Tesla to Build ‘Mostly Autonomous’ Next-Generation Small Car, Elon Musk Says

Tesla Chief Executive Elon Musk on Tuesday said that the next generation small car the company is working on would operate mostly in autonomous mode, similar to a promise he made in 2020.

On Tuesday he said there was a clear path to delivering a car that cost half as much to build as Tesla's Model 3 sedan, but he offered no details about timing or models.

At the 2020 event, Musk said he was “confident” that Tesla would make a small, compelling $25,000 electric car that was fully autonomous, within about three years.

Earlier this month, Tesla engineers told investors Tesla will cut assembly costs by half in future generations of cars, but Musk did not unveil when it will debut a much-awaited affordable electric vehicle.

More than a dozen Tesla executives led by Musk discussed everything from a white-paper plan for the globe to embrace sustainable energy to the company's innovation in managing its operations from manufacturing to service.

The presentation featured an array of senior engineers, including the new global production chief, Tom Zhu, a nod to Tesla's attempt to show the depth of its executive bench beyond Musk, the face of the company.

But there were no details about when next generation cars would be launched and what models would be offered.

Musk had been expected to lay out a plan to make a more affordable electric vehicle (EV) that would broaden his brand's appeal and fend off competition.

Executives said Tesla's next generation platform would include more than one vehicle built in standardised factories, but Musk brushed off questions about models in mind.

© Thomson Reuters 2023