It seems that the only competitive advantage that tsla has over its competitors is its batteries. Most of the cost of a car is due to its battery. One even puts the price of the battery at $70,000.00 per car . That is, if the battery is damaged, then the car is not worth repairing. For tsla to be truly successful, it must reach the mass market. This means the price of the car must reach the 30,000-40,000 range. Thus the price of the battery must go down. Can they still maintain the quality of the battery while cutting half of the price?
Good point. Tesla doesnt have any secret method, they just spend more on batteries than anyone else wants to. Toyota could have same or better range, but their cars wouldnt be competitively priced, and wouldnt sell in the numbers they do.
(( only competitive advantage that tsla has over its competitors is its batteries. ))
It is unliklely that this is an advantage.
There is a lot of labor needed to assemlble 18,000 cells into a battery pack.
The packs supposedly have hundreds of relays.
The battery temperature has to be mintained.The battery drains itself in cold weather to stay warm. The bigger the battery the more energy it needs to say warm.
The battey is heavy which means the suspension costs more.
The bigger the battery the longer it takes to recharge. At 100V it dys more than two days to recharge a Tesla battery.
Te battery is very expensive.
What are the advantages of a big battery? More range. But the Volt mathes the range and exceeds fr far less cost.
The battery doesn't cost $70,000. Tesla uses batteries similar to those used in laptops (they look like AA batteries). The estimates for this type of battery are around $200/Kwh so the 85Kwh battery is about $17,000. The batteries that some of the other cars (like the Leaf) use is a liquid lithium battery and is estimated to cost about $400/KwH, but that is said to be a high estimate also.
It's nonsense to price the batteries at $70K each. Other apparent Model S advantages are an electric high end platform and good integration of electronics. IMO, battery tech needs a breakthrough for low and midrange cars to be economic.
no just use a ng or diesel feed fuel cell, weighs / cost less and lots of places to refuel esp. once clean energy/ge start opening ng stations. What weighs less has more range. By the time the charging stations are built they will be opposite as there will be way more ng stations and no concern about
overloading the electric grid.
Actually it is not a simple question for us investors, we have little clue of what goes on in the Tesla research department, so unless someone here is a lithium battery expert anything we predict is a complete guess.