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Musk briefly explains how they will reach profitability here:

http://www.teslamotors.com/blog2/

Obviously we don't have the whole picture for the numbers. However, he does state material cost of the car was 140k and as of a month or two ago is 80k. They also raised the price of their vehicle to 109 from 92. Lastly , he mentions good sales of their more expensive Tesla sport which is 128k.



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