By on August 1, 2017

Tesla Model 3, Image: Tesla

The production Tesla Model 3, revealed in full at a Friday evening handover ceremony, is an impressive vehicle, but it’s also the California automaker’s most important vehicle. With 220 miles of range in stripped-down base trim, or 310 miles for the starting sum of $44,ooo (the only version available at launch), the curvaceous sedan has no shortage of fans. It’s also facing no shortage of threats.

The company’s future as a mass-market “disruptor” of the American automotive landscape hinges on the Model 3’s trouble-free production at Tesla’s Fremont assembly plant, as well as timely deliveries to the half-million reservation holders. Unforeseen quality issues, a breakdown in the supply chain, or worker strife could all conspire to give the vehicle — and company — a black eye.

After a year spent giving investors everything they wished for, the company’s once-skyrocketing stock isn’t on the same firm ground as before. The first trading day after the event reflected this. Investors are nervous about a number of things: the model’s easily inflatable price, the company’s extremely lofty production target, and CEO Elon Musk’s repeated mentions of “hell.”

Share prices, which hovered around $346 on Thursday morning, fell off as the big reveal drew near. At Monday’s close, the value of a Tesla share sat just above $323, with early Tuesday trading pushing its value below $320.

“We believe the Model 3 was as good as or better than expected, and pricing was as expected with considerable initial upsell. That said, the rubber now hits the road, and the fundamental questions remain unanswered,” wrote Bernstein analyst Toni Sacconaghi in a message to clients Monday. He added, “CEO Elon Musk sounds increasingly squeamish about the production ramp,” referencing Musk’s message to employees, in which he told them to prepare for “production hell.”

That wasn’t the only mention of the heavy lifting required to reach an output of 5,000 vehicles per week by the end of the year. During Friday’s event, Musk made another mention of employees facing “at least six months of manufacturing hell.”

Also Monday, a group of Tesla workers sent an open letter to the company’s board of directors, seeking safety data and wage transparency. For at least the past year the workers have waged a campaign to unionize the Fremont plant’s workforce — something Musk hopes to avoid.

Outside the factory, Model 3 buyers not currently in the half-million-strong queue face a long wait for their vehicle. Musk claims that, because of the backlog of reservations, new orders won’t be filled until late 2018 at the earliest. Any slowdown at Fremont would push deliveries back even further.

The “upsell” mentioned by Sacconaghi refers to a raft of packages and options capable of inflating the Model 3’s base price of $35,000 (before federal tax credit) to nearly $60,000. Any paint color besides black warrants an extra $1,000, while tech and luxury items add thousands more.

On Saturday, following the Model 3’s production debut, Musk tweeted a response to a Tesla aficionado’s question about a high-performance Model 3. A quicker Model 3 (Long Range variants hit 60 mph in 5.1 seconds), will probably arrive in the middle of next year, Musk said.

“Focus now is on getting out of Model 3 production hell,” he tweeted. “More versions = deeper in hell.”

The same Saturday exchange saw the CEO speak candidly about his mental health, describing in one tweet his “unrelenting stress.” In another, Musk claimed to suffer from bipolar disorder, adding, “Maybe not medically tho. Dunno.” He went on to suggest his mood swings could be organic reactions to real events, summing up his situation at Tesla by stating, “If you buy a ticket to hell, it isn’t fair to blame hell…”

[Sources: CNBC, Marketwatch] [Image: Tesla]

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63 Comments on “With the Model 3 Out of the Bag, Tesla Investors Worry (While Musk Won’t Stop Talking About ‘Hell’)...”


  • avatar
    deanst

    Apparently tesla is taking months to process requests by people to get back their deposits…

  • avatar
    Dilrod

    I see a biopic in his future…

  • avatar
    pmirp1

    Any great visionary is a mad genius, no different than Henry Ford. Tesla and Musk have the market for electrics captured. They are pushing hard, and stress comes with the territory of being on the leading edge. If you are relaxed, trust me, you are not pushing it.

    The new luxury brand, really the only new brand that matters in the last 10 years, is Tesla. Their future is extremely bright.

    • 0 avatar
      deanst

      Musk is just lowering the expectations bar – it’s one thing to have a few thousand zealots buy your product, it’s another to reach 250,000 in annual sales.

      • 0 avatar
        pmirp1

        To be clear, Tesla made 80,000 cars ~ last year. They are on pace to sell more than 100,000 cars this year. And most of those have been expensive type S and X so far.

        • 0 avatar
          velvet fog

          Tesla cumulative volume since shipping their first car in 2008 is only about 250K total.

          Getting to 200k M3 a year means tripling their current production rate and shipping more cars in one year than in all previous years combined.

          • 0 avatar
            pmirp1

            Velvet Fog, yet Musk has delivered already on so many fronts where people suspected he may not,

            1. Create a luxury electric that tops the sales of S class, 7 series, Lexus LS, Audi A8.
            2. Create a network of super chargers across the country to enable interstate travel.
            3. Deliver on Model X and its falcon wing doors when every one suspected him.
            4. Deliver on direct to customer sales model.
            5. Already delivered model 3 in 2017.

            He has delivered.

          • 0 avatar
            White Shadow

            Oh no….. please don’t refer to a Model 3 as an M3.

            :)

      • 0 avatar
        JMII

        Managing expectations is a good thing. This sure beats the normal BS you get from auto executives about their brand new (read: mid cycle reskin) is greatest thing ever. However the up charge for anything other then black is a low blow. That’s a pretty weak way to prop up prices.

        • 0 avatar
          pmirp1

          JM II, BMW seems to get away with charging for any color other than their dull greys and whites and blacks. BMW charges for anything other than their leatherette on many models, Porsche charges for any options.

          People seem to get confused and compare Tesla to mainstream brands like Ford or Koreans or Toyota or Acura.

          Tesla is the apple of car brands. They can charge for more because they have features that are in demand, high tech and cool. Auto pilot, falcon wing doors, software upgrades, sales and service model, superchargers, ludicrous mode, clean interiors that are high tech.

          Tesla is a luxury brand. The brand with the most panache and snob appeal of any brand in the world today. When viewed through that prism, Tesla can still charge more.

          • 0 avatar
            Higheriq

            Tesla is NOT a luxury brand (per Tesla):

            http://www.autonews.com/article/20130725/BLOG06/130729925/dont-let-the-price-fool-you—-tesla-says-the-model-s-is-not-a-luxury-

          • 0 avatar
            krhodes1

            I certainly agree that it isn’t a luxury car, but it most definitely is priced like one.

            I think that early Model 3 owners are in for a rude awakening.

          • 0 avatar
            pmirp1

            Higheriq, that article was written in 2013. A lot has changed since then.

            Teslas start around mid to high 60ks, and go to 130k-140k. Even with the tax credit some may be eligible for, I think most would agree you have to be a rich person to afford a car in that range, irrespective of what Tesla wants to say. That is a luxury good, not a necessity.

            Here is another nugget for you. Here in Atlanta, people that I see driving Teslas are the young to middle age group that most manufactures give their first borns to capture. Their fans are not the older demographics. They are the young up and coming movers and shakers. Essentially most of their owners, are those who used to drive uber German cars who now see the future wave coming and have jumped on it.

            This is without having a truck or a small SUV. Just imagine the day Tesla has those things. There is no stopping the force.

          • 0 avatar
            Ryoku75

            “Tesla is the apple of car brands.”

            This is true, their fanbases are awfully similar too.

    • 0 avatar
      George B

      pmirp1, there are huge differences between Henry Ford’s early cars and Musk’s Teslas. Ford brought mobility to the masses by making cars both much less expensive and suitably simple and rugged for early 20th century roads. Ford’s assembly line pushed down the price of cars and other consumer goods. In contrast, Tesla does almost nothing to reduce the cost of mobility for the masses. If electric cars suddenly became profitable and existing auto manufacturers entered the market, Tesla couldn’t compete.

      • 0 avatar
        pmirp1

        George B, Musk is the same as Henry Ford as in being stubborn and having a vision of where automobiles should go and working day and night to make it happen. Ford believed in making a car for everyone and mass assembly and putting everything in one place. Musk believes in electric vehicles as the future. He is investing tons in infrastructure (superchargers), sales/service model, new technologies, longer ranger and auto pilot driving cars.

        If you look at the comments against Musk, it is all about the fact that the deck is stacked against him and how no one believes him, even though he has proven his critiques wrong EVERY STEP OF THE WAY. I bet many said the same about Henry Ford’s chances.

      • 0 avatar
        pmirp1

        Krhodes1, it all depends on your definition of what a luxury car should be.

        Some think a luxury car should be defined by rich Corinthian leather, cherry wood, knobs and buttons galore, and real aluminum/metals. The newer generations think differently. They define luxury in auto pilot, connectivity, ludicrous mode, falcon wings, not having to deal with old school sales and support model, and getting revisions to your car through the cloud.

        • 0 avatar
          krhodes1

          Actual luxury cars give you all that plus proper levels of build quality and amenities for similar prices. Minus the Falcon doors and the sure to fail in the US direct sales only model. Because both are stupid.

          The direct sales only model is sure to not survive the Model 3, just like free forever access to the supercharger network has gone away.

          • 0 avatar
            Ryoku75

            Luxury cars dont have plastic throttle pedals.

          • 0 avatar
            krhodes1

            I’d be very surprised if in 2017 there is a single one that doesn’t – there isn’t much reason for them not to be plastic. The trick is, on luxury cars they don’t break off under normal use.

          • 0 avatar
            pmirp1

            krhodes1, Tesla seems to be winning against those old uber German class sedans and the one from Lexus (S class, A8, 7 series, Lexus LS) without “so called” build quality. I can say for certain, German build quality is a myth as a previous BMW 5 series owner.

            Meanwhile, Germans are providing perfume dispensation machines, and hand gestures gimmicks, while Tesla provides driver satisfaction with great handling, and ludicrous mode performance, and real time updates to performance that puts super cars to shame and no German can is close to replicating. They are all talk so far.

            Like I said, it depends on your definition of luxury.

          • 0 avatar
            krhodes1

            Horsecrap on the “winning”. Tesla’s S competes with the high end of the e/5/a6 market as well as the s/7/a8. And relative to what the Germans are doing in the high-end SUV market (aka printing money), they can’t give their retarded minivan away. The best description of a Tesla S I have ever heard is “a 5-series with 3-series amenities for the price of a 7-series”.

            My BMW has been bulletproof, sorry if yours was not. I can assure you the Model S that my best friend owns sure isn’t. Met him for lunch today, he was driving a loaner yet again. The electric bits are mostly fine, it’s the rest of it that has the build quality of an early ’80s GM product. But he loves the thing, thinks it is so cool! Of course, he has three other cars, works from home, and the Tesla store trucks a loaner 300 miles round trip when he has issues. Somehow I don’t think the Model 3 owners are going to get the same treatment. But he has a deposit for one of those for his husband so that will be fun to watch too.

          • 0 avatar
            FreedMike

            Plus, the Model S just looks plain hot.

            Saw a surprising number of them on a long road trip the other day too.

          • 0 avatar
            pmirp1

            Krhodes1, you are taking it personally. I don’t

          • 0 avatar
            pmirp1

            Krhodes1, you are taking it personally. I don’t own a Tesla, but I see creativity when it happens.

            Last time a BMW was creative and on leading edge was with the idrive. Since then, they have been derivative. BMW quality is second rate. Make sure your car has warranty. There is reason they are losing sales and now second bannana to even the other old stodgy German. BMW is stodgy too now.

            Tesla is on BLEEDING edge of technology. Something Germans can’t relate to. When you are pushing the frontier you experience teething pains. People understand it and that is why the reception.

            You can argue whether Tesla is competing against 5 series or 7 series. What you can’t not deny is the cool, the hip, the IT factor that Tesla is, that your BMW and mine WERE. And you can’t deny the growth of the hip cool Tesla.

          • 0 avatar
            krhodes1

            I don’t take it personally. I don’t even really care about BMW anymore, since they won’t sell me what I want to buy anymore. I just take issue with the ridiculous fanboiism around Tesla. If it was any other real car company doing what they are doing we would be 150 posts deep into the Tesla Deathwatch.

            My car (’11 328i wagon) has been out of warranty for a couple years now. It has not had any sort of issue in about five years. Even if it does break, so what, I will fix it. If you can afford to buy one new you can afford to fix it forever. Lots cheaper than the $1000/mo for many years that it cost to buy it in the first place.

          • 0 avatar
            Ryoku75

            For all the flack German cars get at least their roof pillars arent cracking. I’ll take a wonky sensor over a structural defect.

            At pmirp:
            Please tell us what makes a Tesla so much more technologically advanced over German cars, how is a Tesla more high tech than a high end Mercedes? The fact that it has no buttons?

          • 0 avatar
            pmirp1

            Ryoku75, many things make Tesla technologically superior to old stodgy Benz. List follows:

            1. Total electric, while Benz pays lip service and makes more diesels and turbo ICE vehicles, Tesla has already created next generation vehicles.
            2. Performance, all I need to say is ludicrous mode which ridicules the stodgy Benz. When was the last time you saw a Mercedes go head to head with a hellcat and win? Please tell me.
            3. Auto pilot
            4. Direct sales model and service
            5. Complete software revisions of the vehicle performance
            6. Hip, cool, polar bear friendly vs. old school Mercedes driven only lay by limousine services
            7. Connectivity

            But Mercedes has Corinthian diamond patterned stitched leather (also found on any Chrysler 300 and Korean these days) and perfume dispensers for last century fans.

          • 0 avatar
            krhodes1

            At this point:

            1. Electrics still have an enormous range and refueling drawback, and if you are spending $70-120K on a car you don’t care about the cost of gas.
            2. Who cares about Hellcat beating acceleration – I certainly don’t. The fastest of the Germans are nearly as fast for the money, and they can actually cross Germany at top speed. Having BTDT, I am far more interested in a couple hours of quiet comfortable 130mph than 0-60. The Model S is not even as quiet as my 3-series at American highway speed, never mind on an Autobahn. I don’t find the whine of a golf cart particularly appealing.
            3. Autopilot does nothing the Germans can’t do too. They just have smarter lawyers. Or they listen to them better.
            4. Direct sales only. This is NOT an advantage. The buying experience at Tesla is nothing to be proud of based on everyone I know who has actually bought one. My experience buying multiple new BMWs has been FAR superior. Plus European Delivery for the slam dunk win anyway.
            6. Hip, cool, Polar Bear friendly interior?? More like sparse, cold, and cheap with appalling ergonomics. Not a huge fan of Mercedes either, but at least theirs is high quality. Audi does this best, by far. The interior of the Model 3 is just sad.
            7. Connectivity? Again, nothing the Germans (and everyone else) aren’t doing too, just in a smarter way. I got over the air updates to my lowly M235i. I can’t WAIT for Tesla to get hacked. It WILL happen, and it will be *hilarious*.

          • 0 avatar
            Ryoku75

            At krhodes1:

            Hacking a Tesla will lock out so many controls too, no buttons or mechanical things to save you!

            I’m curious, whats been acting up on your friends Tesla?

            At pimirp1:
            I hate to be one of those guys, but 80% of your list is subjective. You really should just go buy a Tesla if you’re in love with the brand.

          • 0 avatar
            krhodes1

            Most recently, the A/C packed up. He has had numerous wind and water leaks, the electric latch for the charge cable wouldn’t release, the silly door handles have broken multiple times (BAD design for a car that sits outside in Maine in the winter), touchscreen issues, trim issues, probably more that I am not remembering.

            The only one that prevented the car from driving was the charge cable, but as I pointed out in another thread, engine issues with gas cars are pretty rare too. It’s all the other stuff that will drive you batty on a luxobarge.

        • 0 avatar
          baconator

          Yes, this. I don’t think the majority of commenters on this website grasp just how little appetite there is for BMW/Mercedes/Lexus among sub-40y.o. buyers with high incomes. Among the folks I know in this demo, the *only* car they’re willing to pay up for is a Tesla. Absent that, they’ll all buy Subarus, Priuses, and VWs, even when they could afford far better.

          Not to put too fine a point on it, but around these parts, a Tesla is the *only* modern car that might lead to a date with the opposite sex. Ferraris and Lambos are like dick Kryptonite, and a 5- or 7-series is so lame and un-sexy that you should only reveal it after the third date.

          • 0 avatar
            pmirp1

            Krhodes1,
            You are taking things personally.
            outaccelrating Germans matter to some. Direct sales model matter to some who hate dealing with dealers. Autopilot capabilities of Tesla that are ahead of Germans currently, matter to some. Tesla’s ludicrous mode matter to some. Tesla’s interior being as sparse as it is, is fine with some, who prefer it and its clean polar friendly electric capabilities. 300 miles range is fine for most, if you need more rent a car or may be some have a second car. Connectivity matters in this world, no Germans are not able to upgrade their systems on the fly like Tesla.

            Your preferences are yours. You can not deny growth of Tesla, and the fact its customer base are those old German car owners, who now prefer those virtues you so strongly deny interest in.

          • 0 avatar
            pmirp1

            Ryoku75,
            My list is pretty much right on the money.

            I am too old and set in my ways to be a electric car owner. I own an Admiral blue 2016 Stingray, 2014 Mustang GT Deep impact Blue premium edition, and a 2011 natural forest green Jeep Grand Cherokee, my lady drives a RAV4.

            But that doesn’t mean I don’t see the virtues of Tesla and admire what they are doing. Those items I shared are many of the reasons people buy Teslas. Tesla model 3 has a huge waiting list, and no other car has generated as much interest in the last decade. There is momentum behind Tesla, and their limitations in manufacturing volumes can easily be fixed if they decide to buy another plant or simply buy another manufacturer, which they can afford to.

          • 0 avatar
            pmirp1

            bacantor, I agree. In Atlanta, Tesla is the only car I see these days with the same demographics that German cars used to own. Tesla drivers are the hip and coolest kids in town. Tesla ownership comes with snob appeal that Germans only wish they had at this point.

          • 0 avatar
            krhodes1

            I don’t think I have ever seen anyone under the age of 60 driving a 7 or an S who wasn’t wearing a uniform. Even the 5 series is the preserve of the 50-something, so I am not really seeing your point.

            Outside of sports stars and trustifarians, there just aren’t very many people in their 20s who can afford 100K cars. And they just drive whatever they damned well please anyway. With very little thought as to whether it will get them laid, since their wallet will do that anyway. I suppose there is some number of sad tech geeks living on ramen noodles six to a room so they can stretch to afford a Model S in the hopes of finally getting laid.

            I even think the Model S is a cool car. I just think it is pointless too. But I feel that way about every modern hypercar as well. The Model 3 at the right price has a lot better shot at being relevant to me, but so far I am not impressed (useless sedan form factor, no hatch, idiotic interior), and I have little faith that Tesla can pull it off without it being a debacle that sinks the company.

    • 0 avatar
      rev0lver

      About 50% of the comments are from you. Give it a rest Elon.

  • avatar
    indi500fan

    I assume most of the drones that could potentially process refunds have been marshalled out to the assembly line and supporting processes.

  • avatar
    NoID

    Tesla: Overpromising and Underdelivering Exceptional Concepts with Questionable Design Integrity and Cursory Commitment to Quality to the Best Customers in the World.

    It’s a bit long winded for ad copy, but they could probably fit it on a T-shirt.

  • avatar
    seth1065

    Well I am a Elon fan, I am not a Telsa fan as a stand alone company, but gotta give him credit, he is right “if you buy a ticket to Hell, tough to blame hell” It is very hard to go from niche product to mainstream car maker.

    • 0 avatar
      NoID

      Despite your apparent disregard for spell-checking, you make a good point.

      Tesla, from the start, has not been pursuing pent-up market demand for a product but has been seeking to create demand in that market by virtue of an innovative design and attention-grabbing performance. This is essentially the tail wagging the dog, and to do so on the scale of automotive engineering is quite a tall feat. Apple did this with the iPhone, and all the while they had the benefit of at least having a solid tech foundation under them. Tesla is doing the same thing, but with the added hurdle of having to build an organization from the ground up.

      Buying a ticket to Hell indeed, but with the potential to climb a stairway to heaven if it all works out. Kudos to him for trying.

  • avatar
    stingray65

    If Toyota or VW or Ford said they would take a plant that is producing 70,000 cars per year and increase production with a 3rd new model to 500,000+ annually in less than 18 months, no analyst would believe them. If GM, Renault-Nissan, BMW, or VW, after failing to sell any of their current EVs at even 20% of the Model’s 3 projected sales rate, announced a new model that would sell 500,000 in the first year – no analyst would ever believe it. Yet somehow a firm that has never hit their launch targets, had serious quality problems with earlier models, and has never earned a profit is taken seriously?

  • avatar
    KevinC

    I sure as “hell” don’t want to buy an expensive car built in “production hell”. And it doesn’t help at all that Musk chose to put his production plant in Fremont CA, where a livable apartment in a decent neighborhood runs $3k and up, if you’re lucky enough to find one. Want to buy a home? You’d best be an insider with some massive stock options, a trust fund baby, or have very rich parents or some other form of supplemental income. How do you pay assembly line workers enough to live there? They need to get the “hell” out of California, but the state desperately wants them to be there, so expect more subsidies, tax breaks, etc. It will be interesting to watch them try to ramp up production, it’s not going to be easy.

    • 0 avatar
      JimZ

      he didn’t “choose” to put it there, it was basically gifted to him.

    • 0 avatar
      FreedMike

      I’m not sure what the cost of living in Fremont, CA has to do with buying a Tesla or not…

      • 0 avatar
        Master Baiter

        “I’m not sure what the cost of living in Fremont, CA has to do with buying a Tesla or not…”

        It has everything to do with access to a workforce, which Tesla needs in order to scale up production. I think Tesla will come to regret building the Model 3 here in the People’s Republic of Mexifornia. Their best hope is to buy a fleet of busses and ferry workers in from the central valley.
        .
        .

        • 0 avatar
          redmondjp

          ^ +1 MB, look at where Honda put their first American plant – in the heart of middle America with plenty of access to labor, transportation, and parts suppliers, plus a low cost of living.

        • 0 avatar
          SCE to AUX

          @MB: Remember, Toyota/GM produced Corollas and Prizms there during the NUMMI days.

          Was anyone concerned about access to affordable labor then, when the plant was producing economy cars?

          • 0 avatar
            krhodes1

            That was before the cost of living in that area when up like a Saturn V moonshot. It is a relatively recent phenomenon. Why do you think GM and Toyota were so keen to get out of that plant?

        • 0 avatar
          FreedMike

          As I said…I’m not sure what the cost of living in Fremont, CA has to do with ***buying*** a Tesla or not.

          I’m sure it has something to do with the ***cost of building*** a Tesla, though.

  • avatar
    DeadWeight

    I’ve thought long about thus before commenting, but if true, it’s unfortunate, and I hope Elon gets very good help quickly, particularly given the storm of fire and brimstone about to rain down upon him (Feels’ Fremont workforce is nearly in revolt over pay, safety and other issues, and he’s going to inevitably have a supplier problem in the not-too-distant future, among other headaches).

    However, being somewhat less-than-accepting of such public pronouncements at face value, I think it’s entirely possible, and maybe even probable, that Elon has come to the realization that the announced Model 3 production schedule A9and other issues pertaining to it) is so far in the weeds that he’s deflecting, now.

    • 0 avatar
      krhodes1

      And even if he can build 500K cars a year (and I’m with you on the likelihood of that happening anytime soon), how is he going to sell, deliver, and service 500K cars a year with their current organization? It’s one thing to deliver the kid gloves service treatment to Model S and X owners, it is quite another to do it for 500K electric Civics a year with no profit margin to pay for it.

      Any bets as to how long until they are signing up franchise dealers? If they make it that far.

  • avatar
    Master Baiter

    I don’t cheer for Tesla’s failure, but one has to be realistic about the headwinds they face. The Model 3 is the most anticipated car in recent memory. It feels like we’ve been discussing it for 10 years. I have my tub of popcorn; this should be fun to watch…
    .
    .

  • avatar
    Frylock350

    I wish Elon Musk the best of success. Tesla is an American pioneer and we should be supporting and applauding their efforts to usher in new tech, not disparaging them.

    Also worthy of note the newfound competition means Musk has succeeded in a way. His goal in founding Tesla was to spur the development and production of EVs from all manufacturers. The Chevy Bolt is as much a significant product for Musk as it is GM.

    Also isn’t it more accurate to view a model 3 as an electric 3-series or ATS? Tesla is a luxury marque.

  • avatar
    derekson

    I’m sure Tesla’s workforce that is already complaining about working conditions and working to unionize is ready to weather “production hell”.

  • avatar
    SCE to AUX

    “Unforeseen quality issues, a breakdown in the supply chain, or worker strife could all conspire to give the vehicle — and company — a black eye.”

    This is true for any mfr, but Tesla would feel it more acutely.

    All the ‘hell’ talk has me wondering what’s going on inside the plant. I suspect the production line is held together with bailing wire and duct tape – figuratively, of course.

    – Perhaps the assembly instructions and training aren’t yet complete.
    – Perhaps the parts aren’t fitting together right due to design, documentation, or supplier quality issues.
    – Perhaps the automated equipment isn’t quite fine-tuned yet.
    – Perhaps they’ve already identified hundreds of revisions which need to be made, but can’t flush them all through their system fast enough.
    – Perhaps the final Cost of Goods Sold is higher than projected, and they’re already trying to find ways to cut costs.

    So I’d consider an early Model 3 to be a decent car, but it won’t be the same car (at the detail level) that they’ll be shipping in 6 months. So I’m glad I have to wait a while.

    • 0 avatar
      NoID

      All of these issues are a basic reality to all of the manufacturers. My time at the OEMs and suppliers has taught me to wait for the 2nd model year. It’s late enough that the big launch issues are all taken care of, early enough that cost-cutting hasn’t yet begun.

    • 0 avatar
      orenwolf

      “So I’d consider an early Model 3 to be a decent car, but it won’t be the same car (at the detail level) that they’ll be shipping in 6 months. So I’m glad I have to wait a while.”

      Same. One of the few times being in Canada may actually result in a beneficial improvement to a product. ;)

    • 0 avatar
      JimZ

      I guess we’ll never know, thanks to their sneaky “beta test which totally isn’t a beta test” stunt.


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