Tesla Has Big News For The Future – TheStreet
Following the news swirling around tech billionaire Elon Musk can be a dizzying affair.
One moment he is naming his baby with pop start Grimes an unpronounceable name, the next his electric car company Tesla (TSLA) – Get Tesla Inc Report is saving the world 8.4 million metric tons of CO2 in 2021.
In between his personal and professional lives has also been two new Gigafactories, some supply chain shutdowns, a feud with President Joe Biden and a questionable take on how to treat mental health issues.
But by far the biggest grabber of headlines has been his $44 billion deal to buy microblogging platform Twitter (TWTR) – Get Twitter, Inc. Report, in one of history’s largest leveraged buyouts ever.
So judging by the white-hot pace of news, it can be easy to forget that at the end of the day, Musk is just a businessman.
The public was reminded of that May 9 when Tesla released its most recent Impact survey.
In that report, we get a glimpse of what the company might be aiming for in the future — and what that could mean for his nascent businesses as they mature and grow.
The most common criticism of Tesla is that it’s a luxury product that most people can’t afford.
That means that while it’s great that it can cut down on carbon emissions, it’s a brand that’s mostly popular with upper income people, and it’s too expensive for anyone else.
But Tesla is beginning to push back on this idea, and predicts that its electric vehicles will become more popular and accessible over time, particularly with its Model 3.
“Model 3 is the first EV in history priced competitively with its gas-powered equivalents, even before taking into consideration any regional subsidies and lower running costs,” the report notes.
“Unfortunately, most other EVs on the market today are often priced at over a $10,000 premium compared to their direct ICE vehicle equivalents.”
“Our analysis shows that over five years, and 60,000 miles, running a Model 3 RWD costs 63 cents per mile.”
Last year, Tesla sold nearly a million vehicles.
But it has big plans for the future, as noted in both its report and on its Twitter page, it plans to sell 20 million electric vehicles a year by 2030.
It will have a lot of new competition by then.
A new report from the Environmental Defense Fund outlines how far ahead automakers are looking.
Global auto companies have earmarked $515 billion to build electric vehicles by 2030, when more than 100 new EV models are estimated to be on the market, the report found.
That may be welcome news for consumers, who have been having a hard time finding even used electric vehicles to buy.
But it could be alarming information for Tesla TSLA, which has long dominated the EV sector and has built-in name brand recognition.
Now it looks like that particular brand toehold may be further eroded, as tech giant Apple (AAPL) – Get Apple Inc. Report begins its foray into the electric vehicle market.
Riley Gutiérrez McDermid is the breaking news editor for TheStreet. You can send Riley an email here. In the past she has edited and written for McClatchy, MarketWatch, the Wall Street Journal and the Financial Times Group.
Michael Tedder is a breaking news writer for TheStreet.
via Inferse.com https://www.inferse.com
May 14, 2022 at 04:25AM