Tesla increases prices for remaining Model S and Model X vehicles

Tesla has unexpectedly raised the price of remaining Model S and Model X vehicles by $15,000. Following this increase, the base price of the Model S now stands at $109,990, while the Model X reaches $129,900, significantly above previous levels. This applies not to new versions, but to the final cars from inventory after production has stopped.

Formally, the hike aligns with the cost of the Luxe package, but Tesla hasn't added any new options. Moreover, key features like FSD no longer transfer to the new owner, reducing their real-world value. This has sparked discontent among buyers, as the brand previously criticized dealers for similar markups.

The main reason likely ties to scarcity. Analyst estimates suggest fewer than 1,000 Model S and Model X vehicles remain globally, including demo units. With production concluded, Tesla is essentially selling its last units, allowing the company to test demand through price increases.

Some owners view the news positively, anticipating a rise in their cars' residual value. However, potential buyers question the wisdom of purchasing older models at new prices. The lack of updates and high cost make the Model S and X less appealing compared to more modern electric vehicles.

In practice, Tesla appears to be employing a classic scarcity strategy by raising prices on final examples. Against this backdrop, the move could impact customer loyalty, especially when the higher cost isn't backed by technological improvements to the product.