TMC is an independent, primarily volunteer organization that relies on ad revenue to cover its operating costs. Please consider whitelisting TMC on your ad blocker or making a Paypal contribution here: paypal.me/SupportTMC

Model S development costs so far?

Discussion in 'Model S' started by doug, Jan 14, 2012.

  1. doug

    doug Administrator / Head Moderator

    Joined:
    Nov 28, 2006
    Messages:
    15,912
    Location:
    Stanford, California
  2. Norbert

    Norbert TSLA will win

    Joined:
    Oct 12, 2009
    Messages:
    4,424
    Location:
    San Francisco, CA
    Not sure, but I think at least including the Model X, it came close to that. However, that also includes the additional cost for a manufacturing capacity of 40,000 rather than 20,000 (in two shifts).
     
  3. ckessel

    ckessel Active Member

    Joined:
    Jan 15, 2011
    Messages:
    4,266
    The Q4 report off the investor's page shows about $150 million over the previous 9 months. Not sure how to find how much was spent before that since they weren't public then, but 2011 was a pretty high ramp up in R&D so I wouldn't expect it'd be nearly that high. Though the months from the last report to actual shipping is probably pretty high.
     
  4. daniel

    daniel Active Member

    Joined:
    May 7, 2009
    Messages:
    1,131
    Location:
    Spokane, WA
    So how much did they spend developing the S?
     
  5. vfx

    vfx Well-Known Member

    Joined:
    Aug 18, 2006
    Messages:
    14,792
    Location:
    CA CA
    #5 vfx, Jun 30, 2012
    Last edited by a moderator: Jul 2, 2012
    It would probably come down to how much was spent on the car and how much was for building a company/factory.
     
  6. VolkerP

    VolkerP EU Model S P-37

    Joined:
    Jul 6, 2011
    Messages:
    2,455
    Location:
    Germany
    Thanks Norbert for digging out this one! Had to grin on that recurring pattern:
    And Jalopnik reported Elon's bet to eat a hat if Model S development costs would exceed $700m.

    Now can we have Nigel go over the quarter results and check if that bet is won or lost? to extract costs for Model S R&D, acquiring and tooling the factory, work force hiring & training? What else might comprise "Model S cost?"
     
  7. daniel

    daniel Active Member

    Joined:
    May 7, 2009
    Messages:
    1,131
    Location:
    Spokane, WA
    I think it would be fair to exclude the cost of the Freemont factory from the cost of development of the Model S. Developing the car, and putting it into production, are separate items, because the factory will produce many models of cars. JMHO.
     
  8. Citizen-T

    Citizen-T Active Member

    Joined:
    Aug 25, 2011
    Messages:
    2,442
    Location:
    Raleigh, NC
    That said, the factory was cheap and might not make a difference.
     
  9. Mycroft

    Mycroft Life happens

    Joined:
    Jun 18, 2011
    Messages:
    1,592
    Location:
    Tacoma, WA
    #9 Mycroft, Jul 2, 2012
    Last edited by a moderator: Jul 2, 2012
    I think many of the points of Voelcker's article are true. Tesla is an anomaly because they were able to acquire an entire auto plant in the valley for peanuts. So they are likely to be the last major auto manufacturer in California.
     
  10. brian45011

    brian45011 Member

    Joined:
    Apr 28, 2011
    Messages:
    418
    R&D Cost from the SEC filings from 7/1/09 through 3/31/12 total $380 million:
    2009 $ 9.4 million
    2010 $ 93.0 million
    2011 $209.0 million
    1Q12 $ 68.4 million

    SG&A expenses from 1/1/09 through 3/31/12 total $261.5 million.

    The DOE loan was $465 million: roughly $100 million for the Power Train Facility in Palo Alto and $365 million for the Model S Production Facility in Fremont.

    I’ll leave it to others to make the allocations between Model S and the other parts of Tesla’s business.
     
  11. VolkerP

    VolkerP EU Model S P-37

    Joined:
    Jul 6, 2011
    Messages:
    2,455
    Location:
    Germany
    great first post, thanks brian45011!

    while the dates given do not match exactly the development time of Model S, I think it's safe to say that Model S R&D was way below $700m.
     
  12. SoCalGuy

    SoCalGuy Member

    Joined:
    Apr 22, 2012
    Messages:
    253
    Location:
    LA/NYC
    How much did Tesla spend to develop the Model S?

    Just curious if anyone knows how much Tedla spent developing and commercializing the Model S. I know Fisker spent about $1.2B developing the Karma, Chevy/GM spent $3B developing the Volt and I think Tesla spent $200M developing the Roadster (correct me if I'm wrong).
     
  13. doug

    doug Administrator / Head Moderator

    Joined:
    Nov 28, 2006
    Messages:
    15,912
    Location:
    Stanford, California
  14. CroDriver

    CroDriver Member

    Joined:
    Aug 6, 2009
    Messages:
    67
    Location:
    Where Nikola Tesla was born... Croatia :)
    Hmm... I'll rather not say which budget I had to build a company and car from scratch. :)
     
  15. AustinPowers

    AustinPowers Total Smeghead

    Joined:
    Jan 27, 2012
    Messages:
    1,116
    Location:
    Frankfurt, Germany
    Why not? Don't be so modest, your car is fantastic. (I would happily buy one - if it wasn't WAY out of my financial league :wink:)
    If you didn't have a billion dollar budget, so much the better.

    Thumbs up!
     
  16. CroDriver

    CroDriver Member

    Joined:
    Aug 6, 2009
    Messages:
    67
    Location:
    Where Nikola Tesla was born... Croatia :)
    Thanks :)

    Billion? Not even one percent...

    Trust me, it where very hard 5 years for me.
     
  17. Zzzz...

    Zzzz... Member

    Joined:
    Aug 19, 2012
    Messages:
    867
    Location:
    East Asia/Canada
    #17 Zzzz..., Nov 16, 2012
    Last edited: Nov 16, 2012
    Tesla's accumulated deficit is a $975M so far. This include all earnings and all losses from all programs, Roadster, Toyota, Mercedes, Model S, Model X.

    Initial business plan was to spend $20M, get drivetraine from AC Propulsion, get cheap Chinese li-ion cells, and mate that with Lotus glider. Make profits....
    But AC Propulsion tech sucked, there was huge problem with transmission, and Tesla had to settle with Panasonic cells. Glider from initial business plan made it, but even it was modified.
     
  18. William3

    William3 Member

    Joined:
    Aug 7, 2008
    Messages:
    162
    The Rimac is a stunning vehicle with amazing performance. You should be very proud. I wish I had the kind of money that would allow me to buy one. Do you think you'll ever sell cars to the United States?
     

Share This Page