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by nradov
979 days ago
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In general most auto manufacturers are trying to shift their revenue model from periodic auto and parts sales to monthly subscription fees. This isn't linked to EVs. They're trying to force consumers into subscriptions for ICE vehicles as well. This is obviously a negative for consumers, but subscription revenue is seen by Wall Street as more stable and predictable thus it supports higher stock market valuations and better bond credit ratings. |
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It is of no interest for a company to just sell you a thing for cheap, not extract some sort of rent from it and for you to not replace it constantly.
In theory a revenue model based on subscription fees is also more aligned with the preservation of the environment and providing the end-user long term quality components, as to extract said rent smoothly and for as long as possible.
That of course assuming those subscriptions cover actual vehicle maintenance (somewhat like Managed Services Provider do for, say, printers), why not? Transportation-as-a-Service seems a very reasonable X-as-a-Service model .