Tesla Launches Budget-Friendly Model S, Model X Variants to Boost US Market Share

In a strategic move amidst intensifying EV competition, Tesla has released more affordable versions of its famed Model S and Model X. Priced $10,000 less, these new offerings provide a slightly reduced range but boast comparable acceleration speeds, broadening Tesla's appeal to a wider audience.

Tesla said these models will be lower-range editions of its popular vehicle models. Elon Musk's EV manufacturing firm produced these versions as the competition in the EV market continues to gain strength.

The company rolled out the low-cost versions of Model S and Model X earlier this week. It confirmed that the new standard range of Model X has a starting cost of just $88,490. On the other hand, the original is being sold for $98,490.

The cheaper option has a driving range of 255 to 269 miles, while the Model X's typical range is 330 to 348 miles. According to CNBC, it is also slightly faster in terms of acceleration speed.

The Model S Standard Range will start at $78,490, while the regular will cost $88,490. The driving range of the new version is 298 miles to 320 miles, while the regular Model S offers a range of 375 miles to 405 miles.

The production of low-cost versions of its popular EVs is part of the company's initiative to stay competitive in the global market amid the growing competition. The move also shows Tesla is focused on gaining a bigger market share and increasing its sales.

Tesla also reduced the prices of its Model Y and Model 3 electric cars in China on Sunday. This is already the third price cut this year. Reuters reported that prices in the Chinese market were lowered on Monday this week. The company also slashed prices several times in the U.S.

Photo by: Willian Cittadin/Unsplash