Tim Fang is a digital producer for CBS San Francisco and a native of the Bay Area. Follow him on Twitter @fangtj.
PALO ALTO (CBS SF) – Looking to learn something from its upstart competition, Ford Motor Company reportedly paid about $200,000 for one of the first Tesla Model X electric SUVs.
According to Bloomberg News, Ford purchased the Model X for $199,950, more than $50,000 above the $144,950 sticker price. That price does not include Michigan sales tax and title. The vehicle was originally owned by a Tesla owner from Southern California who said he flipped the SUV to earn a profit.READ MORE: Mothers Tearfully Remember Children Slain In Bay Area Homicides
“It is a common industry practice among many automakers to buy production vehicles for testing as soon as they are released,” Ford said in a statement to Bloomberg. “Sometimes, this means automakers pay more than sticker price to acquire them as quickly as possible.”
Bloomberg reported the company bought a limited edition “Founders Series” model with the “Ludicrous” speed upgrade, giving it a 0-60 time of 3.2 seconds.READ MORE: With Playoff Dreams Dancing In Their Heads; San Francisco 49ers Fans Return To Levi's Stadium
While Ford paid nearly 40 percent above sticker, the company can easily afford one. According to the company’s annual report (.pdf), Ford had $149 billion in revenue last year and $224.9 billion in total assets.
Released last fall, the Model X has had several issues over quality. Consumer Reports found owners have reported the SUV’s gullwing doors have not worked. Owners have also reported issues with seats and climate controls.
Earlier this month, Tesla launched its first recall of the Model X after finding out the third-row seats could snap forward in a crash.MORE NEWS: Oakland Ties 2020 Homicide Total in First 9 Months of 2021