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Elon Musk confirms the next Tesla coming after the Model 3

But it's unlikely the Model Y SUV will arrive before the end of the decade

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A Tesla Model S in a Tesla showroom and service center in Red Hook, Brooklyn. Photo: Spencer Platt/Getty Images
Business Insider

At the end of Tesla's second-quarter earnings call on Wednesday, CEO Elon Musk confirmed that the next vehicle headed our way after the Model 3 will be a compact SUV called the Model Y.

Tesla has hinted at the upcoming Model Y for more than a year, and Musk even included the compact SUV in his much-anticipated "Secret Master Plan...Part Deux" last month.

But Musk told analysts and members of the media that Tesla will turn its attention to the Model Y after the Model 3.

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Even though Tesla unveiled the prototype of the US$35,000 mass-market sedan in March, the production variant of the Model 3 likely won't reach consumers until late 2018 at the earliest.

That means the compact SUV will likely not arrive before the end of the decade. As a result, details on the car are slim. The Model Y is expected to be built on the Model 3 platform and may even spawn a pickup truck variant.

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Since Musk indicated that it is unlikely Tesla will build a car cheaper than the Model 3, expect the 3 and the Y to have a similar pricing relationship that the Model S sedan shares with the Model X SUV.

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