Latest in Gear

Image credit:

Tesla seriously underestimated Model 3 demand

Elon Musk says orders for the EV are more than twice as large as expected.
Jon Fingas, @jonfingas
April 2, 2016
Share
Tweet
Share

Sponsored Links

It won't shock you to hear that Tesla low-balled demand for the Model 3, but by how much? Er... quite a bit, actually. Elon Musk has revealed that his company expected "1/4 to 1/2" of the pre-orders it got (252,000 worldwide as of this writing) for its first semi-affordable electric car. While he'd expected lineups at Tesla stores, he figured that there would be "maybe 20-30 people" in queue at a given shop -- not the hundreds that showed up at some places. As a token of appreciation, Tesla plans to give those in-person customers an extra reward on top of what every pre-order customer will get.

There's no doubt that Tesla is delighted with the interest, but the data also raises a few questions. How long will it take for Tesla to fulfill all those extra orders? And will demand keep up when the US' $7,500 EV tax credit (which only applies to the first 200,000 qualifying cars from a brand) starts phasing out? As much as Tesla will likely enjoy having this problem, it won't be so hot if it means that drivers wait months longer and pay more.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
Tweet
Share

Popular on Engadget

LG's rollable OLED TV goes on sale for $87,000

LG's rollable OLED TV goes on sale for $87,000

View
The SSC Tuatara has broken 330 mph and shattered a world speed record

The SSC Tuatara has broken 330 mph and shattered a world speed record

View
Can Evernote make a comeback?

Can Evernote make a comeback?

View
Living with TCL's 8-series 4K TV: Quality without paying for OLED

Living with TCL's 8-series 4K TV: Quality without paying for OLED

View
Sony plans to optimize the PS5's fan speed using game data

Sony plans to optimize the PS5's fan speed using game data

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr