We could be there now. Arguably we started being there.
I’d argue the technology is ready for EVs to be cheaper and we just need to scale. As long as legacy manufacturers focus on legacy technologies and EVs are an afterthought, we’re not getting anywhere. Too many companies want to copy Tesla’s approach: produce a compelling high end product and use that to fund a more mass produced product. It worked for them and now they’re cheaper than ever, but Tesla does not produce a full range of vehicles. It seems to be working for Rivian as well: we’ll see as their midrange products roll out. Even Lucid seems to be successfully following that model. But legacy manufacturers struggled to create a flagship model that was actually compelling. And teslas business model can’t work for everyone. And their strategy has always been a full range of vehicles, but where are they?
The car market has overall gotten more expensive than any of us want to admit, but the Chevy bolt is cheaper than any traditional Subaru. Hyundais/Kia has some great EVs that many people can afford. Chevy equinox EV may be in the sweet spot, if only it were a compelling vehicle. Non-US manufacturers seem to have compelling lower cost EVs that somehow never make it to the US, and I’m not just talking China.
As long as legacy manufacturers like GM prefer to focus on their $80k 9,300 lb monstrosities their choice is keeping EV prices high. But the Equinox and Bolt proves they can make EVs in the same price range as their legacy technology vehicles. And the only problem, the only reason they claim a loss on each one is that they haven’t sold enough to make back development costs in their short time frame. That’s not going to change until it’s a serious effort. Not going to change as long as it’s a second thought, compliance vehicle, because they’re forced to.
This is why the incentives were so important. It’s not just to speed up the transition but to establish a stable and rapidly growing market to sell such vehicles, so they more quickly reach the scale to support lower prices and higher profitability
We could be there now. Arguably we started being there.
I’d argue the technology is ready for EVs to be cheaper and we just need to scale. As long as legacy manufacturers focus on legacy technologies and EVs are an afterthought, we’re not getting anywhere. Too many companies want to copy Tesla’s approach: produce a compelling high end product and use that to fund a more mass produced product. It worked for them and now they’re cheaper than ever, but Tesla does not produce a full range of vehicles. It seems to be working for Rivian as well: we’ll see as their midrange products roll out. Even Lucid seems to be successfully following that model. But legacy manufacturers struggled to create a flagship model that was actually compelling. And teslas business model can’t work for everyone. And their strategy has always been a full range of vehicles, but where are they?
The car market has overall gotten more expensive than any of us want to admit, but the Chevy bolt is cheaper than any traditional Subaru. Hyundais/Kia has some great EVs that many people can afford. Chevy equinox EV may be in the sweet spot, if only it were a compelling vehicle. Non-US manufacturers seem to have compelling lower cost EVs that somehow never make it to the US, and I’m not just talking China.
As long as legacy manufacturers like GM prefer to focus on their $80k 9,300 lb monstrosities their choice is keeping EV prices high. But the Equinox and Bolt proves they can make EVs in the same price range as their legacy technology vehicles. And the only problem, the only reason they claim a loss on each one is that they haven’t sold enough to make back development costs in their short time frame. That’s not going to change until it’s a serious effort. Not going to change as long as it’s a second thought, compliance vehicle, because they’re forced to.
This is why the incentives were so important. It’s not just to speed up the transition but to establish a stable and rapidly growing market to sell such vehicles, so they more quickly reach the scale to support lower prices and higher profitability