Tesla and Toyota are reported to have teamed up to develop an electrically powered compact crossover. It is expected to be a relatively inexpensive car, which has been hinted at by Tesla CEO Elon Musk on several occasions.

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Rumors about Tesla’s collaboration with other automakers have been floating around the web for a long time. The Japanese edition of Chosun reports that Tesla has found a partner in the person of Toyota, while the companies plan to release a new product in the main European market.

As per the rumors, negotiations began at the end of last year. The development of the platform was entrusted to Toyota, and Tesla will be responsible for the powertrain and batteries, as well as the vehicle’s software. In the future, Toyota may also take advantage of Tesla’s developments for self-driving and wireless updates.

Elon Musk said last year that the new entry-level Tesla model should be released in 2023 and will cost about 22,000 euros.

|Via|

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