a few days ago Tesla unveiled their latest vehicle the Tesla Model Y an
electric crossover that is more affordable than the company's existing
SUV the Model X and almost as soon as the company unveiled their new vehicle a
narrative in the media started to develop that basically said the model y
is boring and the reason that this narrative seems to have developed is
that the Model Y is very similar to Tesla's existing vehicle the model 3
although it is a crossover and it does have a few features that are different
from the Model 3 but these are features that can be found in Tesla's other
vehicles like the Model S and the Model X so in this video I really want to
explore why this narrative of the Tesla Model Y being so similar to the model 3
and not really doing anything really new is actually a good thing so let's dive
in and the first thing that we need to talk about is the Tesla Model X when the
Tesla Model X was unveiled many years ago many industry analysts and pundits
looked at this car and looked at what Tesla unveiled and was just like there
is no way that they're going to be able to manufacture what they unveiled up on
the stage there were so many cutting-edge complex features in this
car and especially with the Falcon wing doors, the Model X's signature feature,
many analysts were like yeah there's no way they're bringing that to market and
it was almost like they were egging Tesla and Elon Musk on and Tesla and
Elon were like yeah we're ready for the challenge looking back on this program
though those industry analysts and pundits were somewhat correct in the
assessment that this car was going to be almost nearly impossible to manufacture
this is where manufacturing hell started for Tesla was with the Model X this
vehicle program had cost overruns it was just sheer hell for the company and
looking back on it Elon has blamed hubris he said we've put too many
features and over engineered the car and he's jokingly said that they probably
should have never made the Model X and no one should
ever make a car like the Model X ever again that is how much held this company
went through when manufacturing the Model X so looking back at that program
this then brings us to the next vehicle the Model 3 the Model 3 was
supposed to be different Tesla did not want to make the same mistake they made
with the Model X and they couldn't afford to give in the margins they knew
they were going to have to have on the Model 3 and it's $35,000 price point
from the get-go Tesla had stated that the Model 3 was going to be designed to
be easy to manufacture and it would have very few options when a customer would
order a car which all turned out to be true there was just one problem and that
was the manufacturing assembly lines for the Model 3
somewhere along the line after the Model 3 was announced Elon Musk and of course
Tesla became fixated on this idea of the machine that builds the machine this was
something Ilan talked about in many calls with shareholders at each of the
quarterly earnings call he was fixated on this idea of the Fremont factory
becoming an alien dreadnought full of automation it would be unrecognizable
from what it would look like today and they were going to start this process of
the machine that builds the machine with the model 3 assembly lines there was
only one problem with that unlike with the Model X Tesla did not over engineer
the car but they over engineered the process of building the car with the
Model 3 program thus beginning their second manufacturing hell welcome third
if you count the Roadster and I think the Model S one through one basically
every everything's been manufacturing how up until this point but this was
just on such a huge scale because the model 3 is a mass-market car they are
anticipating making hundreds of thousands of these cars a year so the
fact that Tesla over engineered the Model 3's assembly
lines meant that this car was delayed it put an enormous amount of financial
strain on the company however given all that they did eventually get out of
manufacturing hell and they were able to start making the Model 3 at scale just a
little bit later than they thought and they spent way more money than they
should have on this program so with all of that that brings us to the Tesla
Model Y which looks very similar to the Tesla Model 3 Tesla's said that the
model Y is going to share around 75% of its parts with the Model 3 which is why
they look so similar now do I think the Tesla Model Y is boring
no, no Tesla vehicle is boring but I will say that the Model Y is very similar to
the Model 3 and it's not really doing anything new in terms of its feature set
it does have a few features like it's gorgeous panoramic roof and power
liftgate and it has a hatch as well and more storage space none of these things
are in the Model 3 but they can be found in other Tesla vehicles like the Model S
in the Model X so the fact that the Model Y is similar to me is actually a
plus they looked at it and they said instead of over-engineering
the car or over engineering the manufacturing process let's just take
what we're doing with the Model 3 program use as many parts as we possibly
can to build a crossover SUV and this gives me confidence that Tesla will not
only know how to make this car they have the relationships with the third party
manufacturers that make the parts but they also should know how to build this
car because they can model it in the way that they have with the Model 3 assembly
lines to date not when the model 3 began because you know again the over
engineered the manufacturing process for it but this gives me confidence and
makes me very excited about the model why because Tesla at this point in the
company's history they need to announce a car manufacture it with relatively no
issues and then release it time this is what the major car
companies GM, BMW, Mercedes, all of these car companies can do this and Tesla
unfortunately has not been able to do this up until this point if they can
with the model why that is going to send a signal to everyone across the globe
that Tesla is a mature car company that can do what they say on the timeline
that they said they could and that is more important than any whiz-bang
feature that's brand-new that they could have put into the model why well those
are my thoughts on the Tesla Model Y and why its similarities to the Model 3 are
a good thing if you liked this video be sure to give us a thumbs up and
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for 6 Months Later, I'm Josh Teder, thanks again for watching