Elon's statement concerning the future compact version was that it would have "half the cost" (roughly) of the Models 3 and Y.
So I assume that it will still be ~ 28% profit margin but that will be ~28% of $30k or so. Less cash profit, but similar profit margin over the cost to build it. Even if that model makes a significant dent in the sales of the Models 3 and Y I don't think it will matter much. Tesla will be continuing to bring in massive amounts of cash from their new products or expansion of existing products.
I agree with Cujet's assessment of the SUV market. But we also know that for many consumers, an EV is a second vehicle.They may already own an SUV or pickup for boat or trailer hauling or a work vehicle. But for younger people, an "econobox" that doesn't cost a lot and will be used primarily for short commutes in an urban environment will be very practical in an EV form factor. So I predict that the new model won't really be competing with the popular SUV's but will fill a niche for low(er) cost urban commuters and low operating costs.
Where will it be built ? Maybe Shanghai. I saw on the news that they are getting ready for a massive expansion of the Berlin Gigfactory. And I think we will see an additional North American Gigafactory either in Canada or Mexico. And probably another European Gigafactory, possibly in Ireland, Or maybe in an Eastern European location known to have a skilled workforce like Poland or Czechoslovakia. Sooner or later we'll see one on the Indian subcontinent as well. We know that barring governmental interference or outside interference by environmentalists or other activists, Tesla can build a Gigafactory and have vehicles coming off of the assembly line in less than 1.5 years. Who else can do that ?
So I assume that it will still be ~ 28% profit margin but that will be ~28% of $30k or so. Less cash profit, but similar profit margin over the cost to build it. Even if that model makes a significant dent in the sales of the Models 3 and Y I don't think it will matter much. Tesla will be continuing to bring in massive amounts of cash from their new products or expansion of existing products.
I agree with Cujet's assessment of the SUV market. But we also know that for many consumers, an EV is a second vehicle.They may already own an SUV or pickup for boat or trailer hauling or a work vehicle. But for younger people, an "econobox" that doesn't cost a lot and will be used primarily for short commutes in an urban environment will be very practical in an EV form factor. So I predict that the new model won't really be competing with the popular SUV's but will fill a niche for low(er) cost urban commuters and low operating costs.
Where will it be built ? Maybe Shanghai. I saw on the news that they are getting ready for a massive expansion of the Berlin Gigfactory. And I think we will see an additional North American Gigafactory either in Canada or Mexico. And probably another European Gigafactory, possibly in Ireland, Or maybe in an Eastern European location known to have a skilled workforce like Poland or Czechoslovakia. Sooner or later we'll see one on the Indian subcontinent as well. We know that barring governmental interference or outside interference by environmentalists or other activists, Tesla can build a Gigafactory and have vehicles coming off of the assembly line in less than 1.5 years. Who else can do that ?
