REUTERS/James Glover IISPARKS, Nevada (Reuters) - Tesla's next strategic turn could cost the electric car maker "tens of billions" of dollars over the long term, but will likely require only a "modest" capital raise, Chief Executive Elon Musk said on Tuesday. Musk's comments during a media open house at Tesla's sprawling, battery "gigafactory" outside Reno, Nevada, come at a time when the automaker is losing money and dealing with investigations into a crash that killed a driver using its Autopilot driving-assist software. Musk seemed unwilling to let such speed bumps slow him down. Last week he unveiled an ambitious plan to expand the company into electric trucks and buses, as well as car sharing. On Tuesday, Musk said because the plan will roll out over a number of years, it could be mostly funded from sales of vehicles, particularly the Model 3 sedan due to launch in 2017. While some analysts have questioned how profitable the Model 3 will be, Musk on Tuesday said he expects the car to generate $20 billion in revenue per year and $5 billion in gross profit once it is up to full production of about 500,000 vehicles a year. "It's possible to fund quite a bit with that," Musk said, adding that not all the proposed new vehicles will happen simultaneously. Musk said Tesla has finished engineering the Model 3 and he is confident it can launch production next summer. On Tuesday, Musk turned his attention to the $5 billion battery plant being developed with Japan's Panasonic.

BING NEWS:
  • Smart ways to shop for used EVs, which now cost half as much as they did in 2022
    Buying a car has been an expensive proposition in the last few years, but discounts on used electric vehicles have been a bright spot for the growing ...
    04/22/2024 - 7:53 am | View Link
  • The EV market is in trouble: The latest sign is Tesla's layoffs
    but Musk said in an internal email explaining the layoffs that the company had to seek cost reductions and higher productivity. If Tesla were the only electric car maker under pressure ...
    04/15/2024 - 1:00 pm | View Link
  • Tesla’s Value Is Crashing Like a … Well, Like a Tesla
    “I made the difficult decision to move on from Tesla after 18 years yesterday ... that Baglino had been offloading millions of dollars’ worth of Tesla stock each month for the last several ...
    04/15/2024 - 6:17 am | View Link
  • The Inside Tale of Tesla’s Fall to Earth
    It’s the electric-car company of the present that’s now giving him trouble.After a period of rapid expansion, the company has seen its sales fall and its once-enviable margins shrink. For the first ...
    04/5/2024 - 2:00 pm | View Link
  • Tesla’s sales drop 9% for first decline in four years as international EV competition revs up
    Elon Musk’s electric car maker on Tuesday said it delivered 386,810 ... from Houthi rebels — who have been attacking ships in a move of support for Palestinians amid the Israel-Hamas war.
    04/2/2024 - 9:27 am | View Link
  • More

 

Welcome to Wopular!

Welcome to Wopular

Wopular is an online newspaper rack, giving you a summary view of the top headlines from the top news sites.

Senh Duong (Founder)
Wopular, MWB, RottenTomatoes

Subscribe to Wopular's RSS Fan Wopular on Facebook Follow Wopular on Twitter Follow Wopular on Google Plus

MoviesWithButter : Our Sister Site

More Business News