Tesla sets March 14 'Model Y' unveiling

TJust after announcing its lowest-cost Model 3 electric car, Telsa is preparing to launch its Model Y, a sport utility crossover
Just after announcing its lowest-cost Model 3 electric car, Telsa is preparing to launch its Model Y, a sport utility crossover that will cost about 10 percent more

Tesla is planning to unveil a new electric "crossover" vehicle March 14 which is slightly bigger and more expensive than its most affordable model, according to chief executive Elon Musk.

Musk tweeted on Sunday that the "Model Y," which had been discussed for several months, would be unveiled at the company's design studio in Los Angeles.

The news comes shortly after Tesla unveiled its lowest-priced Model 3, an electric car designed for the masses, at a base price of $35,000, with deliveries promised within one month.

At that price, the Model 3 is less than half the cost of most Tesla on the road and may be eligible for which could further lower ownership costs.

Musk said the Model Y would be bigger and somewhat more costly than the Model 3, although it was not immediately clear if he was referring to the lowest-priced versions.

"Model Y, being an SUV, is about 10% bigger than Model 3, so will cost about 10% more & have slightly less range for same battery," he tweeted.

The suggest Tesla has been able to overcome production bottlenecks to ramp up production to meet demand, and moving toward Musk's goal of making widely available.

In last week's announcement, Tesla also indicated it would be closing its showrooms and selling all its cars online.

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Mar 04, 2019
Y indeed. The base model $35k isn't affordable for the masses - what made it reasonable were the subsidies which are now gone. The average car in the US sells for $20k and counting in SUVs lifts that to $25k. Tesla's most "affordable" model is still at least $10k off the mark for what passes as a people's car, and now they're releasing yet another expensive car that few can buy. Why?

They're not only failing the promise, they're going backwards: what is hyped by the believers as "competitive advantage", like giving up physical stores for online only dealerships, or firing thousands of people, or delaying the production of the cheaper base models, are actually just desperate attempts to save money because the cars aren't making any at this price point.

What's the big idea? If the prices don't come down, electric car environmentalism is just a social phenomenon akin to lexus liberalism - rich people pretending they're saving the earth by spending on themselves.

Mar 04, 2019
Kelley Blue Book today reported the estimated average transaction price for light vehicles in the United States was $35,742 in September 2018.


Eikka, you appear to be comfortable just making up easily falsifiable statements. What is wrong with you?

Trolls will continue to attack Tesla because it threatens the trillion dollar oil industry. They love Global Warming because they are making boatloads of money creating it. We need Tesla to drive change in the automotive industry away from fossil fuel propelled vehicles. There is a lot more at stake than the fundamentally corrupt oil industry.

Mar 09, 2019
@Mark Thomas. Thanks for posting the link to new car prices, and thus debunking Eikka's claim that the average car sells for $20k. Your linked site shows that the Tesla Model 3 is very affordable compared to similar ICE vehicles. The Model Y might be even more competitive.

Anyone who owns oil industry stocks should sell them soon. Internal combustion engines will be relegated to fringe uses within 10-20 years, and they might even be banned. I even intend to convert my antique car to electric. Conversion of the auto fleet to EVs will be one of the biggest victories in the struggle against global warming. (A complementary victory will be the conversion of power plants from fossil fuels to renewables and maybe nuclear fusion.)

Mar 09, 2019
I'm waiting to see what the tesla pickup has to offer. Concept art makes it look like futuristic military surplus but having one would be nice.

Mar 11, 2019
Eikka, you appear to be comfortable just making up easily falsifiable statements. What is wrong with you?

1) You're quoting new car prices, including trucks. Most of the market isn't new cars, because people can't afford them. The issue for electric cars is the fact that batteries don't last long enough, so they vanish from the second hand market and become scrap sooner, leaving all the poorer people still driving ICEs.

2) You're using bad statistics, because the market is not evenly distributed - it's a double-hump distribution between two extremes with few people actually buying the "average priced car:

The report shows a dichotomy in transaction prices last year, with a cluster at the low end of the market and a cluster at the high end.
"Vehicle sales are skewing toward market extremes,"

Rich people buying luxury cars skews the statistics.

Mar 11, 2019
easily falsifiable statements.

I specifically stated the average price for a car, not a truck, not a SUV. According to the Kelley Blue Book report linked by Mark Thomas above, the average transaction price for a new compact car is $20,528, and for a Mid-size Car it is $25,791 which was precisely my point.

A Model 3 falls between compact and middle size car.

Mar 11, 2019
Here's another graph of the US auto market segmentation.


Most of the market is between $10...50k but there's a cluster of full size luxury cars between $70-80k and up, which helps drag the average price up. Excluding all the luxury cars out of the sample, the main price range drops to between $15...30k with a cluster of full size regular cars at $40k.

The mass-market "people's car" falls between $10...30k, with an average price between $20..25k largely depending on the size of the car you want. Most people buy compact to mid-size cars.

Mar 11, 2019
Here's another from the DOE


This one shows the discrepancy better, although it's only through 2016 so it's slightly old. Light trucks were pushing above $35k while regular cars were dipping down towards $25k. The market is split between some people buying big expensive trucks and SUVs, and others buying small economy cars, and if you take the average of that it tells you nothing about what the people are actually buying.

This is still new vehicles though. Including second hand sales puts the average down again. Point being that the average car sold in the US isn't the average new car sold in the US.

Mar 17, 2019
The issue for electric cars is the fact that batteries don't last long enough.

This is where we fundamentally disagree. The Tesla Model 3 has the most advanced battery and battery management system in the world, bar none. I keep my Tesla Model 3 at 80% State of Charge (SoC), unless I am going on a trip. My battery will last for hundreds of thousands of miles, maybe even much more. Looking the information in the link below, the battery may still have 75% of its original capacity at 1 million miles. The gear box is also designed to last for at least 1 million miles. My gasoline savings alone will pay for my Model 3 on or before 500,000 miles, making the vehicle free to me at that point. When people realize what a gigantic bargain this is it will be the beginning of the end of the internal combustion engine.


Look at Figs. 6 and 7.

Mar 17, 2019
Point being that the average car sold in the US isn't the average new car sold in the US.

So what? By your reasoning the average new ICE vehicle sold today at $35K is NOT made for the masses either. The Model Y is a brand-new SUV-crossover in size and trunk capacity, etc. Like it or not, these are the NEW vehicles people are buying and what it should be compared with. If you can't afford a new one, you may be able to get a used one at some point, but keep in mind these vehicles hold their values exceedingly well.

I realize there is a lot to consider, but you have to start thinking about Total Cost of Ownership (TCO). Sure the Tesla is more expensive upfront, but you spend A LOT less on fuel and maintenance costs, so much so that these vehicles are actually incredible bargains because of their low TCO.

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