I feel somewhat responsible for this thread because Kevin asked about the Model S warranty and I responded with the link to the PDF and said that it doesn't.
I think it's pretty clear from the warranty that Tesla is not promising to warranty any battery for range loss. That doesn't mean they can't do so out of goodwill (and from what I've read here it's clear they have done massive amounts of goodwill work in other areas that doesn't qualify under their warranty). So I have to believe in some respects that if there is a vehicle with a failure in the battery that is causing abnormal battery loss that Tesla would warranty it. But as things stands they don't have any obligation to do so.
I do think that many potential buyers will not realize this until they have bought the car. I have a Model S on order. I wanted to read the warranty before I ordered. It was not particularly easy to find the warranty on their website (this was before the warranty was improved for the drive train). I will say that once I'd found it that the location seemed fairly reasonable, but wasn't something that the average buyer was likely to stumble into. On the North America site, the warranty information shows up as links off the specs page for the Model S. The United Kingdom site for instance does not. Once you have a reservation it's fairly easy to (documents section under My Tesla) find but I wonder how many people actually read this at this point.
Currently, on the North American site the main content area is about the "Infinite Mile Warranty" which links you to the blog announcing the increase of the drive train warranty to match the battery. At no point in this blog does it ever actually link to the text of the warranty. Nor does Tesla explain that degradation is not covered. Since this announcement, Tesla has been trumpeting their "Infinite Mile Warranty" on the battery and drive train. Until the drive train articles from Motor Trend and Consumer Reports the biggest fear that every Model S owner had was the battery would lose range or fail. Tesla covers the failure, but does nothing for the range.
Since reading the warranty and realizing this state I have seen multiple times where someone comes along and uses the warranty to say that you're protected from battery degradation with the Model S. I haven't bothered to keep track but this situation from reddit just yesterday comes to mind (and this one is someone that is flagged as a Investor, so I'd think they'd want to know about the warranties the company they are investing in is giving):
stevejust comments on How long will the batteries last?
I'll admit that warranties are usually very hard to find for traditional ICE vehicles on their websites. They also say things like having a bumper to bumper warranty but disclaim warranties on many things. Most of them are considerably less expensive to replace (spark plugs, tires, brakes, etc). However, the consumer public is largely aware of these limitations. Tesla is trying to be a different type of car company. A company that is better than the OEMs in the current marketplace. They can do better on this front.
So what does better mean? Better means telling people clearly what is and isn't covered in an obvious place. More than likely this means that under the Model S popup there should be a warranty page. That doesn't require finding a link on a page that's fully of technical specs and that loads up a PDF, with the warranty shoved all the way at the bottom. Include some explanation of this as part of the ordering process. Yes this might hurt sales initially. But it also means their consumers are fully aware of the risk. Nobody can say "I bought a Tesla and had no idea range degradation wasn't covered." Tesla has actually done a remarkable job of writing the warranty that is easy to read and brief. So they might be able to simply post the warranty and maybe have some bolded bullet points at the top about what is not covered.
Should Tesla cover range degradation? I don't know. I think it might be hard to define what they would cover and not cover due to the variety of ways the battery can be used. Being more up front about the warranty might force them to do something if it hurt sales. But I think in the end the company would be stronger for it. I would no longer have to tell people they should realize that the range is not warrantied.