A $1.5 million car might be the dream of the tech elite, but its future may be limited by fuel.
For most people, buying a $4,000 car with an electric motor will cost you $2,500, but a $5,000 model with a battery pack costs about $1 a gallon.
That makes a $50,000 hybrid the ideal vehicle for a growing number of people.
But if you want a big-ticket, high-end vehicle, you’ll have to find a better deal, a new report suggests.
While many consumers will be able to find better deals on electric vehicles with larger batteries, the cost of batteries can get higher, too, the report said.
“If you want the best price on a $10,000 electric car, you will have to pay for the cost in battery packs that will go up by another $1 per kWh,” said Greg Howard, an analyst with automotive consultancy IHS Automotive.
“But if you are paying $3,000 for a $7,000 luxury sedan, you are likely paying $2.50 per kWh in battery pack, not $1.”
The report comes after Tesla CEO Elon Musk said the company would begin offering cars in 2019 with the battery pack capacity of 10,000 miles, but he hasn’t released details on when that will happen.
“We will start shipping in 2020 with 10,001 miles,” Musk said at the International Automobile Congress in February.
Tesla is expected to announce its first cars in 2021, but that announcement hasn’t been made.
Tesla has been aggressively building a car brand in the U.S., which has been the main market for its vehicles.
The company has a presence in California and other states with heavy car demand.
“It’s an exciting time for our product, and I think we are going to see great things from the battery technology,” Musk told The Wall Street Journal in March.
“I think it’s going to change the world.”
Musk and other auto executives have talked about Tesla’s plans for the future.
Tesla, founded in 2006, is based in Palo Alto, California, with headquarters in Fremont, California.
It has been building a fleet of electric vehicles since it launched the Model S in 2013.
The electric car company’s first commercial vehicle, the Model X SUV, was released in 2018 and was able to go on sale in late 2018.