Elon's head rocket engine engineer says in a recent interview that five years ago Elon told him the marginal cost for a Tesla is $30,000:
"Like, here’s a conversation I had maybe about five years ago on the Merlin 1D when we first developed it. He asked me; he said, “How much do you think it costs to make a Model S?" And I’m like “I don’t know; 50 thousand dollars?” He said “No, about 30 thousand dollars.” That’s the marginal cost for that car."
This seems kinda low. What do you think? And if it was 30k five years ago what is it now?
>Liberals love saying yes to every tax >Say yes to tax on car tabs >Tesla retards are paying $1000+ to renew car registration because the tax is based on msrp values
Mason Rogers
>what is spending literal bajillions of dollars on factories and other up front costs
profits aren't everything
Blake Nguyen
Are you retarded? we are talking about Tesla as a firm, operating at a loss is the easiet way to avoid taxes
Leo Lee
behold, a moron who doesn't read beyond the title.
This is only in WA, and if you have a 100k car it'll be pretty much the same electric or not..
Jonathan Cruz
Literal pyramid scheme So paying the same taxes for an inferior car lol
Dominic Butler
>I don't know what a pyramid scheme is
stay in school kid
Carter Myers
Look who's talking
Dominic Diaz
>"head rocket engineer" breaks NDA he had to sign 20 times, makes up a ridiculous story to namedrop rich uncle Elon, to get 6 twitch followers Are we sure this isn't a janitor at the plant? Doesn't seem like a very smart guy. Either way, sounds like he doesn't understand how automaking works. Of course a single car costs far less than it's sell price, this is not news to anyone. Tesla sells two cars, and has over 20k employees, their own service centers, their own transport, their own sales outfits, and a huge network of charging stations. All of those things have to be paid for with the profit from the vehicles, as well as all the engineering, testing, development of the manufacturing facility, etc. It's not like Ferrari who can license their logos to be put on shoes, get other revenue streams through racing, have franchised dealerships deal with all customer interaction, etc. yet I promise you the profit margin on a 488 vs production cost is higher than on a Model S. They are both publicly owned companies with quarterly earnings reports so if you wanted to actually learn instead of spewing more speculative retardation it's only a google away.
Ryan Lee
a buisness school intern?
Parker Evans
it's tom fucking mueller. The brains behind much of spacex's amazing engines. I trust what he says.
was like employee #3 at spacex 15 years ago
Henry Ortiz
Yeah, but they're in so much debt that they lose money on every car they sell. They haven't made a profit in years
Asher Morales
Of course they have no marketing department when people make shit like for free.
Owen Johnson
If they stopped expanding and just sold the S and X, they would be making fucking bank.
The end game of tesla is not to sell 50k luxury cars per year. Its to sell 500k everyman cars a year.
They make money on each car sold. They then turn around and spend all that money on factories.
What do you think will happen when they stop building factories?
Landon Barnes
That's when the scheme collapses
Nathan Barnes
I can smoke the fuck out of any Tesla in my 2000 EK hatch with a couple of simple mods.
Elijah Thomas
And what becomes of this factory? You know, the one they built with all that money they get from people who buy their cars.
Daniel Jones
don't bother replying, user
he's probably fuming over shorting on Tesla stock with daddy's credit card because some chucklefuck gearhead forum told him to
Noah Fisher
in the long run those fixed cost aren't going to matter
John Adams
Liquidated
Asher Bailey
Would you care to explain how you think tesla some kind of pyrimid scheme? How do they make money? How do they have money to build factories? How are they able to build and sell physical products? Why are they constantly hiring more people? Why is all of wallstreet fooled?
Jonathan Ward
No, their end game is to just manufacture batteries and corner the market through superior tech and massive supplies. That's why they're building the gigafactories.
Christian Taylor
Well its going to be hard to corner the battery market with the gigafactory since panasonic owns half(?) of it.
Landon Barnes
bruh, Panasonic is investing in the gigafactory as well. Group effort.
Thomas Rodriguez
Thats why im saying. Panasonic has invested so much in the gigafactory that they now own a large part of it. Meaning tesla cant really control the battery market because panasonic will be able to match their prices.
Alexander Carter
>no marketing department
thats a fucking lie. I'm sure they have a stupid name for their marketing department.
>This seems kinda low It is. I really doubt that factors in the costs of R&D, all the tooling and building the factories, all the hidden shit that goes into making something.
$30k sounds like the manufacturing costs only.
Easton Bennett
Doesn't matter how their automobile segment is doing as long as they keep advancing their SpaceX program. Their stocks spiked 70 fucking points in a 4 week span from the new car and their reusable rocket thrusters.
Like it or not, Tesla is the future.
Caleb Gray
Of course they do.
I get paid to shill post on this stupid website all day. I hate it here.
Pls buy a tesla.
Hudson Walker
I mean, when you sell every car you make pretty quickly you don't need to spend that much I suppose.
They got what, like 300,000 model 3 preorders? Seems like marketing money could be better used elsewhere.
David Thompson
This, if you "turn a profit" as a growing company you fucked up HARD.
>Tesla has no marketing department
wew
Jackson Powell
marginal cost is the cost of producing one more unit of product. So it does ignore all of that, you're correct.
the 30k is what comes out of testa's wallet for each individual car, according to mueller.
Owen Diaz
>Starts with "Like" >"And I'm like..." I thought engineers spoke way better then that.
Benjamin Russell
gotta put all that mind churning into documentation and reports I suppose.
Isaac Rogers
And don't forget all those holy fuckball formulas they have to use.
>Makes claim about Tesla >Links to an article about spacex
Camden Parker
The factory workers at Tesla make $17/hr. This isn't exactly news.
Evan Morgan
>Salon user....
Asher Reyes
Maybe post a source? Be careful though! Tesla is actually a company that is NOT spacex, tricky stuff!
Luke Taylor
>Still hasn't read article >Looks even more stupid.
Eli Green
>Checks link, yep still talks about both companies.
Mason Parker
>Makes claim about Tesla >Links to an article about spacex
Lucas Brown
>unironically referencing Salon
Although I agree with what they're saying in that particular article...Salon? That's like citing the writings of Mike Tyson as serious thought.
Ryder Davis
...
Sebastian Smith
>Still hasn't read article >Looks even more stupid.
Xavier Rivera
By God he's done it.
He understands that more then one company exists!
Yeah Tesla pays like shit everyone knows that oilcuck. They still make the best car on the road.
Daniel Sanders
>Best car on the road >Has to constantly shill and avoid talking about the shit company
Charles Watson
>They still make the best car on the road. This is untrue by every metric imaginable. Apart from 'muh 0-60 for half the battery charge' Tesla is not very good at anything.
Lincoln Gonzalez
Fastest 0-60 Safest car Best autosteer Best autobreaking Best MPGe National charging network
It's almost like they are better at everything
Huh
Jacob Wood
Then why don't you or almost anyone own one?
Gabriel Turner
If you're dumb enough to take that pay you deserve it.
Caleb Barnes
They sell cars faster then they can produce them. It's still a new company. Five years they will be the plurality of new car sales.
Aiden Sanchez
>safest
I love tesla as much as anyone, but depending on the testing agency they are just pretty good. I think the side 1/3 overlap could be better
Kayden Hughes
>I-its gonna happen in 5 years >Elon says so!
Gabriel Sanchez
Most auto factories are indeed this large.
Bentley Morales
Objectively false. It's the second largest factory in the world.
Owen Hall
What exactly is wrong with spending only very little on marketing ?
Anthony Clark
>Fastest 0-60 Single time lol >Safest car Subjective, electric cars get special treatment because wrecked cars catch on fire >Best autosteer Cramming their owners under semis is the "best" lol >Best autobreaking See above >Best MPGe Retarded measurement, basically says Tesla has an equivalent 5 gallon tank >National charging network What is gas stations. Free charging ended this year for new owners
Julian Harris
>salon Really jogs my noggin
Jackson Carter
>Fastest 0-60 Renders the car comatose for a while. Depletes battery in a couple of launches. Nothing but a marketing trick. >Safest car Nope. "However, a few days later NHTSA rebutted Tesla's claim, explaining that the rating for the Model S was equal to any other car receiving 5-stars, and claiming that the carmaker did not follow its advertising guidelines." Again, pure marketing bullshit. >Best autosteer >Best autobreaking Gimmick, irrelevant until the point it's a full five-sigma autopilot. Incidentally marketed as such. >Best MPGe Laughable, considering total purchase and running costs outweigh any electric competitor several times. See 'marketing tricks'. >National charging network Hilarious, considering how slow and inconvenient electric charging is still. Doubly hilarious considering gasoline is still much more easily available. But 'm-muh supercharger marketing'.
Now my turn: -Absolutely atrocious interior in looks, material quality, comfort and functionality -Ironically abysmal environmental footprint, considering problems with current lithium battery recycling, as opposed to say Priuses NiMH ones -Insane proprietary lock cuckoldry with remote access -Extortionate prices entirely based on virtue-signaling needs of nouveau-riche Silicon Valley yuppies and tech illiterate socialite as well as investor's constant fear of missing out -The hypocritical 'we don't do marketing' side by side with constantly injecting bullshit 'amazing facts' and creating fake hype through excitable millenial crowds
To summarize: fuck off and come back when Tesla isn't a shitty gimmick appliance for basic commuting, electroshill.
Michael Peterson
But what if I want a gimmick appliance for commenting?
Have you even driven one? It's quite nice imo. If I had the dosh I'd def get the model 3.