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Tesla Inc (TSLA) to Stop Selling Cheapest Model S

The Model S 60 and 60D will no longer be available after April 16

   

Tesla Inc (NASDAQ:TSLA) will stop selling the cheapest versions of its Models S next month.

Tesla Inc (TSLA) to Stop Selling Cheapest Model S
Source: Tesla

Tesla Inc will stop selling the Model S 60 and 60D on April 16, 2017. These versions of the Model S come with a 75 kWh battery that is limited to 60 kWh by software restrictions. The company says that most customers chose to buy the additional upgrade that unlocks the full 75 kWh.

Due to most customers choosing to upgrade to the 75 kWh option, Tesla Inc is removing the Model S 60 and 60D from its list of available vehicles next month. This decision comes as TSLA prepares to launch its next electric vehicle, the Model 3.

The Tesla Model 3 is expected to only cost around $35,000 and may include a battery pack below 60kWh. However, the test version of vehicle that the company has is powered by a 70kWh battery pack. The cheapest version of the Model S was priced at $68,000 and its removal may mean the company is making room for the new Model 3, reports Electrek.

“We introduced the Model S 60 kWh battery as a more affordable option to accelerate the adoption of electric vehicles,” Tesla Inc told Seeking Alpha. “However, most customers ended up buying an equivalent to the Model S 75 kWh. To simplify the ordering process for our customers, we will be removing the 60 kWh option from our lineup.”

The Model 3 isn’t the only new vehicle that Tesla Inc is preparing for. The company is also planning to release a Model Y sometime in the future. Current rumors claim that this new car will be shown off as early as next year.

TSLA stock was up slightly as of Monday morning.


Article printed from InvestorPlace Media, http://investorplace.com/2017/03/tesla-inc-model-s-tsla/.

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