Dual Motor CT will be $75K. Change my mind.

JBee

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The truck with reasonable specs (not single motor model) will not be priced less than the Model Y LR. Never going to happen IMHO They will end up pulling significant sales from the Y to the truck. Tesla has so much room now on pricing with Ford, Rivian, and GM raising their truck prices and their current pricing actions show they will never leave money on the table. Wish all you want, but this is never going to happen. Only thing likely is they kill the upper model specs to keep costs down, and that is a lose lose situation IMHO.
They cannibalized Model S and X sales with 3, and now with MY and 4680, structural packs and castings making each version more profitable than the last.

CT will outsell them all combined because it is even more production and cost optimized.

Why wouldn't Tesla make a new model car to outsell them all????
Every car manufacture does this. It's normal.

The only metric for profitability that counts is "cost per unit" versus "sale price per unit".
If they can make CT for less than a Model Y then why wouldn't you, as a manufacturer, want to just make CT's for a market that can absorb those vehicle numbers, and that type of vehicle, for the same if not more profit??

Tesla would be stupid not to.

 

Cherokee180C

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They cannibalized Model S and X sales with 3, and now with MY and 4680, structural packs and castings making each version more profitable than the last.

CT will outsell them all combined because it is even more production and cost optimized.

Why wouldn't Tesla make a new model car to outsell them all????
Every car manufacture does this. It's normal.

The only metric for profitability that counts is "cost per unit" versus "sale price per unit".
If they can make CT for less than a Model Y then why wouldn't you, as a manufacturer, want to just make CT's for a market that can absorb those vehicle numbers, and that type of vehicle, for the same if not more profit??

Tesla would be stupid not to.
Supply Demand period. They will not be able to meet supply for a long time and price is the only mechanism to control. They have never met their pricing goals yet and that is due to the insane demand.
 

JBee

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Supply Demand period. They will not be able to meet supply for a long time and price is the only mechanism to control. They have never met their pricing goals yet and that is due to the insane demand.
They have had supply issues as well, like many others. Covid etc too, which still has lingering effects in China.

Regardless, my comments were in regard to it being that Tesla intentionally designed the CT to be more profitable than any other previous model they made, allowing them, once CT had ramped production, to reduce the other model production rates so they could earn more with the CT and the limited supplies they have.
 
OP
OP

Bob Anderson

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They have had supply issues as well, like many others. Covid etc too, which still has lingering effects in China.

Regardless, my comments were in regard to it being that Tesla intentionally designed the CT to be more profitable than any other previous model they made, allowing them, once CT had ramped production, to reduce the other model production rates so they could earn more with the CT and the limited supplies they have.
I've been noticing 2 types of commenters on these forums, the hopefuls, and the realists. Both have their valid points.

The hopefuls have never bought a new vehicle, let alone a vehicle >$50k. They are sensitive to the idea that the price could very well increase out of their budget. Their reasoning for the price staying low is that too much of an increase would make Tesla seem greedy, and that would hurt the brand image. They view Tesla as different than other automakers and not in it for the money, but rather trying to change the world to EVs.

The realists look at the CT, what features it will have, the competition (including Tesla's own vehicles), the astronomical reservation list, and have concluded the CT will be much more expensive than originally promised. Tesla has raised prices to meet demand before, and the CT will be no different. Some reservation holders will be mad at no longer being able to afford their dream truck, but at the end of the day, demand is far exceeding supply and it would be foolish for Tesla to leave money on the table.

Both the hopefuls and realists have valid points, and truth is, no matter how much they claim, neither knows any more about prices and specs than the next guy. Oddly enough, I am a hopeful realist. I've never spent over $10k on a vehicle, but at the same time, I HOPE Tesla can sell this truck for as much as possible. I suspect most of us are shareholders and plan to buy CT because of this, so if Tesla is highly successful w/ CT and can make insane margins off of it, you also benefit even if the truck now costs more. Just my 2 cents.
 

JBee

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I've been noticing 2 types of commenters on these forums, the hopefuls, and the realists. Both have their valid points.

The hopefuls have never bought a new vehicle, let alone a vehicle >$50k. They are sensitive to the idea that the price could very well increase out of their budget. Their reasoning for the price staying low is that too much of an increase would make Tesla seem greedy, and that would hurt the brand image. They view Tesla as different than other automakers and not in it for the money, but rather trying to change the world to EVs.

The realists look at the CT, what features it will have, the competition (including Tesla's own vehicles), the astronomical reservation list, and have concluded the CT will be much more expensive than originally promised. Tesla has raised prices to meet demand before, and the CT will be no different. Some reservation holders will be mad at no longer being able to afford their dream truck, but at the end of the day, demand is far exceeding supply and it would be foolish for Tesla to leave money on the table.

Both the hopefuls and realists have valid points, and truth is, no matter how much they claim, neither knows any more about prices and specs than the next guy. Oddly enough, I am a hopeful realist. I've never spent over $10k on a vehicle, but at the same time, I HOPE Tesla can sell this truck for as much as possible. I suspect most of us are shareholders and plan to buy CT because of this, so if Tesla is highly successful w/ CT and can make insane margins off of it, you also benefit even if the truck now costs more. Just my 2 cents.
I'm not sure I feel that comfortable being compartmentalised by a 2 cent armchair psychiatrist... :oops: 🤪 ;)😭:ROFLMAO:☺

But...I am not a shareholder, have bought lots of new cars over $70k, don't really care for money except for understanding the reality of what it is, and consequently trying not to use it for what I want to do, because I think it does more harm than good.

On the subject of specs and prices; I'm more concerned with the engineering and manufacturing than the hype or widget value, the market constraints as well as the opportunities, whilst being fully aware that Tesla can’t even spend the money they have, let alone the money they will make from the CT when its in production.

Tesla having more money by charging a CT premium solves nothing for them, because they don't have enough resources and subsequently can't employ enough people that they can spend it on.

Have a listen to what EM complains about; resource mining, supply chains, red tape, politics, free speech.

He is hitting the wall of legacy industry and corrupt systems that do not support his endeavours nor his methods.

The one thing you haven't heard him whining about since M3 production was profitable was money.

They have enough money sitting in cash to do whatever they want, on top of that they can get finance to that again, and a third time with share round. If the circumstances would let them grow faster they would.

The reality is that adding zeros to their bank balance does nothing atm to reach their goals. Its only those with two cents in their pocket that can't imagine a place where money doesn't get what you want, because the world simply hasn't got the things you need to buy.
 


Crissa

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It's not realist to say the Cybertruck will have plaid pricing. The Cybertruck was announced with a price below the announced price of the Model Y. It's not realist to say it'll exceed the Model Y.

This is supposed to be the cheap way to build a vehicle. All folds and easy angles. As little stamping and coatings as possible.

And they would have had a few years' inflation built into the price... because they weren't expecting to sell them until now.

I know I've said this before.

-Crissa
 

JBee

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It's not realist to say the Cybertruck will have plaid pricing. The Cybertruck was announced with a price below the announced price of the Model Y. It's not realist to say it'll exceed the Model Y.

This is supposed to be the cheap way to build a vehicle. All folds and easy angles. As little stamping and coatings as possible.

And they would have had a few years' inflation built into the price... because they weren't expecting to sell them until now.

I know I've said this before.

-Crissa
Should really just write one comprehensive account of why its like that, and then copy paste it everytime the topic rears its head. ;)

Crissa, maybe us two should do a "fact" section? :ROFLMAO::ROFLMAO::rolleyes:
 

charliemagpie

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It's not realist to say the Cybertruck will have plaid pricing. The Cybertruck was announced with a price below the announced price of the Model Y. It's not realist to say it'll exceed the Model Y.

This is supposed to be the cheap way to build a vehicle. All folds and easy angles. As little stamping and coatings as possible.

And they would have had a few years' inflation built into the price... because they weren't expecting to sell them until now.

I know I've said this before.

-Crissa
And Glue

As shown up in the latest Munroe Vid. with some tack welds.

Saving how much time (and money) ?
 

HaulingAss

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First impressions are important in marketing. Tesla won't want all the negative hype on release to be about how expensive the Cybertruck is. They will want the hype to be about how great it is. I think they will start with a reasonable price, test demand then start slowly raising. They are in it for the long game and first impressions matter. Ford is doing it nicely with the Lightning and Rivian botched it.
Tesla always starts production with negative margins on every new vehicle, even when they only sell the higher spec versions first, before they get to the entry level versions. As they ramp production numbers, the vehicle becomes profitable.

The release price of the Cybertruck will be the price Tesla thinks they can sell it for at least the next couple of years without raising or lowering the price and they will make it profitable by ramping to ever-increasing volumes. I'll go a step further and say the release price will be held steady for all existing reservationists. It will be a screaming value, whatever it is.
 


Cherokee180C

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I've been noticing 2 types of commenters on these forums, the hopefuls, and the realists. Both have their valid points.

The hopefuls have never bought a new vehicle, let alone a vehicle >$50k. They are sensitive to the idea that the price could very well increase out of their budget. Their reasoning for the price staying low is that too much of an increase would make Tesla seem greedy, and that would hurt the brand image. They view Tesla as different than other automakers and not in it for the money, but rather trying to change the world to EVs.

The realists look at the CT, what features it will have, the competition (including Tesla's own vehicles), the astronomical reservation list, and have concluded the CT will be much more expensive than originally promised. Tesla has raised prices to meet demand before, and the CT will be no different. Some reservation holders will be mad at no longer being able to afford their dream truck, but at the end of the day, demand is far exceeding supply and it would be foolish for Tesla to leave money on the table.

Both the hopefuls and realists have valid points, and truth is, no matter how much they claim, neither knows any more about prices and specs than the next guy. Oddly enough, I am a hopeful realist. I've never spent over $10k on a vehicle, but at the same time, I HOPE Tesla can sell this truck for as much as possible. I suspect most of us are shareholders and plan to buy CT because of this, so if Tesla is highly successful w/ CT and can make insane margins off of it, you also benefit even if the truck now costs more. Just my 2 cents.
Very good summary with one caveat. Some of the realists believe in data. We back our opinions from that data. Most of the hopefuls do not have any data to back their opinions. Also there is no logic in their arguments. The mission of Tesla is to speed up the world conversion to power vehicles with fully renewable resources. To do that you need many more gigafactories. In fact even the 2030 goals of 20 million vehicles cannot be met without more gigafactories. That takes billions in cash flow. Sorry but Tesla doesn't leave substantial money on the table to look nice. They have never done so to this point, and they will not do so in the near term future. They spend $0 on advertising so looking nice isnt really a high priority. Even at the higher end of pricing talked about above, In fact Tesla will be leaving money on table with that many reservations. They could easily charge over 100K and still sell out for probably 1.5 years or more.

Look, I want it to be cheaper like everyone else, but what many don't realize, is you need the rich to subsidize production through the growth phase until true volume optimization and cost reductions can occur.
 

anionic1

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The good thing we have going for us is that the economy is turning. Raw material prices are coming down and they did show the world pricing when it was revealed. So there is economic help to keep the numbers lower and elons ego may help keep it lower since he already shot numbers out there. I bet after the solar roof fiasco and the crazy economic swings he will stop advertising pricing on future products until much closer to release.
 

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Tesla never announced a $25k car.

A $25k car was listed as a future aspiration after they scale 4680 production. This was on a slide at Battery Day in 2020, almost a year after the Cybertruck reveal.

-Crissa
Every time the $25k car is mentioned Elon starts talking about all the other factors like car sharing that would make the real cost $25k
 

Crissa

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Every time the $25k car is mentioned Elon starts talking about all the other factors like car sharing that would make the real cost $25k
At the point that they can release that car, there are other things which would come into play, which is why Elon tries to talk about those other things. Like automation.

-Crissa

 

 
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