Economics

Tesla Introduces Service Program to Try to Boost Car Sales

Stronger warranties for those concerned about maintaining electric cars

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Tesla Motors Inc, the 10-year-old U.S. automaker led by billionaire Elon Musk, unveiled a service program on Friday meant to quell fears about buying and maintaining an electric car and boost sales of the Model S sedan in the long run.

The program includes a warranty on the battery pack that covers damage caused by poor maintenance. Tesla will replace the battery for free with one of equal or better capacity.

The warranty "wouldn't apply if you take a blowtorch to the battery pack or blow it up or use it for target practice," Chief Executive Musk said during a conference call.