Tesla Withdraws From Automotive X-Prize Competition

In order to focus its attention on getting the Model S sedan ready for production by 2011, Tesla is withdrawing from the Progressive Automotive X-Prize Competition.

The Progressive Insurance Automotive X-Prize is a green competition offering $10 million to the first company that can develop a production-ready vehicle that gets more than 100 mpg (or its electrical equivalent). Cars competing in the competition can be powered by just about anything, including batteries, solar cells, biodiesel, and compressed natural gas.

Although Tesla has officially withdrawn from the competition, the Silicon Valley-based company will still make an appearance at the event. Originally, Tesla planned to have a production-ready Model Sin attendance, but now that it is no longer competing with its new sedan, it may bring a Roadster instead.

“We have discussed it with the X-Prize guys and agreed to put a car in the demonstration division instead, so can still participate in the Prize,” Ricardo Reyes, Tesla Motors’ vice president of communications, told Stuff. “The competition division is amazingly good, but the demonstration division is one that people shouldn’t look past. It’s more geared towards actual car manufacturers and it’s a better fit for us.”

Source: Stuff