Shares of the world's most valuable electric vehicle maker slumped on Tuesday, Oct. 7, 2025, after revealing lower-cost models, while a chipmaker added to its gains in the wake of a massive AI deal.
Cheaper Teslas have arrived. But are they cheap enough?
The cheaper versions of the refreshed Model Y and Model 3 aren't brand new models, but they introduce a more affordable starting price for electric car shoppers.
Tesla plans to unveil a cheaper version of the Model Y, following through on plans to offer a more affordable car after the loss of US incentives for electric vehicles. Bloomberg's Craig Trudell joins Caroline Hyde and Ed Ludlow on “Bloomberg Tech.
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Tesla unveiled more affordable versions of its best-selling Model Y SUV and Model 3 sedan on Tuesday at $39,990 and $36,990, respectively, as the electric-vehicle maker seeks to reverse falling sales and waning market share amid rising competition.
Tesla Inc (NASDAQ:TSLA) has introduced cheaper versions of its two most popular electric vehicles, aiming to make electric cars more accessible following the expiration of the $7,500 US federal EV tax credit. The new Model 3 Standard starts at $34,990, making it the most affordable Tesla currently available, while the Model Y Standard, a budget-friendly version of the Model Y SUV, begins at $39,990.
After soaring in 2023 and 2024, shares of Tesla (NASDAQ:TSLA) were battered throughout Q1 2025.
Elon Musk says Tesla Inc. (NASDAQ: TSLA) is no longer a car company.
As Tesla faces growing scrutiny and tariffs across Europe, its Chinese rival BYD is accelerating into pole position in the UK. The Shenzhen-based carmaker said Britain is now its biggest market outside China, after sales jumped 880% in September to 11,271 vehicles.
Tesla is expected to unveil on Tuesday a more affordable version of its best-selling Model Y SUV, as the electric vehicle maker seeks to reverse falling sales and waning market share amid rising global competition.
Tesla posted teaser videos on social media suggesting a major announcement on Oct. 7, with analysts speculating about the launch of a lower-cost Model Y.