Tesla has made headlines the past few weeks due to fluctuating share value and CEO Elon Musk’s emotional and bold public persona. While the electric car pioneer has been known for over a decade as a beacon of fossil fuel alternatives and green energy, he has also become arguably synonymous with questionable profitability. Here are our picks for the top 3 recent updates from the world’s most buzz-worthy vehicle manufacturer.
Tesla Going Private?
Elon Musk made major waves in the capital markets space earlier this month by declaring via Twitter that he is considering taking Tesla private. The Tweet also indicated that he had secured funding—A statement that was proven to be more of a projection than a promise. Even for those who are not savvy on capital markets and financial lingo so be interested in the potential repercussions of this. Firstly, having Tesla in the public markets has afforded the company a generous amount of equity capital despite missed production targets. Musk has been vocal regarding his frustrations in operating Tesla as a public company, citing shareholder quarterly earnings expectations that put unnecessary pressure on the company and don’t serve its future outlook. Privatization would allow Tesla to prioritize its long-term goals, such as research and development, and focus on innovation.
A Safe Investment
The first Tesla Model 3 safety test results were released by The Insurance Institute for Highway Safety (IIHS) in May, claiming the vehicle achieved a “superior rating for front crash prevention.” This is largely due to its large crumple zone and lack of front engine.
Since these results were released, several drivers have witnessed the safety rating first hand, including a Portland couple that was hit at such a remarkable impact that it pushed the Model 3 nearly 20 ft after the collision. While multiple panels were dented, the structural integrity of the vehicle was barely compromised and couple walked away without major injuries.
Tesla achieved top safety ratings for the Model S and Model X vehicles release prior to the Model 3. All three models share active safety features powered by an Autopilot system, including Automatic Emergency Braking.
An Affordable Model Could Be Coming Sooner Than You Think
Bold predictions and wild ambitions have been the trademark of Tesla since it released its first lithium-ion-battery-powered vehicle in 2008. While Tesla models are widely thought of as luxury vehicles now, Elon Musk has always envisioned a future where all consumers have access to environmentally safe electric vehicle. In a mid-August interview, Musk gave his projection as to when that might be a reality.
Musk sat down with YouTuber Marques Brownlee, who is best known for his technology-focused videos, for a casual 17-minute interview. Brownlee, a Tesla fan and owner of the Model S, steered the conversation toward the future of electric cars and away from Musk’s recent media attention. When asked about the outlook of less expensive high quality vehicles, Musk indicate that a $25,000 vehicle is something Tesla could achieve in “about three years.” He added that this would be dependent on volume and economies of scale.