Tesla launches cheaper Model X and Model S – Tesla has introduced new, lower-cost choices for customers who seek less range. The electric car makers reintroduced the “standard range” trim level on its two most costly models, which saves $10,000 and adds about 80 miles to the EV range.
The Model S now has a beginning price of $78,490 with a 320-mile range, while the Model X now has a starting price of $88,490 with a 269-mile range. The Model S is now $88,490 with 405 miles of range, while the Model X is now $98,490 with 348 miles of range.
This trim choice was previously abandoned in 2021 when Tesla began selling only the Plaid kits with extended range and high performance.
According to the product pages for the Model S and Model X, the new Standard Range trim weighs the same as the extended range option. This suggests that the vehicles use the same battery pack and that the range is limited by a software lock. Tesla may offer owners to unlock a greater range after purchase for the price difference.
This is the latest in a series of global price modifications made by Tesla in the last year, resulting in a decrease in gross margins. Several times in the last year, Tesla has reduced the price of the Model Y and Model 3. Prices for the higher-end Model S and Model X were also reduced. This newest adjustment differs from prior ones in that it is the first time Tesla has reduced the price and range to provide automobiles at a lower price point.
Competition intensifies among electric vehicle manufacturers
This new option arose in response to the increased competition in the electric vehicle business which Elon Musk’s electric car empire company confronted with.
In late July, seven major automakers — General Motors, BMW, Honda, Hyundai, Kia, Mercedes, and Stellantis — revealed plans to collaborate to develop a North American electric vehicle charging network to challenge Tesla. The multibillion-dollar investment would nearly increase the number of fast-charging ports in the United States and Canada by next summer, as more consumers convert from gas-powered vehicles to those that run on electricity.
The move would definitely put Tesla’s long reign to the test.
According to the Department of Energy, the company’s network presently boasts the fastest chargers in North America, with 2,050 stations and more than 22,000 plugs.
The seven automakers’ network would be open to all electric vehicle owners, including Teslas.
Earlier this month, Tesla’s longtime Chief Financial Officer Zachary Kirkhorn stepped down from the firm, sparking a momentary drop in Tesla stock. Kirkhorn was formerly considered a prospective successor to Musk as CEO.