Boston, MA 06/17/2014 (wallstreetpr) – Tesla Motors Inc (NASDAQ:TSLA) announced that the production of its much-awaited Model X SUV will start early 2015. The announcement does not come as a surprise considering that Elon Musk, the CEO of Tesla, had already hinted about the same recently. Nonetheless, the announcement takes away the concerns that buyers who have already paid deposits for the car had recently when it was rumored that the car might not enter production as early as expected.
Many buyers have already ordered the reservation for Model X by putting down between $5,000 and $40,000 with the company. Some of the reservations were made more than two years ago.
The company intends to release Model X prototype later this year.
Although the company has finally confirmed when the all-electric SUV can be expected on the market, its production was originally slated to begin late last year of which full-swing deliveries would be on by now. The delay might have been caused by many factors among them concentration on enhancing production capacity, addressing battery cells shortage and installation of superchargers. Of course, the issue of perfection might also have been a factor as CEO Musk is known for attention for details in the products his company brings to the market.
More to come
Inasmuch as Tesla Motors Inc (NASDAQ:TSLA) has put to rest concerns about when the production of Model S will start, there are still several questions that remain unanswered. For example, the company did not provide a timeline for when deliveries of the car will start. The company also failed to update on the battery range of the Model X. At least it is known that depending on the battery pack a buyer chooses, Model S provides a range of 208 or 265 miles.
Competitive pricing
Tesla Motors Inc (NASDAQ:TSLA) is expected to price Model X almost in the range of Model S. The company is also expected to make its cars more affordable so that it can competitive effectively with the mainstream auto makers such as Ford Motors Company (NYSE:F).
