During the business’s fourth-quarter results call, Tesla CEO Elon Musk stated that the company will not produce any new models this year and is not currently building a $25,000 car.
He stated in his introductory remarks that the ongoing chip shortage would make it hard to issue new model vehicles without reducing total vehicle deliveries.
“If we had introduced a new car last year, we would have — total vehicle output would have remained the same due to limits — mainly the chips’ constraints.” “As a result, we will not be offering additional vehicle levels this year,” he stated. It just wouldn’t make sense.”
Without a Cybertruck electric pickup truck to sell this year, Tesla risks losing pace to Ford, which plans to release the fully electric F-150 Lighting pickup truck in the first part of 2019. Ford has recently announced intentions to treble production of its Mustang Mach-E, a Tesla Model 3 and Y competitor, with 200,000 cars expected per year by 2023.
The GMC Hummer EV, another possible contender, will be available to customers in December 2021. The fully electric version of the truck from General Motors is the first to use the company’s Ultium platform, motors, and batteries, which the company developed in-house and hopes to use as the foundation for future electric vehicles.
Later, in answer to a query regarding a lower-cost Tesla for regular people, Musk stated that such a project is not currently in the works.
“We’re not working on the $25,000 automobile right now,” Musk remarked. “We’ll do it at some point.” We already have a lot on our plates. To be honest, we have far too much on our plates.”
Musk has stated that a Tesla with a price tag of $25,000 is achievable. He predicted that Tesla would take three years to develop in 2018, but he didn’t say when that would happen. In 2020, at Tesla’s annual shareholder meeting, Musk said that the business would release such a vehicle within the next three years.
In 2020, he asserted, “We’re optimistic we can produce a really appealing $25,000 electric vehicle that is also completely autonomous in about three years.” Musk, on the other hand, is known for being too optimistic in his projections.
“Is it really realistic to think that you can sell more than 3 million vehicles with two very high volume cars and Cybertruck in 2024 if there is no $25,000 vehicle being worked on?” Bernstein Senior Analyst Toni M. Sacconaghi Jr. followed up, asking, “If there is no $25,000 vehicle being worked on, is it really realistic to think that you can sell more than 3 million vehicles with two very high volume cars and Cybertruck in 2024?”
“I mean, it’s clear from the questions that the gravity of Full Self Driving is not properly comprehended,” Musk sneered.