Tesla: Sales, Marketing, and Financial News
02-06-2023, 11:13 AM
#3481
Getting ready for the killer punch
8'
Cars
Tesla Model 3 Lease Price Slashed To Match The Toyota Corolla!
ByPaul FossePublished
3 mins agoIn this article, I explain that Tesla has dropped its lease pricing so much that it costs the same to lease a Tesla Model 3 as a Toyota Corolla!
Image from fueleconomy.gov
I wanted to include this to show that the Model 3 is clearly a significantly larger car as far as passenger and luggage volume than the Toyota Corolla and slightly larger than the BMW 3 Series sedan.
In features and prestige, everyone would agree that Tesla and BMW are considered entry level premium sedans, while Toyota is considered a great mainstream brand. The Toyota Corolla was the best selling car in the world last year. In the US, GoodCarBadCar reports that the Tesla Model 3 had 57,600 sales, the Toyota Corolla had 50,660 sales, and the BMW 3 Series had 10,734 sales in Q4 2022. For many years, BMW was the sales leader in the entry level premium sedan market, so this is a dramatic difference in consumer demand and sales in this category. And it is shocking that the Tesla Model 3 at close to twice the price of the Toyota Corolla last year outsold it.
For the first comparison, I went to all 3 manufacturer websites and picked a 60 month loan at the interest rate they defaulted to. From Tesla, you will actually be able to buy for this price. For the BMW and the Toyota, you may get a higher (recently) or lower (historically) price depending on the market conditions. The Tesla monthly payment is the highest at $858, but the main reason that is higher than the BMW at $818 is you don’t get any possible tax credit for a year, so you need to borrow the whole amount (assuming no down payment or trade-in). BMW also looks like it is offering a lower rate of 4.59% vs. Toyota’s 4.99% and Tesla’s 5.44%.
The Toyota Corolla’s payment of $427 is almost exactly half of the Tesla price. At payments similar to this, the Tesla Model 3 slightly outsold the Corolla as buyers perceived the car’s features and fuel and maintenance savings justified the much higher price. The Tesla outsold the BMW by over 5 times since they perceived the car as both more affordable (even though the payment is similar, we have shown that the total cost of ownership can easily be about 65% lower). Perhaps buyers also considered the Model 3 more enjoyable to drive (this point is subjective and debatable, though).
Comparison of Leasing the BMW 3 Series, Toyota Corolla, and Tesla Model 3
I need to mention that current Tesla leases have a unique disadvantage. Tesla doesn’t give you the option of buying the car at the end of the lease. This means if Tesla does get Full Self Driving working (it seems to be taking forever, but Tesla might get it to work eventually) and the value of your car goes up since you can use it to make money as a robotaxi, Tesla gets that increase in value instead of you. Two and a half years ago, I speculated how a combination of 3 factors could allow Tesla to lease its vehicles for under $100 a month. Those 3 factors:- Reduce manufacturing cost of the vehicle so they could sell it for $25,000.
- Recognize that the residual value of a 3-year-old Tesla with 30,000 miles is about 80% of the new price instead of the more common assumption of 60%.
- Use Tesla’s strong financial position to offer 1% financing.
It is unclear if Tesla has recognized the reduced depreciation of its cars in the current lease rates, but it is a possibility.
On the third point, Tesla doesn’t seem to be willing to use its strong balance sheet to borrow a lot of money at low rates to finance its leased cars. Of course, the Fed has dramatically raised interest rates over the last year or so.
A fourth point that I didn’t anticipate was the Inflation Reduction Act bringing back the $7,500 tax credit for Tesla vehicles.
Enough of the intro, what are the new prices?
Image from BMW USA
Image from Toyota
Image from TeslaAs you can see from the pictures above, the situation is totally different from the loan payments. The Tesla Model 3 and Toyota Corolla are both $477 a month, $200 less than the BMW 3 Series starting price of $677! As this is more widely publicized, this will drive a lot of Model 3 sales.
Tesla changes prices often, so this might not last long. The IRS is set to rule sometime in March on which cars get the full $7,500 tax credit, and the rear-wheel-drive Model 3 will likely lose $3,750 of its tax credit, since its lithium-iron-phosphate battery comes from China and that shouldn’t quality for that half of the credit.
I edited the Model 3 to add $3,500 in options, and that raised the monthly lease by $37 to $514 a month.
Conclusion
A Tesla lease may be a great option for people who want the lowest possible payment and are not interested in building equity in their cars. It also may be a good choice if you feel Tesla cars will depreciate quickly when the next-generation, more-affordable Tesla becomes available for as little as $12,500 as I explained in this article.On the other hand, if you think Tesla will get its Full Self Driving working well enough to use the cars as robotaxis soon(ish) and the car can indeed make make money instead of costing money, you would be far better off buying rather than leasing a Tesla. Even though I have the Full Self Driving Beta and have watched the progress for over 4 years, it is very hard to know. That is something you will have to decide for yourself.
Another factor to consider is if your income is too low or high to qualify for the entire $7,500 tax credit. Leasing is a better deal if you don’t qualify for the whole credit.
https://cleantechnica.com/2023/02/05...oyota-corolla/
*****************
so what do you guys think? Is Tesla getting ready to swoop in on the final prize (the mainstream compact car) or do we have to wait for the surprise in Q2?
@TheCompetitionIsComing.
.Last edited by Comfy; 02-06-2023 at 11:15 AM.
02-14-2023, 09:12 PM
#3482
Sanest Florida Man
02-14-2023, 09:15 PM
#3483
Sanest Florida Man
#NoDemand #RegulationAsTheMotherOfInnovation
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Comfy (02-26-2023)
02-14-2023, 09:32 PM
#3484
Moderator
Join Date: Oct 2004
Location: Not Las Vegas (SF Bay Area)
Age: 40
Posts: 63,304
Received 2,810 Likes
on
1,991 Posts
Thanks but too bad I no longer want one 
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Comfy (02-15-2023)
02-15-2023, 10:42 PM
#3485
02-23-2023, 03:56 PM
#3486
Team Owner
The more rare a thing is the more valuable it becomes and worth $0? if everyone is buying EV in 12 years you can bet your ass that the remaining ICE cars will be worth a shit load more...
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00TL-P3.2 (02-23-2023)
02-23-2023, 04:15 PM
#3487
Team Owner
8'
Cars
Tesla Model 3 Lease Price Slashed To Match The Toyota Corolla!
ByPaul FossePublished
3 mins agoIn this article, I explain that Tesla has dropped its lease pricing so much that it costs the same to lease a Tesla Model 3 as a Toyota Corolla!
Image from fueleconomy.gov
I wanted to include this to show that the Model 3 is clearly a significantly larger car as far as passenger and luggage volume than the Toyota Corolla and slightly larger than the BMW 3 Series sedan.
In features and prestige, everyone would agree that Tesla and BMW are considered entry level premium sedans, while Toyota is considered a great mainstream brand. The Toyota Corolla was the best selling car in the world last year. In the US, GoodCarBadCar reports that the Tesla Model 3 had 57,600 sales, the Toyota Corolla had 50,660 sales, and the BMW 3 Series had 10,734 sales in Q4 2022. For many years, BMW was the sales leader in the entry level premium sedan market, so this is a dramatic difference in consumer demand and sales in this category. And it is shocking that the Tesla Model 3 at close to twice the price of the Toyota Corolla last year outsold it.
For the first comparison, I went to all 3 manufacturer websites and picked a 60 month loan at the interest rate they defaulted to. From Tesla, you will actually be able to buy for this price. For the BMW and the Toyota, you may get a higher (recently) or lower (historically) price depending on the market conditions. The Tesla monthly payment is the highest at $858, but the main reason that is higher than the BMW at $818 is you don’t get any possible tax credit for a year, so you need to borrow the whole amount (assuming no down payment or trade-in). BMW also looks like it is offering a lower rate of 4.59% vs. Toyota’s 4.99% and Tesla’s 5.44%.
The Toyota Corolla’s payment of $427 is almost exactly half of the Tesla price. At payments similar to this, the Tesla Model 3 slightly outsold the Corolla as buyers perceived the car’s features and fuel and maintenance savings justified the much higher price. The Tesla outsold the BMW by over 5 times since they perceived the car as both more affordable (even though the payment is similar, we have shown that the total cost of ownership can easily be about 65% lower). Perhaps buyers also considered the Model 3 more enjoyable to drive (this point is subjective and debatable, though).
Comparison of Leasing the BMW 3 Series, Toyota Corolla, and Tesla Model 3
I need to mention that current Tesla leases have a unique disadvantage. Tesla doesn’t give you the option of buying the car at the end of the lease. This means if Tesla does get Full Self Driving working (it seems to be taking forever, but Tesla might get it to work eventually) and the value of your car goes up since you can use it to make money as a robotaxi, Tesla gets that increase in value instead of you. Two and a half years ago, I speculated how a combination of 3 factors could allow Tesla to lease its vehicles for under $100 a month. Those 3 factors:- Reduce manufacturing cost of the vehicle so they could sell it for $25,000.
- Recognize that the residual value of a 3-year-old Tesla with 30,000 miles is about 80% of the new price instead of the more common assumption of 60%.
- Use Tesla’s strong financial position to offer 1% financing.
It is unclear if Tesla has recognized the reduced depreciation of its cars in the current lease rates, but it is a possibility.
On the third point, Tesla doesn’t seem to be willing to use its strong balance sheet to borrow a lot of money at low rates to finance its leased cars. Of course, the Fed has dramatically raised interest rates over the last year or so.
A fourth point that I didn’t anticipate was the Inflation Reduction Act bringing back the $7,500 tax credit for Tesla vehicles.
Enough of the intro, what are the new prices?
Image from BMW USA
Image from ToyotaImage from TeslaAs you can see from the pictures above, the situation is totally different from the loan payments. The Tesla Model 3 and Toyota Corolla are both $477 a month, $200 less than the BMW 3 Series starting price of $677! As this is more widely publicized, this will drive a lot of Model 3 sales.
Tesla changes prices often, so this might not last long. The IRS is set to rule sometime in March on which cars get the full $7,500 tax credit, and the rear-wheel-drive Model 3 will likely lose $3,750 of its tax credit, since its lithium-iron-phosphate battery comes from China and that shouldn’t quality for that half of the credit.
I edited the Model 3 to add $3,500 in options, and that raised the monthly lease by $37 to $514 a month.
Conclusion
A Tesla lease may be a great option for people who want the lowest possible payment and are not interested in building equity in their cars. It also may be a good choice if you feel Tesla cars will depreciate quickly when the next-generation, more-affordable Tesla becomes available for as little as $12,500 as I explained in this article.On the other hand, if you think Tesla will get its Full Self Driving working well enough to use the cars as robotaxis soon(ish) and the car can indeed make make money instead of costing money, you would be far better off buying rather than leasing a Tesla. Even though I have the Full Self Driving Beta and have watched the progress for over 4 years, it is very hard to know. That is something you will have to decide for yourself.
Another factor to consider is if your income is too low or high to qualify for the entire $7,500 tax credit. Leasing is a better deal if you don’t qualify for the whole credit.
https://cleantechnica.com/2023/02/05...oyota-corolla/
*****************
so what do you guys think? Is Tesla getting ready to swoop in on the final prize (the mainstream compact car) or do we have to wait for the surprise in Q2?
@TheCompetitionIsComing.
.You can lease a M340i ($62k MSRP) for $670 a month with tax included with $2000 drive off (first month payment, title/license and document fee)12k miles a year
My wife is leasing her 29k CX30 for $330 with tax included 12k miles a year with $700 Drive off
NO ONE is leasing a normal Corolla for $500 a month with tax included with 10k miles a year... literally no one. because they could all be driving BMW, Lexus and Mercedes at those prices.
That article is full of shit that does not reflect reality.
02-23-2023, 06:55 PM
#3488
AZ Community Team
How Tesla Fumbled?
02-23-2023, 11:42 PM
#3489
Sanest Florida Man
02-24-2023, 09:16 AM
#3490
Ex-OEM King
Have you ever leased a car before? it doesnt sound like it
You can lease a M340i ($62k MSRP) for $670 a month with tax included with $2000 drive off (first month payment, title/license and document fee)12k miles a year
My wife is leasing her 29k CX30 for $330 with tax included 12k miles a year with $700 Drive off
NO ONE is leasing a normal Corolla for $500 a month with tax included with 10k miles a year... literally no one. because they could all be driving BMW, Lexus and Mercedes at those prices.
That article is full of shit that does not reflect reality.
You can lease a M340i ($62k MSRP) for $670 a month with tax included with $2000 drive off (first month payment, title/license and document fee)12k miles a year
My wife is leasing her 29k CX30 for $330 with tax included 12k miles a year with $700 Drive off
NO ONE is leasing a normal Corolla for $500 a month with tax included with 10k miles a year... literally no one. because they could all be driving BMW, Lexus and Mercedes at those prices.
That article is full of shit that does not reflect reality.
Also, he drives a scooter that I'm guessing isn't leased.
02-26-2023, 10:57 PM
#3491
02-27-2023, 09:06 AM
#3492
Ex-OEM King
You always seem to forget that the transition will be very slow. There won't be 10M people offloading a car overnight, that's ridiculous. Also, 12 years is a long ass time. 12 years ago we were on the iPhone 4 and the Model S was a pipe dream.
02-27-2023, 09:16 AM
#3493
Whats up with RDX owners?
iTrader: (9)
I think what's lost on Comfy is that sales =/= what's on the road. There's over 250m vehicles registered in the US. 2.5m of those are EVs. 247.5m cars aren't going to suddenly be scrapped for an EV overnight (or even in the next 20 years) when the US averages ~17m total car sales per year.
02-27-2023, 12:40 PM
#3494
Sanest Florida Man
#NoDemand #TheCompetitionIsComing #ButHisTweets
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Comfy (03-04-2023)
02-27-2023, 01:02 PM
#3495
Team Owner
I think what's lost on Comfy is that sales =/= what's on the road. There's over 250m vehicles registered in the US. 2.5m of those are EVs. 247.5m cars aren't going to suddenly be scrapped for an EV overnight (or even in the next 20 years) when the US averages ~17m total car sales per year.
Can you imagine what kind of disaster it will be if Comfy's dream comes true? 250m cars become EV overnight?
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Comfy (03-04-2023)
02-27-2023, 01:03 PM
#3496
Team Owner
#NoDemand #TheCompetitionIsComing #ButHisTweets
https://twitter.com/Automotive_News/...77065399107585
Loyalty to a stupid car brand is just that, stupid.
If i were to ask you to PAY ME $$$ to be loyal to me, would you do it?
02-27-2023, 01:06 PM
#3497
Team Owner
Well he thought we would see Robotaxi everywhere by 2022, aka last year and by 2025 all new cars sold will be EV... like in 1.5 year.. he is definitely a fast shooter
02-27-2023, 02:04 PM
#3498
Moderator
02-27-2023, 02:28 PM
#3499
Team Owner
02-27-2023, 02:38 PM
#3500
Moderator
True, very little of the current MB catalog interests me enough for my $
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Comfy (03-04-2023)
02-28-2023, 02:14 PM
#3501
Race Director
Tesla was rumored to build a new gigafactory in Mexico since last December. Quite often, Mexican officials would make statements about a potential deal. Until now, these statements have proved as nothing more than wishful thinking. Still, Mexico president Lopez Obrador confirmed on Tuesday that Tesla would build a new plant in Monterrey.
Tesla is actively scouting for new locations to build gigafactories, a crucial step to scale production to extreme levels. Governments tried to lure Elon Musk to invest in their countries, but no decision has been announced. India, Indonesia, South Korea, Canada, and Mexico are just a handful of countries that would offer Tesla preferential conditions to tip the balance when establishing new production facilities.
Mexico was probably more active than other countries in this endeavor, considering that Elon Musk has visited the country and spoken with officials about a possible gigafactory location. This has made local politicians go crazy, making statements about done deals that they would deny the next morning. A presidential spokesperson insisted last month that Tesla would build not one, but two gigafactories in the country. One would be next to New Mexico’s newly opened Felipe Angeles airport (AIFA), so Tesla could ship its products by air. You understand now that such declarations must be taken with a grain of salt.
Another location discussed since last December was less of a far-fetched possibility. We’re talking about Monterrey, located in the northern state of Nuevo Leon. The city is close to the U.S. border and less than 400 miles (640 km) away from Giga Texas. The location makes sense, although there might be a bit of a problem. Just as in Germany, the water reserves in the region are scarce.
Still, an official confirmation shows that Tesla is building its next gigafactory in Monterrey. Following two long phone conversations between Tesla CEO Elon Musk and Mexico’s president Lopez Obrador, Tesla has been granted permission to set up business in Nuevo Leon. On Tuesday, Obrador made the official announcement, saying the deal represents a “considerable investment and many, many jobs” for Mexico.
Lopez Obrador said that Musk understood the water scarcity problem in the region and was willing to make a series of commitments as part of the deal. There is no further information, although Tesla is expected to offer more details about the agreement on Wednesday, possibly during the Investor Day event. If the deal is real, Tesla may have chosen the best location for a gigafactory that would benefit from the low-cost, high-skilled workforce in the Mexican auto industry.
Initial rumors from December 2022 indicated that Tesla would start with a $1 billion investment in the new gigafactory. The plan was to produce components used in Tesla’s nearby production site in Austin. Intriguingly, Tesla officials said that Tesla would eventually start making an affordable car in Mexico. Tesla is expected to announce the Gen-3 platform plans during Investor Day, and a production facility in a place with low labor costs sounds exactly what Tesla needs.
Tesla is actively scouting for new locations to build gigafactories, a crucial step to scale production to extreme levels. Governments tried to lure Elon Musk to invest in their countries, but no decision has been announced. India, Indonesia, South Korea, Canada, and Mexico are just a handful of countries that would offer Tesla preferential conditions to tip the balance when establishing new production facilities.
Mexico was probably more active than other countries in this endeavor, considering that Elon Musk has visited the country and spoken with officials about a possible gigafactory location. This has made local politicians go crazy, making statements about done deals that they would deny the next morning. A presidential spokesperson insisted last month that Tesla would build not one, but two gigafactories in the country. One would be next to New Mexico’s newly opened Felipe Angeles airport (AIFA), so Tesla could ship its products by air. You understand now that such declarations must be taken with a grain of salt.
Another location discussed since last December was less of a far-fetched possibility. We’re talking about Monterrey, located in the northern state of Nuevo Leon. The city is close to the U.S. border and less than 400 miles (640 km) away from Giga Texas. The location makes sense, although there might be a bit of a problem. Just as in Germany, the water reserves in the region are scarce.
Still, an official confirmation shows that Tesla is building its next gigafactory in Monterrey. Following two long phone conversations between Tesla CEO Elon Musk and Mexico’s president Lopez Obrador, Tesla has been granted permission to set up business in Nuevo Leon. On Tuesday, Obrador made the official announcement, saying the deal represents a “considerable investment and many, many jobs” for Mexico.
Lopez Obrador said that Musk understood the water scarcity problem in the region and was willing to make a series of commitments as part of the deal. There is no further information, although Tesla is expected to offer more details about the agreement on Wednesday, possibly during the Investor Day event. If the deal is real, Tesla may have chosen the best location for a gigafactory that would benefit from the low-cost, high-skilled workforce in the Mexican auto industry.
Initial rumors from December 2022 indicated that Tesla would start with a $1 billion investment in the new gigafactory. The plan was to produce components used in Tesla’s nearby production site in Austin. Intriguingly, Tesla officials said that Tesla would eventually start making an affordable car in Mexico. Tesla is expected to announce the Gen-3 platform plans during Investor Day, and a production facility in a place with low labor costs sounds exactly what Tesla needs.
03-01-2023, 02:36 PM
#3502
Sanest Florida Man
So you have to charge about 110kwh/mo on the Supercharger network to break even
03-01-2023, 03:01 PM
#3503
Ex-OEM King
https://twitter.com/SawyerMerritt/st...24303976030210
So you have to charge about 110kwh/mo on the Supercharger network to break even
So you have to charge about 110kwh/mo on the Supercharger network to break even
03-01-2023, 03:15 PM
#3504
Whats up with RDX owners?
iTrader: (9)
A single round trip drive from VA to SC is 110kwh at Superchargers in the 3, and that's with charging at the destination (and getting home with ~10%). A trip to the outerbanks in NC required two "fill ups" of 120kwh total. I think they priced the membership right where it needs to be to get people to join, especially those that road trip a lot.
This is a massive deal for EV adoption IMO.
This is a massive deal for EV adoption IMO.
03-06-2023, 06:42 AM
#3505
Race Director
Earlier in the year, Tesla was thought to have a demand problem, which it solved by slashing prices across the board. However, Tesla also slashed the Model S and Model X prices on March 5, despite inventories consistently dropping. The move might have been prompted by different reasons this time.
The end of 2023 brought us a surprising change of strategy at Tesla. After years of consistently increasing prices, the EV maker has operated its first price reduction. The timing coincided with reports about Tesla’s burgeoning inventories, a trend that had investors worried that the EV carmaker might face a demand problem.
Demand is not something you can measure in itself but also in relation to market conditions, pricing strategy, etc. As Elon Musk famously said during the 2023 Investor Day, the demand is infinite, but people just can’t afford a Tesla. It may have sounded funny, but it’s true: drop the prices, and the demand jumps. Considering the fat profit margins Tesla has on its vehicle, it is certainly in a position to play with the prices to set the demand where it suits it.
And that’s exactly what it did in January when Tesla announced massive price cuts for its entire lineup. Back then, the Model and Model X saw the biggest discounts, up to $21,000 in the case of the Model S Plaid. The demand picked up speed, and the inventories started to deplete. The Model S stock in the U.S. dropped from over 500 cars in February to around 100 in March, roughly at November 2022 levels.
That’s why cutting the prices even further is puzzling, considering the inventory’s downward trend. In another swift move, Tesla cut the Model S AWD price to $89,990 (from $94,990) and the Model X AWD to $99,990 (from $109,990). Model S Plaid and Model X Plaid retail at $109,990 now, down from $114,990 and $119,990, respectively. Tesla also reduced the Model X starting prices in Canada by 7,000 CAD for both variants.
The fact that Tesla didn’t operate similar changes for the Model 3 and Model Y might indicate that the price cuts are specifically targeted at the recently refreshed models in its lineup. The most likely reason is to clear up existing inventories for the updated models. Tesla is already producing Model S and Model X with the new Hardware 4 computer and sensor suite, and it probably wants old vehicles moved as fast as possible.
Based on recent reports on social media channels, Tesla has already delivered cars with the new hardware. This conflicts with the idea of getting rid of old cars in inventory. If Tesla still had HW3 vehicles, delivering those first would have made more sense. So that brings us to the second reason: Tesla has increased Model S/X production and wants to drive up demand for its top-of-the-line models. This also gives Lucid a warning call, considering it already struggled to compete with Tesla at January prices.
Finally, there could be a third reason for the Sunday price cuts. The improved production and savings from manufacturing and supply chain optimizations would allow Tesla to pass on savings to consumers. Still, Tesla never cared much about that, so take this with a grain of salt. What do you think is the reason Tesla slashed Model S and Model X prices?
The end of 2023 brought us a surprising change of strategy at Tesla. After years of consistently increasing prices, the EV maker has operated its first price reduction. The timing coincided with reports about Tesla’s burgeoning inventories, a trend that had investors worried that the EV carmaker might face a demand problem.
Demand is not something you can measure in itself but also in relation to market conditions, pricing strategy, etc. As Elon Musk famously said during the 2023 Investor Day, the demand is infinite, but people just can’t afford a Tesla. It may have sounded funny, but it’s true: drop the prices, and the demand jumps. Considering the fat profit margins Tesla has on its vehicle, it is certainly in a position to play with the prices to set the demand where it suits it.
And that’s exactly what it did in January when Tesla announced massive price cuts for its entire lineup. Back then, the Model and Model X saw the biggest discounts, up to $21,000 in the case of the Model S Plaid. The demand picked up speed, and the inventories started to deplete. The Model S stock in the U.S. dropped from over 500 cars in February to around 100 in March, roughly at November 2022 levels.
That’s why cutting the prices even further is puzzling, considering the inventory’s downward trend. In another swift move, Tesla cut the Model S AWD price to $89,990 (from $94,990) and the Model X AWD to $99,990 (from $109,990). Model S Plaid and Model X Plaid retail at $109,990 now, down from $114,990 and $119,990, respectively. Tesla also reduced the Model X starting prices in Canada by 7,000 CAD for both variants.
The fact that Tesla didn’t operate similar changes for the Model 3 and Model Y might indicate that the price cuts are specifically targeted at the recently refreshed models in its lineup. The most likely reason is to clear up existing inventories for the updated models. Tesla is already producing Model S and Model X with the new Hardware 4 computer and sensor suite, and it probably wants old vehicles moved as fast as possible.
Based on recent reports on social media channels, Tesla has already delivered cars with the new hardware. This conflicts with the idea of getting rid of old cars in inventory. If Tesla still had HW3 vehicles, delivering those first would have made more sense. So that brings us to the second reason: Tesla has increased Model S/X production and wants to drive up demand for its top-of-the-line models. This also gives Lucid a warning call, considering it already struggled to compete with Tesla at January prices.
Finally, there could be a third reason for the Sunday price cuts. The improved production and savings from manufacturing and supply chain optimizations would allow Tesla to pass on savings to consumers. Still, Tesla never cared much about that, so take this with a grain of salt. What do you think is the reason Tesla slashed Model S and Model X prices?
03-06-2023, 12:52 PM
#3506
So what’s the deal? I heard the S/X inventories are also getting low. Are they planning some major revisions?
03-06-2023, 02:29 PM
#3507
Whats up with RDX owners?
iTrader: (9)
HW4. They want to clear out existing inventory. It's a legacy dealership tactic.
03-06-2023, 02:42 PM
#3508
Ex-OEM King
^ This. Fire sale of all the HW3 cars without outright telling people why.
Though comfy doesn't want to acknowledge Tesla as being capable of such things, they basically act as a legacy dealership lol.
Though comfy doesn't want to acknowledge Tesla as being capable of such things, they basically act as a legacy dealership lol.
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Comfy (03-07-2023)
03-07-2023, 10:28 AM
#3510
Sanest Florida Man
Elon is trying to get Rowlinson killed by MBS
The following users liked this post:
Comfy (03-07-2023)
03-07-2023, 05:29 PM
#3511
At least it was another EV which came to help. EVs looking out for each other.
03-15-2023, 02:57 PM
#3512
Tesla blows past the entire VW group in Norway
03-15-2023, 03:09 PM
#3513
Ex-OEM King
So you're surprised that an EV company is selling incredibly well in a country that is by for more friendly to EV adoption than any other?
03-16-2023, 07:18 AM
#3514
Race Director
Tesla has been sued in a pair of proposed antitrust class actions accusing the company of unlawfully curbing competition for maintenance and replacement parts for its electric vehicles, forcing owners to pay more and wait longer for repair services.
The lawsuits, filed on Tuesday and Wednesday in federal court in San Francisco, allege that Tesla designed its electric vehicles, warranties and repair policies to discourage owners and lessees from using independent shops outside of Tesla's control.
"Tesla needs to open up its ecosystem and allow competition for the servicing of Tesla [vehicles] and sales of parts," said plaintiffs lawyer Matthew Ruan of Freed Kanner London & Millen, who filed one of the proposed class actions.
A representative from Austin, Texas-based Tesla did not immediately respond to messages seeking comment. Tesla defense counsel have not yet made an appearance in the cases.
The proposed class in both cases would include anyone who has paid Tesla for repairs or parts since March 2019.
Each complaint was filed on behalf of a California resident, and neither lawsuit specified a damages amount. Ruan said the potential class includes hundreds of thousands of Tesla owners and lessees, so damages could total hundreds of millions of dollars.
Lawyers from McCune Law Group, which filed a similar class action complaint on Wednesday, did not immediately respond to messages seeking comment.
Tesla, the world's most valuable automaker, recorded revenue of $24.32 billion for the fourth quarter. The company delivered 405,278 vehicles in the quarter.
Tesla joins other major vehicle makers facing "right to repair" antitrust litigation over alleged exclusionary conduct.
A group of cases against Harley-Davidson Motor Co Group LLC were recently consolidated in Wisconsin federal court, and Deere & Co, the world's largest farm equipment maker, is defending against allegations in federal district court in Chicago. Both companies have denied claims.
The U.S. Federal Trade Commission in 2021 issued a policy statement that said the agency would make it a priority to address manufacturer restrictions on repairs and parts.
Tesla's alleged restraints on service and repair, according to the new lawsuits, caused "exorbitant wait times" for drivers who otherwise would have gone to an independent repair shop.
The lawsuits call for Tesla's repair services and parts monopoly to be "dismantled" and for the company to be ordered to make its repair manuals and diagnostic tools "available to individuals and independent repair shops at a reasonable cost."
The cases are Virginia Lambrix v Tesla Inc, U.S. District Court, Northern District of California, No. 3:23-cv-01145; and Robert Orendian v. Tesla, No. 3:23-cv-01157.
The lawsuits, filed on Tuesday and Wednesday in federal court in San Francisco, allege that Tesla designed its electric vehicles, warranties and repair policies to discourage owners and lessees from using independent shops outside of Tesla's control.
"Tesla needs to open up its ecosystem and allow competition for the servicing of Tesla [vehicles] and sales of parts," said plaintiffs lawyer Matthew Ruan of Freed Kanner London & Millen, who filed one of the proposed class actions.
A representative from Austin, Texas-based Tesla did not immediately respond to messages seeking comment. Tesla defense counsel have not yet made an appearance in the cases.
The proposed class in both cases would include anyone who has paid Tesla for repairs or parts since March 2019.
Each complaint was filed on behalf of a California resident, and neither lawsuit specified a damages amount. Ruan said the potential class includes hundreds of thousands of Tesla owners and lessees, so damages could total hundreds of millions of dollars.
Lawyers from McCune Law Group, which filed a similar class action complaint on Wednesday, did not immediately respond to messages seeking comment.
Tesla, the world's most valuable automaker, recorded revenue of $24.32 billion for the fourth quarter. The company delivered 405,278 vehicles in the quarter.
Tesla joins other major vehicle makers facing "right to repair" antitrust litigation over alleged exclusionary conduct.
A group of cases against Harley-Davidson Motor Co Group LLC were recently consolidated in Wisconsin federal court, and Deere & Co, the world's largest farm equipment maker, is defending against allegations in federal district court in Chicago. Both companies have denied claims.
The U.S. Federal Trade Commission in 2021 issued a policy statement that said the agency would make it a priority to address manufacturer restrictions on repairs and parts.
Tesla's alleged restraints on service and repair, according to the new lawsuits, caused "exorbitant wait times" for drivers who otherwise would have gone to an independent repair shop.
The lawsuits call for Tesla's repair services and parts monopoly to be "dismantled" and for the company to be ordered to make its repair manuals and diagnostic tools "available to individuals and independent repair shops at a reasonable cost."
The cases are Virginia Lambrix v Tesla Inc, U.S. District Court, Northern District of California, No. 3:23-cv-01145; and Robert Orendian v. Tesla, No. 3:23-cv-01157.
^ These lawyers ignore the fact that Tesla has made the service manual free to all since last May (though you still need an expensive sub for the diag software/hardware).
03-16-2023, 09:15 AM
#3515
Ex-OEM King
So...you can fix it but finding out what to fix costs you $500/mo.
03-16-2023, 03:13 PM
#3516
Of course they need access to all the Tesla software source codes to make cheaper repairs possible.
03-23-2023, 08:31 AM
#3517
04-01-2023, 03:35 PM
#3518
Sanest Florida Man
#NoDemand #TheCompetitionIsComing
04-01-2023, 05:08 PM
#3519
Sanest Florida Man
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civicdrivr (04-02-2023)
04-02-2023, 11:13 AM
#3520
Wonder why they’re the hottest selling cars in the wintery Nordic countries.
And Tesla Y beating apparently the home turf for Polestar as well.
Last edited by Comfy; 04-02-2023 at 11:19 AM.