Tesla made a huge splash, recently, when it “launched” the new Model 3 sedan. The Tesla Model 3 is supposed to be the brand’s first mass-market car, an electric car for the Average Joe, not just the wealthy. A few months ago, Tesla supposedly began the first deliveries of the Model 3, creating a ton of media buzz and customer excitement. However, that excitement has since waned as reports of the Model 3 going through “manufacturing hell” have surfaced.
While the first “deliveries” of the Model 3 sparked excitement, a rise in stock prices and increased investor interest, it’s starting to look like that was a bit of a ruse for those exact reasons. See, the first deliveries consisted of 30 Tesla employee customers getting their cars that they pre-ordered. It’s now been rumored that those cars were hand-assembled, just to get them built and delivered for this public so-called model launch.
Since then, there have been quite a few manufacturing setbacks for the Model 3, enough to worry both customers and investors alike. The Wall Street Journal reported that these manufacturing setbacks were requiring much of the Model 3 to be assembled by hand, which would delay deadlines considerably. Tesla owner Elon Musk has since denied that report, tweeting out a video of the Model 3 assembly line working at 1/10th speed.
Still, Model 3 production is far behind schedule, there are rumors of welding issues, supply chain issues and that’s on top of the fact that every other Tesla model has already been significantly delayed. Add the brand’s quality control issues and there’s good reason for investors and customers to be a bit worried. We wouldn’t be surprised if a lot of customers ask for their $1,000 deposits refunded.
To be honest, unless customers really, really want a new car soon and can’t be without their $1,000, they shouldn’t get a refund. It should be expected that Tesla will be delayed and that the Model 3 will not only come later than hoped but will have a few quality control issues. It’s not necessarily Tesla’s incompetence but its lack of manufacturing experience and capability.
Tesla is a very small, very young company. So it’s always going to have difficulties keeping up with the larger, more mainstream manufacturers, in terms of actual production. Companies like BMW can far more easily mass produce electric cars. It already has far better manufacturing know-how and supply chain access.
Another problem with the Model 3’s production and manufacturing delays is with its target audience. The Model 3 is designed to be the electric car for the masses, not the wealthy. The average car buyer doesn’t have the ability to put money down on a car as a deposit and not get the car for years. They also don’t have the ability to deal with quality issues with their car once they get it. Cars like the Chevy Bolt or new Nissan Leaf might be better suited to many customers, as both are far cheaper (after options) than the Model 3 and neither are going to have any of the issues Tesla is having.
If you can wait it out, it’s probably worth it. The Model 3 will be a very exciting car when it does debut, as it offers an inexpensive, premium full electric car to the masses. However, it’s worth keeping an eye on the manufacturing and quality control issues that are circulating Tesla’s newest car.
Woot Woot! 🙌🏽👏🏼👏🏼👏🏼👏🏼
Surprise!
Tesla’s Q3 financials report and Q&A will happen in just over two weeks. Perhaps better to wait until then to get the facts, rather than spreading exaggerated speculation and rumor.
No no, let them spread more FUD. I want to pick up some Tesla stock on the cheap.
The only thing I can say is HAHA. This shows that Tesla isnt ready or anywhere close to a big OEM.
So from their what, 400k pre orders? maybe the last of them will get his/her car in 2020 :D
Deliver and not talk Musk!
I hope that people will wake up and rethink their purchase of this cheap and low quality thing here.
Dont even talk about their very bad philosophy and culture of firing many many workers just because.
Really hope that Tesla’s gonna be good. Musk faced problems much bigger than that.
This is the Apple car for the future and people will wait for the ultimate tech car for the tech crowd. If people just want a basic EV, to go from point A to B, buy a Bolt or a leaf. If you want a BMW 3 series competitor with low maintenance with new feature updates via WiFi, and Private Supercharging nothing compares. You do not rush Ferrari, so give this small company, the only new car company in 90 years, that supercharged the world EV revolution a chance as they are accomplishing the impossible. Other car companies rush cars out and let the public find the problems. Tesla is more proactive and stops the production line to address issues. With the cost of batteries coming down with Tesla’s manufacturing process,that will help battery storage which will help the cars
Heh, what ever you are smoking I want it too.
Tesla Model 3 is Nokia moment, not apple. Once luxury car makers start delivering their cars there is no demand for model 3 any more. Especially in US where the federal tax credit runs out next year the others have still millions left, such as MB, BMW, Audi, VW, Jaguar, Bentley, Seat, Skoda, Smart, Aston Martin, Renault… List goes on.
“Other car companies rush cars out and let the public find the problems” is that a serious comment or are you making comedy?
Which company let people die in their beta testing autopilot? Ahhh wait that was Tesla!
No other car company in the world is doing more beta test to their customers than Tesla.
I don’t doubt Musk and Tesla will get this issues sorted out, and I’m sure teething troubles are expected… but for me, the worst part of this is that people have already paid their deposits.. I’ve got nothing against Tesla particularly, but I always felt the ‘crowd-funding’ nature of the Model 3 was unprofessional and somewhat risky.
But that suits their philosophy perfectly. Betatester customers. Unfortunately some of them died. I wonder what would happen if any other OEM does this shit? Oh hello theyd rather sue VW for some stupid Diesel Software stuff than doing anything against Teslas bad Autopilot..
So they’re not pushing the 3 Series to zero on schedule? Or ever?