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Yes, free supercharging for one. But as Tesla matures and starts entering markets with lower profit margins, things need to be more cost efficient. I don't th
by sliken 7y ago
Yes, free supercharging for one. But as Tesla matures and starts entering markets with lower profit margins, things need to be more cost efficient.
I don't think of Tesla being hard on cash, just that they are pouring every $ they have into expansion. They could just slow down and being profitable would be much easier.
Personally I'd slow growth and take out less loans, but they would slow down the transformation of the automobile industry from ICE to electric. It does seem to be working, with the competition continuing to claims "You can't make a competitive electric car", then "you can't make a competitive luxury sedan", then "you can't make a small sedan at a lower price point". Now pretty much the entire industry is chasing Tesla. Sure now there's some competition from Chevy (the bolt), Jaguar (the i-pace), Audi (e-tron), Mercedes, Porsche, and many others. None particularly competitive... yet.
Even if Tesla implodes tomorrow, they have pushed the market to an amazing degree. Personally I'm most impressed with the model 3 performance. Small, fun, fast, tons of storage room, very efficient, and often wins against a BMW M3, not just at 0-60 (a strong point of electric cars), but also on the track.
Electric cars get rid of pretty much all the compromises of a sports sedan. No loss of storage space with the transmission hump that divides the car in two. No increased friction and substantial weight increase for AWD. No huge hood to contain a large engine. No terrible gas mpg. Low center of gravity means no punishing suspension to try to keep the car from rolling in the corners. No loud noises from performance oriented tires, engines, and exhausts. Basically you can get a practical every day driver that matches the best BMW on the track.