Tesla hastens the launch of more affordable models due to sales decline.

Eulerpool News·

Tesla, a pioneer in the electric vehicle industry, faces increasing competitive pressure, particularly from more affordable Chinese automakers and growing interest in hybrid models. Elon Musk, CEO of the U.S. electric car manufacturer, thus announces an earlier market introduction of more cost-effective models. Originally planned for the second half of 2025, these more affordable vehicles are now to be produced ahead of schedule. Musk reaffirmed his belief that the future lies in purely electric drives and that Tesla will develop self-driving cars that will revolutionize the industry. Details about the launch dates and prices of the new or modified models were left unanswered at the recent analyst conference. The announcement coincides with Musk's promise of revolutionary production techniques that are supposed to enable particularly efficient manufacturing. While the Robotaxi project, announced for August 8th, is still expected to be based on an innovative platform, the company plans to use existing production lines for the more affordable models and combine proven and new processes. Despite declining sales figures in the first quarter, which marked a shortfall in delivery expectations with a 20 percent drop compared to the previous quarter, Tesla maintains its expectation of sales growth. The figures also reflect Musk's vision of autonomously driving vehicles. He presents them as a potential source of income for owners who could rent them out in a manner similar to Airbnb or Uber. However, this vision remains unachieved due to technological challenges. Nonetheless, Musk is convinced of discussions with other automakers about licensing the "Autopilot" technology, even though implementation would take years. Financially, Tesla presented disappointing quarterly results, with a nine percent drop in sales and a 55 percent decrease in quarterly profit. Despite these numbers, the Tesla stock rose in early U.S. trading, driven by Musk's visions. At the same time, the company faces the challenge of integrating its humanoid robots "Optimus" into the production process and offering them for sale in the medium term. In the context of current developments and challenges, Tesla is adjusting its business strategy to maintain a leading role in the rapidly changing automotive market.
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