For those who expected a spectacular announcement, the disappointment will be immense. You’re here (TSLA) – Get the Tesla Inc report will not announce a new car model this year, CEO Elon Musk said Wednesday.
“We won’t be introducing any new vehicle models this year,” Musk said on the company’s fourth-quarter earnings call, adding that it “wouldn’t make sense because we will still be partially constrained.”
Instead, Tesla will focus on “scaling up” and “going out”
Tesla posted record revenue
Tesla reported record fourth-quarter revenue of $17.7 billion on Wednesday, but noted that supply chain disruptions have dampened production capacity and will likely continue through 2022.
Musk said: “I’m not going to go through all the sorts of things we’re working on because I think a lot of them deserve their own product launches as opposed to a few minutes on an earnings call. So I’ll be speaking at a high level more, yeah, mostly at a high level Tesla’s fundamental goal this year is to scale up production.
Musk says the introduction of new vehicles would affect the company’s production rates and deliveries.
“If we were to introduce new vehicles, our total vehicle production would go down. This is a very important point that I think people don’t understand. So last year we spent a lot of engineering resources and management, solving supply chain issues, rewriting code, changing our chips, reducing the number of chips we need,” Musk explained.
Musk said that even if Tesla had produced a new model last year, total vehicle production would have remained the same due to chip supply constraints.
Says the billionaire, “if we actually introduce an additional product that would then require a lot of attention and resources on this increased complexity of the additional product, which would result in fewer vehicles being delivered…”
Tesla delivered 936,172 cars in 2021 and produced 930,422. The manufacturer currently markets 4 models: Model S, Model X, Model Y and Model 3.