At Tesla's annual shareholder meeting on Tuesday, CEO Elon Musk said his company has designed a submarine car like the one from the 1977 James Bond movie, "The Spy Who Loved Me."

An individual shareholder asked the CEO if Tesla would ever make an "aquatic car," which prompted the discussion.

Musk said, self-mockingly, "You can actually have a submarine car — it's like technically possible. I think the market for this will be small. Small but enthusiastic." The CEO also clarified, "It would be a bit of a distraction but maybe we'll make one as a show car."

In his personal life, Musk is the owner of the "Wet Nellie," which was made as a custom submarine by Perry Oceanographic Inc. for use in "The Spy Who Loved Me." The car is shaped like the Lotus Esprit S1, a sports car.

In its earliest years, before Musk became the company's CEO, Tesla partnered with Lotus to make its ground breaking electric sports car, the Roadster.

Tesla is in the midst of a number of expensive projects including the establishments of a new battery and car plant in Shanghai, and setting up new lines to begin production of its crossover SUV, the Model Y, in Fremont, California. The question about the "aquatic car" capped the end of a question-and-answer session with Tesla executives and individual shareholders on Tuesday.

During the Q&A and investor presentation Musk assured shareholders that Tesla does not have a "demand problem," spoke of how challenging it is for a fast-growing company to be profitable, and talked about Tesla's plans for a pickup truck, semi truck and driverless vehicles.

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