Tesla Cancels 40kWh Model S Over due to less demand

Tesla has recently made an announcement that they will stop the production of their cheapest model, Model S, the 40 kWH variant, citing lack of enough demand for it.

The demand has been quite low for the affordable model which can be judged from the fact that only 4% of Model S buyers were opting for the cheaper variant. The model was priced at a modest retail price of $52,400.

The buyers how have already ordered before the production of low variant 40 kWh Model S is stopped will get a modified version of the more expensive 60 kWh model. The modification would be that the car will have the power of 60 kWh but there will be a system installed which will limit the output to 40 kWh.

The company has stated that the reason for low demand is the need of the customers to get the freedom for traveling long distances when required.