Tesla drops price of Model S
A Tesla car parked in Woodbury on November 6. With Elon Musk dropping the prices on cars, these cars might be seen more often.
December 5, 2020
Elon Musk, CEO of Tesla, announced a price drop for one of Tesla’s vehicles in response to a competing company dropping their prices significantly Oct. 14. This is the third price drop for the model S this year, and the second price drop in that week.
Earlier this year, electric car manufacturing company Lucid announced a price drop on one of their vehicles. The Lucid Air price had a price drop of $7500, making its current price $69,900 in order to compete with Tesla’s Model S.
“Tesla is so cemented in the industry. There’s no way they would be able to compete,” junior Spenser Menard said.
In response to this, Musk announced Tesla would drop the price of the Model S. The new price of $69,420 was announced in a tweet from Musk.
“It will help sales, as the price is significantly reduced from the 80 thousand that the Model S originally was,” junior Tyler Hartman said.
This is not the first price drop for the Model S. Earlier that same week, there was a price drop of $3000 in order to keep up with the prices of their competitors, and earlier this year, there was a price cut of $2000.
According to Menard, the price drops were not necessary, as Tesla already dominates the electric car market, and it’s most likely just an attempt to make their cars more common.
The new price is also a reference to internet culture. The number in question, 69,420, has become an internet meme, along with Musk himself, most likely because of his eccentric personality.
“Even if you don’t like memes, it’s still a great deal, therefore, it will get sales no matter what,” Hartman said.
Along with the new price for the Model S, Musk announced new information regarding Tesla’s newest car, the Model Y. It was announced the Model Y would come with a seven passenger version, however specific details about seat arrangement have not been announced.
“A seven seater will improve sales, because the market right now wants all the SUVs and space they can get,” Hartman added. “Elon Musk is definitely popular with internet culture, because he relates to the audience.”
