Silicon Valley’s Tesla Motors has released a teaser photo of their model S sedan, which has been delayed by the company’s financial and leadership crisis.
The model S was originally slated to go into production in 2010 with a 225 mile range on a single battery charge, all for a estimated price of $60,000. Founder and current CEO, Elon Musk, stated that the sedan would be delayed until the company receives loan guarantees from the US Department of Energy and investors loosen up their terms. With the delay, the model S will face new competitors such as the Chevrolet Volt, Honda Insight, and the redesigned Toyota Prius, all of which will cost significantly less then the Tesla. Musk doesn’t seem too concerned, but potential investors most likely are.
Extensive cost cutting has led the company to close their research and development center in Michigan and layoff a large number of employees. The only good news is that the $100,000 Tesla roadster currently has 1,200 backorders and is now profitable.