Live data from Hacker News

Tesla cuts car prices by up to $5k

theverge.com

11–20 of 110 posts

Re: Tesla cuts car prices by up to $5k

#14
post #5

Earlier quoted context omitted.

If you expect reliability and quality, you also find the ownership experience to be different. I have owned three.

Please elaborate

One X was a lemon and spent months in the shop. The second X was better but still needs a warranty repair every few months. The 3 is better still but has had six or seven service visits.

Re: Tesla cuts car prices by up to $5k

#15
post #7

People keep talking about batteries getting cheaper, how likely is it that this largely reflects changes in the cost to Tesla to produce these vehicles? On the flip side how likely is it that this is cutting substantially into Tesla's profit margin?

They're trying to boost sales with price cuts:

https://www.reuters.com/article/us-tesla-prices/tesla-cuts-p...

All car manufacturers have seen sales decline due to the coronavirus pandemic.

Re: Tesla cuts car prices by up to $5k

#16

Makes sense. Model Y is picking up steam. I doubt they are selling 100% production of the other models (Y is eating a bit into sales of all 3). S and X are both in need of a refresh, they have worse battery tech than both the 3 and Y and missing some of the cool Y features (heat pump, octovalve). Current wait is 8-12 weeks on a Y, and only a week or two on the rest. In line for my first Tesla (a y). It has been a ver…

> Current wait is 8-12 weeks on a Y, and only a week or two on the rest. Here in Europe it's August for all of S/3/X.

You are waiting for Berlin to go up right? Or is that next year?

Re: Tesla cuts car prices by up to $5k

#17
post #10
post #7

People keep talking about batteries getting cheaper, how likely is it that this largely reflects changes in the cost to Tesla to produce these vehicles? On the flip side how likely is it that this is cutting substantially into Tesla's profit margin?

pricing rarely has anything to do with cost to produce, especially for goods are aren’t perceived as commodities

Like how the V8 Mustang is a 10k premium over the turbo four, there's absolutely not a 10k difference in production costs.

Re: Tesla cuts car prices by up to $5k

#19
post #10
post #7

People keep talking about batteries getting cheaper, how likely is it that this largely reflects changes in the cost to Tesla to produce these vehicles? On the flip side how likely is it that this is cutting substantially into Tesla's profit margin?

pricing rarely has anything to do with cost to produce, especially for goods are aren’t perceived as commodities

Tesla have claimed before that it does.

> “When we launched Model X 75D, it had a low gross margin. As we’ve achieved efficiencies, we are able to lower the price and pass along more value to our customers,” Tesla said in a statement. (2017)

In this case, selling excess inventory/capacity seems a more likely reason, perhaps also the introduction of new Model S/X variants/features.

Post reply on HN