The news today is not good for Tesla Motors, you know, the folks waiting to launch their S line electric sedan? Just months before the long heralded start of production, the company announced the departure of their Chief Engineer and the Director of Chassis and Engineering? No matter how you paint it, that can't be good news. Isn't this a company that has never produced or engineered a vehicle from the ground up? One would think that this is a very critical stage for a car with promised production right around the corner? Investors didn't think so either as the stock dropped 19% on the news. I don't recall how much of our tax dollars are loaded into this one, but I'm sure the concerns of yet another "alternative" industry shows signs of trouble.
We all need to share environmental responsibilty. Just look at the improvements made with internal combustion engines in the last 20 years. Small displacement 4 cylinders are the current focus of the auto industry for economy with more than sufficient power. A Chevy Cruze will get nearly 40mpg on the highway with a 20K price. It is a vehicle that will need minimal maintenance over a 5 year / 100,000 mile lifespan. Is a $43,000 Volt a better buy? While it is truly an innovative, quality vehicle, it's not an economical family "daily driver" based cost and projected, even unknown, maintenance. It is also propped up with a $7,500 tax credit. When your son or daughter is ready for that "first" car, will you invest in a 5 year old Cruze with 100,000 miles or a Volt? I like the odds with the Cruze. Interesting times for the auto industry. Let's see how this Tesla news plays out with Washington DC.
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