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by jads 3245 days ago
> The difference is Tesla has a plan to scale up.

You're assuming that a) BMW has no viable EV plan and b) Tesla will be able to follow through with theirs. To say Elon Musk is an ambitious person is an understatement.

I don't doubt that the next decade in automotive industry is going to result in a major shakeup, but I disagree that it will result in some of the existing big manufacturers becoming a shadow of their former selves. It's the smaller ones like Mazda and Subaru that are more at risk.

Tesla's global sales EO2016 were 150k. i3 sales by July 2016 were 50k. All of Tesla's models outsold the i3 by 3x... which isn't a lot when you take into account that Tesla have more models and have been in production for quite a few years longer.

>How is BMW going to acquire all the batteries needed if they want to start selling 10x the number of i3s? They may adapt, but will surely lose their comfortable position in the market.

Unless they make a decision overnight to ramp up production 10x, this isn't going to be an immediate concern. Like Tesla or other EV manufacturers, they may invest in or build battery plants of their own. Tesla's approach is neither unique nor a once-only.

Besides, market share isn't everything. Just look at the iPhone. It's outsold by Android devices by a huge margin yet I don't think anyone would argue that it holds a comfortable position in the market. BMW has never been particular about it's market share, it sees itself as a luxury brand. It doesn't need (or perhaps even want) to have the most popular EV. It doesn't even have that now (it's in the top 3 though) and the market for EVs is much smaller. As long as the company is profitable and it sells well, that tends to be enough.

1 comments

> BMW has no viable EV plan

I haven't seen it yet. Maybe they've already manufactured 10 million fully autonomous EVs and holding off till 2018 just to surprise everyone. But until they start talking about it, or selling it, nobody knows.

> Tesla will be able to follow through with theirs

At least they are giving it a legit try. But yeah, it's a huge risk, and highly uncertain what will finally come to be.

I kind of agree with the rest of what you said. BMW is likely not concerned with capturing market.

I imagine BMW, like other manufacturers, are holding onto some form of internal combustion as long as possible. But they are expanding their EV options. The all-electric MINI (a popular brand and owned by BMW) is due in 2019 and there'll also be an X3 the year after. It's not quite the pace I'd hope for though.