Tesla Offers Cheaper Model X As The Company Misses Sales Targets

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Tesla has announced that it missed its sales targets once more this year. Also coincidentally, it has a new, cheaper version of its Model X minivan for sale. I’m sure that’s all unrelated, right?

This is the Tesla Model X 60D, and it uses the same intentional-limitation strategy as the Model S 60D we wrote about a little while back. The 60D has the same battery pack as the 75D. The trick is that Tesla keeps the extra potential locked away from those too cheap to spend full price.


While the 75D gets 237 miles to a charge, Tesla announced today that their new 60D only manages 200. Performance in the 0-60 run and top speed remain identical for the two versions, it’s just the range alone that justifies the six grand price differential between the two. The 60D starts at $74k, while the 75D begins at $80k.

Again, the hardware shared by the two cars is the same; it’s only that Tesla’s software in the 60D limits the pack’s output.


Why is Tesla selling a limited version of an already-in-production car? Reuters points out that Tesla did this once already when it missed sales targets:

Tesla Motors Inc (TSLA.O) has cut the starting price of its Model X crossover, the second time this year the electric vehicle maker has lowered prices after missing sales targets.


Last month, Tesla cut the base price of its Model S sedan to $66,000.

Earlier this month, Tesla said it missed its sales targets for the second consecutive quarter, and is on track to miss its full-year goal of 80,000-90,000 vehicles.


This is certainly a cost-effective way to get a lower-priced vehicle on the market, but how owners will respond to a restricted vehicle remains to be seen.