Elon Musk reveals Tesla is not currently working on the $25K model

In their Q4 and 2021 full year earnings call, Tesla CEO Elon Musk confirmed the automaker is not currently working on the $25K vehicle.

He noted that Tesla has too much on their plate, making the $25K car not a priority.


The CEO had an interesting take on the question requesting an update for the $25 thousand car. He noted that the shareholder was asking the wrong question.

He said that the question should instead be around the future of transportation and that it might not be the $25,000 vehicle.

The simple fact is that Tesla is currently working on multiple projects, and the $25k car was the one that missed out. The company is presently retooling and engineering on three different vehicles, the Roadster, the Semi and the Cybertruck.

In addition, Tesla is also looking to roll out a fully operational Full Self-Driving software in the next year. With four production facilities, a vehicle had to lose out.

So, is the more affordable Tesla dead? No, but it will certainly not come in 2022, and by the looks of it, we would be lucky to get it by 2023 with the current slate of launches.

However, Tesla teased that they may open additional factories in 2022, so the 2023/2024 timeline could still be possible.

Are you buying a Tesla? If you enjoy our content and we helped in your decision, use our referral link to get a three month trial of Full Self-Driving (FSD).
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