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Model X Production Delayed Until 2014
By BRADLEY BERMAN
The Tesla Model X at the 2013 Detroit auto show.Paul Sancya/Associated Press The Tesla Model X at the 2013 Detroit auto show.
Tesla Motors has confirmed that production of its all-wheel-drive Model X electric crossover will begin in late 2014, a year later than the company had originally announced. The revised timing was described in the company’s Form 10-K filed with the Securities and Exchange Commission last Thursday.
When Tesla first revealed the Model X in February 2012, the company said production would begin at the end of 2013, with deliveries following in 2014. Nearly a year later, at the Detroit auto show last January, Elon Musk, Tesla’s chief executive, made the first public statement about the shift in the schedule. Mr. Musk said production of the Model X would begin in the second half of 2014, according to Reuters.
While Tesla has been saying since the Detroit auto show in January that Model X production would begin in 2014, “our recent 10-K was the first written verification of that,” Shanna Hendricks, a Tesla spokeswoman, said in an e-mail.
“I almost have trouble calling this a delay in Model X, because that makes it sound like we’ve run into problems with Model X, and it’s taking longer than we thought, and it’s out of our control,” Ms. Hendricks wrote. “When, really, we’re consciously pushing back timing to allow ourselves to focus on its production and product enhancements in Model S.”
While Tesla did encounter production delays and problems with its first car, the Roadster, deliveries of the first Tesla Model S sedans were made in early June 2012, a few weeks earlier than originally projected. But in the first few months of Model S production, the company fell short of its own targets, delivering only about 250 cars. By the end of last year, the pace had picked up.
Converting customers with reservations into actual deliveries is critical for the company’s financial health. Tesla reported a fourth-quarter net loss of $81.5 million but says it expects to be profitable sometime in 2013. “We are very focused on achieving profitability and maintaining that profitability,” Ms. Hendricks said.
Tesla has not started putting alpha or beta versions of the Model X on the road for testing, Ms. Hendricks said. Tesla is “still finalizing the design prototype that has been on display at both Detroit and Geneva motor shows,” she wrote. The crossover’s most prominent design feature is the use of “falcon doors,” which are hinged at the top and rise like wings.
The Model X is built on the same platform as the Model S sedan. Tesla’s 10-K document provides this description of the Model X: “This unique vehicle has been designed to fill the niche between the roominess of a minivan and the style of an S.U.V., while having high-performance features such as a dual-motor all-wheel-drive system.”
Reservations for the standard Model X require a $5,000 deposit, while the Signature version requires a $40,000 deposit.
Prices for the Model X have not been announced. Tesla’s 10-K document states: “We anticipate that we will make Model X available with 60 kWh and 85 kWh battery pack options, with pricing of each version similar to those of a comparably equipped Model S.” Prices for the Model S sedan include a standard 60-kilowatt-hour version for $69,900 and an 85-kilowatt-hour model for $79,900. Many buyers are eligible for a $7,500 federal tax credit.
The company continues to state Model X production targets of 10,000 to 15,000 cars a year. There is still some wiggle room on the actual start of production with Mr. Musk stating “the second half of 2014” at the Detroit auto show while the S.E.C. documents state “late 2014.” Tesla’s Web site simply says, “Deliveries begin 2014.”
Tesla has made two big interior changes to several Model Y vehicles in its lineup, and the changes come just as the new model year begins production.
Last year, Tesla launched the Model Y Standard, which separated the previous models into the “Premium” category. The Standard vehicles lack several features, including more premium interior materials, acoustic-lined glass, and storage.
@teslarati There are some BIG differences between the Tesla Model Y Standard and Tesla Model Y Premium #tesla #teslamodely ♬ Sia – Xeptemper
The Model Y “Premium” trims are now getting several new upgrades, which come after the company launched a seven-seat configuration of the vehicle last night in the North American market for an upcharge of $2,500.
The new Model Y seven-seat configuration did not come with just an additional row of seating; it also came with a slew of other goodies that now come standard and were previously only available on the Model Y Performance, which was launched late last year.
All Black Headliner
The new Tesla Model Y Premium trims will now come standard with a black headliner, something that many owners have been requesting for some time.
The previous grey headliner and trim within the vehicle is now gone; it will be all black on all of the Premium trims from here on out, a welcome change:
Credit: Tesla
Larger and Higher Resolution Center Touchscreen
The center touchscreen in the new Model Y Premium configuration is now larger and has a higher resolution than the previous version.
In last year’s Model Y configurations (apart from the Performance), the center touchscreen was 15.4″. Now, Tesla has decided to go with the 16″ version across all Premium trims, which is a nice step up. It was nice to see this in the Performance, but it is really great to see Tesla include this in the Model Y’s more Premium trim levels.
Tesla Model Y Seven Seater
Tesla launched the latest iteration of the seven-seater for the Model Y on Monday night. Traditionally, the Model Y seats five passengers in total, but there were calls for a more spacious version several years ago.
Tesla released it, but it was extremely tight in the back, basically reserving those back seats for only small people or children.
Credit: Tesla
The new configuration looks to be slightly more spacious in the third row, but not as much space as most would require or want. Instead,
Elon Musk
Lufthansa Group to equip Starlink on its 850-aircraft fleet
Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release.
Lufthansa Group has announced a partnership with Starlink that will bring high-speed internet connectivity to every aircraft across all its carriers.
This means that aircraft across the group’s brands, from Lufthansa, SWISS, and Austrian Airlines to Brussels Airlines, would be able to enjoy high-speed internet access using the industry-leading satellite internet solution.
Starlink in-flight internet
Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release.
Starlink’s low-Earth orbit satellites are expected to provide significantly higher bandwidth and lower latency than traditional in-flight Wi-Fi, which should enable streaming, online work, and other data-intensive applications for passengers during flights.
Starlink-powered internet is expected to be available on the first commercial flights as early as the second half of 2026. The rollout will continue through the decade, with the entire Lufthansa Group fleet scheduled to be fully equipped with Starlink by 2029. Once complete, no other European airline group will operate more Starlink-connected aircraft.
Free high-speed access
As part of the initiative, Lufthansa Group will offer the new high-speed internet free of charge to all status customers and Travel ID users, regardless of cabin class. Chief Commercial Officer Dieter Vranckx shared his expectations for the program.
“In our anniversary year, in which we are celebrating Lufthansa’s 100th birthday, we have decided to introduce a new high-speed internet solution from Starlink for all our airlines. The Lufthansa Group is taking the next step and setting an essential milestone for the premium travel experience of our customers.
“Connectivity on board plays an important role today, and with Starlink, we are not only investing in the best product on the market, but also in the satisfaction of our passengers,” Vranckx said.
Elon Musk
Tesla locks in Elon Musk’s top problem solver as it enters its most ambitious era
The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.
Tesla has granted Senior Vice President of Automotive Tom Zhu more than 520,000 stock options, tying a significant portion of his compensation to the company’s long-term performance.
The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.
Tesla secures top talent
According to a Form 4 filing with the U.S. Securities and Exchange Commission, Tom Zhu received 520,021 stock options with an exercise price of $435.80 per share. Since the award will not fully vest until March 5, 2031, Zhu must remain at Tesla for more than five years to realize the award’s full benefit.
Considering that Tesla shares are currently trading at around the $445 to $450 per share level, Zhu will really only see gains in his equity award if Tesla’s stock price sees a notable rise over the years, as noted in a Sina Finance report.
Still, even at today’s prices, Zhu’s stock award is already worth over $230 million. If Tesla reaches the market cap targets set forth in Elon Musk’s 2025 CEO Performance Award, Zhu would become a billionaire from this equity award alone.
Tesla’s problem solver
Zhu joined Tesla in April 2014 and initially led the company’s Supercharger rollout in China. Later that year, he assumed the leadership of Tesla’s China business, where he played a central role in Tesla’s localization efforts, including expanding retail and service networks, and later, overseeing the development of Gigafactory Shanghai.
Zhu’s efforts helped transform China into one of Tesla’s most important markets and production hubs. In 2023, Tesla promoted Zhu to Senior Vice President of Automotive, placing him among the company’s core global executives and expanding his influence beyond China. He has since garnered a reputation as the company’s problem solver, being tapped by Elon Musk to help ramp Giga Texas’s vehicle production.
With this in mind, Tesla’s recent filing seems to suggest that the company is locking in its top talent as it enters its newest, most ambitious era to date. As could be seen in the targets of Elon Musk’s 2025 pay package, Tesla is now aiming to be the world’s largest company by market cap, and it is aiming to achieve production levels that are unheard of. Zhu’s talents would definitely be of use in this stage of the company’s growth.
Tesla makes two big interior changes to several Model Y vehicles
Lufthansa Group to equip Starlink on its 850-aircraft fleet
