Osborne Effect

[Sirfun]

Here's a link to explain it. https://en.wikipedia.org/wiki/Osborne_effect

Other people have expressed how Tesla needed to avoid the Osborne Effect. After battery day yesterday and all the conversations since, it seems this should be part of the conversations. It does seem like They brought up all kinds of great new battery tech. BUT, it sounds like none of the current line of products are going to have any of it, for at least a year. Won't that have an adverse effect on current product sales?

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[Crissa]

Well, hopefully not much. We always know that next years' model is better. That's how advancements work.

It'll be in the Cybertruck, Semi, Roadster. Those were already taking sales from other cars. I don't think this will change.

And some of it will be in the Ys and Ss coming out at the end of next year.

Right now 3s and Ys have been eating at sales of S and X. So now it'll happen the other way around.

I think this announcement coming out today - rather than the beginning of the pandemic - will mean their sales won't be as hurt as is being predicted.

-Crissa

 

[Adamtbest]

That’s an interesting WIKI. I didn’t know that. If you’re like me, waiting for the Cybertruck we have a few years to wait anyway. Battery technology should be a lot better.

 

[Nightf0rge]

Here's a link to explain it. https://en.wikipedia.org/wiki/Osborne_effect

Other people have expressed how Tesla needed to avoid the Osborne Effect. After battery day yesterday and all the conversations since, it seems this should be part of the conversations. It does seem like They brought up all kinds of great new battery tech. BUT, it sounds like none of the current line of products are going to have any of it, for at least a year. Won't that have an adverse effect on current product sales?

Agreed. Think that was why the phrase "Million Mile Battery" was not spoken although obvious that milestone has arrived and no talk of new charging speeds although a graph did show that the tab-less cell has low heat production during charging.

 

[Sirfun]

Agreed. Think that was why the phrase "Million Mile Battery" was not spoken although obvious that milestone has arrived and no talk of new charging speeds although a graph did show that the tab-less cell has low heat production during charging.

I honestly think a lot of the announcements on battery day were made to effect the competition. They were trying to show people reasons why NOT to buy some of the competitors vehicles. And why you want to stay with Tesla.
Here's a paragraph from the Wiki page on the Osborne effect that could explain it.

Pre-announcement is done for several reasons: to reassure current customers that there is improvement or lower cost coming, to increase the interest of the media and investors in the company's future prospects, and to intimidate or confuse competitors. When done correctly, the sales or cash flow impact to the company is minimal, with the revenue drop for the current product being offset by orders or completed sales of the new product as it becomes available.

 

[Crissa]

Yeah, most of battery day was about investors. 'Hey, we're still finding new cool things so keep investing in us!'

-Crissa