Tesla launches low-priced Model Y Musk called unacceptable as Ford, VW enter segment
Low-range model comes with big price cut
{{#rendered}} {{/rendered}}Tesla has quietly introduced a new entry-level version of its Model Y that Elon Musk said last summer it wouldn't build.
(Tesla)
The rear-wheel-drive Model Y Standard Range is priced at $41,990, which is $8,000 less than the all-wheel-drive Long Range version of the compact crossover.
The Standard Range is capable of driving 244 miles between charges, while the Long Range can go 326 miles.
{{#rendered}} {{/rendered}}The new model was part of the initial Model Y plan, but last July Musk told a Twitter follower that Tesla wouldn't make it because its "range would be unacceptably low (<250 mile EPA)."
Instead, he said there would be a rear-wheel-drive Long Range version, but such a vehicle has not yet gone on sale.
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{{#rendered}} {{/rendered}}Battery packs are among the most expensive components of an electric car and, even though Tesla is capable of building them at a lower cost than most automakers, the roughly 25-kilowatt-hour difference between a Standard Range and Long Range pack represents several thousand dollars.
The new Model Y's availability comes as the similarly sized two-wheel-drive Ford Mustang Mach-E and Volkswagen ID.4 enter the market with 230 miles and 250 miles of range, respectively, priced at $35,395 and $32,495 after subtracting the $7,500 federal tax credit they both qualify for, which is not available for the Model Y, as Tesla has exhausted its allotment.