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Home Read a ride Cars/SUVs

Tesla slashes $100,000 off Model S and X prices

David Ijaseun by David Ijaseun
August 17, 2023
in Cars/SUVs, Premium
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Tesla Model X [Photo Credit WallpaperAccess]

Tesla Model X [Photo Credit WallpaperAccess]

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Tesla (NASDAQGS:TSLA) has reintroduced the popular “Standard Range” choice for its premium Model S and Model X vehicles. This decision has led to a substantial price drop of approximately $10,000 USD for each of these luxury models, reigniting interest among potential buyers. The ‘Standard Range’ option had been discontinued in 2021 but has now returned with a bang.

With this move, the starting price for the renowned Model S has seen a significant adjustment, dropping from $88,490 USD to a more affordable $78,490 USD. However, this change does come with a trade-off in terms of driving range.

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The ‘Standard Range’ Model S now offers an estimated driving range of about 320 miles, a reduction from its previous 405 miles. Similarly, for the Model X, the initial price has been revised from $98,490 to $88,490, though the range has been slightly reduced from 348 miles to around 269 miles.

Tesla car
Tesla

What’s interesting to note is that Tesla’s descriptions of the ‘Standard Range’ model indicate that it carries the same weight as the pricier ‘Extended Range’ models. This suggests that the difference in mileage could be attributed to software limitations. This approach might pave the way for Tesla to offer mileage upgrades through subscription-based models in the future.

However, recent events have underscored potential vulnerabilities in software-based offerings. A group of researchers managed to bypass payment restrictions and unlock paid features using a technique called jailbreaking.

These price adjustments for the Model S and Model X follow a series of changes made to the Model Y and Model 3. These modifications align with Tesla’s efforts to improve its gross margins. Notably, this is the first time a reduction in mileage accompanies a price adjustment. This strategic move could lay the groundwork for future upselling opportunities or ensure satisfaction among customers who purchased these vehicles at full price prior to the price reduction.

Read more on Elon Musk’s genius move: Tesla’s price cuts led to a sales surge in electric vehicles

Article written by Michael

Tags: Around the worldTesla

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