Tesla's Cybertruck long road to launch may end in Q4
Xiaolu Chu
Tesla (NASDAQ:TSLA) did not launch sales of the Cybertruck model in Q3 after Elon Musk had suggested earlier in the year that a delivery event was likely to occur during the quarter. Musk foreshadowed a possible Cybertruck delay over the summer after skipping around specific questions about the electric truck's pricing and delivery schedule. The arrival of Cybertruck Launch Team apparel in the last two weeks has created some buzz that the public delivery event could finally happen in Q4.
The complexity of the model is believed to be behind the long road to customer deliveries. "The Cybertruck has a lot of new technology in it, like a lot,â Musk stated on Tesla's (TSLA) earnings call in July. "It doesn't look like any other vehicle because it is not like any other vehicle," he noted.
In a memo to employees, Elon Musk stated that due to the nature of Cybertruck being made of bright metal with mostly straight edges, any dimensional variation shows up like a sore thumb. He noted that all parts for Cybertruck, including from suppliers, need to be designed and built to sub 10 micron accuracy. "That means all part dimensions need to be to the third decimal place in millimeters and tolerances need to be specified in single digit microns. If LEGO and soda cans, which are very low cost, can do this, so can we," he promised.
The delay for the highly-anticipated electric truck has raised more questions about the specific reasons for the holdup and added to some near-term concerns about the breadth of Tesla's (TSLA) lineup after several years of no new models being introduced by the Texas-based company, according to The Wall Street Journal's Rebecca Elliott. However, some Cybertruck reservation holders are said to be more concerned about the impact of inflation on Cybertruck pricing than when it is eventually introduced.
Cybertruck details: The Cybertruck features all-wheel drive and is promised to tow up to 14,000 pounds. The driving range has been estimated at over 500 miles. Tesla (TSLA) has claimed in the past that the Cybertruck will have a zero-to-60 mph speed of 6.5 seconds and top out at 110 miles per hour. Cybertruck is said to accept one megawatt direct current charging, which means it will charge very fast with hundreds of miles of range delivered in minutes. Pricing on the tri-motor version is anticipated to be over $70,000. Tesla Cybertruck buyers may be eligible to receive a federal tax credit of up to $7,500.

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