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Full Self Driving's Effect on Tesla Vehicle Pricing - How Far Away?

Well, I was looking forward to Full Self Driving coming sooner than everyone expects it. But since Tesla will be raising the prices of their cars out of consumer reach as soon as Full Autonomy is solved, I'm going to hope it takes a bit longer. Some countries have a year or more delay beyond US launches as it is, to get our hands on the products.

Not to mention that while in urban areas I expect to see full autonomy decimate car ownership figures (they're low enough already in major conurbations such as London for instance), that's not going to be the case for the rural areas. We still need affordable awesome Tesla vehicles within reach.

Honestly, I am not too worried about it. I highly doubt that Tesla will suddenly stop making cars or raise prices to $300k next year. That would be a sure fire way of killing Tesla. When Tesla gets a million robotaxis actually deployed and making money, then yes, maybe, it would probably make sense to just make money from the robotaxis and not sell new cars. But Tesla is years away from that.

This should be it's own thread...I suspect it will as that stream of consciousness on perhaps the future of Tesla is interesting. If a Tesla can truly, in the right geographic area generate $30,000/yr for it's owner I think that obviously would raise the value proposition of owning one. I live in a rather rural area of CT, between Hartford, CT and Providence, RI. I am seriously thinking of buying a second stripped down Model 3, pull the steering wheel and send it into either city for the day to earn it's keep. It'll be a business expense, depreciated on taxes. and, essentially, free money. What's not to like? Is it possible Tesla will make more money selling taxis than selling personal transportation? I don't know the answer but I know people who would be capable of finding out. Then it's simply supply and demand curve to set optimal pricing. That is right up Linear Programming's alley.

So I've made this its own thread. Feel free to discuss :)
 
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Well, I was looking forward to Full Self Driving coming sooner than everyone expects it. But since Tesla will be raising the prices of their cars out of consumer reach as soon as Full Autonomy is solved, I'm going to hope it takes a bit longer. Some countries have a year or more delay beyond US launches as it is, to get our hands on the products.
Well, they haven't done it yet so I wouldn't worry too much about it...yet.

Not to mention that while in urban areas I expect to see full autonomy decimate car ownership figures (they're low enough already in major conurbations such as London for instance), that's not going to be the case for the rural areas. We still need affordable awesome Tesla vehicles within reach.
With autonomous taxis, be they Waymo or Tesla, that will drastically alter the social landscape. Studies already show young people are either not driving or driving later in life and less. For us (boomers) we couldn't wait to leave the nest, both at 16 and at 18 or 22. That's no longer the case, for the most part. Having a driver license was independence.

Help me out here, where is this new thread? This one is so tedious.
 

EVNow

Well-Known Member
Sep 5, 2009
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Tesla will gradually increase the price, as the demand goes up. They already do this - that is why you see Tesla changing prices often.

Using the ARK model, to let the car buyer have an IRR of 10%, Tesla can price the car around ~200k. But the actual price will depend on demand at that time.

Anyway, I wouldn't worry too much about it right now - may be after City NOA is released, they will increase it a bit.
 
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I would guess this would not happen until FSD receives wide regulatory acceptance, but spotty acceptance could have an effect. Once Teslas can be used as robotaxis Tesla may start keeping some of their cars to start a taxi fleet. Other companies/startups may place large orders to start their own fleets. Tesla may not have production rates to fill these big demands. If all that happens, prices will increase to match demand to production.
 

jebinc

Endlessly Vibrating MS PLAID
Supporting Member
Jun 19, 2019
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Seattle area
... For us (boomers) we couldn't wait to leave the nest, both at 16 and at 18 or 22. That's no longer the case, for the most part. Having a driver license was independence..

So true, I did everything I could to get my license as early as I could... In NJ (Bergan county area), back then, it could take many weeks/months to get scheduled for the driving test. So, I found a remote NJ DMV in South Jersey that could get me in that same week - I was off to the races at that point!
 
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