Will Stein: Similar path for the next-gen platform?
Unidentified Company Representative: I mean, there’s like unique complexity to Cybertruck.
Elon Musk: Yes. I mean Cybertruck is — yes. I mean, we dug our own grave with Cybertruck. Nobody — generally, everybody digs a grave better than themselves. And so it is — Cybertruck’s one of those special products that comes along only once in a long while. And special products that come along once in a long while are just incredibly difficult to bring to market, to reach volume, to be prosperous. It’s fundamental to the nature of the newness. So now the sort of high-volume, low-cost smaller vehicle is actually much more conventional.
Unidentified Company Representative: Yes. In terms of like the technologies we’re putting into it, we didn’t have to invent full hard stainless steel or have mega 9,000-ton castings or the largest hot stamping in the world or new [Technical Difficulty] are quite in the same way as the Cybertruck. I think it will be quite a fast ramp. As I was just saying, we’re doing everything possible to simplify that vehicle in order to achieve a units per minute level that is unheard of in the auto industry.
Unidentified Company Representative: I mean, the single location makes it easier to automate. It also makes it lower cost. Yes, that’s intrinsically lower cost.
Elon Musk: Yes. Let’s be clear, it will be cool, but it’s utilitarian. It’s not meant to be — fill you with magic. It can get you from A to B. It will be still beautiful. But it’s utility.
Unidentified Company Representative: That’s not 14 inches of [indiscernible] suspension.
Elon Musk: Yes. So I mean, the Cybertruck has a lot of bells and whistles.
Martin Viecha: All right. Thank you very much. Let’s go to Pierre Ferragu from New Street Research.
Pierre Ferragu: I have first like a follow-up question on FSD and pricing and adoption. So, I agree with you that as FSD improves, we should see its value increasing. But I guess, like the ultimate values of FSD, which is to be able to handle like a robotaxi is not going to necessarily interest everybody, and you have a bit of a degraded version that would be like a chauffeur service where the car drives by itself, but you still have to be in the car and around. And then there is like the hands-on — eyes-on version of the service. And I guess, there should be like much lower cost, lower feature kind of variance of the service that could have a very large penetration on your installed base and more expensive one that would remain at a lower penetration level.
So, I’m just wondering if you’re taking that — and last but not least, like the simplest version of FSD available and are going to work from a technical perspective, probably before like the ultimate robotaxi version can work if ever. And so I’m wondering how you take that into account and how you’re thinking like the financial contribution of FSD over time and whether you could evolve your pricing along that kind of tiers to increase adoption.
Elon Musk: Yes. A fully autonomous vehicle, I think, Pierre, your — sort of the economics of autonomous vehicle are truly astounding in a positive way. When you look at passenger vehicles today, they only get about 10 to 12 hours of usage per week. That’s — if you drive 1.5-hour a day on average, that’s roughly 10 hours a week out of 168 hours. And then there’s also you’re going to have parking and insurance. You got to take care of the car. It’s like there’s a lot of overhead. So I mean, yes, it’s like the economics of the system are just insanely positive given that the car — like all of the cars we’re making and have made for a while, we believe, are capable of full autonomy. So then if you’re able to say increase the utility of that car by a factor of 5, which only means that you’re — it’s being used for maybe 50 hours a week out of 168, so you still notice — you’re still assuming — that still assumes less than 1/3 of the hours of the week is doing something useful.
