Huge challenges ahead for Tesla
When Elon Musk’s Tesla first started to produce electric vehicles, many sneered at the very idea. Whilst the Model S started raising eyebrows its with the Model 3 that the brand became truly mass-market but will Tesla sink or swim in the face of new competition?
Tesla has become one of the biggest disruptors of a single industry in the modern age, and undoubtedly one that has polarised opinion more than almost any other. Their software-first approach to car design was revolutionary, perhaps even visionary, and they have certainly reaped the rewards. Now one of the largest manufacturers of EV’s in the world and predicted to become a top-3 car maker within the next decade, can this growth continue now that all the big guns are pointing in its direction? is the tide about to change or can Tesla continue to innovate and push on whilst others play catch-up?
Whilst Mr. Musk very openly welcomes competition (for the good of mankind no less!), both the established car manufacturers and a whole host of US and far-east rivals are looking at the Model 3 customer as relatively low-hanging fruit given some of their quality control issues and designs that don;t sit well with some clientele. The technology employed in Tesla vehicles had been well ahead of the pack for some time but bold/odd styling choices, build quality and consistency of their product has given the American car maker more than its fair share of detractors.
Love it or hate it, the Tesla Model 3 has become the World’s most popular EV.
The traditional manufacturers are now upping the stakes significantly, BMW recently announced that its 2025 “3 series” will be capable of over 600 miles of range on a single charge, there are also a plethora of new market entrants and brands lesser known to a western audience that seems to be putting together compelling packages that will serve to compete not only in terms of quality and range but also in terms of price.
We know that Tesla likes to do things differently but it seems they now need to focus on trying to rival the build quality of the older statesman brands or seriously undercut their pricing. Companies like Fisker and Lucid are treading a path laid by Tesla whilst companies like BYD, Xpeng, Lynk & Co and NIO are set to produce a number of new rivals for Tesla as well as the more familiar Chinese, European, Japanese and Korean marques. One thing is for certain, for car companies new and old, all eyes are on winning market share away from Tesla, and in doing so quickly.
Whilst others try to better what they have already produced should they now pivot and try something very new?
Batteries are thought to be the next industry bottleneck once the semiconductor crisis finally subsides but Tesla is producing its own batteries, it has its own charging infrastructure. Tesla always seems to be slightly ahead of the curve in so many areas but doing things on its own terms. Perhaps Tesla’s greatest asset is to look at things from an entirely different perspective without decades of traditional car-building knowledge their technology lead clean sheet approach to car design and car building has proven time and time again to have been a benefit to the company in so many areas and is something that the likes of VAG, Mercedes, Stellantis and co have sometimes struggled to find an answer for.
New Tesla Roadster : Will Tesla finally be able to match its performance capabilities with true aesthetic appeal and desireability?
It seems that the new Roadster will be the next production car to adorn the ”T” emblem but there have long been rumors of a small car option from Tesla and, you have to think that a small sub-£20k Tesla with good range and space would be the next sensible move for the brand as it looks to secure the mass-market - but when did Tesla ever doing anything sensible?…that’s the whole reason we love them…or hate them…isn’t it?
It’s clear that Tesla faces fierce competition in the next few years, will they sink or will they swim? Many have written off Elon Musk on numerous occasions and he often hits back with something unexpected, something staggering.
I for one can’t wait to see what comes next.
Tesla’s next AI day is on 30th September 2022 and will showcase its latest technological advances.
For more from Jim Starling, visit DefinitelyNotAGuru at www.notaguru.co.uk or on YouTube at www.youtube.com/c/DefinitelyNotAGuru