Tesla Continues to Have No Competition
Despite a flood of capital and EV companies showing up, Tesla maintains its lead. If there was an actual competitor to Tesla, it could be BYD, but it's clear Tesla is the only profitable EV company, according to Tesla Economist.
About half of BYD's revenue is from EV's. Or hybrids... There is nothing new about a hybrid and BYD makes a loss if you remove all government subsidies. Tesla is the only profitable company making electric vehicles and their production and manufacturing is unmatched.
China is copying Tesla's manufacturing and ordering giga presses. Some have even said that BYD will make as many EVs as Tesla in a few years. And others have said that the other Chinese companies will soon overtake Tesla. This has been said for several years now, and yet Tesla maintains and increases their lead.
Nobody else has hit volume production for BEV - battery electric vehicles. Tesla achieved this over 4 years ago, something that was so difficult for Tesla. He had to get the whole company working on the Model 3. Achieving a profit is impossible unless the entire company works super hard to save the world and has millions of dollars of stock options as incentive.
Volume production is difficult to reach. It takes a company with real motivation from creative people. Creativity comes from freedom of thought more than it does from higher IQ.
Everyone is so far behind and Tesla is so far ahead. Everyone thought that what Tesla was doing was repeatable and replicable. Tesla has moved far ahead and has a long waiting list for all its vehicle, even before the 4680 Model Y from Giga Texas. Other EV makers are still stuck 5 to 10 year behind.
Consumers could consider other vehicles, such as the Volkswagen ID.4. Consumers aren't moving to electric vehicles because they want an electric vehicle. They are moving to electric because they want a Tesla. Even with the tax credits, this isn't helping other EV auto makers.
The biggest market for EV sales is in China. China should do what they can in that market and other markets like Norway and Australia that are small. China will have a hard time in the U.S. if they try. Japanese autos succeeded in the U.S. because there was not a Tesla equivalent at the time.
Plain and simple, people want Tesla vehicles, not just any other electric vehicle.
Do you think anyone will catch up to Tesla anytime soon?
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Jeremy Johnson is a Tesla investor and supporter. He first invested in Tesla in 2017 after years of following Elon Musk and admiring his work ethic and intelligence. Since then, he's become a Tesla bull, covering anything about Tesla he can find, while also dabbling in other electric vehicle companies. Jeremy covers Tesla developments at Torque News. You can follow him on Twitter or LinkedIn to stay in touch and follow his Tesla news coverage on Torque News.