Jump to content
  • William Maley
    William Maley

    Afterthoughts: All Eyes On (Model) 3

    Sign in to follow this  

      Why is Musk trying to pull away the spotlight from the Model 3?

    In the coming months, one of the most anticipated and important vehicles will begin rolling off the production line. The Tesla Model 3 has a lot riding on it as there are over 370,000 pre-orders for the upcoming entry-level model. This is the vehicle that can either make or break the company.

    So it seems quite interesting that Tesla is trying to pull attention away from this important model. During Tesla’s first-quarter earnings call, CEO Elon Musk expressed dismay at the lack of attention given to their flagship sedan, the Model S. 

    "We have seen some impact of Model S orders as a function of people being confused" that Model 3 is the upgrade to Model S, Musk said on a conference call.

    "We want to be super clear that Model 3 is not version 3 of our car. Model 3 is essentially a smaller, more affordable version of the Model S with fewer features,” Musk went on to say.

    But why is Musk trying to put the spotlight back on the Model S? One only needs to look at the customer deposits for the Model S and X. In the first quarter, deposits on both models dropped 7 percent. The Model S is also getting up there in age. Let us not forget that Model S was first shown back in 2009 and didn’t enter production till 2012. Despite the numerous over-the-air updates with new technology features such as Autopilot and upgrades to the powertrain, it is still the same vehicle we saw many moons ago. Considering the types of models the Model S competes against, this isn’t a good thing.

    Still, the Model 3 is the current sweetheart of Tesla whether they want it to be not. Unknowingly at the time when the world to the Model 3 back in 2015, Elon Musk had opened a Pandora’s Box. Many people like Tesla because they are not like your standard automaker and this has garnered the company a cult of personality that is more common with Apple or Google, not an automaker. When the Model 3 was shown and price tag revealed to be $35,000 (without federal and state tax incentives), everyone went crazy. People who envied those with either a Model S or X would now be able to join the cool kids and enjoy the perks of owning a Tesla.

    With all of these pre-orders, Tesla has to get these models out quickly or face the wrath of angry buyers. But there are some serious concerns as to whether or not Tesla can meet it. For one, the company has a long track record of missing production dates. Remember how the Model X was supposed to come out in early-2014? Thanks to a number of delays, Model X production didn’t begin until the fall of 2015. But Tesla believes they have a solution to get the Model 3 in production on time.

    Quote

    “Reuters reports that Tesla is skipping a step most automakers undertake when producing a new vehicle. Prototype tools are bought in on the production line to help determine issues in terms of fit and finish. Once these issues are worked out, the prototype tools are scrapped and automakers place orders for permanent and expensive tools. But Musk told investors last month, Tesla was jumping into the permanent and expensive part first so they can meet their self-imposed volume production deadline of September.” - Tesla's Big Gamble With Model 3 Production, April 26, 2017

     

    Tesla’s reasoning for skipping this step is that it brought a number of problems for the launch of the Model X. According to a source speaking to Reuters, “Tesla was unable to take any of the lessons learned from this before ordering the final production tooling,” due to a tight production deadline.

    "Soft tooling did very little for the program and arguably hurt things," said the source.

    One only needs to do a quick Google search on Model X issues to see a long list that includes massive gaps with the body panels and the futuristic Falcon Doors malfunctioning. But this is nothing new. Tesla’s build quality issues have been around for awhile and they still haven’t gotten them fully ironed out on either model. This isn’t a good sign when you’re getting to launch a model that will be produced in large quantities.

    If there is one thing that Tesla has proven time and time again, it has been their resilience. Despite the bad news or fault, they have always seemed to find a way out. The Model 3 will be the ultimate test of their resilience. If they can pull off the launch of the Model 3 with only a few hiccups, then it would propel the company towards a higher place. But one massive screw-up or miscalculation could put Tesla in a difficult spot, one they might not be able to get out.

    It makes sense that Elon Musk is trying to draw the attention away from the Model 3, but it is too late. The pandora's box has been opened and there is no way it can be shut. All eyes on are the Model 3 and Tesla just needs to ride it out.

    Sign in to follow this  


    User Feedback

    Recommended Comments

    Oops. Overpromising then underdelivering are never the right things to do.  I am sure they will figure all of this out, but car building is actually hard to do.  How Musk and Tesla deal with this kind of adversity will tell us whether Tesla itself will be truly viable or ends up more like a passing fad.

    Share this comment


    Link to comment
    Share on other sites

    Sounds like people better get prepared for a slip in the actual building and delivery of the Tesla 3. I question if they actually build and ship 25K this year.

    Share this comment


    Link to comment
    Share on other sites

    25K in 2017 would be a staggering success.
    There are those out there that still believe it'll be over 200K by December.

    Share this comment


    Link to comment
    Share on other sites


    Join the conversation

    You can post now and register later. If you have an account, sign in now to post with your account.
    Note: Your post will require moderator approval before it will be visible.

    Guest
    Add a comment...

    ×   Pasted as rich text.   Paste as plain text instead

      Only 75 emoji are allowed.

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor

    ×   You cannot paste images directly. Upload or insert images from URL.




  • Similar Content

    • By William Maley
      The news came during dinner last Monday. My mother asked if I would be able to take any time off of work, and I said that I might be able to if the circumstances were considered important. She revealed that my grandfather, her dad passed away that afternoon. It wasn’t from COVID-19, but other complications that had put in him the hospital since early June. After dinner, I needed some time and space to begin processing the news. So I grabbed the keys to my car and went for a drive.
      The past few months have been difficult for all of us in varying degrees with COVID-19. Many places going on lockdown have caused massive disruptions to how we work, travel, and interact with the world. I have been hunkered down at home since mid-March when my employer announced our office would be closed for the time being, and we would be working from home. During the first month or so, I had put a moratorium on driving except for essential places such as the grocery store or pharmacy. Isolating to prevent catching and/or spreading the virus took priority over going for a drive. But after a month of just being in a house with family and doing the same things over and over, I was going stir crazy. 
      I realized that I needed some space to not only prevent myself from losing it, but to give me some room to think about everything floating in my mind. Going for daily walks either by myself or with the dog helped a bit. But I still felt like I needed some more space, more time to myself.
      Back in 2015, I wrote an Afterthoughts column titled The Escape Machine. I talked about how the car for some of us was a way to escape the world for a time. You could go anywhere depending on how much fuel was in the tank and give the space needed to clear or process whatever was on the mind. I ended the piece with these two lines,
      That decision for me came in late April/early May. I would go for long drives, provided that I would wear a mask if I got out to go for a walk. Going for the first drive in over a month was a bit of revelation. Turing the steering wheel, pressing down on the accelerator and brake; and watching the world go past in blur made me realize how much I missed this. This seems like a trope, but you have a newfound appreciation for something you haven’t done in some time. This also gave me the space to begin piecing together various thoughts such as how do I keep myself from falling into the endless pit of despair, what can I do to keep myself from feeling bored, and do I dive back into automotive writing.
      I didn’t know how important this would become in the coming weeks as COVID-19 cases increased, the economy would come to a screeching halt; and the murder of George Floyd and the ensuing fallout. Whenever my mind would become overwhelmed or I just get too frustrated, I would hop into my vehicle and go somewhere. It didn’t matter where or how long, just as long as I had some space to think or to calm down, it would be enough.
      Back to last Monday night. As I drove, there was a lot I needed to process in terms of grief and wondering what would happen next: Would there be a funeral, what precautions should I take, will it be a long ceremony, and so on. I didn’t come up with any clear answers to these questions, but having that time to start putting things into perspective helped. 
      It was on the way back that another thought popped into my head. At the moment, we’re all trying to find some sense of normal in a world that isn’t. For auto enthusiasts, that is to drive as it gives some sort of control. It may be a small thing, but they provide some much-needed comfort.
      Like many of us, I don’t what the rest of year holds if it continues to be a landfill fire or somehow begins to contain itself. But I do know that I’ll likely be taking more drives, whether that be my car or one that I’m reviewing. Having something that provides a sense of normal is welcomed.

      View full article
    • By William Maley
      The news came during dinner last Monday. My mother asked if I would be able to take any time off of work, and I said that I might be able to if the circumstances were considered important. She revealed that my grandfather, her dad passed away that afternoon. It wasn’t from COVID-19, but other complications that had put in him the hospital since early June. After dinner, I needed some time and space to begin processing the news. So I grabbed the keys to my car and went for a drive.
      The past few months have been difficult for all of us in varying degrees with COVID-19. Many places going on lockdown have caused massive disruptions to how we work, travel, and interact with the world. I have been hunkered down at home since mid-March when my employer announced our office would be closed for the time being, and we would be working from home. During the first month or so, I had put a moratorium on driving except for essential places such as the grocery store or pharmacy. Isolating to prevent catching and/or spreading the virus took priority over going for a drive. But after a month of just being in a house with family and doing the same things over and over, I was going stir crazy. 
      I realized that I needed some space to not only prevent myself from losing it, but to give me some room to think about everything floating in my mind. Going for daily walks either by myself or with the dog helped a bit. But I still felt like I needed some more space, more time to myself.
      Back in 2015, I wrote an Afterthoughts column titled The Escape Machine. I talked about how the car for some of us was a way to escape the world for a time. You could go anywhere depending on how much fuel was in the tank and give the space needed to clear or process whatever was on the mind. I ended the piece with these two lines,
      That decision for me came in late April/early May. I would go for long drives, provided that I would wear a mask if I got out to go for a walk. Going for the first drive in over a month was a bit of revelation. Turing the steering wheel, pressing down on the accelerator and brake; and watching the world go past in blur made me realize how much I missed this. This seems like a trope, but you have a newfound appreciation for something you haven’t done in some time. This also gave me the space to begin piecing together various thoughts such as how do I keep myself from falling into the endless pit of despair, what can I do to keep myself from feeling bored, and do I dive back into automotive writing.
      I didn’t know how important this would become in the coming weeks as COVID-19 cases increased, the economy would come to a screeching halt; and the murder of George Floyd and the ensuing fallout. Whenever my mind would become overwhelmed or I just get too frustrated, I would hop into my vehicle and go somewhere. It didn’t matter where or how long, just as long as I had some space to think or to calm down, it would be enough.
      Back to last Monday night. As I drove, there was a lot I needed to process in terms of grief and wondering what would happen next: Would there be a funeral, what precautions should I take, will it be a long ceremony, and so on. I didn’t come up with any clear answers to these questions, but having that time to start putting things into perspective helped. 
      It was on the way back that another thought popped into my head. At the moment, we’re all trying to find some sense of normal in a world that isn’t. For auto enthusiasts, that is to drive as it gives some sort of control. It may be a small thing, but they provide some much-needed comfort.
      Like many of us, I don’t what the rest of year holds if it continues to be a landfill fire or somehow begins to contain itself. But I do know that I’ll likely be taking more drives, whether that be my car or one that I’m reviewing. Having something that provides a sense of normal is welcomed.
    • By Drew Dowdell
      The Tesla Model 3 nearly broke into the top 10 best selling vehicles in Europe for September 2019, missing the mark by just 217 units.  Overall, sales growth in the EU is strong with 14 markets reporting positive numbers.  Germany came in at 9.1 percent and Italy came in at 6.5 percent.  Battery electric vehicles were up sharply, increasing 119 percent, of which Tesla controlled nearly 50% of that number.  Total Tesla registrations were 19,500 out of the 40,700 BEVs registered.  That put the Tesla Model 3 as the best selling BEV in Europe. 
      For September, the Volkwagen Golf was the best selling vehicle in Europe with 32,398 units registered. 
      Tesla shares jumped 18 percent yesterday after a surprise profit for Q3 of $1.86 per share, up from an expected loss of 42 cents per share. 

      View full article
    • By Drew Dowdell
      The Tesla Model 3 nearly broke into the top 10 best selling vehicles in Europe for September 2019, missing the mark by just 217 units.  Overall, sales growth in the EU is strong with 14 markets reporting positive numbers.  Germany came in at 9.1 percent and Italy came in at 6.5 percent.  Battery electric vehicles were up sharply, increasing 119 percent, of which Tesla controlled nearly 50% of that number.  Total Tesla registrations were 19,500 out of the 40,700 BEVs registered.  That put the Tesla Model 3 as the best selling BEV in Europe. 
      For September, the Volkwagen Golf was the best selling vehicle in Europe with 32,398 units registered. 
      Tesla shares jumped 18 percent yesterday after a surprise profit for Q3 of $1.86 per share, up from an expected loss of 42 cents per share. 
  • Posts

  • Social Stream

  • Today's Birthdays

    1. GMinTheDriveway
      GMinTheDriveway
      (52 years old)
  • Who's Online (See full list)

  • My Clubs

About us

CheersandGears.com - Founded 2001

We ♥ Cars

Get in touch

Follow us

Recent tweets

facebook

×
×
  • Create New...