[77 Monaco Brougham]

It was announced today that Volkswagen, AG is planning on investing about €180 billion in the next several years in a bold attempt to make up ground on TSLA in the EV field.

I'm having mixed feelings about this. One part of me admires VAG for the sheer guts of it......but another part of me has the nagging feeling that this is risky, and could turn out badly...very badly.

All Opinions Welcome!

https://finance.yahoo.com/news/volkswagen-supercharges-ev-drive-160bn-161903778.html

 

[Powdered Toast Man]

Well, we all know the market is moving the direction of EV's in general. I think Telsa is going to be to EV's what Blackberry was to smartphones. They were first, they dominated the market, and then they got completely overtaken by competitors that came along with more compelling designs and options. Tesla seems to have been coasting for some time while their CEO has been... distracted with other projects. Their designs are all around 10 years old. The Cybertruck was a half-baked farce (it reminds me of that car Homer designed in the Simpsons). And they haven't made any real effort to expand their lineup into other segments. As the mainstream automakers get on board, you're going to see Tesla's market share shrink big time.

 

[voiceofstl]

The first company with a CR-V or corolla size with 250/300 mile range will be the winner.

 

[ironpony]

Well, we all know the market is moving the direction of EV's in general. I think Telsa is going to be to EV's what Blackberry was to smartphones. They were first, they dominated the market, and then they got completely overtaken by competitors that came along with more compelling designs and options. Tesla seems to have been coasting for some time while their CEO has been... distracted with other projects. Their designs are all around 10 years old. The Cybertruck was a half-baked farce (it reminds me of that car Homer designed in the Simpsons). And they haven't made any real effort to expand their lineup into other segments. As the mainstream automakers get on board, you're going to see Tesla's market share shrink big time.

elon made his money, he sees the writing on the wall. he is going a different route.

 

[Erik Latranyi]

elon made his money, he sees the writing on the wall. he is going a different route.

Musk is happy with the title of trailblazer of EVs. He is looking for other things to trailblazer now.

Musk knows that he is a better inventor than long term steward of a corporation in a saturated market.

 

[Dave Z]

VW had this plan all along, it's not really a response to Musk, it's a response to their inabilty to make competitive engines without cheating on emissions.

 

[hmk123]

Wonder how much of this new investment is financed through new debt. Not like VW doesn’t already have a lot of that…

 

[Dave Z]

Wonder how much of this new investment is financed through new debt. Not like VW doesn’t already have a lot of that…

A lot of it has been mandated as punishment for past sins... though that punishment may boost their profits.