Cox’s Streaty described the Cybertruck as generating significant interest due to its distinctive design and ambitious features. However, according to her, the vehicle’s sales have not met expectations, attributed to prices exceeding initial promises, reduced driving range and payload capacity, and production challenges. The unconventional design did not appeal to traditional truck buyers, and the competition from companies like Rivian and Ford heightened market challenges.
Streaty further characterized the Cybertruck as a niche product with a unique design and high cost, which may not appeal to mainstream consumers. She also highlighted that recalls and quality issues could significantly diminish customer confidence and sales, creating a major hurdle for the Cybertruck’s market success.
When the Cybertruck was unveiled in 2019, Elon Musk promised its launch within two years, starting at a price of $39,900. However, at its actual launch in 2023, the base model was priced $21,000 higher. Moreover, the Foundation Series model, an early-release special, cost an additional $20,000, despite having no physical differences other than a distinct logo. It offered nonphysical benefits like lifetime cellular connectivity and “free” access to Tesla’s Full Self-Driving (Supervised) system.
Experts consulted by Forbes estimated that Tesla invested at least $2 billion in the Cybertruck’s development. Olav Sorenson, a professor at UCLA, suggested that a typical vehicle would need to sell 200,000 units annually to cover its research and development costs. Due to its stainless steel body and unconventional design, Sorenson estimated that the Cybertruck might require sales of up to 300,000 units annually.
Sorenson also asserted that, given the current sales level, Tesla likely loses money on each Cybertruck sold. He noted that while it is an innovative vehicle, its unusual design has always posed a risk regarding consumer appeal. Historical examples like the DeLorean, another stainless steel car, sold only about 9,000 units, and even more mainstream cars with unique designs, such as the PT Cruiser, have struggled to achieve profitable sales figures.
The demand for the Cybertruck, initially reflected in over a million reservations, rapidly decreased, leading to availability at dealerships within a few months. This unexpected decline in demand might have been partly due to the Cybertruck’s well-documented quality-control problems. Former Aston Martin CEO Andy Palmer contrasted this with the launch of the Aston Martin Valkyrie, emphasizing that consumers rely on manufacturers that demonstrate reliability—something Tesla has struggled with for the Cybertruck.
A reservationist from northern Maryland, who wished to remain anonymous, expressed his initial interest in an electric pickup truck, making an early reservation for a mid-tier Cybertruck with a refundable deposit of $100. However, delays in the truck’s release prompted him to cancel his order, a decision he later affirmed, citing the various developments over recent years that have distanced him from considering a Tesla vehicle again.