It was a challenge that was heard around the world! CEO Elon Musk threw down the gauntlet with its Cybertruck launch video and left Ford with no choice but to respond in force. The video in question depicted a Tesla Cybertruck pulling a Ford F-150 uphill, highlighting the Tesla models ‘superiority’. However, many have discredited the footage as being biased, as well as unfair.
In a series of tweets from Sundeep Madra, VP of Ford X, a challenge was made for an ‘apples to apples’ test between the Cybertruck and F-150, which Musk immediately accepted.
However, Musk’s confidence was perhaps one of the few positives to come from the Cybertruck event, which saw the company’s claim of ‘bulletproof’ windows become swiftly debunked. “It is literally bulletproof to a 9mm handgun,” Musk proudly announced, just moments before a small metal ball smashed the window during a demonstration. Let’s not forget, that this is the same man who wants to put brain chip technology in our heads!
Tesla’s stock price dropped more than 6% following the event.
Nevertheless, the power of founder-led business was on show as Musk posted a series of tweets in the days that followed, claiming that more than 250,000 Cybertruck orders had been placed in 72 hours. Of course, he failed to elaborate on the fact that this refers to a fully refundable $100 deposit. Investors seemed to have had their fears laid to rest however, as Tesla’s stock recovered more than 4% on the news of the preorders.
It seems that there is a market for apocalypse-chic pickup trucks after all. Who knew?
So what about Ford?
Well, after all the furor over the Ford F-150 video, as soon as Musk accepted the Ford VP’s challenge, it was suddenly redefined as less of a challenge, but more of a ‘tongue in cheek’ slight.
According to a Ford spokesperson, the company has absolutely nothing to prove to anyone, and that it has been providing Americans with a best-selling truck for 42 years, and it is looking forward to its all-electric F-150 being released in the coming years. Could the new truck position it as the most significant of Tesla’s competitors?
A disappointing end to the challenge — if it is the end — especially considering the recent release of James Mangold’s ‘Ford v Ferrari’ film, which we expected to spark the fire of competition in Ford’s belly. But alas, the onus is now on Tesla to reignite the challenge.
MyWallSt operates a full disclosure policy. MyWallSt staff currently hold long positions in Ford and Tesla. Read our full disclosure policy here.
Editor at MyWallSt
Jamie is the Content Editor here at MyWallSt. His favorite stock is Apple, which is also the first stock he ever bought. Jamie is not only a big fan of its products, but he believes that the tech giant has a whole lot more to give the world, and hasn't even scraped the surface of its potential.