000km warranty, whichever comes first.
Tesla says it monitors its cars to ascertain when they need servicing, and so it is based on a case-by-case situation. Every 12 months/20,000km is recommended for a general check-up, and includes tyre rotation.
Wiper blades, brake fluid and cabin air filters need replacement every two years while the air-con service is every six years.
Of course, there are no oil changes, filters or spark plugs to replace, and even brake pad wear is less than on an ICE vehicle because of the regenerative braking system. Although it will likely be higher in the Performance variant.