Rick Perry is seeing dollar signs for the state clearly, but hes myopic about what this kind of selling would mean to buyers. Where would you get your warranty work done? Where would you get OEM parts? Where would you take your $100K car in case of recalls? I am so glad hell be gone before this stupid idea becomes legislation. From a recent Ed Wallace column: Last week Tesla said it would build a new battery factory that would employ up to 6,500 people and build batteries for up to 500,000 vehicles a year — and suggesting that the investment to do so might go as high as $5 billion. On that news the business media went nuts. Tesla’s stock jumped from $212 a share to $250; Morgan Stanley analyst Adam Jonas predicted that Tesla stock was really worth $320 a share, because this bold and exciting move into battery production would boost revenues substantially in the future. It’s worth noting that Jonas did not mention future profits for his justification, simply higher revenue streams. Apparently the business media is forgetting certain pertinent facts: Tesla lost $74 million last year. And the company has already warned on profits for this coming year, since its cost structure would be increasing significantly. For the life of me, I don’t understand how everyone missed that 6,500 proposed workers building 500,000 battery packs works out to just 79 batteries per worker per year. Read more here: star-telegram/2014/03/06/5628277/hype-springs-eternal.html#storylink=cpy
Posted on: Wed, 26 Mar 2014 14:51:51 +0000
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