Tesla CEO Elon Musk’s long and strange journey to acquire the social media site Twitter continues. The auto industry is watching what happens to the microblogging site under the leadership of the most well-known automaker CEO in the world, which isn’t fun for Tesla shareholders. At the beginning of 2022, one TESLA stock would cost you under $200. The current price is slightly more than $123.
There are several reasons for the nearly 70% drop, but Musk’s public display on Twitter has had the most visible recent impact. Since Musk purchased it two months ago, Twitter’s stock has dropped 45 percent. Musk’s sale of $3.6 billion in Tesla stock last week—and nearly $40 billion since late 2021—hasn’t helped. Musk has since promised not to sell more Tesla stock for the next two years, but he has previously contradicted himself.
Reduced demand for Tesla’s all-electric vehicles is another factor influencing its stock price. In response, Tesla has reduced the price of some models and begun offering free 30-day trials of the company’s Enhanced Autopilot, an advanced driver-assistance version of its Autopilot. Navigation with Autopilot, automatic lane changes, and automatic parking and summoning are among the enhanced Autopilot features. These features are typically paid upgrades that necessitate the installation of specific sensors.
As Electrek points out, Tesla is moving away from installing ultrasonic sensors in every vehicle. Still, it hasn’t updated its software to allow some of these Enhanced Autopilot features (Autopark, Summon, and Smart Summon) to work in Tesla vehicles with only camera sensors.
In terms of Tesla price changes, the automaker began offering a $3750 discount to US customers on two models, the Model 3 and the Model Y, in early December. This amount more than doubled last week, to $7500, for customers taking delivery this month. Tesla also added a new incentive for EVs delivered in December: 10,000 miles of free energy at Tesla Supercharger stations.