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07 June 2018, 12:03 | Austin Hogan
Second Measure Second Measure
Musk spoke at the company's shareholder meeting on Tuesday and suggested the vehicle may not even have a steering wheel. He did not mention if the $35,000 figure included a $7,500 U.S. tax credit to buyers of electric vehicles.
Musk appeared on stage visibly shaken with a quiver in his voice.
Tesla has plenty of new products in the works, but one thing it will never build is a motorcycle, despite Elon Musk's penchant for biker jackets.
Musk, who has insisted the company will not need to raise money this year, has also come under fire for his behaviour during an earnings conference call last month, in which he cut off analysts posing financial queries, rejecting them as "boring, bonehead questions".
Although the eco-friendly auto is one of Tesla's more affordable models, those looking to buy the vehicle may be waiting months before they can get behind the wheel.
Tesla better prepare for hundreds of thousands of orders. That's eased the carmaker's cash burn, but some Model 3 reservation holders sought assurances their wait wouldn't be for naught.
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The shareholders he represents want Tesla to succeed, he said, "but the current board is an obstacle, not an aid, to these goals".
The company's share price climbed more than 7% during trading hours.
We are just a few weeks out before the end of the quarter, which means that he has good insights into the status of the production going into the third quarter. Musk answered a question about producing a compact auto smaller than the Model 3 by saying that it's likely that Tesla would offer such a vehicle "in the next five years". Shares fell as much as seven per cent after Musk's snub, evaporating $2 billion United States from Tesla's stock market value. By then, Tesla's production lines should have worked all the kinks out and be able to ramp up more quickly to a new model.
He added said the electric auto maker will soon produce more batteries at its Nevada Gigafactory than all other electric vehicle companies combined, including those in China.
Set to share many of its parts with the Model 3 sedan, the Model Y will essentially be a smaller version of the Model X and aim to become the most affordable, all-electric crossover on the market. We should know more about production plans for the vehicle before the end of the year, but production likely won't start until early 2020. "We would do so right now if it was physically possible".
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