Capable? Yes, it could probably be done. Will it be done? No. Elon is a smart man and he knows how to say the right things to the right audience to get what he wants.
More importantly, he's selling his second-generation made-in-USA car to thousands of buyers, and winning awards.
However, as a practical matter the Model S already has difficulty competing with fossil fuel powered vehicles on range and even then only by making the batteries fully integrated components molded into every bit of spare room in the vehicle frame.
The Model S chassis is a thing of beauty. A compact high-power motor and reduction gearing, and a flat battery pack fills the frame because there's nothing else down there. No muffler, catalytic converter, oil pan, etc. Why not use the lot for batteries instead of taking away trunk space?
In fact it's more like an alternative to the S class Mercedes for limousine liberals...
Don't oversell your straw man. The $95,000 S Class is more expensive and quite a bit more luxurious.
... who want to appear green using our green (aka money). Tell me again why my tax dollars should be subsidizing Musk and Tesla?
Tesla just repaid its $465M loan under the Advanced Technology Vehicles Manufacturing (ATVM) Loan Program set up under the G.W. Bush administration; Ford and Nissan received billions under the same program. If you're referring to the $7500 tax credit, it lets buyers keep more of their money for the worthwhile goal of "ending America's addiction to foreign oil", as every Republican president since Nixon has intoned. Tell me again why my tax dollars should be subsidizing your home mortgage, or any other tax rebate?
Your sneering tone about "appearing green" ignores the genuine increase in efficiency from an electric drive. No doubt you'll bleat about coal powered cars, ignoring the increasing role of cleaner natural gas in USA's electricity generating mix, and that many buyers will install solar PV to reduce their carbon footprint further. Meanwhile a Mercedes E-Class (is everyone driving that a "limousine whatever" too?) is a lot slower and at around 25 mpg will consume 15 tons of gasoline over 120,000 miles. Plug in cars are definitely better for the environment.