Tesla has reportedly scrapped plans for a low-cost electric vehicle (EV), instead concentrating on a “robotaxi”, according to Reuters citing unnamed sources and internal messages sighted by them.
If true, this shift occurs amid significant competition from Chinese EV manufacturers like BYD, who offer vehicles at much lower price points, such as the BYD Seagull and the BYD Dolphin.
The reportedly-canceled entry-level car, sometimes referred to as the Model 2 or “Redwood”, was anticipated to start at around US$25,000. Reuters also says it was called the project NV91 internally and H422 externally.
A decision to refocus on a robotaxi instead might have come about due to increased confidence in Tesla’s Full Self Driving (FSD) capabilities, as user feedback on the new overhauled V12 powered by end to end neutral networks has been overwhelmingly positive.
In Malaysia, Full Self Driving has been offered as a RM32,000 option in Malaysia, but we cannot use it yet.
The post Tesla “Redwood” to be a pure robotaxi, “Model 2” H422/NV91 cancelled, no US$25k low-cost car – report appeared first on Paul Tan's Automotive News.
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