Elon Musk's Life-or-Death Decision for Tesla's Future
*By Madison Alworth*
Elon Musk's decision to push a high-end Model 3 vehicle instead of the more affordable base model of Tesla's electric car is one of life or death for the electric car company.
The mercurial chief executive said over the weekend that the new "Performance" Model 3 is available for pre-order, and by proceeding with the souped-up version, the company can better figure out how to deliver on the promise of the mass-market Model 3.
In a [tweet](https://twitter.com/elonmusk/status/998400110156550144) late Sunday, Musk put the choice in stark terms: If he were to press ahead with the $35,000 base version, Tesla would "lose money and die." Coming forward with the $78,000 dual-engine Model 3 allows the company scale for production without hemorrhaging more cash.
"What we don't know yet, even though these specs are out there, is when those cars will actually be arriving," said Marty Padgett, editorial director at Motor Authority. "If you went on the website today, if you order your Performance model today, it says six to nine months for delivery. What's still missing is that mythical $35,000 Tesla Model 3."
On Twitter, Musk touted the souped-up Model 3's specs: all-wheel drive, top speed of 155 miles per hour, and the ability to go from 0 to 60 mph in less than 4 seconds.
It will cost more than double the base-level Model 3. And Musk didn't indicate how much longer consumers ー or investors ー would have to wait for the much-anticipated cheaper version.
One the one hand, the decision to come ahead with the "Performance" model may show that Tesla's production technology is far enough along that it can offer more options. However, the price point may also indicate that Tesla can't deliver the industry-changing mass market vehicle Musk promised.
It seems the company is further away than ever on sustainably producing a mass-market model.
Tesla would "lose money and die" if it were to ship the low-cost Model 3, Musk said in a [tweet](https://twitter.com/elonmusk/status/998400110156550144) over the weekend. He made the decision to go ahead with the high-end Model 3 over the cheaper version to work out what it would take to deliver any car at a sustainable rate.
Selling the high-end version enables the company to "achieve target rate and then smooth out flow to achieve target cost," Musk said. That could take three to six months.
It remains to be seen how many customers would want the more expensive Model 3 over the affordable car they expected, or if the new Model 3 may cannibalize sales of the top of the line Model S.
"They're selling new, they're selling innovation," said Padgett. "Tesla buyers want the latest thing."
For the full interview, [click here](https://cheddar.com/videos/teslas-model-3-is-getting-an-upgrade).
Visitors in Santa Monica are now getting a whole new look into the new metaverse world. Starting on December 1st, the Downtown Santa Monica District Is Getting Fully Immersed in AR and VR. It's All in Partnership with 'Flick Play' which is the first-ever 'Play to Earn' Metaverse App that Basically Takes the Gamification of 'Pokemon Go' and combines It with more social aspects of an App like Tiktok. Founder of the FlickPlay App Pierina Merino, joined Cheddar to discuss more.
On a platform as massive as TikTok, there are bound to be some negative implications. While we know that social media sites can have harmful health effects for teens and adolescents, the research on TikTok's health effects is slim to none. Skye Barbic, assistant professor at the University of British Columbia joins Cheddar News.
If your kid was on Santa's "nice list" this year, maybe you're willing to shell out $1,900 for Tesla's new Cyberquad. The automaker's all-electric ATV for children 8 years old and up is available to order now and is expected to begin shipping in two to four weeks.
Grab, a Southeast Asia-based ride sharing, e-wallet, and delivery service, made its public debut on the Nasdaq via SPAC merger. CFO Peter Oey joined Cheddar's Brad Smith to talk about the IPO and why it was an ideal time for the company to go public. Oey noted that while Grab operates in 465 cities in eight Southeast Asian countries, there is still more opportunity to grow and expand while balancing profitability and growth.
Voltus is going public by combining with a special purpose acquisition company, Broadscale Acquisition Corp., in a deal that values the electricity market technology startup at about $1.3 billion dollars. The company aims to deliver less expensive, more reliable, and more sustainable electricity to its more than 600 customers, including Home Depot, Coca-Cola, and Simon Property Group. Gregg Dixon, co-founder and CEO of Voltus and Andrew Shapiro, chairman and CEO of Broadscale Acquisition Corp., joined Cheddar News to discuss the deal.
On this episode of Cheddar Innovates: Kemtai Co-Founder breaks down how computer vision and artificial intelligence can improve your workout form; Wove Co-Founder explains how it's creating a one-of-a-kind engagement ring design process; A look at Curiosity Stream's 'History By The Numbers.'
Mike Telem, Co-Founder at Kemtai, joins Cheddar Innovates to discuss how the platform is using computer vision and artificial intelligence as a virtual personal trainer through a laptop's camera, and how this technology can be adapted for physical therapy.
Fintech company Square, led by the now-former Twitter CEO Jack Dorsey, will undergo a name change to Block as it expands its product offerings and goes beyond just a payment processing platform into blockchain and crypto spaces.
Jill and Carlo discuss what appears to be the beginning of the end of Roe v. Wade, another victim dies following the school shooting in Michigan, Omicron in the U.S., Trump's Covid chronology and more.
