Part 9/12:
Tesla’s ability to reduce the cost of goods sold (COGS) is pivotal for sustained profitability. Musk recalls the success of the initial platform (Model S/X) and the second-generation platforms (Model 3/Y), which cut costs by 50%. Future platforms are anticipated to further improve margins, especially with innovations like Giga castings, structural packs, and 4680 battery cells.
Questions about the Timeline for new platform releases and associated cost reductions are paramount, especially regarding the Cybertruck. Musk suggests that new platforms will continue to drive down costs, enabling Tesla to remain competitive and profitable even if price cuts become necessary.