Tesla Will Lose Money On Every Cybertruck
After numerous delays and setbacks, Tesla has hit another obstacle with the wonky Cybertruck. During the automaker’s third-quarter earnings call with analysts and investors, Tesla CEO Elon Musk confirmed that the brand is looking at an additional 18 months until it can reach original Cybertruck production figures, claims Wards Auto. Additionally, the outlet claims that the official launch of the Cybertruck will take place this November.
If Tesla and Musk actually hit the November date for the launch of the Cybertruck, it will mark roughly four years of waiting since the first time the Cybertruck made its debut. Unfortunately, it looks like the rollout of the production versions of the Cybertruck are going to be incredibly limited. Musk doesn’t think Tesla will be able to hit its annual figure of 250,000 units for another 18 months. So, Tesla fans with reservations and other people who have been waiting to get a Cybertruck are going to be waiting a very, very long time. Last we heard, Tesla has roughly 2 million reservations for the Cybertruck.
Because of the Cybertruck’s peculiar design and unique components, Tesla is having a hard time producing the pickup truck and it’s going to lose money on every truck it sells until it can boost production figures. “So, I just want to temper expectations for Cybertruck,” Wards Auto reports Musk said during the quarterly call. “It’s a great product, but financially it will take, I don’t know, a year to 18 months before it is a significant positive cash-flow contributor.”
Business Insider’s report on Tesla’s Q3 earnings call paints a slightly grimmer picture for the automaker’s Cybertruck woes. “We dug our own grave with the Cybertruck,” Business Insider reports Musk said during the earnings call. The outlet claims that Musk openly discussed the immense challenges that Tesla faces in increasing production of the truck.
Based on earlier reports that the Cybertruck was facing numerous problems, we’re not surprised by Engadget’s claims that Tesla continues to work on the truck. Apparently, Tesla is reportedly looking into redesigning the Cybertruck’s electrical architecture from a 400-volt standard that it uses with its other EVs to an 800-volt standard. The higher voltage allows EVs with large battery capacities to charge at quicker rates.
We’re very interested to see how Tesla’s latest announcements for the Cybertruck will affect its price tag. Tesla has confirmed that it’s going to be losing money on every truck and that producing the truck is going to take a lot more time and effort than it originally envisioned. Those things don’t bode well for the truck’s original price tag of less than $40,000. Inflation has also seen the cost of materials increase dramatically since 2019. So, we highly doubt Tesla will be able to keep its original pricing intact.
Pictured: Tesla Cybertruck
Source: Wards Auto
https://ift.tt/0WYnJkF Tesla Will Lose Money On Every Cybertruck
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