Tesla CEO Elon Musk has been tempting the world with the dream of an affordable electric car for years and now may announce it, writes Reuters.
Musk announced last year that he was postponing plans to create a Tesla Model 2 that could be purchased for 25,000 dollars. The decision was made because it was not possible to create a new battery technology, which is crucial to make cars cheaper. Entering the consumer market is very important for the company to be able to increase production by 15 times by 2030. Tesla recently lowered the price of its cars to increase sales. The company’s shares are now 60% more valuable than a year ago, but still far from the high point in November 2021.
The affordable new car is expected to be the centerpiece of Musk’s new master plan, which he wants to announce on Wednesday, the 1st of March.
Whatever Musk says about deadlines, investors will be wary because the entrepreneur has a history of failing to meet deadlines. Tesla didn’t provide comments.
Musk’s hints about the Model 2 leave a lot to the imagination. He said in 2020 that developing an accessible car model at a reasonable price was always the dream of his company. A recently released video by Tesla engineers shows a small car with Tesla’s signature lines, and those following the company’s work assumed it could be the Model 2.
Investors will be watching closely for signs of a change in demand. There are plans to expand the production of the Cybertruck, which, according to Musk, will be mass-produced next year. It is also planned to open new Tesla factories, and Mexico, Canada, Indonesia, and South Korea are named as potential locations.
Read also: Elon Musk sets new world record in wealth decline