Tesla’s gigantic bet on a $ 35,000 car
It is a billion dollar risk: From September, company founder Elon Musk wants to build an electric car for the mass market. The project is ambitious, but the engineers are still not on the schedule.
Tesla is sticking to the ambitious schedule for its attack on the mass market. “We are on course to start the production of the first mid-class electric car in July,” said the CEO of the billion dollar company, Elon Musk, on Wednesday after US stock exchange. In September, the model 3 should go into serial production.
Musk is at high risk with the first mid range electric car from Tesla, which is priced at around 35,000 dollars to the masses. With the help of the model 3, the annual production is planned to rise to 500,000 by 2018 and to one million cars by 2020. Last year, the company produced only 84,000 vehicles.
In order to achieve his ambitious goals, Tesla has a lot of money in his hands and red numbers. Compared to the previous year, however, the loss in the fourth quarter fell from 320.4 to 121.3 million dollars (114.7 million euros). Sales grew surprisingly sharply by 88 percent to $ 2.3 billion.
The Gigafactory of Tesla
On the market, the quarterly figures were well received, and the approval of the Model 3 plans should have appealed to investors – Tesla has not always been able to meet the strict schedule requirements of its CEO in the past. The share rose by about 3 percent on a temporary basis. The size of the investors’ hopes is also reflected by the fact that the share price has already grown by almost 30 percent since the beginning of the year.
In the quarterly figures for the first time, revenues from the green electricity company SolarCity, which was bought in November, were included for the first time. Through the takeover, the solar plants can be integrated into Tesla’s energy sector. The company has been offering electricity storage for households and companies since last year and wants to add energy to the car market after the car industry.
Musk promises investors the first fully integrated and sustainable energy group in the world. An important part of the long-term strategy is the huge battery factory Gigafactory in Nevada, which Tesla opened last summer. In January, cell production began there. The project is the key to once again be able to produce electric cars for the mass market on a grand scale.