Model S price increase looming?

From "Top Speed"

Here is the article text in case the link does not work.....

Currently, prices for the Tesla Model S range from $57,400 to $77,400 — $49,900 to $69,900, if you add the $7,500 federal tax credit. However, we are all well aware of the fact that the Model S is being sold at, or even possibly well below, the cost to build it. This means that it is only a matter of time before a price hike is in order.

Tesla has now lifted the veil of silence on this topic and announced that there will be a price increase in the near future. Surprise! Well, not really, since the rumors have been floating around about a price increase for a while. There is no information on just how much of an increase we are looking at, but we would guess that it will be significant. It may even push the upper end of the Model S toward the base price of the Fisker Karma. One bit of information that Tesla let us in on is that some features that are now standard equipment will later become option packages, which means that we will not only see a price hike, but also a decrease in standard features.

This price increase will not apply to the existing reservations. Those customers who have placed a reservation will receive an email from Tesla where they will be advice to finish their configuration and order within a "fair, predefined time frame."

For those of you who do not remember, the Model S has a variety of battery and motor choices. Depending on the version, the Model S can sprint from 0 to 60 mph in in 4.5 seconds and can hit a top speed of 126 mph.

Full details on the price increase will be announced in the next two to three weeks.

If you don't have a reservation yet, that's true. You can avoid it all by reserving this month, I believe. And the extended warranty didn't exist before, so how can that be an "increase"?

From Wikipedia-

"The Prius family reached global cumulative sales of 3.3 million units through October 2012, representing 71.5% of Toyota Motor Company hybrid sales of 4.6 million Lexus and Toyota units sold worldwide since 1997.[4]"

There are going to be about 500,000 Prii sold worldwide this year. Contrary to a previous post, it's not a Loss Leader, it's a Cash Cow.

I should add that there were a lot of hybrid naysayers early on, including the American automakers, and they've been playing catch-up ever since.

I wouldn't call myself a fanboy, but I bet history would have repeated itself if it weren't for one entrepreneurial guy. My hat is off to you!

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