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Abstract:Tesla CEO Elon Musk said the automaker will one day make vehicles that cost less than its Model 3 sedan.
Tesla CEO Elon Musk said the automaker will one day make vehicles that cost less than its Model 3 sedan, which starts at $35,000 before federal and state incentives.But it will take around three years for such a vehicle to arrive, Musk said on Thursday.Musk declined to name potential price points for any future, lower-priced vehicles, but he said during a 2018 interview that Tesla may make a car that costs $25,000 in around three years.Tesla CEO Elon Musk said the automaker will one day make vehicles that cost less than its Model 3 sedan, which starts at $35,000 before federal and state incentives.“Will there be future models that cost less? Yes, but they wont be soon. It will be at least two to three years, probably closer to three years,” Musk said during a conference call with reporters on Thursday, February 28. On Wednesday, Tesla published a recording of the call on its website.Read more: Tesla's reputation with consumers took a big hit after a wild year, according to a new poll Musk declined to name potential price points for the future, lower-priced vehicles, but he said during a 2018 interview with YouTube personality Marques Brownlee that Tesla may make a car that costs $25,000. Musk said at the time that a $25,000 car could arrive in three years.“If we work really hard, I think maybe we can do that in three years,” Musk said.Before the Thursday conference call, Tesla announced the Model 3's long-awaited price cut to $35,000 and lowered the prices of its Model S sedan and Model X SUV as well. The automaker said it would have to shift to an online-only sales model and close many of its stores to make the price cuts financially feasible. In a 2006 blog post, Musk described a longterm plan for Tesla to use the proceeds from high-end electric vehicles to fund the production of lower-priced vehicles.“The strategy of Tesla is to enter at the high end of the market, where customers are prepared to pay a premium, and then drive down market as fast as possible to higher unit volume and lower prices with each successive model,” Musk said at the time.Tesla's first vehicle was its Roadster sports car. It followed the Roadster with the Model S, a luxury sedan, and the Model X, a luxury SUV. The $35,000 Model 3 is Tesla's first vehicle priced for the mass market. Musk has said Tesla's next vehicle, the Model Y crossover SUV, will cost around 10% more than the Model 3.Read more:Tesla's bull case stands on shaky groundA Tesla driver appears to be sleeping on the highway in a Twitter videoTesla will unveil the Model Y this month — here's everything we know about the vehicle so far2019 was supposed to be easy for Tesla, but now it's a circu
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The global market reacts to various developments, including Tesla's profit miss, China's interest rate cut, Bernard Arnault's net worth decline, and typhoon Gaemi's impact. The Mt. Gox compensation, Lineage Inc.'s IPO, and Netanyahu's speech in the US Congress also influence market dynamics. European banks' mixed performance, Canada's rate cut, and Russia's sanction issues add to the market fluctuations, along with South Korea's GDP contraction and stable oil prices.
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