Tesla Motors will launch its smaller electric sedan in late 2016, with a range of at least 200 miles and a price point “half” of the flagship Model S, Tesla CEO Elon Musk said.
Speaking at the annual shareholder meeting on Tuesday, Mr. Musk stated that the Gen III will possess a similar look to the design of the current stock. He also playfully hinted to the car having an autopilot feature but warns that those features may not be included in the first set that goes for sale. Tesla is also working with Panasonic on a new battery cell electrochemistry that will be optimized for automotive use.
During the shareholder meeting, Musk stated that Tesla’s cash position would be $760 million, regardless of the Department of Energy loan that would be paid off. Musk believes that Tesla’s gross margins for the Model S and Model X crossover can be about 25%. The Gen III cars, though less expensive, will carry tighter margins but with a higher fixed cost volume.
Telsa’s supercharger network has improved it’s recharge speed from 45 minutes down to 20 minutes and Mr. Musk is planning to have a live demonstration on June 20 to show advance is not the limit of recharging technology.
Despite the setbacks of Virginia, North Carolina and Texas, Tesla will continue to fight national and state auto dealer associations regarding the automaker’s factory-store model, says Musk. Citing poll data showing between 86 percent and 99 percent of those surveyed approving of Tesla’s retail model, a suddenly emotional Musk said, “If democracy is working and legislators are implementing the will of the people, there wouldn’t be legislation trying to restrict direct sales.
We’re sure that the Model S Sedan will end up selling faster than hot bread when the time comes.
+ Link: AutoWeek