Since it has been quite clear for some time that Tesla's margins are likely impressively high, it was able to not only drop prices on its whole lineup recently, but also drop them in a massive and surprising manner. Not long after Tesla's 2022 end-of-year discounts and incentives, it upped the ante much higher. For example, the Model Y's starting price dropped from $65,990 to $52,990, and now it's eligible for a $7,500 US federal EV tax credit on top.
