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The Traxxas Mustang uses a 550 size motor. That means the micro motor probably won't work but the D3 will. The better choice is 1/10 scale components for this car and stay sane on the Kv of the motor. The Traxxas motor that comes in the car is a low RPM high torque unit. I would recommend something around 3100 to 4000 and the car will fly on 6 cells or a 2s Lipo. Anymore than that and you better be a very good driver or have deep pockets.
For bashing I recommend the Hobbywing esc and possibly their EZ run combos.
Give it to Traxxas to understanding a market and maximizing profit. They don't make anything I'm interested in but for the larger market they are kicking the doors down.
Yep, they make a killing in the "basher market", which is by far much larger and enduring than the racers market. They got sponsorships all over the place. One would think at some point of being involved in 1:1 scale racing they would start evolving a couple vehicles designed more specifically for the racetrack. That is vehicles that don't create their own class like SC did. I'm talking 1:8 buggy, 1:10 TC etc. They must have no desire to enter those markets because they certainly have the knowhow to build a competitive vehicle.
Yes, considering their size, if they wanted to build a TC they could likely put one to market very inexpensively. Most of the TC's are running a fairly standard layout. It wouldn't take too much tiime to pick the best aspects and design one. Their philosophy seems to be high volume which precludes the racing stuff. They seem more than willing to lose some of their customers to other companies when the racing bug bites.