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Stellantis CEO: “Bloodbath” coming if EV makers follow Tesla and Musk in “race to the bottom”

(Credit: Stellantis)

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Stellantis CEO Carlos Tavares has warned that a “bloodbath” is coming if EV makers follow Tesla and Elon Musk in a “race to the bottom.” The Stellantis CEO’s comments came amidst Ford’s announcement that it was scaling back production and trimming its workforce that is producing the F-150 Lightning. 

While BYD exceeded Tesla in raw battery electric vehicle deliveries at the end of 2023, the American EV maker is still one of the world’s undisputed leaders in the electric vehicle sector. To keep Tesla’s vehicles competitive, the automaker has implemented aggressive strategies such as steep price cuts to make its vehicles more affordable to mainstream consumers. 

Such strategies helped Tesla achieve a record year in deliveries, but it also sacrificed profitability. Tesla’s automotive gross margin without regulatory credits in Q3 2023, for one, fell to 16.3% from 27.9% in Q3 2022, as noted in a Fortune report. Elon Musk, for his part, has stated that Tesla would likely need to keep lowering its prices to ensure that customers could afford its vehicles.

As per Tavares during an event in Amsterdam on Friday, he is trying to avoid chasing Elon Musk as he drives Tesla’s prices lower and lower. “If you go and cut pricing disregarding the reality of your costs, you will have a bloodbath. I am trying to avoid a race to the bottom,” the Stellantis CEO said. 

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“I know a company that has brutally cut pricing, and their profitability has brutally collapsed,” Tavares also noted without naming Tesla. 

The EV efforts of America’s biggest auto players have taken notable hits. Ford has stated that its electric vehicle business lost about $4.5 billion last year, as noted in a Yahoo Finance report. General Motors (GM) also pulled back on its electric vehicle plans in late October despite stating in the past that it has every intention to dethrone Tesla in the electric vehicle market. 

Tesla’s price cuts have not ended. Just recently, Tesla lowered the prices of the Model Y crossover in several European countries by over $5,000. Similar price adjustments have also been rolled out in China, one of Tesla’s largest and most competitive markets.  

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Cybertruck

Tesla confirms date when new Cybertruck trim will go up in price

Tesla has officially revealed that this price will only be available until February 28, as the company has placed a banner atop the Design Configurator on its website reflecting this.

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Credit: Tesla

Tesla has confirmed the date when its newest Cybertruck trim level will increase in price, after CEO Elon Musk noted that the All-Wheel-Drive configuration of the all-electric pickup would only be priced at its near-bargain level for ten days.

Last week, Tesla launched the All-Wheel-Drive configuration of the Cybertruck. Priced at $59,990, the Cybertruck featured many excellent features and has seemingly brought some demand to the pickup, which has been underwhelming in terms of sales figures over the past couple of years.

Tesla launches new Cybertruck trim with more features than ever for a low price

When Tesla launched it, many fans and current owners mulled the possibility of ordering it. However,  Musk came out and said just hours after launching the pickup that Tesla would only keep it at the $59,990 price level for ten days.

What it would be priced at subsequently was totally dependent on how much demand Tesla felt for the new trim level, which is labeled as a “Dual Motor All-Wheel-Drive” configuration.

Tesla has officially revealed that this price will only be available until February 28, as the company has placed a banner atop the Design Configurator on its website reflecting this:

Many fans and owners have criticized Tesla’s decision to unveil a trim this way, and then price it at something, only to change that price a few days later based on how well it sells.

It seems the most ideal increase in price would be somewhere between $5,000 and $10,000, but it truly depends on how many orders Tesla sees for this new trim level. The next step up in configuration is the Premium All-Wheel-Drive, which is priced at $79,990.

The difference between the Dual Motor AWD Cybertruck and the Premium AWD configuration comes down to towing, interior quality, and general features. The base package is only capable of towing up to 7,500 pounds, while the Premium can handle 11,000 pounds. Additionally, the seats in the Premium build are Vegan Leather, while the base trim gets the textile seats.

It also has only 7 speakers compared to the 15 that the Premium trim has. Additionally, the base model does not have an adjustable ride height, although it does have a coil spring with an adaptive damping suspension package.

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Cybertruck

Tesla set to activate long-awaited Cybertruck feature

Tesla will officially activate the Active Noise Cancellation (ANC) feature on Cybertruck soon, as the company has officially added the feature to its list of features by trim on its website.

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Credit: Tesla

Tesla is set to activate a long-awaited Cybertruck feature, and no matter when you bought your all-electric pickup, it has the hardware capable of achieving what it is designed to do.

Tesla simply has to flip the switch, and it plans to do so in the near future.

Tesla will officially activate the Active Noise Cancellation (ANC) feature on Cybertruck soon, according to Not a Tesla App, as the company has officially added the feature to its list of features by trim on its website.

Tesla rolls out Active Road Noise Reduction for new Model S and Model X

The ANC feature suddenly appeared on the spec sheet for the Premium All-Wheel-Drive and Cyberbeast trims, which are the two configurations that have been delivered since November 2023.

However, those trims have both had the ANC disabled, and although they are found in the Model S and Model X, and are active in those vehicles, Tesla is planning to activate them.

In Tesla’s Service Toolbox, it wrote:

ANC software is not enabled on Cybertruck even though the hardware is installed.”

Tesla has utilized an ANC system in the Model S and Model X since 2021. The system uses microphones embedded in the front seat headrests to detect low-frequency road noise entering the cabin. It then generates anti-noise through phase-inverted sound waves to cancel out or reduce that noise, creating quieter zones, particularly around the vehicle’s front occupants.

The Model S and Model X utilize six microphones to achieve this noise cancellation, while the Cybertruck has just four.

Tesla Cybertruck Dual Motor AWD estimated delivery slips to early fall 2026

As previously mentioned, this will be activated through a software update, as the hardware is already available within Cybertruck and can simply be activated at Tesla’s leisure.

The delays in activating the system are likely due to Tesla Cybertruck’s unique design, which is unlike anything before. In the Model S and Model X, Tesla did not have to do too much, but the Cybertruck has heavier all-terrain tires and potentially issues from the aluminum castings that make up the vehicle’s chassis, which are probably presenting some challenges.

Unfortunately, this feature will not be available on the new Dual Motor All-Wheel-Drive configuration, which was released last week.

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Tesla Model S and X customization options begin to thin as their closure nears

Tesla’s Online Design Studio for both vehicles now shows the first color option to be listed as “Sold Out,” as Lunar Silver is officially no longer available for the Model S or Model X. This color is exclusive to these cars and not available on the Model S or Model X.

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Credit: Tesla

Tesla Model S and Model X customization options are beginning to thin for the first time as the closure of the two “sentimental” vehicles nears.

We are officially seeing the first options disappear as Tesla begins to work toward ending production of the two cars and the options that are available to those vehicles specifically.

Tesla’s Online Design Studio for both vehicles now shows the first color option to be listed as “Sold Out,” as Lunar Silver is officially no longer available for the Model S or Model X. This color is exclusive to these cars and not available on the Model S or Model X.

Tesla is making way for the Optimus humanoid robot project at the Fremont Factory, where the Model S and Model X are produced. The two cars are low-volume models and do not contribute more than a few percent to Tesla’s yearly delivery figures.

With CEO Elon Musk confirming that the Model S and Model X would officially be phased out at the end of the quarter, some of the options are being thinned out.

This is an expected move considering Tesla’s plans for the two vehicles, as it will make for an easier process of transitioning that portion of the Fremont plant to cater to Optimus manufacturing. Additionally, this is likely one of the least popular colors, and Tesla is choosing to only keep around what it is seeing routine demand for.

During the Q4 Earnings Call in January, Musk confirmed the end of the Model S and Model X:

“It is time to bring the Model S and Model X programs to an end with an honorable discharge. It is time to bring the S/X programs to an end. It’s part of our overall shift to an autonomous future.”

Fremont will now build one million Optimus units per year as production is ramped.

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