rr6013

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Youtube clip just out projecting pricing elasticity means demand for the EV pickup could make Tesla 50% profit margin.


 

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Mmmmm. I have my concerns for their projection. We don't KNOW what we're paying said $74k ASP for. Whats range? Size? Whats it do? Why that over other brands, obvious aside.

I think it'll be slightly cheaper than that. I am HOPING we get to lock launch price in, not get strung along in price increases. IDK.
 

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They seem to focus more on what Tesla can do and less on what Tesla will do. Also… zero concern about what Tesla dicking around with prices would do to existing orders. They completely ignore what happened with Rivian.
 


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But what is a 50% margin good for if theres nothing left to buy?

At that point even twitter looks interesting because although its not much, it is "something" at least.
 

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This is stupid. Tesla will not seek 50% margins and raise the price. Raising prices to maintain average margin is defensible. Gouging is not. In fact I suspect as Telsa volume increases and competition heats up their margins will drop to 15% or so.

Elon saw this back in Nov 2019. It was baked in.
 

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As a stockholder I want them to get 50% margins. That would be great.

As a Cybertruck reservation holder I would be completely pissed to pay 50% mark up over cost to produce when competitors make less than 10% (ignoring stealership markups). Unless, the price is competitive with other options available then margin doesn't matter as a consumer.

I don't want to pay $20k more than an F150 or Rivian just so they can make higher margins.
 


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rr6013

rr6013

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But what is a 50% margin good for if theres nothing left to buy?

At that point even twitter looks interesting because although its not much, it is "something" at least.
EM wants 12 Giga factories.

30% profit was unheard of, immoral if not illegal when AAPL broke new ground with its Cybertruck - the iPhone. Decades later Apple remains _the_most successful profitable company in history of world.

TSLA is on a mission. Time is of the essence. It’s going to good and moral cause. EM can honor his RN pricing then let the free markets decide. That’s capitalism.

What’s Apple done to save CO2 to deserve 30%? TSLA?
 

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What’s Apple done to save CO2 to deserve 30%?
Exactly. This is the overarching problem I keep pointing at all the time. Resouce allocation should not be by fiat currency, dictated by the whimsical and emotional hands of customers, who think "change" is included in a Iphone 14...🤢🤮🥴

It's only $100 more than the 13 for a reason as they keep selling those as well. What are the employees and engineers actually doing?? Let alone what is the company doing with it's profits? Mission to nowhere IMHO. Where's the Apple car anyway?

On the subject of software: All my PCs dual boot linux, I essentially only have to run Windows for CAD because there are no Linux equivalents. All my emails and documentation is on open source software running on a local linux home server and mirrored to a VPS. Now when I run my notebook on Linux I get twice the battery life and better performance.

Given the power consumption from personal computers worldwide wouldn't one good idea be to run more linux as a OS or get Microsoft (another rich legacy company going nowhere) to fix it. I truly wonder how much energy consumption could be reduced from a simple software patch.
 
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I don't know if I would - they'll be punished stupidly when they lower their margins to fill demand.

-Crissa
It will be interesting to see how TSLA walks back the price on the Y. Wait times are falling and Austin is just 1/5th of the way through it's ramp.

I can see production problems in Berlin this winter with the Russian driven energy crisis so maybe Austin will supply some of that demand, but otherwise Tesla will oversupply the $60k plus market.

I predict a $49,900 AWD 300 mile Y and CT2 equivalent for $59,900 by this time next year. The RWD Y with 270 range will go for $42,900 or something to support the price premium for the AWD.

Yikes - that would be a 20% price hike, and a 23% price reduction, but I still think that $10k spread between the Y and CT is necessary.

The CT looks might work in Tesla favor. There are many would be Tesla owners that just would not have a CT in their driveway even if $/mile/capability it is by far the best value.
 

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It will be interesting to see how TSLA walks back the price on the Y. Wait times are falling and Austin is just 1/5th of the way through it's ramp.

I can see production problems in Berlin this winter with the Russian driven energy crisis so maybe Austin will supply some of that demand, but otherwise Tesla will oversupply the $60k plus market.

I predict a $49,900 AWD 300 mile Y and CT2 equivalent for $59,900 by this time next year. The RWD Y with 270 range will go for $42,900 or something to support the price premium for the AWD.

Yikes - that would be a 20% price hike, and a 23% price reduction, but I still think that $10k spread between the Y and CT is necessary.

The CT looks might work in Tesla favor. There are many would be Tesla owners that just would not have a CT in their driveway even if $/mile/capability it is by far the best value.
Don't forget that on release the CT was already priced cheaper than the equivalent MY.

CT will be cheaper than MY. That alone gives you a ballpark.

 

 
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