Category: Tesla

Posted on

Tesla Model S Top Selling Car in Some of America’s Wealthiest Cities

It's no secret that the Tesla Model S is the newest "must-have" toy among America's most affluent citizens. But a shocking analysis from Edmunds.com finds that in some of the country's richest communities, the Model S sells better than any other car on the market.

According to Edmunds.com's analysis of new car registration data from Polk, the Model S is the top-selling vehicle this year in eight of America's 25 wealthiest ZIP Codes. The analysis further finds that all eight communities are located in California. Leading the way is Atherton, CA, where the Model S accounts for 15.4 percent of all new car registrations within its borders. According to Forbes, Atherton, which sits adjacent to Tesla's Palo Alto headquarters, is the wealthiest zip code in America, with a median home price of $6,665,000.

While the analysis shows that the richest populations are snatching up Teslas now, Edmunds.com says that the data offers hints about Tesla's potential to appeal to a broader range of buyers.

"It's a classic pattern for any retail product, including cars: the wealthy and influential buyers set a trend, and the mainstream aspires to follow," says Edmunds.com Sr. Analyst Jessica Caldwell. "As Tesla increases the number of models and improves its price points, it could find itself in demand by more than just those in these wealthy enclaves. After all, luxury car companies typically find the most volume in their entry-level vehicles."

Tesla has made it clear that its next frontier is to make its vehicles more affordable to the mass market. In May, Tesla CEO Elon Musk shared that he hopes to offer a vehicle to car shoppers for under $40,000 within the next four years.

If Tesla does plan to break through to new buyers, it will have to expand its appeal outside of California's borders. Edmunds.com's analysis found that Tesla's market share exceeds 1.0 percent in only one of the non-California zip codes ranked in the top 25 by Forbes (#19 Water Mill, NY with 1.2% of all new car registrations in 2013, through August). The Model S national market share sits at just 0.1 percent.

Posted on

Tesla plans ‘giga factory’ for EV battery pack manufacture

Tesla Motors is considering plans to create a "giga factory" to manufacture electric vehicle battery packs for the automaker's consumption, Tesla CEO Elon Musk said.

Musk said Tesla's long-term ambitions to build 500,000 electric vehicles annually could chew up the vast majority of current lithium ion battery supplies globally for all industries, including computers and cell phones.

Musk said the Tesla plant would be "something comparable to all lithium ion production in the world, in one factory."

Musk declined to give a timeframe for the plant, but with the smaller Gen III cars slated to arrive in 2017 with a $35,000 price point, Tesla production should ramp up rapidly.

"If we were to produce 500,000 cars, we need cell capacity commensurate with that. That might be more, or at least on par with, all lithium ion production in the world today. We're in the process of figuring that out. There might need to be some giga-factory built," Musk said in a conference call with analysts.

Musk foresees such a plant that would take "raw materials to finished packs, with partners, in North America.

"Raw materials are not an issue. I would not worry about lithium supply. The main constituents, by weight, are nickel, cobalt, aluminum, then lithium," Musk said, adding that the plant would be, "a green factory, a lot of solar power. No toxic elements are going to come out of this plant."

Tesla recently inked a deal with Panasonic to update and expand their 2011 arrangement to now supply nearly 2 billion cells over the course of four years.

Posted on

The Tesla Model S due in Australia mid 2014

Speaking in Dublin, Tesla Motors founder Elon Musk said that a right-hand-drive version of the Model S, appropriate for the roads of England and Ireland, as well as for Australia, should be ready for production by the end of March 2014.

It is understood that Tesla has scheduled an initial production run of 500 Model S cars bound for right-hand-drive markets, including the UK, Hong Kong, Japan and Australia. Tesla has told buyers it expects Australian deliveries of right-hand-drive Model S sedans to begin sometime between March and June.

Tesla already has an Australian presence, with a store and service centre in Sydney, although neither is open to the public. The workshop functions to serve existing Tesla Roadster owners in Australia,

Tesla has been inviting Australian applications for Model S purchases for some time; securing a vehicle from the general production run requires a refundable AU$6,000 deposit, while ordering a top-spec Signature model won't leave you with any change from AU$40,000.

Posted on

Daimler wants to expand cooperation with Tesla

Daimler would like to expand its cooperation with Tesla Motors, a top Daimler executive said on Thursday.

"I told my guys, go back to Tesla and look for other opportunities" to work together, Bodo Uebber, Daimler's chief financial officer, said at a press briefing. "We want to look for more cooperation."

Tesla is supplying electric motors and batteries to Daimler for its Smart Fortwo EV and the new Mercedes-Benz B-Class EV that goes on sale next year in the United States and Europe.

"We could use more" from Tesla, Uebber said, without providing specifics. Daimler holds a 4.3 percent stake in Tesla, which also provides EV components to Toyota Motor Corp.

Uebber said Daimler, which just launched its new CLA compact sedan and is preparing to add a second model, the GLA compact crossover, in early 2014, is already reviewing plans for its next generation of small vehicles, due around 2018.

Daimler is discussing "different strategies" for building the next-generation compacts in Mexico with partner Renault-Nissan , "but no decision has been made," Uebber said.

He said the CLA, the GLA and at least one more derivative in 2015 from the company's MFA modular platform were crucial to Daimler's growth, especially in the United States and China.

"We are a late comer" to the small premium segment, he said, but "we need compact cars to get a broader, younger customer base."

Posted on

Tesla Superchargers Enables Free Travel Between San Diego and Vancouver

Tesla Motors today announced the opening of the West Coast Supercharger Corridor, energizing a network of stations that enable Model S owners to travel for free between San Diego, California and Vancouver, British Columbia.

With stations along U.S. Highway 101 and Interstate 5, the West Coast's key routes, cities and destinations are connected by Tesla Superchargers. Model S customers can drive between San Diego, Los Angeles, Santa Barbara, San Francisco, Sacramento, Portland, Seattle, and Vancouver for free with minimal stops. More than 99 percent of Californians and 87 percent of Oregon and Washington owners are now within 200 miles of a Supercharger.

Tesla Superchargers are substantially more powerful than any other charging technology in the world, capable of charging Model S 20x faster than most public charging stations. Superchargers deliver up to 120 kW DC (Direct Current) power directly to the Model S battery, providing half a charge in as little as 20 minutes. Superchargers are strategically placed along major highways connecting city centers. Stations are located where customers want to stop, near amenities like roadside diners, cafes and shopping centers, so owners can stop for a quick meal while their Model S charges for free.

This morning in San Diego, two Model S will embark on a 1,750 mile #DriveFree road trip to Vancouver powered only by Tesla Superchargers. The journey will take them through Santa Barbara, San Francisco, Sacramento, Mt. Shasta, Portland, Seattle, and Vancouver, with stops at popular destinations such as the Santa Monica Pier, Monterey Bay and the world famous Pike Place Fish Market. Throughout the trip, Tesla will be hosting owner and media events and providing real time updates from the road on Twitter, Facebook and Instagram.

Posted on

Panasonic Agree to Supply Tesla with 2 Billion Battery Cells

Panasonic Corporation and Tesla Motors today announced that the two companies have reached an agreement in which Panasonic will expand its supply of automotive-grade lithium-ion battery cells to Tesla. With this agreement, the two companies update and expand their 2011 arrangement to now supply nearly 2 billion cells over the course of four years. The lithium-ion battery cells purchased from Panasonic will be used to power the award winning Model S as well as Model X, a performance utility vehicle that is scheduled to go into production by the end of 2014.

This agreement builds upon a multi-year collaboration between Panasonic and Tesla to develop next-generation automotive-grade battery cells and accelerate the market expansion of electric vehicles. Panasonic’s cells combined with Tesla’s proven EV battery expertise have already enabled more than 130 million customer miles driven in Tesla Roadsters and Model S.

“This expanded agreement with Panasonic is important to Tesla as we continue to increase the pace of production,” said Tesla Co-Founder and CEO Elon Musk. “We look forward to strengthening our relationship with Panasonic, and I’m confident that this partnership will continue to be an integral part of Tesla’s success for years to come.”

Together, Panasonic and Tesla have developed a next-generation battery cell technology that provides the highest energy density and best performance cells in the market. Panasonic’s cylindrical cell is a customized technology designed specifically for optimizing electric vehicle quality and life. These cells are integrated by Tesla into the battery pack in a way that enables an industry-leading range of approximately 265 miles for the Model S.

“We are extremely proud to be a strategic partner of Tesla,” said Yoshihiko Yamada, president of the Automotive & Industrial Systems Company, an internal company of Panasonic. “Panasonic will increase its production capacity of lithium-ion battery cells to supply Tesla’s growing needs as it expands its production of EVs.”

Posted on

Tesla eyes 10,000 annual sales of Model S in Germany

Tesla Motors is aiming to sell around 10,000 cars a year in Germany by 2015 as it builds out its networks of charging stations, its chief executive told a German paper.

"I have confidence in the German consumer," Tesla Chief executive Elon Musk was quoted as saying in an interview with Welt am Sonntag.

"Our fast charging stations should cover around half of Germany by the end of March 2014 and the entire country by the end of 2014," he said, adding he expected there to be 25 Tesla dealerships in Germany by the end of next year.

Tesla's high performance, all-electric Model S went on sale in Europe in August, and even overtook Volkswagen's Golf as the bestselling car in Norway in September.

Even vehicle sales of 10,000 would be only a small fraction of the German car market. Main industry association VDA expects sales to reach between 2.9-3.0 million cars this year from 3.08 million in 2012, and keep hovering at around 3 million vehicles in coming years.

Germany was the biggest market outside the U.S. for Tesla Roadster sales. The Model S costs from 71,400 euros ($98,500) in Germany, according to the group's website.

Posted on

Tesla hires Segway / Apple VP to lead vehicle development

Tesla Motors hired a former Apple executive to lead development of the electric carmaker's new vehicles.

At Apple, Doug Field oversaw the development of products including the latest MacBook Air, MacBook Pro and iMac, Tesla said in a press release announcing the hiring on Thursday.

Field, who began his career as a Ford Motor Co (F.N) engineer, was previously chief technology officer at Segway, the maker of the self-balancing, battery-operated Segway scooter. His title at Tesla will be vice president of vehicle programs.

The Model S, Tesla's first attempt to reach a mainstream audience for electric cars, has enjoyed stronger than expected sales, helping Tesla shares more than quintuple this year.

But for Tesla to reach an even broader market and silence electric car naysayers, Chief Executive Elon Musk must successfully develop a third-generation electric car by 2017 that will cost between $30,000 and $35,000.

"Tesla's future depends on engineers who can create the most innovative, technologically advanced vehicles in the world," Musk said in a statement. "Doug's experience in both consumer electronics and traditional automotive makes him an important addition to our leadership team."

Posted on

Bloomberg says BMW, Audi to Blitz Tesla With High-End Competition [VIDEO]

Bloomberg reporter Matt Miller tries to make a case that BMW and Audi are going to squeeze out Tesla at the top-end of the market, but the analysis is fairly poor.

Miller's argument starts by comparing BMW's two seater plug-in hybrid i8 sports car to Tesla's seven seater 100% battery electric Model S 4 door sedan? These cars aren't even in the same market segment!

We're not even sure how Audi enters the competitive analysis as Audi admitted defeat and canned the R8 e-tron saying they couldn't figure out how to make a high performance battery only car economically viable and they have not announced any plans for a high performance battery only sedan to go up against the Model S.

This is the kind of trash reporting that listed companies must endure, commentators constantly trying to talk the stock price up or down. At least it's good to see a 'real' analyst like Dougherty & Co.'s Andrea James who actually knows what's she's talking about get some air time.

Posted on

Tesla Model S Sold Out Till Next Year [VIDEO]

Tesla’s backlog of orders for the Model S continue well into March of next year despite a 25% increase in production rates over the second quarter. It is always great to be wanted, but how long will Tesla Model S demand outpace production?

Elon Musk told ABC News that the Tesla Model S “I am not worried about demand for the Model S as we are currently sold out through March of next year, so we don’t have a demand generation problem”.

Contributing to the strong demand for the Model S is that earlier this year Tesla introduced a new lease program and started deliveries of the Model S in Europe. In Norway Tesla is already breaking sales records and as of September is currently the best selling car there. Tesla EVs accounted for about one in 20 of all new cars sold easily outselling hybrids.

Also of note in addition to Norway, Switzerland and Netherlands are also very EV friendly. Those countries in particular are not only very green but also offer additional EV incentives: free EV parking, HOV or bus lane access to EVs and reduced VAT and/or no road tax for EVs. In addition to Europe Tesla plans to open it’s first Tesla Store in China by the end of the year.