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They are going to face very tough competition in this market against companies with a lot more money to burn and, frankly, likely a better product not to mentio

They are going to face very tough competition in this market against companies with a lot more money to burn and, frankly, likely a better product not to mention a far more established support network. The S was an amazing consumerist statement that unlocked a class of people willing to spend 100k+ on a car because of its Eco-cache. For several years I thought it would be my next vehicle, then I watched the age, saw their poor quality interiors and decided I could get a lot more from BMW at half the cost. I'm the person who would buy a Model 3, as I currently own a BMW Gran Coupe. But look at a Designo AMG C Class coupe or an M4. These offer thrilling rides, high quality interiors, and handling the current S doesn't even offer short of the D version. The Model 3 will have to be down market from there, putting them way behind the current market offering. This is a high competition low margin arena, and they can't even profit in the high margin low competition space yet. I hope the Model 3 succeeds, but it will have to be amazing.

aerovistae 11y ago
A lot more money to burn? Tell me one thing: these other companies with all this money to burn, where are they going to get batteries? Oh....I forgot, from the overwhelmingly abundant supply that's readily available. Really makes you wonder why Tesla is building the largest battery factory in the world, which they had to start planning and construction for multiple years in advance....it almost leads you to wonder if perhaps there's nowhere else to get them from. It doesn't matter how much money they have. Even Apple can't conjure a battery factory out of thin air. Rest assured money is not slowing down the progress of the gigafactory. It's not as if "if only tesla had more money, they could finish the factory sooner!" They're going as fast as construction allows. At this point, it is no longer a game where more money will help, and most observers don't get that. Elon has said this explicitly time and again, and for some reason people ignore him.
- givinguflac 11y ago
  The factory has been running for a little while now.
  - djrogers 11y ago
    No, a very small portion of it has been open where they are assembling power walls and battery packs from batteries made elsewhere. The other 90% of the factory is still under construction.
mikeash 11y ago
I think it's common but wrong to say the Model S succeeds because of Eco whatnot. Many owners care about that, but pretty much none of them care to the extent that it drives the decision to spend $70,000 or more on a car. That's not to say that electric doesn't matter. The fact that the Model S is electric is key. It's just not for "green" reasons. Electric is better in many ways: performance, noise, convenience, cargo capacity, and the simple luxury of never having to mess with volatile, carcinogenic chemicals just to make the car go. Tesla has convinced a lot of people that electric is better. Until and unless these other companies put out good EVs, the Model 3 isn't going to face competition from better products, not as far as those people are concerned.
btian 11y ago
Hope you enjoy fake engine noise from your speakers. Unfortunately, BMW is a joke these days. They used to be good though.

aerovistae 11y ago

A lot more money to burn? Tell me one thing: these other companies with all this money to burn, where are they going to get batteries? Oh....I forgot, from the overwhelmingly abundant supply that's readily available. Really makes you wonder why Tesla is building the largest battery factory in the world, which they had to start planning and construction for multiple years in advance....it almost leads you to wonder if perhaps there's nowhere else to get them from. It doesn't matter how much money they have. Even Apple can't conjure a battery factory out of thin air. Rest assured money is not slowing down the progress of the gigafactory. It's not as if "if only tesla had more money, they could finish the factory sooner!" They're going as fast as construction allows. At this point, it is no longer a game where more money will help, and most observers don't get that. Elon has said this explicitly time and again, and for some reason people ignore him.

givinguflac 11y ago
The factory has been running for a little while now.
- djrogers 11y ago
  No, a very small portion of it has been open where they are assembling power walls and battery packs from batteries made elsewhere. The other 90% of the factory is still under construction.

mikeash 11y ago

I think it's common but wrong to say the Model S succeeds because of Eco whatnot. Many owners care about that, but pretty much none of them care to the extent that it drives the decision to spend $70,000 or more on a car. That's not to say that electric doesn't matter. The fact that the Model S is electric is key. It's just not for "green" reasons. Electric is better in many ways: performance, noise, convenience, cargo capacity, and the simple luxury of never having to mess with volatile, carcinogenic chemicals just to make the car go. Tesla has convinced a lot of people that electric is better. Until and unless these other companies put out good EVs, the Model 3 isn't going to face competition from better products, not as far as those people are concerned.

btian 11y ago

Hope you enjoy fake engine noise from your speakers. Unfortunately, BMW is a joke these days. They used to be good though.