Elon Musk recently announced that Tesla would try some advertising in the coming months. That would be the first time Tesla promotes its vehicles to reach a wider audience.
For the Chief Executive Officer and some investors in the company, consumers either have preconceived ideas about the electric vehicle manufacturer or are unaware of the group's technological innovations.
They say, for example, that a large majority of consumers are convinced that Tesla cars are very expensive. The automaker has thus maintained its initial brand image of affluent consumers, even as it has lowered its prices six times this year. The Model Y SUV, the world's bestselling electric vehicle, now costs less than the Mustang Mach-E, its main rival at Ford. (F)
Musk also reiterates that Tesla (TSLA) is more advanced in artificial intelligence, via its Full-Self-Driving driving-assistance system, than Google (GOOGL) is.
"I think Tesla will have sort of a ChatGPT moment, maybe if not this year, I'd say no later than next year," the billionaire told CNBC on May 16. "Suddenly, 3 million cars will drive themselves with no one. And then 5 million cars and then 10 million cars."
"Google is unable to produce a generalized solution to self-driving that works anywhere. They've been trying to get for a long time. They've been unsuccessful. Tesla basically has that and it's far more advanced than Google," he claimed.
By advertising Tesla products, Musk hopes to show off his company's prowess and attract new customers.
Meantime, while investors, analysts and fans await the first TV commercials, the billionaire remains the automaker's best ambassador. He has just reinforced that position by relaunching the hype around the Cybertruck.
No Door Handles; Removable Side Mirrors
The vehicle -- Tesla's most recent passenger vehicle, unveiled in November 2019 -- is due to go into production in the coming weeks at the Austin plant with first deliveries expected at the end of the third quarter.
To make fans wait, Musk for several months has been publicizing small details about the vehicle, to build expectations and maintain enthusiasm for this futuristic vehicle.
He has just announced new features that indicate the uniqueness of the Cybertruck.
"No door handles & side mirrors can be removed at discretion of owner," the billionaire announced on Twitter on May 17.
From the looks of things, Cybertruck owners will be able to customize their vehicles. Using the fire emoji, the tech mogul indicated that the pickup will have a stunning package of features and options manufactured by third parties.
"Cybertruck option packages & third-party add-ons will be 🔥🔥," Musk said.
Unsurprisingly, both announcements did what Musk wanted them to do: fuel enthusiasm among Tesla's fans.
"I havent waited in the presale line like i did for the cybertruck since college at Gamestop for Halo 2," commented one Twitter user.
"The best door handle is no door handle," quipped another user.
"When can you buy in UK?" another user asked.
"I desperately need one of these 🔥" said another Twitter user.
Initial Production: 250,000 Units a Year
Tesla has yet to reveal pricing for the Cybertruck, which will compete with the F-150 Lightning, the electric version of Ford's iconic F-150, and Rivian's (RIVN) R1T.
A fleet of Cybertruck prototypes has been circulating for several weeks in California, according to several videos posted on social networks. Musk himself often commented on some of the videos and said that the Cybertruck is the car he will be driving every day.
The Cybertruck, Tesla and Musk's first new car since the Model Y SUV in March 2019, has been at the center of conversations in the automotive industry.
It has been described as something out of the films "Mad Max" and "Blade Runner." Musk himself said the vehicle had been influenced partly by "The Spy Who Loved Me," a reference to the amphibious Lotus Esprit S1 featured in the 1977 James Bond film.
Clearly, one of Tesla's goals is to push the technological envelope and reinforce the company's image as the innovation leader in the auto industry.
During Tesla's annual meeting on May 16, Musk said the carmaker plans to produce a "quarter-million a year" but the figure could double.
"It might be 500,000. I don't know, but we'll make as many as people want and can afford," he said, warning that the Cybertruck may not be widely affordable because of the manufacturing cost.
The pickup truck is said to have a low center of gravity, which provides good traction control and torque, enabling acceleration from 0-60 mph in just 2.9 seconds and up to 500 miles of range.
In addition, Tesla said that it has up to 3,500 pounds (1,587 kg) of payload capacity, adjustable air suspension and 100 cubic feet of exterior lockable storage, including a tonneau cover "that is strong enough to stand on."
The Cybertruck has also a towing capability of more than 14,000 pounds (6,350 kg), the carmaker has said.
