For a while, Tesla’s electric cars were viewed as premium vehicles due to their high price tags. However, in recent years, the company has started to offer more affordable models, like the Tesla Model 3 which is priced starting at $35,000. This is by no means cheap, but it is more affordable compared to some of the company’s other electric cars.
This in part has to do with the battery of the car, which is expensive to produce. However, speaking during Tesla’s Battery Day event, the company’s CEO Elon Musk revealed that he plans to ramp up battery production over the next 3 years to the point where it will scale up to become more affordable to produce, which in turn would lower the price of electric cars.
According to Musk, “About three years from now, we’re confident that we can make a $25,000 electric vehicle that’s also fully autonomous.” At a price tag of $25,000, this would make it the most affordable Tesla model to date. Musk also revealed that the engineering team has a plan to develop a new type of lithium battery that can be produced more quickly and is also more resilient to fast charging.
Assuming Tesla meets their goals, it would definitely make owning a Tesla more affordable, which in turn could increase its appeal and also the adoption of electric cars in general.