Tesla Introduces Lower-Cost Cybertruck and Slashes Cyberbeast Price to Spur Sales
Tesla (TSLA.O), unveiled a cheaper Cybertruck variant in the U.S. late on Thursday and slashed the price of its most-expensive model, Cyberbeast, as the electric-vehicle maker struggles to find buyers for its pickup trucks.
Tesla priced the new dual-motor all-wheel-drive model at $59,990, making it the company’s “most affordable” Cybertruck yet, and lowered the Cyberbeast price to $99,990 from $114,990.
With the price cut, Tesla looks to be discontinuing its “Luxe Package” for the model that included Supervised Full Self-Driving and free access to its Supercharger network.
Tesla had added the package to its lineup last August when it raised the price of the pickup truck.
The Cybertruck was touted by CEO Elon Musk as a futuristic competitor to mass market pickup trucks from legacy brands such as Ford, but multiple recalls and quality control issues plagued the car and turned prospective customers away.
The head of Tesla’s Cybertruck program, Siddhant Awasthi, announced his departure from the company in November last year amid slow sales.
DEMAND SLUMP
Tesla’s core EV business, which still accounts for most of the company’s current revenue, has been under strain as rivals roll out newer and cheaper models. A cut to EV incentives and Musk’s far-right political rhetoric have also alienated some customers.
Price cuts have become a key part of Tesla’s 2026 strategy, lowering entry prices to attract more cost-conscious buyers.
The broader EV market has also slowed since September, when the Trump administration ended the $7,500 federal tax credits.
Analysts have warned that a greater share of lower-priced vehicles could keep pressure on margins unless Tesla can offset the impact through reduced manufacturing costs or stronger revenue from software and services.
Amid the slowdown in EV sales, Musk has made a large pivot to robotics and self-driving, aiming to capitalize on artificial intelligence and the growing autonomous market to position the company as a leader in humanoid robots and robotaxis.
Musk said last month that the company would end production of its Model X SUV and Model S sedans and instead use the space in its California factory to make humanoid robots
Reporting by Akanksha Khushi and Zaheer Kachwala in Bengaluru; Editing by Janane Venkatraman, Subhranshu Sahu and Devika Syamnath
This article was first reported by Reuters
