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Tesla announces its fourth car, the Model 3

Elon Musk, CEO and founder of Tesla, has also revealed that the original name for the car ended up with Tesla getting sued by Ford.

"We were going to call it model E for a while and then Ford sued us saying it wanted to use the Model E — I thought this is crazy, Ford's trying to kill sex! So we'll have to think of another name," Musk told Auto Express. "The new model is going to be called Model III, we'll have three bars to represent it and it'll be S III X!"

The Tesla Model 3 will pack slightly less punch than its brother, the Model S, which can run for 306 miles on a fully-charged 85-kwh battery. The Model S car already comes equipped with Google Chrome capabilities and it is expected that the new model will also follow suit.

Read More:Tesla Model S Will Run Android and Google by 2014

The Model 3's details were revealed in a March statement by Musk, with Tesla's vice president of engineering Chris Porritt adding that the company is also looking at more cost effective and efficient batteries to put in the new model in an attempt to reduce overall costs, as well as stopping overheating, which has plagued Tesla cars in the past.

Read More:Tesla Cars Overheating Prompts Charger Update