Elon Musk is about to launch a small electric car without a steering wheel, priced at $ 25,000, in the future running a service that competes with Morning, i10

Tesla CEO recently said that the company’s upcoming electric car will be used in full autonomous driving mode. The electric car model is expected to cost only about $25,000, which is a very cheap price compared to current mid-segment electric vehicles. Many people rumored that the name of this new model will be Model 2.

In fact, Elon Musk has promised to launch this cheap electric car from 2020, but so far has not appeared. During a recent Investment Day event, several Tesla shareholders said they were disappointed that Elon Musk had not released any information about the ‘Model 2’.

However, Elon Musk once again mentioned this topic in an interview on the sidelines of the Morgan Stanley Conference on March 8.

“We have a clear roadmap for making an electric vehicle smaller, half the cost of production than the Model 3. That car will be almost entirely self-driving. Tesla has always emphasized self-driving capabilities. People who have used Tesla Full-Self Driving have experienced how quickly self-driving capabilities develop,” he said.

Musk went on to add that current passenger cars are typically only used for 10-12 hours per week. If the vehicles were fully automated, they would likely be used for 50-60 hours per week.

“The use value of the car increases by 5 times, while the cost is reduced by the same number of times. Essentially, the company will get a software profit from a hardware product,” Musk added.

As a further mention, the ‘Model 2’ will work primarily within the robotaxi program that Tesla has long promised. Participating in this program, people can rent a car when not in use. Given its affordable price tag, the ‘Model 2’ has the potential to become Tesla’s best-selling vehicle. Most likely, car owners can use as a service car or advertise car rental to people in need through robotaxi.

Elon Musk has made bold claims about Tesla’s self-driving capabilities. He has made Tesla’s Autopilot and Full Self-Driving (FSD) the hallmarks of the electric car brand.

The Tesla CEO has repeatedly said the automaker will release a fully self-driving FSD to the public – although the launch date has been delayed for years. Tesla offers FSD as a $15,000 or $199 per month add-on, but the feature is in beta and still requires a licensed driver to monitor the vehicle.

Reference: Carscoops