Tesla says it is going to construct extra reasonably priced electrical automobiles — maybe as quickly as 2025 — refuting current stories that Tesla CEO Elon Musk had canceled plans for a less expensive “Model 2” car in favor of getting a robotaxi out the door. However Musk didn’t make clear whether or not the lower-cost EV can be a model new mannequin for Tesla or simplified variations of its present automobiles.
“In terms of a new product roadmap, there’s been a lot of talk,” Musk stated through the firm’s first quarter earnings name, addressing the issues buyers have expressed over the previous month in regards to the delayed plans for a low-cost EV. “We’ve updated our future vehicle lineup to accelerate the launch of new models.” Musk stated we’d see the automobiles in early 2025, if not later this 12 months.
“In terms of a new product roadmap, there’s been a lot of talk”
The automobiles will mix “aspects” of a next-generation platform with the present platform that undergirds the corporate’s top-selling Mannequin 3 and Mannequin Y. “This is not contingent on a new factory or massive new production lines, it’ll be made on our current production lines much more efficiently,” Musk stated, predicting it may speed up the corporate’s manufacturing to over 3 million automobiles a 12 months.
Tesla has reported $21 million in income for the primary quarter of 2024, a 9 % drop 12 months over 12 months. Web earnings dropped 55 % to $1.1 billion. The corporate offered fewer fashions this quarter as demand for electrical automobiles cooled. Analysts say a extra reasonably priced mannequin is essential to Tesla’s future progress.
Musk began the decision by addressing issues that the market is emphasizing the event of hybrid automobiles over absolutely electrical ones, which he believes is “not the right strategy.”
“We’ll talk about this more on August 8th.”
“We’ll talk about this more on August 8th,” Musk stated, as he reemphasized that 7 million automobiles by the top of this 12 months can be a part of a robotaxi fleet. August eighth is the date Tesla plans to unveil a brand new robotaxi car.
Though Tesla is once more promising to launch cheaper EVs, it hasn’t confirmed whether or not solely new low cost fashions will come. It’s attainable cheaper fashions may simply be stripped down Mannequin 3 and Mannequin Y automobiles, which alone drive the vast majority of the corporate’s revenues.
Proper now, you should purchase a Mannequin 3 for $38,990, which is sort of the most affordable the car has ever been — however nonetheless not on the elusive $35,000 value level that was promised nearly a decade in the past. The corporate has promised {that a} simplified “unboxed” manufacturing course of will carry down prices even additional.
When requested straight by an investor about cheaper EVs like Mannequin 2 and the place Musk’s “heart is at,” Musk largely shut down on the topic. In distinction, he was completely happy to go on at size about autonomy, self-driving, and even aliens.
“If you have a great product at a great price, sales will be excellent,” Musk stated at one level, responding to a query about worth. He stated Tesla will preserve enhancing affordability to make the “value for money” higher.