Tesla owners are not happy about price cuts: ‘sobbing in the fetal position’

I get it. You just bought something and then the price dropped … and it sucks.

Recent Model Y and Model 3 Tesla buyers are not terribly happy about the recent price cuts — up to 20% in some cases. In my latest story, I talk about why:

The base price for a Model Y Performance Tesla in the United States is now $49,190, with a potential $7,500 federal tax credit further reducing the price if the vehicle (and buyers) meet certain standards.

“Same here man,” another buyer replied. “If I wasn’t at work I’d be sobbing in the fetal position right now.”

After years of price increases after pre-launch pricing of under $50,000, Tesla is finally dropping prices. Likely, that’s due to a combination of competition from other EVs, easing supply chain challenges, and improving economies of scale. Also, Tesla has simplified and sped up the manufacturing of Model Y vehicles by using giant castings that replace as many as 70 individual parts each. But possibly the most influential reason to cut pricing right now is to fit under price caps for the tax incentives in the Inflation Reduction Act.

Get the full story in my column at Forbes