A Tesla Model 3 sedan is seen in this undated handout image (Reuters Photo)
Tesla Inc. delivered the new electric Model 3 compact car to its first 30 customers — all employees — on Friday evening. The car starts at $35,000, which is half the cost of Tesla's previous models, so it has the potential to attract many more customers to the brand. Already, around 500,000 people worldwide have paid $1,000 to reserve a car, Tesla CEO Elon Musk says.
Here are some details about the Model 3:
PRICE: The starting price of the Model 3 is $35,000. A version with every available option, including longer range, partial self-driving capability, special paint (it costs $1,000 to get any colour besides black) and sport wheels costs $59,500. That includes $3,000 for "full self-driving capability," which Tesla promises sometime in the future.
TAX CREDITS: In the U.S., where sales will begin, the Model 3 is eligible for a $7,500 federal tax credit, but that credit is likely to begin phasing out next year after Tesla sells more than 200,000 vehicles in the U.S. Many states offer additional tax credits, including California, Colorado and New York.