Bob Lutz, one of the most renowned figures in the American auto industry, recently claimed on a podcast that Tesla aren’t going to be around much longer.
Lutz, who in 2009 said the electrification of the auto industry was inevitable, reckons there are numerous issues with Tesla and thinks in the future no consumer will want their products. Below are some of his key points:
– Tesla will fail due to their “continued lack of profitability” and it’s only a matter of time before their stocks are “gonna tank”.
– Tesla doesn’t have unique technology and are using the same lithium-ion batteries as everyone else.
– Most other key manufacturers will have 300+ mile EVs on the market within the next few years.
– “All they have are some good looking electric cars that sell below cost”.
We don’t quite agree with Lutz. Tesla are burning a lot of money, but last quarter they made a profit and on top of that 2019 was their best year so far with over 367,000 vehicles sold. Whilst the build quality isn’t quite there yet, the fan base certainly is as is the charging infrastructure and tech. Yes, COVID-19 is presenting new challenges, with Tesla’s Fremont factory still closed despite protest from Musk (although he claims he’ll open it soon regardless of Alameda county orders), but we’re sure Tesla will endure for now as well as for the foreseeable future.