Elon Musk On Tesla Network: “It’s Not Tesla Versus Uber, It’s The People Versus Uber”
OCT 30 2016 BY STEVEN LOVEDAY
Elon Musk recently unveiled another facet of his “master plan”. It is not surprising at all that Musk and Tesla intend to move forward with an in-house ride-sharing network. The plan, called the Tesla Network, will allow Tesla owners to use their cars on the network, to make some extra money.
Not only will Tesla drivers have an exclusive network at their disposal, but also, Musk said that people won’t be able to use Tesla’s self-driving cars on current networks like Uber and Lyft. During the company’s Q3 earnings call, Musk answered questions about the plan.
One key question dealt with the plans’ intentions. Will Tesla use it as an integral way to make extra company money, or rather as a way to draw more customers to Tesla, with the added bonus of using their vehicles to make money for themselves? Musk sees it both ways. He explained:
“It’s a bit of both really.This would be something that would be a significant offset on the cost of ownership for a car, and a revenue generator for Tesla as well, but the majority of the revenue would go to owners.”
The most important part of Musk’s response was that most of the revenue will go back in the pockets of Tesla owners.
Is Tesla creating the Tesla Network to provide direct competition with Uber? Lyft? Ride-sharing companies in general? Musk’s response, much like the above:
“This has been characterized as Tesla vs. Uber. But it’s not Tesla versus Uber, it’s the people versus Uber.”
Musk and Tesla are very clearly about “the people”. The company believes that “customers lives matter”. It’s not a wonder that Tesla is top in customer satisfaction.