Tesla launches high-end Model S 'Plaid' to fend off Mercedes, Porsche

Tesla Inc unveiled a high-performance version of its Model S on Thursday (June 10) night, as it aims to reignite interest in the nearly decade-old sedan and fend off rivals such as Porsche, Mercedes-Benz and Lucid Motors in the luxury electric vehicle market.

Tesla redefined electric cars in 2012 when it launched its high-end Model S with a sleek design and long driving range but is facing a raft of new challengers.

The automaker live-streamed the delivery of the first Model S Plaid at its U.S. factory in Fremont, California, at 7 p.m. local time (0200 GMT on Friday).

Attendants were required to "wear a mask and provide proof of COVID vaccination or a negative COVID test result received within 72 hours prior to the event," according to Tesla's email posted by a Twitter user.

CEO Elon Musk drove onto the stage in the new model, which is priced at $129,990 against $79,990 for a long-range Model S.

"There is something that's quite important to the future of sustainable energy, which is that we've got to show that an electric car is the best car. Hands down," Musk told attendants.

The latest price for the Model S Plaid is $10,000 more than what was displayed on Wednesday on Tesla's website.

The launch of the Model S Plaid, which has already been showcased online, has faced delay and some controversy over an expected airplane-style yoke steering wheel. Musk canceled another variant, Model S Plaid+, which would have had a 33% higher driving range than the Model S Plaid and used advanced battery technology, known as 4680 cells.

Musk called the Model S Plaid "the fastest accelerating car ever."

The more powerful sports sedan goes from zero to 60 miles per hour (97 kph) in 1.99 seconds and has an estimated driving range of 390 miles (627.6 km).

Musk also said the dual-motor configuration features a 412-mile range, which prompted an audience member to yell "420," an apparent reference to Musk briefly smoking marijuana during a live Web show in 2018.

"420, give or take. That joke will never end," Musk said, laughing at the reference.

While it offers little change in body style, the Plaid is also expected to feature - in addition to yoke steering - enhanced gaming with new titles and more powerful processors.

Tesla delivered only 2,020 Model S/Xs in the first quarter, down from 18,920 the previous quarter, hampered by production delays.

Musk said in April that production of its new Model S and X would be "contingent on global supply chain issues."

Tesla shares were up 1.8% at $609.63 on Thursday morning.