Honoring Original Estimated Pricing

[mhaze]

Nothing is legally guarantied on the truck price. The FSD is very much guarantied. Moral/reputation obligations are another point of discussion.

I’m cool with a higher truck price and 7000 for FSD as promised.

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[happy intruder]

Worth pointing out.

Tesla updated pricing on the original Roadster in order to break even on production. Even there, they didn’t raise the base price of the car, but increased the price of options and introduced a new more expensive model which they could make a profit on. The key here being—if they’d released the Roadster as it was, Tesla would have lost money on each one they made.

Since it’s unlikely the Cybertruck will cost Tesla $50k to produce, this isn’t likely an issue.

The only other time they altered prices was when they launched the refreshed Model X. Tesla increased the price by $10,000 and some customers who had reservations wound up with a bit of sticker shock. The refreshed X had a lot more features than what the people had originally ordered and Tesla gave them a discount so the total increase was roughly 10% versus their original order price.

I think most people would be content with a 10% increase if they got 4WS in the bargain. Particularly since the IRA tax credit would be more than the increase.

The crazy increases people keep talking about are completely unprecedented. Also, Ford‘s sales on the Lightning are slowing a lot. You can find them on lots for sale now even though they are still working through their reservation list. People who ordered them can’t/ won’t pay what Ford is offering.
[/QUOT

 

[ÆCIII]

I'm just fine with prices adjusted for inflation, because inflation is not Tesla's doing.

If you want purchase discounts to adjust for inflation, it's more appropriate to ask those who brought about the highest inflation that we've seen since 1980, in the first place.

- ÆCIII

 

[Crissa]

I'm just fine with prices adjusted for inflation, because inflation is not Tesla's doing.

If you want purchase discounts to adjust for inflation, it's more appropriate to ask those who brought about the record inflation in the first place.

So uhh, what do you call 'record'?

And you mean the corporations raising prices higher than inflation?

https://www.epi.org/blog/corporate-...to-inflation-how-should-policymakers-respond/

-Crissa

 

[ÆCIII]

So uhh, what do you call 'record'?

And you mean the corporations raising prices higher than inflation?

https://www.epi.org/blog/corporate-...to-inflation-how-should-policymakers-respond/

-Crissa

You are correct. Should've more concisely worded it to say something like "highest in 40 years" or "highest since 1980" or similar. To many of us it might as well be a "record", but you were right to point out the incorrect wording. Will edit the post.

- ÆCIII

 

[ZARDOZ]

So uhh, what do you call 'record'?

And you mean the corporations raising prices higher than inflation?

https://www.epi.org/blog/corporate-...to-inflation-how-should-policymakers-respond/

-Crissa

Maybe he means the formula changing and the government printing too much money.

https://www.nestmann.com/why-inflation-is-worse-today-than-the-1980sand-possibly-ever

 

[Crissa]

Maybe he means the formula changing and the government printing too much money.

https://www.nestmann.com/why-inflation-is-worse-today-than-the-1980sand-possibly-ever

Printing too much money?

So your solution is to let people starve and go homeless in a pandemic?

Like, it's a position to take, but remember you took it.

-Crissa

 

[ZARDOZ]

Printing too much money?

So your solution is to let people starve and go homeless in a pandemic?

Like, it's a position to take, but remember you took it.

-Crissa

I don't want to get into politics with you. Have a great day!

 

[Ogre]

I'm just fine with prices adjusted for inflation, because inflation is not Tesla's doing.

If you want purchase discounts to adjust for inflation, it's more appropriate to ask those who brought about the highest inflation that we've seen since 1980, in the first place.

- ÆCIII

I think most of us understand this.

But inflation even as “crazy high” as it is right now would largely be offset by “Inflation Reduction Act” tax credits directly to Tesla for in house cell production. For perspective, if the Base truck has a pack size of 125 kWh, IRA advanced materials credit gifts Tesla with $5,625.

For a 200 kWh pack, it’s $9,000 or about 13% of the cost of the top end Cybertruck on launch day.

So if you go nuts and say inflation was 30% over the past 2 years, that nets out to about 17% (yes I know… it’s not quite that easy). That puts the “actual inflation adjusted” top end truck just about $80k and the dual motor right about $58,500. If you add in the consumer incentive, it would very nearly be a wash.

Lots of very rough math and estimates, but in the ballpark. Particularly since that 30% inflation number is unlikely.

 

[Crissa]

I don't want to get into politics with you. Have a great day!

Well, I didn't bring up politics. Just, ya know, facts. If it was political for you, maybe you shouldn't have said it in the first place.

-Crissa

PS, Ogre's got a better point as well - not only has inflation not been that bad, Tesla is getting its costs offset.

 

[ZARDOZ]

Well, I didn't bring up politics. Just, ya know, facts. If it was political for you, maybe you shouldn't have said it in the first place.

-Crissa

PS, Ogre's got a better point as well - not only has inflation not been that bad, Tesla is getting its costs offset.

A discussion on the causes of inflation is bound to turn political.
You accused me of taking the position of "So your solution is to let people starve and go homeless in a pandemic?" I'll say what I want, but it's best for me to avoid toxic people like you.

 

[Crissa]

A discussion on the causes of inflation is bound to turn political.
You accused me of taking the position of "So your solution is to let people starve and go homeless in a pandemic?" I'll say what I want, but it's best for me to avoid toxic people like you.

I apologize that you find being told (the factual results of your positions) toxic.

Maybe don't do the toxic thing, rather than blaming others.

-Crissa

 

[ÆCIII]

I think most of us understand this.

But inflation even as “crazy high” as it is right now would largely be offset by “Inflation Reduction Act” tax credits directly to Tesla for in house cell production. For perspective, if the Base truck has a pack size of 125 kWh, IRA advanced materials credit gifts Tesla with $5,625.

For a 200 kWh pack, it’s $9,000 or about 13% of the cost of the top end Cybertruck on launch day.

So if you go nuts and say inflation was 30% over the past 2 years, that nets out to about 17% (yes I know… it’s not quite that easy). That puts the “actual inflation adjusted” top end truck just about $80k and the dual motor right about $58,500. If you add in the consumer incentive, it would very nearly be a wash.

Lots of very rough math and estimates, but in the ballpark. Particularly since that 30% inflation number is unlikely.

Agree from a relative perspective, but the Tax Credits are supposed to be an incentive that is independent of inflation. The same (amount) Tax Credits were in place back in 2018 and 2019, when inflation was well under 3 %.

So if tax credits are to offset inflation, then they are no longer 'incentives' as they once were. That's probably why my earlier post #333 probably resonates with at least some people.

- ÆCIII

 

[Ogre]

Agree from a relative perspective, but the Tax Credits are supposed to be an incentive that is independent of inflation. The same (amount) Tax Credits were in place back in 2018 and 2019, when inflation was well under 3 %.

So if tax credits are to offset inflation, then they are no longer 'incentives' as they once were. That's probably why my earlier post #333 probably resonates with at least some people.

- ÆCIII

The consumer credits are the same.

The manufacturer credits did not exist and are what reduces Teslas costs and the end price. Also, when the Cybertruck was launched, Teslas didn’t qualify for the consumer incentives either.

 

[Crissa]

The manufacturer credits did not exist and are what reduces Teslas costs and the end price. Also, when the Cybertruck was launched, Teslas didn’t qualify for the consumer incentives either.

Technically, the credits didn't run out until the end of 2019, but yes, the Cybertruck would've been planned without them.

And even if the tax credits only offset inflation (they're each much bigger than inflation, let alone both together) that would still be an enticement to develop, because it would still be reducing costs.

-Crissa

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