They are giving the decrease to people retroactively who bought a '22 this year before the incentives went live. But the people who bought shortly before the increase were really upset because they could have waited to save 6 grand.
Emmanuel Rosner
Right. I speak about EV pricing then. Do you expect to raise prices on the EVs that are -- that you already have on the market or that you've announced already just to help with these rising input costs? And maybe as part of this question, can you explain the price reduction of 6,000 hours in the bolt, which seems to be counterintuitive to what's required, I guess, to remain profitable?
Paul Jacobson
Yes. Without getting specific on pricing strategies going forward for obviously competitive and more importantly anticompetitive reasons, we're going to continue to watch the market, see where we are with demand for our vehicles as well as the cost and margin targets that we have for them. So we'll look at that as we go through model year by model year.
As it relates to the Bolt, this is an example of, I think, how the market is changing because the way the Bolt had been pricing and the way we've been incentivizing sales on that was a little bit counterintuitive of higher MSRP, higher incentives.
So what we did is we took down that sticker price, that MSR preprice. At the same time, we took down incentives. So it's actually kind of net neutral to us from where it is. But when you're competing with some online retailers that have a fixed price in there, we want to make sure that we're more transparent in terms of how things are working going forward.
So I think it's a move that customers have responded well to. There is nothing about demand or margin deterioration in the face of that. It really was a net neutral trade for us with obviously longer-term benefits for how we think about it internally.
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