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Former GM Product Czar: Tesla a "Fringe Brand"
cartechboy writes There's been plenty of skepticism when it comes to Tesla. The Silicon Valley startup unveiled an all-electric car that stunned the world and had many other automakers rolling their eyes. Fast forward to 2014 and Tesla's preparing to launch its third model, the Model X. Production of the Model S sedan is humming along, and this new automaker continues to make headlines multiple times a week. Industry veteran Bob Lutz was the champion behind the Chevrolet Volt, and has been quite vocal about Tesla from the beginning. So what's his view on the company now? He said Tesla will remain a "fringe brand" until it launches its next generation of vehicles and the smaller, less expensive Model 3. Speaking Wednesday on CNBC's "Squawk Alley" finance show he said that Tesla's stock price was "kinda high" at the moment.
Pretty much, the Tesla is not the "everyman's car"-maker, not by a long shot.
In fact, thinking about how they approached the market (i.e. as a guilt free toy for the wealthy to buy online) they may have cracked it, let some other motorcar company sort out how to make a greener Ford, Tesla can enjoy a high end niche and avoid the mistakes other revolutionary car manufacturers made (Mr. Preston Tucker) and patent the shit out of tech, business models and become the 300 lb gorilla of the battery / fuel cell market. Even if the high end car market goes tits up they can rest gently on a well established and growing power industry.
GM's preferential treatment of debt to the union pension fund has not been litigated, don't count it as an unmitigated success yet. The bond holders will still have their day in court.
John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
The Volt outsells Teslas. Sorry to burst your bubble.
Go ask those Volt owners if they aspired to own the Volt, if they preferred the Volt or if they settled for the Volt?
don't let the fact that he worked for GM fool you, Bob Lutz is a car guy through and through. I'd say given his experience in the industry, he probably knows a thing or two.