PALO ALTO — Some loyal fans of Tesla Motors feel they have been misled.
The innovative Silicon Valley company announced last week that every Model S rolling off its retooled assembly line includes a new hardware package that enables autopilot features. Prospective customers can also order the “D,” an all-wheel-drive version of the electric vehicle.
But some Model S owners, particularly those who recently got cars that don’t include the new hardware package or missed out on the chance to order all-wheel drive, are crying foul.
Among the most irate: customers who were ordering a Model S but say they were persuaded by Tesla sales reps in September to purchase a demo, inventory or loaner model instead, as well as those who claim they specifically asked Tesla if autopilot features or all-wheel drive would ever be an option on the Model S and, they say, were told no.
A Tesla spokesperson did not respond to requests for comment.
Tesla’s blog states that “every single Model S now rolling out of the factory includes a forward radar, 12 long-range ultrasonic sensors positioned to sense 16 feet around the car in every direction at all speeds, a forward-looking camera and a high-precision, digitally controlled electric assist braking system.” The new hardware, combined with future software releases, will allow Tesla to deliver a range of active safety features.
Richard Wolpert of Los Angeles placed his order for a Model S in March and got his car in June. He says he specifically told Tesla sales reps that he was willing to wait for features like adaptive cruise control but was told they would not be an option on the Model S.
“If Tesla had said it’s coming, but we can’t say exactly when, I would have waited,” Wolpert said. “With ‘traditional’ car companies we know there are new models every year, and we factor that into our decision. With Tesla there was no talk or disclosure there would be effectively a ‘new’ Model S, so we bought blind.”
Wolpert launched a petition on Change.org asking Tesla to provide a retrofit for the new autopilot features for existing Model S owners. As of Wednesday afternoon, more than 600 people had signed it, including several from Norway, one of Tesla’s key European markets.
“Value of the car dropped overnight,” Dag Rinden of Oslo, Norway, wrote on the petition. “The security equipment is important to get. Some of it should be easy to retrofit.”
Tesla does not have traditional model years for its vehicles and is constantly rolling out new features, including software-related improvements, that are provided to customers free of charge. Indeed, much of the excitement around the all-electric Model S is that it is constantly being improved.
But several parts need to be installed or replaced to enable autopilot features, including the windshield, front and rear fascia and brake lines — making a retrofit impractical.
Tesla prides itself on customer service, and many owners interviewed said they were “escalating” their concerns and remained hopeful that Tesla would come up with a fair solution to their situations.
Model S owners who missed out on the new features have been advised they can trade in their current Model S for a new one. But many say they have been quoted trade-in prices that would cost them thousands of dollars.
Eric Brown of Irvine was under the impression that he was buying a “top of the line” Model S and was thrilled to get his car Sept. 29. On Oct. 1, CEO Elon Musk sent out a tweet saying it was “about time to unveil the D and something else.” Tesla unveiled the autopilot features and all-wheel drive at a high-profile Los Angeles event Oct. 9.
Brown is relatively lucky: His vehicle came with the autopilot features, a bonus that he wasn’t expecting. His issue is that he wants all-wheel drive.
“I feel that Tesla dropped the ball on the announcement because it seems they didn’t consider the feelings and reaction of customers who had just taken delivery of their vehicles,” said Brown, 28, who is now considering trading in a car with just 300 miles on the odometer. “The company is moving in the right direction — they just upset some of their customers with the time frame on the release of the D.”
To be sure, not all Tesla loyalists or Model S owners are upset, noting that the speed of innovation at the company is something that should be applauded.
“If you want a car that changes only once every year, go buy something besides a Tesla and stop telling Elon how to run his business,” one poster wrote on Tesla’s blog.
A counter petition — asking Tesla Motors to disregard the retrofit petition — has been launched on Change.org as well.
“This is ludicrous,” wrote Brian Sherin of Santa Cruz. ” It’s like saying Apple has to give original iPhone owners a new iPhone every time the model is upgraded.”
Some analysts say the complaining is not a big deal.
“Grousing about AWD is a non-starter. The X (an SUV expected next year) is AWD and this D model is just a way to test the AWD platform before it goes into production in the X,” said Theo O’Neill, an analyst with Ascendiant Capital Markets. “On the other hand, this is the kind of grousing you hear in the service department at your BMW dealer. These customers are picky, and it just means that Tesla is now a real car company.”
Mihail Mihaylov, 36, of Chicago, spent roughly $140,000 for a fully loaded Model S Performance model and got his car Sept. 29. When he learned that Musk had announced autopilot features, he drove to the Villa Park, Illinois, service center to see if his car was autopilot-enabled, but was told his car does not have the hardware required. A Tesla salesperson offered him a trade-in for about $110,000 — something Mihaylov finds unacceptable.
“The Model S now has these new features, but mine doesn’t have it,” Mihaylov said. “So some people got lucky, and I am not so lucky. I’ve had the car for two weeks, and it has less than 1,000 miles on it, and it is already devalued. We are talking here a lot of money.”
Contact Dana Hull at 408-920-2706. Follow her at Twitter.com/danahull.
