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Tesla has got to be sweating buckets. In theory, electric cars should be less expensive than gas cars. There's less materials and effort put into them. Competi

Tesla has got to be sweating buckets. In theory, electric cars should be less expensive than gas cars. There's less materials and effort put into them. Competition between manufacturers will bring the cost down in time. We are starting to see that. Eventually, the profit will be very small. Even Tesla will have trouble unless they find a different profit source other than the profit from selling cars.

defrost 3y ago
Battery demand is climbing and Tesla is in the pipeline with a new spodumene | lithium concentrate processing facility underway in Texas. That opens the way to get their own batteries cheaper and to supply batteries for power walls and third party cars. It also takes the pressure away from Malaysia having to store quite so much low level radioactive waste and acid pools at the Lynas' rare earths refinery. Swings, roundabouts.
- WheelsAtLarge 3y ago
  Battery production is a big advantage. Their moat will be size. The bigger they are, the less likely they will face competition due to economies of scale. Good for them.
fragmede 3y ago
like (in the US) operating their supercharger network, selling solar panels, home sized batteries, grid sized batteries, a humanoid robot and probably something else I'm forgetting.
- WheelsAtLarge 3y ago
  I wonder how profitable the supercharger network will be. Have they broken out the profit on the network? Solar panels are commodities, and Chinese producers have the advantage in cost especially since the Chinese government is subsidizing them. Batteries seem like a good profit center if they can get so big that few can afford to compete with them. Humanoids are in the distant future plus they have to make a market for them. Few people will want them and be able to afford them. Even large companies will have to see some real advantages to buy them. I've read about their AI efforts, especially the chips used for self-driving. They could be a great profit center if they can figure out how to modify them so others can use them and produce them in large enough quantities. The real problem is that few companies can be good at multiple products so they need to pick the best and go full throttle on it.

defrost 3y ago

Battery demand is climbing and Tesla is in the pipeline with a new spodumene | lithium concentrate processing facility underway in Texas. That opens the way to get their own batteries cheaper and to supply batteries for power walls and third party cars. It also takes the pressure away from Malaysia having to store quite so much low level radioactive waste and acid pools at the Lynas' rare earths refinery. Swings, roundabouts.

WheelsAtLarge 3y ago
Battery production is a big advantage. Their moat will be size. The bigger they are, the less likely they will face competition due to economies of scale. Good for them.

fragmede 3y ago

like (in the US) operating their supercharger network, selling solar panels, home sized batteries, grid sized batteries, a humanoid robot and probably something else I'm forgetting.

WheelsAtLarge 3y ago
I wonder how profitable the supercharger network will be. Have they broken out the profit on the network? Solar panels are commodities, and Chinese producers have the advantage in cost especially since the Chinese government is subsidizing them. Batteries seem like a good profit center if they can get so big that few can afford to compete with them. Humanoids are in the distant future plus they have to make a market for them. Few people will want them and be able to afford them. Even large companies will have to see some real advantages to buy them. I've read about their AI efforts, especially the chips used for self-driving. They could be a great profit center if they can figure out how to modify them so others can use them and produce them in large enough quantities. The real problem is that few companies can be good at multiple products so they need to pick the best and go full throttle on it.