Later today at 8:00 PM PT, Tesla (TSLA) is set to unveil its second electric SUV, the Model Y. Both the company and its investors have high hopes for the lower-priced SUV. Over the last few days, a storm of rumors has made the unveiling event even more highly anticipated.
Elon Musk and his tweets
Tesla CEO Elon Musk tends to make everything about Tesla sensational among his 25 million Twitter followers. His penchant for Twitter has led him into legal trouble twice with the SEC. Musk’s August 2018 tweet about “taking Tesla private at $420” attracted an SEC lawsuit against him. Later, in October 2018, Tesla and the SEC agreed on a settlement that mandated the company to “put in place additional controls and procedures to oversee Musk’s communications.”
Nonetheless, Musk’s tweet last month attracted SEC legal action against him again for contempt in violating the previous settlement.
Tesla Model Y unveiling event
On March 3, Musk, in a series of tweets, announced March 14 as the Model Y unveiling date. Earlier today, Tesla’s official Twitter account posted a Model Y teaser that offered a glimpse at a covered Model Y, which Musk promptly retweeted.
On February 28, Tesla launched its $35,000 version of the Model 3 with a 220-mile driving range per charge, which it first announced in March 2016. Interestingly, Musk also tried to overhype that launch by calling it “Some Tesla news” and changing his Twitter profile name to “Elon Tusk.”
The Model Y is expected to help Tesla compete with its Chinese peer, NIO (NIO). Also, Tesla might also benefit from an ongoing positive trend in US pickup truck and SUV sales. Over the last couple of years, higher demand for SUVs and pickups has encouraged mainstream automakers (IYK) including General Motors (GM), Ford (F), Fiat Chrysler (FCAU), and Toyota (TM) to shift their focus to the pickup truck and SUV segment from the passenger car segment.