Quote:
Originally Posted by chassis
Quote:
Originally Posted by Efthreeoh
One has to question who though is ultimately driving the market, the consumer or politicians.
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Carmakers make more profit per EV than they do with ICE, because of far less assembly labor content in the assembled vehicle. Battery cost is the biggest hurdle for the carmakers to overcome and battery range and recharge speed are the hurdles for consumer acceptance. Investment to produce engines and transmissions is less than the steady state investment for batteries and electric motors. Initial investment during the transition period (decade) will be very high. Electric motors are pretty low investment compared with most other things.
With EV it's far easier to implement vehicle subscription services. Want more horsepower? Pay for the subscription. Want a different horn tone? Pay for the subscription. This subscription model lines the pockets of carmakers, above and beyond the profit gained from less assembly plant labor.
Charging infrastructure is a red herring and is meaningless. The profit motive of carmakers and regulatory actions by governments mean whatever infrastructure is needed will be in place.
The government doesn't really care where the ball bounces. Tax revenue opportunities abound at every step of the journey.
It's not about the environment. It's about carmaker profits. |
Shout this from the rooftops