Tesla has a large number of things they could have been doing in the past few years to not end up where they are now with an aging product line. Something doesn't add up.
Plus once VW does that, they will release comparable models from Audi, Seat, Skoda (all of those are VW brands).
Renault already has a few very nice models (4 and 5), Peugeot, Fiat, Citroen, Open have already released some.
The European EV ship has sailed for Tesla.