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Rob L

Tesla seriously underestimated Model 3 demand

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http://www.engadget.com/2016/04/02/tesla-underestimated-model-3-demand/

Elon Musk says orders for the EV are more than twice as large as expected.

It won't shock you to hear that Tesla low-balled demand for the Model 3, but by how much? Er... quite a bit, actually. Elon Musk has revealed that his company expected "1/4 to 1/2" of the pre-orders it got (252,000 worldwide as of this writing) for its first semi-affordable electric car. While he'd expected lineups at Tesla stores, he figured that there would be "maybe 20-30 people" in queue at a given shop -- not the hundreds that showed up at some places. As a token of appreciation, Tesla plans to give those in-person customers an extra reward on top of what every pre-order customer will get.

There's no doubt that Tesla is delighted with the interest, but the data also raises a few questions. How long will it take for Tesla to fulfill all those extra orders? And will demand keep up when the US' $7,500 EV tax credit (which only applies to the first 200,000 qualifying cars from a brand) starts phasing out? As much as Tesla will likely enjoy having this problem, it won't be so hot if it means that drivers wait months longer and pay more.

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Filed: Other Country: England
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It's a promising car. I had an electric vehicle a few years ago and ditched it because its range was terrible. Its performance was okay (for a commuter), but if Tesla can truly deliver a pre-rebate long-distance EV with strong performance they will corner the market (actually create it, as it barely exists). This despite chevrolet's upcoming bolt (has the range, but not the pep or the style).

Tesla is also pushing the envelope on automation and bringing that into the 3 is very compelling.

Good luck!

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