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Elon Musk said he wants the Tesla Model 3 to be cheaper



  • Tesla CEO Elon Musk said he wants the electric car manufacturer's Model 3 sedans to be less expensive in a June deposition obtained by PlainSite, an organization advocating transparency in the US legal system.
  • At the time of publication, Model 3 is listed for $ 39,490 on the Tesla website.
  • Tesla had previously included a $ 35,000 online trim but removed it from its website in April, saying customers could only order it by phone or in one of the company's stores.
  • A few weeks after the move, Musk said customers had not shown much interest in the $ 3,000 Model 3.
  • Visit the Business Insider website for more stories.

Tesla CEO Elon Musk said during a deposition in June that he wished the Model 3 sedan's electric car model was more affordable. The transcript of the deposition was obtained by PlainSite, an organization that advocates transparency in the US judicial system.

"In 2006, I wrote the master plan for Tesla and step three was a reasonable car, at least reasonably priced. It's not as affordable as we would like," Musk said of Model 3.

Tesla did not immediately respond to a request about comment.

At the time of publication, Model 3 is listed at $ 39,490 on the Tesla website. The company had previously included a $ 35,000 trim, but removed it from its website in April, saying customers could only order it by phone or in one of the company's stores. A few weeks after the move, Musk said customers had not shown much interest in the $ 3,000 $ Model 3.

"I mean, our goal, which we have been very clear from the start of the company, is to make our cars as affordable as And we felt it was important to offer $ 3,000,000 Model 3, "Musk said during Tesla's first-quarter earnings interview.

"We see very few people actually taking us into the $ 35,000 offer, but it is there and will remain there," he added.

The first deliveries of the $ 3,000 Model 3, which occurred in April, were a landmark for Tesla. The company says its mission is to "accelerate the world's transition to sustainable energy," and in a 2006 blog post, Musk described one of Tesla's long-term goals of using the revenue from advanced electric vehicles to fund the development of affordable models.

Musk would later frame Model 3 to meet this goal, and the hundreds of thousands of pre-orders Tesla received for Model 3 suggested demand for electric vehicles that expanded beyond early adopters willing to pay luxury prices.

began delivering advanced versions of Model 3 in July 201

7, but struggled to reach production targets for the next year amid excessive automation at the Fremont, California assembly plant. As the company smoothed its manufacturing process, Musk said it needed more time to make $ 3,000 $ Model 3. profitable.

Musk's deposition in June was part of a lawsuit filed by Tesla shareholders who claimed that members of Tesla's board of directors, including Musk then traded in their best interests, rather than with Tesla's investors, when they approved Tesla's $ 2.6 billion acquisition of solar panel company SolarCity in 2016.

Read the relevant sections of the deposit document below:

Elon Musk Deposition – Sola … by Bryan Logan on Scribd

Are you a current or former Tesla employee? Do you have an opinion on what it's like to work there? Contact this reporter at mmatousek@businessinsider.com. You can ask for more secure communication methods, such as Signal or ProtonMail, via email or Twitter direct message.


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