General Motors’ (GM) Cadillac doesn’t plan to let Tesla Motors (TSLA) corner the electric car market without a fight.
According to Automotive News, GM has set up a small team to study Tesla. The company plans to compete against the electric car manufacturer. General Motors CEO Dan Akerson said that GM will sell more of its Chevrolet Volts and will make more off of the than what Tesla will with their cars. A 2014 Volt goes for about $35,000 compared to about $71,000 for Tesla’s Model S. Included in GM’s plan to compete with Tesla is a $30,000 electric car with a 200 mile range, dropping the price of the next generation Volt, which is expected to be released in 2015 or 2016, by $7,000 to $10,000 and the Cadillac ELR, which has a small gasoline engine that can charge the battery once the car goes beyond its electric range and is expected to go on sale early next year.
“If you want to compete head-to-head with Tesla, and we ultimately will, you want to do it with a Cadillac,” Akerson told The Detroit News.