Last night, Elon Musk tweeted “time to unveil the D” and accompanied it with this picture.
Unintentional innuendo aside, the internet was awash with speculation about what the CEO of Telsa had coming. Shares of Telsa are up about 4% for the day, which is a nice birthday reprieve for me since it’s been on a slide for a good minute now. The question remains though, what is this D that Elon is speaking of?
At the Wall Street Journal, the speculation is that it is an announcement of the “Dual Motor” All Wheel Drive system. Marketwatch, on the other hand, according to a poll on their website believe it’s either a new model (at 42% of votes) or a new feature (at 41%).
Here are my thoughts: Although since the Roadster was killed, Tesla has used a letter based model naming system, the “D” can’t be another car model because the Model X is yet to be released and a mass-market Model 3 is planned after the Gigafactory goes into production, which is essentially 2018 or beyond. Any new model being announced is indistinguishable from a mere concept car. That would not warrant that kind of tweet or announcement.
The AWD is a very plausible speculation. My first car was an Audi A6, it had AWD and it definitely drove a LOT better in winter conditions than my current, front drive train only, car. Like, the difference is material. The skidding in snow, sliding in slurry roads that my current car does, my old AWD never did. So given that Tesla is popular in Europe, North East and many essentially, snowy areas, it makes sense to release the “dual motor” AWD feature especially around this time of the year. The current Model S cars already on sale, don’t have that feature. So it’s likely.
It’s also possible that what Elon would announce come the 9th is Tesla’s move into a dealership strategy. Given the recent battles with dealerships across the nation, it’s popularity and growing demand, and some recent legal losses in states from New Jersey to Iowa, the company might decide to go down that route. I don’t rank this option as likely as the others though, simply because Elon strikes me as a rebel who would rather go through the harder but better way of doing things than capitulate to the status quo. It’s what drove me to invest in Tesla stock in the first place. Bending to the dealership mafia just doesn’t make much sense.
So if you ask me, we may be expecting a dual motor feature on the Model S and X to be announced. But who can tell, for sure? Only Musk.
Let me know what you think below.
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