If you are in a leadership role or training to be in a leadership role, this is a great 54 minutes of your time. If you are also an automotive enthusiast, it is just icing on the cake. This is some of the best automotive content I have seen in a long time. Thanks.
Lutz is a Putz! "Who wants it"? "No unique tech" Tesla not making a profit? losing money on their cars? Is this a current video? sounds like he is talking about 6 years ago, This dinosaur knows nothing.
6 months later, Tesla is more valuable than nearly all automakers combined. I cannot disagree with you more. Streamlining and outsourcing is a cheap trick to avoid innovation and will be the death of detroit (delayed from 2008). It is a great way to look good when you're only expected to be ceo for 5 years in current executive pathways.
One year on, the market has changed dramatically from that interview. I'm wondering how would his opinion might differ in today's market. Bob is truly one of the last truly great automotive minds. Piech has passed as has Marchionne and Iacocca. Bobs appetite for product is still incredible at 90+ years of age. He's a true car man.
MotoMan, at 42:30 you and Mr. Lutz spoke about Morgan. You may not be aware that Morgan is no longer family owned, having been bought by the parent company if Aston Martin though it appears they remain pretty autonomous in operations. Also, they don't have a waiting list any longer. They push off all of their production to their dealers. I suspect if you want a new Morgan, go to a dealer and they can probably fix you up with a new one within a week or two.
Bob might as well say tesla fills the cars with laughing gas, are radioactive, and are technically pwoered by squirrels high on cocaine and other verifiably false statements. He's as accurate as a blind man describing a 3D movie.
Mr. Lutz is certain that Tesla will be out of business and no one will be interested in buying it out and it's stock will sink. I don't know when this interview was from but I think he has been saying this for some time.
I just bought 2020 Honda Accord Sport 2.0T and love everything about it, the problem is people ( many women) forget that while they get a better view being higher, later that advantage disappears. Maybe self parking is what is needed for women to drive more cars.
Not so. Season 2 episodes are no longer shot in one location, like the Petersen, where we control the environment. We have to travel to the guests and the only way to record consistently clean audio in varying locations and varying guests are those Sennheisers we wear.
It looks like this interview was taken before or during the first moths of model 3 production. @47:30. Bob is so wrong about electric car range, leaders in autonomy and Tesla.
Another really good interview Motoman. Really found it interesting that everyone basically makes the same 4-cylinder engine, that's a lot of duplication of effort and use of resources that could be better spent elsewhere.
great interview Motoman. Bob is always a great guest and I appreciate how he cuts through the crap. He really does seem to have an axe to grind with Tesla. He has never had a good word to say about Tesla. I would have liked to hear his opinion on Porsche. As a Porsche fanboy, I hope they can keep going and not dumb the company down to mass market like BMW has. I agree with you guys with BMW, it is just a mess now. I miss the company that could put out a 2002 or the early 2000's M5 and M3, and the Z8. I hope Porsche can maintain their integrity, but still remain in the future what they are and not become a country club toy, relic like Aston Martin and Ferrari
The only reason why old codgers like this made it was because they had connections in top elite circles not because they were actually good at the job in question. Bob is an old goat that should shut up and enjoy his indulgent life in retirement, that he never earned.
How many times now over many years has Bob said Tesla will fail and can't make money? Bob and much of the rest of the industry might not understand how to make an attractive profitable EV, but Tesla does. Tesla keeps growing, out selling the competition, and is profitable. Some people will just remain clueless
@@normt5463 What do you consider an honest buck? Tesla is profitable, their SEC filings show they are not losing money on the cars they sell. Is getting a government bailout and filing for bankruptcy like GM your idea of honest buck?
This Bob Lutz should have focused on building higher quality cars,suv& trucks that actually last out of warranty !!!! like Toyota & Lexus !!!!!!! , build something like a Toyota 4runner that will last 300K miles and people will start buying your product !! , BTW Motoman great interview thanks for posting 👍👍👍
Bextar636 so that’s why Toyota is one of the largest automakers? You gotta have people coming back. And good cars = good resale. That means better profits in leases and people willing to pay more because trade in will be higher.
What a confused word salad from Bob! On one hand talks about Teslas non profitability, then on the other hand says manufactures will still make V12's just to show they can. He really has his finger on the pulse! Its geniuses like Bob that have made GM what it is today.
Making V12 engines =/= unprofitable. Even if a certain performance vehicle is unprofitable, it can still improve the company overall by influencing consumer perception of the brand, which can lead to increased sales of profitable vehicles. If every vehicle sells at a loss, however, the company will still be swirling the drain.
This was an excellent interview. Really enjoy listening to Bob Lutz, he has amazing insight of the car industry, but not once was quality brought up in this conversation. Real problem with GM
Always nice to hear Mr. Lutz sincere and direct answers to questions others are avoiding to answer. Just as the conversation was getting to the topic of my beloved Corvette the interview ended. I wish to hear his view on new C8 and some other topics. Maybe there is a good idea on getting some #askmotoman episode with Mr. Lutz as a guest and answering some good questions.
Hi Primoz! As mentioned in 'interrupt' of all of our Season 2 Inside the MotoMan Studio episodes, we would like to make some of these live, town hall events. Similar to what we did in the first season at the Petersen Automotive Museum. Given the current environment, that is not going to happen for a while but will look at it when the regulations and the economy permits.
Would love to hear Bob's view now. Great perspective and clear POV. Even on Tesla where he got it wrong, but I like that he isn't neutral and would love to hear round 2. Subscribed.
Seems like a very long time ago because his numbers on tesla is ridiculously wrong!!! Fremont only produces 100k cars for Telsa???? They sold more than that in Q4 of 2019 alone!!!
He’s a polarizing character that no one can argue. Notice he didn’t include himself in the strong leader club. I also thought the sarcasm about Saab was totally inappropriate . He wasn’t around bmw long enough to make any home runs.
We keep hearing about this EV competition is coming year after year, still not here. This old clown doesn’t know anything about technology or manufacturing. Go watch Sandy Munro’s tear downs to learn about Tesla’s advanced tech and engineering. It’s not just about having a 300 mile range car, charging network matter too. Tesla superchargers are the best in the game. Bob Lutz basically explained why Ford and GM are bound to go bankrupt before Tesla does.
The Chrysler 200 was looking fantastic, especially on the inside. Bob is right. If that car was rear drive, it would have been much more appealing and standing out in a crowd of front drive appliances. But maybe that would have cost too much. Sad to see it gone .
On his Twitter page, he states that "this was clearly shot before the current pandemic". Let's not forget that back in January, he (as a pedestrian) was hit by a Tesla X at 45 mph and flew 60+ feet. He is obviously still recovering, and is releasing videos when he can. Wish him well.
it's cute how all the armchair warriors think they know more than one of the most successful car executives. And also can't seem to grasp he's not the only decision maker in a large corporation like GM where he can run it like his fiefdom
One of the many issues with this take is Europe - most countries in Europe have scheduled when the end for petrol and diesel car sales will be. If Ford loses the entirety of the european market (except for a few loss making EVs), it will fail. The reason that Tesla has burned through so much capital is that it's having to build its manufacturing base from scratch, something other car makers do not, other car companies (such as BMW and Renault) are making profits on the sales of their EVs.
Lutz is partially right. Asking for input from top to even the janitor is not a sign of weakness, lack of vision and confidence is the problem... getting everyone to only Go by what you say can be a sign of weakness and need to feel in control. And while most people want a particular vehicle, many want some more choices, we should be able to have a way to build our own vehicles from interior and exterior not just pre done, even if order take a few months. And fat and ugly usually have the best vagina, and make a great wife that probably wouldn't be asked to cheat all the time and eventually does.
I really like Tesla, yet still think Lutz' arguments were sound. You can call him old until you're blue, it won't magically make Tesla a profitable & financially sustainable enterprise.
Tesla is profitable for 3 quarters now, look at the numbers, you'll see. Arguments are outdated, he is saying Tesla makes 100k cars a year it's nearly 4x that figure now.
Jean D Tesla also had a massive amount of pent up demand from Model 3 backorders. They’ve yet to prove they can sustain those numbers. Also now that their federal credits are being phased out its more headwinds for their long term viability. And again, I’m not ragging on Tesla, I think they make very cool cars, I’m just being reasonable.
Bob is absolutely right about BMW. This whole multiple small CUVs craze is getting out of control. It'll delude the brand reputation over the long term. X1, X1 L (China), X2, X3 & X4 are just too many. I didn't know that BMW sold their stake in the carbon fiber JV, I guess the next gen "i" cars will ditch the CFRP-heavy construction. I have my doubts about GM surviving on the long run. They're returning to their old ways, plus if the current anti-China rhetoric turns into legal action and China retaliates, it could severely hurt or kill GM (among other brands). As always, excellent work M.
Good question. There are multiple reasons: 1.) Consistently 'clean' (read 'good') audio 2.) Better levels consistently even when the guest laughs, moves around or similar. 3.) MUCH more realistic in capturing good quality audio when traveling to/shooting in multiple locations where you don't control the background. 4.) All of this is key when you are ripping the audio out and using it for an audio only podcast version of these same episodes. They are available at multiple podcast directories . . . here's one: podcasts.apple.com/us/podcast/inside-the-motoman-studio/id1484428968
I had a 2017 Malibu LT in beige -- a wonderfully tuned car, surprising dynamics. Tight panel gaps, nice paint, no squeaks or rattles. Lots of hard plastic inside (it's a GM), but it felt solid. Too bad it got written off, I liked it more than my previous Audi A6 V6.
Great discussion with Bob’s expertise! A pleasure hearing both of you speak on the industry in an enlightened manner. I’d be curious to hear what Bob’s thoughts are on CA’s move to ban on new gas vehicle sales after 2035. Secondly, what are product differentiators between brands looking out at 2036 and beyond given everyone will have similar electric acceleration/mileage, etc.?
@IgsGarage Indeed this bastid isn't any better than any other of the "old guard" from any of the big three from the times. It's clear to me that they hold seriously influence with elites at the top of the financial world....it's creepy. This old fossil should shut up and go away.
@stylac No Lutz wasn't a CEO but still one of the very inner circle in the big three, just as incompetent and guilty as the rest in not challenging the entrenched old guard and their bad leadership. He never spoke out while employed which makes this guy a chump and pu55y.
I Walked Ppast Mr.Lutz Leaving A Gas Station He Said Something In That Wraparound Voice He Has I Think It Was I Gave Him My Lighter, I Hope The Smoking Don’t Kill Him
BMW Product Proliferation (translated in German Jargon) - One sausage , different sizes. Product planning (see above) - BMW - We need a cheaper car let’s reduce the sizes 20% for the X1 and make the next model 5” longer Product Engineering. Chevy or Ford - We can attach the center panel with six bolts on each corner two in the middle. German Engineering- why do something with six bolts, when you could do it with 40 bolts. The Germans can’t help themselves, they over-engineer and product development relates to pricing and options... In the case of GM (General Motors) you are referring to the classic example of “Design by Committee”. This is an industry phrase in commercial and TV production. No one wants to take blame for a failed design so if everyone contributes then no ones to blame. Problem solved. What’s the gun metal grey car I. The background. Looking at the chrome bumper I’m thinking 1963-1967, two door convertible (obviously) GM? It’s not an impala, nor Monte Carlo, not Gran Torino? Belvedere, Ford Edsel, Not Mercury, or a Ford Fairlane? That only leaves Studebaker that could be the garage queen 👑
If Tesla was just a car company, Bob might have been on to something. This interview was done before Tesla was able to hit 500K cars a year and before Jeff's million mile battery announcement.
Bob had a lot of great insights, but I'm not buying that GM's dominance in the full-size SUV segment can be challenged. The new trio - Tahoe, Yukon, Escalade - is fantastic. I highly doubt anyone will ever come close to their total market share.
Bob fails to move beyond his traditional understanding of car sales, where manufacturers ship cars at wholesale to dealers and then go build another one. The product is engineered to fail so you have to buy another one and the dealer experience is rotten. Tesla on the other hand has 1M connected cars today and has the ownership, usage, location and autonomous driving data that none of the other car guys have. The traditional old school cars guys can barely build a decent infotainment system in a car and have to keep pumping out new cars with new government emissions regulation. Tesla cars have much longer lifecycles, can be continually upgraded rather than replaced and have ever increasing profit margins and additional *recurring* revenue opportunities as production improves and environmental regulation increases. The point is that no, it's not just four wheels. It's a whole new game, with significant revenue opportunities which the traditional guys will struggle with because they are so far behind and it has nothing to do with 300 miles of range. Now get off my lawn, Bob.
I am unsure when this segment was taped but expensive SUVs, pickup trucks, and crossovers are going to nosedive in sales due to the world economy shrinking as a result of Covid-19. Those vehicles contribute the most to corporate profitability...not bread-and-butter sedans....so the bottom line at the car companies will suffer. That said, Mr. Lutz seems to believe that crossovers replacing traditional sedans is a long term trend. I don't agree and believe instead that crossovers are a fad that has perhaps 3 - 5 more years. Look how popular minivans were twenty years ago...look how popular the American Big Three imitations of the European sport sedan were 30 years ago....look how popular the personal luxury/opera window coupe cars were popular 40 years ago. All those niches were popular at one time with numerous competitors but not now. Not everyone buys a crossover because they need all that extra room or visibility. As for the Dodge Dart and Chrysler 200, FCA ended up with two new cars that were both rated at the bottom of their respective segments. What FCA should have done was not base the Dart on an Alfa Romeo but instead design the Dart off of an entirely new platform and then build the Chrysler 200 on a stretched version of the Dart (actually the two cars were not that different in dimensions despite the unshared platforms). As for Ford, Jim Hackett was brought in because the Ford Family and other big investors were unhappy that the stock price of Ford had fallen under Mark Fields even though the company was still highly profitable. In the last three years the stock price has continued to fall and now the company is losing billions per quarter. Expect James Farley to take over as CEO this year. Cadillac's biggest problem is not with the product but at the dealership...having to buy a new one at a Chevrolet or Buick or GMC dealer is old-school marketing and does not convey a prestige image to a new prospect (only about 200 Cadillac dealerships are non-paired with other GM divisions).
I laugh Lutz nailed it, I have always said you could have the best car on the block but when you walk out first thing in the morning and you have to glance over your 50,000 dollar purchase it dam well better look good. Not some messaged bar of soap our an arogumi experiment.
I certainly have respect for what Lutz has contributed to the industry in years past but I can't help but cringe at how far out of touch he is when the topic shifted to Tesla, EVs, and automony. It is clear that his experience and background in conventional cars has given him a huge blind spot when it comes to the capability of fleet learning, machine learning based AI, and the value of vertically integration to ensure the freedom to innovate faster than what you get off the shelf from tier2 suppliers. To even say with a straight face that Tesla has no moats will age very poorly. Any car company leadership who thinks the same way today will be doomed to follow Nokia and Kodak into the pages of MBA case studies.
The point he makes regarding the ratio of people per car produced is compelling however. If Tesla truly is losing big on every car produced and is burning through investment money to cover the negative margin then I see where he comes to his conclusion. Time will tell.
@@hockeymann88 bro his data here was absolutely incorrect. Fremont is producing way more than 100k cars per year. They sold 112k in Q4 2019 only. The run rate is about 500k cars per year atm. This seems to have been recorded late 2018 or sumn. Another dinosaur proven wrong.
Doesn't acknowledge, or even realize, the value of all that data coming in from Tesla's cars. That's worth billions, alone. Let alone the supercharger network, etc. Bob is done. Next.
GM Ford and Chysler wasted alot of money with redundant products. How many different V6s a d4 cylinders were there at gm on any single year? how many different transmitions were developed for those engines? Bilions wasted.
Let’s all admit it. You criticize Bob because most of you younger sheeple want to make Tesla successful, in spite of consistent losses. Go ahead children. Just keep throwing your good money down that Tesla sinkhole and keep making your ageists comments.
Another boomer thinking we all want petrol burning autos like his poluting cronies.. "Conventional vehicles" - its a process bob, you of all people should know that. Much respect to your past sucess - but theres a reson for the Next Generation phrase..
Where has Bob Gone? I haven't seen him on the internet in a year now and the guy looks younger than Biden. I guess Bob was wrong about Tesla big time. eh
motorman studio.... tesla owns this guy...he pays their rent. You know he thinks about Tesla everyday for not investing in them and saying they could never lower their production price. he's been i the business for 22 years he said. he hs no storied career. he knows nothing.
*The only reason why old codgers like this made it was because they had connections in top elite circles not because they were actually good at the job in question. Bob is an old goat that should shut up and enjoy his indulgent life in retirement, that he never earned.*
Bob Lutz is irrelevant. Alan Mulally of Ford would be the only former Detroit 3 auto exec worth interviewing (and Sergio M if he were still around). I don't like Tesla or Elon Musk's crazy persona but Tesla will be around at least as long as GM, FCA and Ford. The Detroit 3's product lineup hinges on trucks, which people will buy for now, as gas prices remain low. If market conditions change, they will fold. Tesla's problem is strictly supply chain. It seems, if they can make it, people will buy it because they're not just selling an EV, they're selling a Tesla that gives you more: Supercharger network, green cred, cool tech cred, usable range, autopilot, etc). If Tesla can fix it's supply chain issue (which the China plant will do), they'll be a real force. Also Lutz's comments on not getting involved in carbon fibre and battery technology probably explains why GM is irrelevant as a company. If you don't have any technology, what kind of car company are you. You soon become nothing more than a company that licenses out its brand to stick on someone else's car. Look at Mercedez, Toyota, VW, etc that spend billions in R&D. Sad that no US company, besides Tesla, realizes the importance of R&D.
GM ahead of Tesla on Self Driving. I'm still laughing. Bob has been utterly clueless about large scale transformation. For him a big thing is the transition from sedans to CUVs. Tesla LITERALLY had a 20% margin on every car. And he doesn't seem to have a clue that Li-Ion is not one thing.
Found the guy that has his life savings invested in the tesla scheme. GM supercruise will steamroll whatever Tesla has. Why? Tesla is run by their fired or layed off engineers. Most came from Chrysler in 2008. There is nothing special about tesla
Wow this didn’t age well 😂😂😂 Bob was absolutely clueless about EV’s and the future of Tesla. Tesla’s now have some of the highest profit margin per vehicle in the entire automotive market.
Rooster Hunter BMW M2, Kia Stinger, VW GTI, Mazda 3, etc. There seem to be quite a few good cars...they sure are expensive though. Base models aren’t so bad with over complication.
I think old cars are crap too. Damn rusty bodies, leaking seals, hard-to-find parts, weak powertrains & brakes, crunches like a soda can in an accident...
Incredible how quick Lutz is to consider all the variables that a CEO would have to manage and yet how incredibly ignorant he and others like him are when considering technology. Management constantly makes the mistake that you can just throw money at a problem. Therefore to him Tesla has nothing that the others don't have, because you can just buy it. Totally false. I remember 2019 was the year Tesla would have to face the competition. Never happened. Think of how difficult it was for Microsoft to replicate an iPod and compete. Software is not easy, it's not something you just buy and then problem solved. The smallest variable in developing great software is money. Having enough time and talent are far more important. In this area Tesla is years ahead of everyone. When Lutz describes a business where everything is purchased from suppliers then they own nothing unique. Whatever software they purchase will inevitably be inferior. People will want software designed specifically for the platform (Tesla) versus software designed to work with a hodgepodge of mechanical systems. Tesla is to MacOS as GMC is to Windows. When it comes to reliability and high end products we know what people buy.
This guy has no passion for cars whatsoever, that's for sure. He's all about cost. He probably would have made a good manager in a Soviet era Lada Factory. No vision for the future, just keep doing things the same way you've always done them.
![Noob To Max With DRAGON REWORK In Blox Fruits [FULL MOVIE]](http://i.ytimg.com/vi/LnBMOinoOvA/mqdefault.jpg)
Am I the only one who sees the death of Detroit from 45:00 on.
Well said brian. I thought someone slipped in a deep fake...
He has been wrong about Tesla for years. Just look at his interviews on CNBC.
If you are in a leadership role or training to be in a leadership role, this is a great 54 minutes of your time. If you are also an automotive enthusiast, it is just icing on the cake.
This is some of the best automotive content I have seen in a long time. Thanks.
Lutz is a Putz! "Who wants it"? "No unique tech" Tesla not making a profit? losing money on their cars? Is this a current video? sounds like he is talking about 6 years ago,
This dinosaur knows nothing.
6 months later, Tesla is more valuable than nearly all automakers combined. I cannot disagree with you more.
Streamlining and outsourcing is a cheap trick to avoid innovation and will be the death of detroit (delayed from 2008). It is a great way to look good when you're only expected to be ceo for 5 years in current executive pathways.
One year on, the market has changed dramatically from that interview. I'm wondering how would his opinion might differ in today's market. Bob is truly one of the last truly great automotive minds. Piech has passed as has Marchionne and Iacocca. Bobs appetite for product is still incredible at 90+ years of age. He's a true car man.
Used to open Road & Track and go straight to his column. Don't always agree with him but I respect his insight and ideas.
Looks like really old interview or Lutz was in coma for two years?
😂😂😂😂😂
GM acquired cruise in 2916. And it has a feel for a time period based on the conversation that feeels feels like 2017
MotoMan, at 42:30 you and Mr. Lutz spoke about Morgan. You may not be aware that Morgan is no longer family owned, having been bought by the parent company if Aston Martin though it appears they remain pretty autonomous in operations. Also, they don't have a waiting list any longer. They push off all of their production to their dealers. I suspect if you want a new Morgan, go to a dealer and they can probably fix you up with a new one within a week or two.
"Fat and ugly doesn't make it" hahaha the truth was never spoken better
14:22 Accord isn't selling because Honda financing is ridiculous when everyone else will hold your debt for free.
The key to understand why Bob thinks the way he does is when he was asked the question "why?" at 49:20
Yeah, this guy is living in the past.
Bob might as well say tesla fills the cars with laughing gas, are radioactive, and are technically pwoered by squirrels high on cocaine and other verifiably false statements. He's as accurate as a blind man describing a 3D movie.
Mr. Lutz is certain that Tesla will be out of business and no one will be interested in buying it out and it's stock will sink. I don't know when this interview was from but I think he has been saying this for some time.
This aged well.
Mr. Lutz will be proven right
This is a good example how people can be trapped in their past experience.
I just bought 2020 Honda Accord Sport 2.0T and love everything about it, the problem is people ( many women) forget that while they get a better view being higher, later that advantage disappears. Maybe self parking is what is needed for women to drive more cars.
Has he been loving uder a rock for the past five years? Can we have him and Sandy Munroe in the same room?
Biggest problem with this interview is that it's a couple hours too short..
Bob Lutz is one of the few where i can listen to his interviews again
Gotta say, Motoman, in a cozy setting like this I think a shotgun boom would be a better option than headsets.
Not so. Season 2 episodes are no longer shot in one location, like the Petersen, where we control the environment. We have to travel to the guests and the only way to record consistently clean audio in varying locations and varying guests are those Sennheisers we wear.
@@MotoManTV the headset audio is grating when guests don't have proper mic technique. Clipping, sibilince etc.
Disagreed. Kinda gives them the pilot look. ESP with what Lutz is wearing. Like he’s in character. It works well 😎💪🏻
He;s right about BMW
It looks like this interview was taken before or during the first moths of model 3 production. @47:30.
Bob is so wrong about electric car range, leaders in autonomy and Tesla.
I know, I kept checking the date like this can't be 4 months ago 😂
Another really good interview Motoman. Really found it interesting that everyone basically makes the same 4-cylinder engine, that's a lot of duplication of effort and use of resources that could be better spent elsewhere.
Exactly what John McElroy has said recently, join together and build the 4 cyl engines to save $$$$$
great interview Motoman. Bob is always a great guest and I appreciate how he cuts through the crap. He really does seem to have an axe to grind with Tesla. He has never had a good word to say about Tesla. I would have liked to hear his opinion on Porsche. As a Porsche fanboy, I hope they can keep going and not dumb the company down to mass market like BMW has. I agree with you guys with BMW, it is just a mess now. I miss the company that could put out a 2002 or the early 2000's M5 and M3, and the Z8. I hope Porsche can maintain their integrity, but still remain in the future what they are and not become a country club toy, relic like Aston Martin and Ferrari
What a clown. Easy to see now, how executives in the old OEM:s are totally out of touch with reality.
The only reason why old codgers like this made it was because they had connections in top elite circles not because they were actually good at the job in question. Bob is an old goat that should shut up and enjoy his indulgent life in retirement, that he never earned.
down voted,me and alot of pepole think that tesla is just an hype.nothing special there.
As an automotive outsider, this one on one offers up interesting information and Lutz's future predictions for top auto manufacturers.
How many times now over many years has Bob said Tesla will fail and can't make money? Bob and much of the rest of the industry might not understand how to make an attractive profitable EV, but Tesla does. Tesla keeps growing, out selling the competition, and is profitable. Some people will just remain clueless
It took Tesla a decade of being public and still has yet to make an honest buck.
@@normt5463 What do you consider an honest buck? Tesla is profitable, their SEC filings show they are not losing money on the cars they sell. Is getting a government bailout and filing for bankruptcy like GM your idea of honest buck?
Great interview. I always like listening to Bob. I could of watched another hour of you two chatting about the auto industry.
Always learn something when I visit Bob. Will definitely continue to visit with him and feature him on the show when we get back to traveling.
This Bob Lutz should have focused on building higher quality cars,suv& trucks that actually last out of warranty !!!! like Toyota & Lexus !!!!!!! , build something like a Toyota 4runner that will last 300K miles and people will start buying your product !! , BTW Motoman great interview thanks for posting 👍👍👍
Long lasting cars kill sales in the future
Bextar636 so that’s why Toyota is one of the largest automakers? You gotta have people coming back. And good cars = good resale. That means better profits in leases and people willing to pay more because trade in will be higher.
What a confused word salad from Bob! On one hand talks about Teslas non profitability, then on the other hand says manufactures will still make V12's just to show they can. He really has his finger on the pulse! Its geniuses like Bob that have made GM what it is today.
Making V12 engines =/= unprofitable. Even if a certain performance vehicle is unprofitable, it can still improve the company overall by influencing consumer perception of the brand, which can lead to increased sales of profitable vehicles. If every vehicle sells at a loss, however, the company will still be swirling the drain.
@@TheSterlingArcher16 Why not make a better product to start with? Then you don't need the halo effect.
This was an excellent interview. Really enjoy listening to Bob Lutz, he has amazing insight of the car industry, but not once was quality brought up in this conversation. Real problem with GM
Always nice to hear Mr. Lutz sincere and direct answers to questions others are avoiding to answer. Just as the conversation was getting to the topic of my beloved Corvette the interview ended. I wish to hear his view on new C8 and some other topics. Maybe there is a good idea on getting some #askmotoman episode with Mr. Lutz as a guest and answering some good questions.
Hi Primoz! As mentioned in 'interrupt' of all of our Season 2 Inside the MotoMan Studio episodes, we would like to make some of these live, town hall events. Similar to what we did in the first season at the Petersen Automotive Museum. Given the current environment, that is not going to happen for a while but will look at it when the regulations and the economy permits.
Would love to hear Bob's view now. Great perspective and clear POV. Even on Tesla where he got it wrong, but I like that he isn't neutral and would love to hear round 2. Subscribed.
Elon made everyone look wrong
When did this interview actually happened?
Seems like a very long time ago because his numbers on tesla is ridiculously wrong!!! Fremont only produces 100k cars for Telsa???? They sold more than that in Q4 of 2019 alone!!!
@@Jay-qz8pd Tesla sales were 192,000 in 2019, 192,000 in 2018 and 51,000 in 2017. carsalesbase.com/us-tesla/
cadsux Purportedly...Why is Tesla the only manufacturer that lists their production in whole numbers? Seems shady.
He’s a polarizing character that no one can argue. Notice he didn’t include himself in the strong leader club. I also thought the sarcasm about Saab was totally inappropriate . He wasn’t around bmw long enough to make any home runs.
Is that Bobs garage? And how old is this interview?
Yes, old...
We keep hearing about this EV competition is coming year after year, still not here. This old clown doesn’t know anything about technology or manufacturing. Go watch Sandy Munro’s tear downs to learn about Tesla’s advanced tech and engineering. It’s not just about having a 300 mile range car, charging network matter too. Tesla superchargers are the best in the game. Bob Lutz basically explained why Ford and GM are bound to go bankrupt before Tesla does.
The Chrysler 200 was looking fantastic, especially on the inside. Bob is right. If that car was rear drive, it would have been much more appealing and standing out in a crowd of front drive appliances. But maybe that would have cost too much. Sad to see it gone .
bland car, bland appearance
when was this recorded?
Mitchell Linn that’s what I want to know! Tesla is far ahead of the other automakers...this guy is wrong....besides, they are sitting too close...lol
On his Twitter page, he states that "this was clearly shot before the current pandemic". Let's not forget that back in January, he (as a pedestrian) was hit by a Tesla X at 45 mph and flew 60+ feet. He is obviously still recovering, and is releasing videos when he can. Wish him well.
About 2014, I think.
it's cute how all the armchair warriors think they know more than one of the most successful car executives. And also can't seem to grasp he's not the only decision maker in a large corporation like GM where he can run it like his fiefdom
One of the many issues with this take is Europe - most countries in Europe have scheduled when the end for petrol and diesel car sales will be. If Ford loses the entirety of the european market (except for a few loss making EVs), it will fail. The reason that Tesla has burned through so much capital is that it's having to build its manufacturing base from scratch, something other car makers do not, other car companies (such as BMW and Renault) are making profits on the sales of their EVs.
Lutz is partially right. Asking for input from top to even the janitor is not a sign of weakness, lack of vision and confidence is the problem... getting everyone to only Go by what you say can be a sign of weakness and need to feel in control. And while most people want a particular vehicle, many want some more choices, we should be able to have a way to build our own vehicles from interior and exterior not just pre done, even if order take a few months. And fat and ugly usually have the best vagina, and make a great wife that probably wouldn't be asked to cheat all the time and eventually does.
I really like Tesla, yet still think Lutz' arguments were sound. You can call him old until you're blue, it won't magically make Tesla a profitable & financially sustainable enterprise.
Tesla is profitable for 3 quarters now, look at the numbers, you'll see. Arguments are outdated, he is saying Tesla makes 100k cars a year it's nearly 4x that figure now.
His "arguments" aren't sound lol
Jean D Tesla also had a massive amount of pent up demand from Model 3 backorders. They’ve yet to prove they can sustain those numbers. Also now that their federal credits are being phased out its more headwinds for their long term viability. And again, I’m not ragging on Tesla, I think they make very cool cars, I’m just being reasonable.
Just revisiting this..Tesla’s looking pretty solid right about now
Bob is absolutely right about BMW. This whole multiple small CUVs craze is getting out of control. It'll delude the brand reputation over the long term. X1, X1 L (China), X2, X3 & X4 are just too many.
I didn't know that BMW sold their stake in the carbon fiber JV, I guess the next gen "i" cars will ditch the CFRP-heavy construction.
I have my doubts about GM surviving on the long run. They're returning to their old ways, plus if the current anti-China rhetoric turns into legal action and China retaliates, it could severely hurt or kill GM (among other brands).
As always, excellent work M.
What's the reason for the headphones with micro phones when you are sitting across from each other ?
Good question. There are multiple reasons:
1.) Consistently 'clean' (read 'good') audio
2.) Better levels consistently even when the guest laughs, moves around or similar.
3.) MUCH more realistic in capturing good quality audio when traveling to/shooting in multiple locations where you don't control the background.
4.) All of this is key when you are ripping the audio out and using it for an audio only podcast version of these same episodes. They are available at multiple podcast directories . . . here's one: podcasts.apple.com/us/podcast/inside-the-motoman-studio/id1484428968
That explains all.
Sound quality for us...
Is this an old interview? The information about Tesl producing 100,000 vehicles a year was from the peak of Model S and X production years ago.
They talk about the styling of the new BMW 8-series...so at least 2018.
I had a 2017 Malibu LT in beige -- a wonderfully tuned car, surprising dynamics. Tight panel gaps, nice paint, no squeaks or rattles. Lots of hard plastic inside (it's a GM), but it felt solid.
Too bad it got written off, I liked it more than my previous Audi A6 V6.
Adam Bernard very interesting take. What made you like it better than the A6? Definitely not power or driving dynamics.
Is from before 2018?! They mention the styling of the new 8-series...
When was this recorded? Bob's data is so out dated?!!
About 2018. Allot has changed since then.
Tesla has been profitable for the past few quarters. Why does Lutz say the opposite? Is he looking at different financial reports?
Circa 2018...
Wasn’t this the guy who brought Fiat back to the U.S.? This has worked out “well.” Not sure I’m that interested in what he has to say,
exactly !!!! they should learn from Toyota & Lexus , and build automobiles that last 300K miles like Toyota 4runner
Great discussion with Bob’s expertise! A pleasure hearing both of you speak on the industry in an enlightened manner.
I’d be curious to hear what Bob’s thoughts are on CA’s move to ban on new gas vehicle sales after 2035.
Secondly, what are product differentiators between brands looking out at 2036 and beyond given everyone will have similar electric acceleration/mileage, etc.?
Bob is a car guy. He has a lot of successes.
Didn't he get a bailout for running his company to the ground? Who listens to this guy anymore
@IgsGarage
Indeed this bastid isn't any better than any other of the "old guard" from any of the big three from the times. It's clear to me that they hold seriously influence with elites at the top of the financial world....it's creepy. This old fossil should shut up and go away.
No, you're thinking of GM CEO Rick Wagoner.
Lutz was only a product development guy.
@stylac
No Lutz wasn't a CEO but still one of the very inner circle in the big three, just as incompetent and guilty as the rest in not challenging the entrenched old guard and their bad leadership. He never spoke out while employed which makes this guy a chump and pu55y.
@@G5Ckxew Rick Wagoner didn't single-handily run GM into the ground. It was a group effort and Bob was part of that group.
I Walked Ppast Mr.Lutz Leaving A Gas Station He Said Something In That Wraparound Voice He Has I Think It Was I Gave Him My Lighter, I Hope The Smoking Don’t Kill Him
Lutz doesn't like Tesla! but they are the undisputed leader
BMW Product Proliferation (translated in German Jargon) - One sausage , different sizes.
Product planning (see above) - BMW - We need a cheaper car let’s reduce the sizes 20% for the X1 and make the next model 5” longer
Product Engineering. Chevy or Ford - We can attach the center panel with six bolts on each corner two in the middle. German Engineering- why do something with six bolts, when you could do it with 40 bolts. The Germans can’t help themselves, they over-engineer and product development relates to pricing and options...
In the case of GM (General Motors) you are referring to the classic example of “Design by Committee”. This is an industry phrase in commercial and TV production. No one wants to take blame for a failed design so if everyone contributes then no ones to blame. Problem solved. What’s the gun metal grey car I.
The background. Looking at the chrome bumper I’m thinking 1963-1967, two door convertible (obviously) GM? It’s not an impala, nor Monte Carlo, not Gran Torino? Belvedere, Ford Edsel, Not Mercury, or a Ford Fairlane? That only leaves Studebaker that could be the garage queen 👑
Wow. Hes just totally unaware of the times.
If Tesla was just a car company, Bob might have been on to something. This interview was done before Tesla was able to hit 500K cars a year and before Jeff's million mile battery announcement.
Bob had a lot of great insights, but I'm not buying that GM's dominance in the full-size SUV segment can be challenged. The new trio - Tahoe, Yukon, Escalade - is fantastic. I highly doubt anyone will ever come close to their total market share.
Anybody know the story on bob lutz jacket!
Big thumbs up!
Bob has been betting against Tesla since its inception.
Bob fails to move beyond his traditional understanding of car sales, where manufacturers ship cars at wholesale to dealers and then go build another one. The product is engineered to fail so you have to buy another one and the dealer experience is rotten. Tesla on the other hand has 1M connected cars today and has the ownership, usage, location and autonomous driving data that none of the other car guys have. The traditional old school cars guys can barely build a decent infotainment system in a car and have to keep pumping out new cars with new government emissions regulation. Tesla cars have much longer lifecycles, can be continually upgraded rather than replaced and have ever increasing profit margins and additional *recurring* revenue opportunities as production improves and environmental regulation increases. The point is that no, it's not just four wheels. It's a whole new game, with significant revenue opportunities which the traditional guys will struggle with because they are so far behind and it has nothing to do with 300 miles of range. Now get off my lawn, Bob.
I am unsure when this segment was taped but expensive SUVs, pickup trucks, and crossovers are going to nosedive in sales due to the world economy shrinking as a result of Covid-19. Those vehicles contribute the most to corporate profitability...not bread-and-butter sedans....so the bottom line at the car companies will suffer. That said, Mr. Lutz seems to believe that crossovers replacing traditional sedans is a long term trend. I don't agree and believe instead that crossovers are a fad that has perhaps 3 - 5 more years. Look how popular minivans were twenty years ago...look how popular the American Big Three imitations of the European sport sedan were 30 years ago....look how popular the personal luxury/opera window coupe cars were popular 40 years ago. All those niches were popular at one time with numerous competitors but not now. Not everyone buys a crossover because they need all that extra room or visibility. As for the Dodge Dart and Chrysler 200, FCA ended up with two new cars that were both rated at the bottom of their respective segments. What FCA should have done was not base the Dart on an Alfa Romeo but instead design the Dart off of an entirely new platform and then build the Chrysler 200 on a stretched version of the Dart (actually the two cars were not that different in dimensions despite the unshared platforms). As for Ford, Jim Hackett was brought in because the Ford Family and other big investors were unhappy that the stock price of Ford had fallen under Mark Fields even though the company was still highly profitable. In the last three years the stock price has continued to fall and now the company is losing billions per quarter. Expect James Farley to take over as CEO this year. Cadillac's biggest problem is not with the product but at the dealership...having to buy a new one at a Chevrolet or Buick or GMC dealer is old-school marketing and does not convey a prestige image to a new prospect (only about 200 Cadillac dealerships are non-paired with other GM divisions).
When was this filmed? Obviously before Tesla became profitable and started doing great 😅
Hey Bob what kind of cigar do you like
He has a varied palette . . . but his daily goto are a number of Oliva Cigars.
I swear every time I hear about Bob Lutz he's always trash-talking some company, as if he doesn't have a pile of garbage behind him.
I laugh Lutz nailed it, I have always said you could have the best car on the block but when you walk out first thing in the morning and you have to glance over your 50,000 dollar purchase it dam well better look good. Not some messaged bar of soap our an arogumi experiment.
Wow...you are so wrong about Tesla at the 45 minute mark and have been for years.
This video is years old.
His prediction for Tesla didn’t age too well hey?
Shows you how oit of touch Detroit and GM was. I love my bolt yet they stopped making them too. Make us all go tesla I guess
88 years old, he looks great and with a sharp mind.
1Esteband sharp mind?!?!?! LOL
Sharp as a bowling ball
I certainly have respect for what Lutz has contributed to the industry in years past but I can't help but cringe at how far out of touch he is when the topic shifted to Tesla, EVs, and automony.
It is clear that his experience and background in conventional cars has given him a huge blind spot when it comes to the capability of fleet learning, machine learning based AI, and the value of vertically integration to ensure the freedom to innovate faster than what you get off the shelf from tier2 suppliers.
To even say with a straight face that Tesla has no moats will age very poorly. Any car company leadership who thinks the same way today will be doomed to follow Nokia and Kodak into the pages of MBA case studies.
The point he makes regarding the ratio of people per car produced is compelling however. If Tesla truly is losing big on every car produced and is burning through investment money to cover the negative margin then I see where he comes to his conclusion. Time will tell.
@@hockeymann88 bro his data here was absolutely incorrect. Fremont is producing way more than 100k cars per year. They sold 112k in Q4 2019 only. The run rate is about 500k cars per year atm. This seems to have been recorded late 2018 or sumn. Another dinosaur proven wrong.
Great Interview with an icon of the auto world !
Doesn't acknowledge, or even realize, the value of all that data coming in from Tesla's cars. That's worth billions, alone. Let alone the supercharger network, etc. Bob is done. Next.
GM Ford and Chysler wasted alot of money with redundant products. How many different V6s a d4 cylinders were there at gm on any single year? how many different transmitions were developed for those engines? Bilions wasted.
Let’s all admit it. You criticize Bob because most of you younger sheeple want to make Tesla successful, in spite of consistent losses. Go ahead children. Just keep throwing your good money down that Tesla sinkhole and keep making your ageists comments.
Lutz is a fkn FOX! I’m a car guy and I think he’s so HOT and I listen to all of his advice. LOVE YOU BOB❤️❤️
What about Sony cars going forward?
Will never buy VW because my diesel car engine blew up and GM because I had very bad service experiences now I look at Japanese cars
Another boomer thinking we all want petrol burning autos like his poluting cronies.. "Conventional vehicles" - its a process bob, you of all people should know that. Much respect to your past sucess - but theres a reson for the Next Generation phrase..
Where has Bob Gone? I haven't seen him on the internet in a year now and the guy looks younger than Biden. I guess Bob was wrong about Tesla big time. eh
Circa 2018...and in 2020 Tesla is still not making an honest buck!
Yeah, but I hate crossovers & won't buy one. I will buy an old small Triumph and put an electric motor in it.
Robert lutz is perfect even though smoking I must make exceptions for the exceptional
One year later....🤣
Is this Bob Klutz or Bob Putz?
Bob Lutz always knew he was wrong , he’s just now admitting it.
I can sympathize but the guy is missing the fact that the world changing.
Most Legacy autos will go bankrupt in the EV revolution
So this is the guy who said Elon Musk is the greatest salesman in the world and Tesla is a fraud.Lmao
This is aging well
why nobody have the guts to tell in his face he is living in Lalaland
But but he's a "legend" in his own mind and that of a few other elites.
motorman studio.... tesla owns this guy...he pays their rent. You know he thinks about Tesla everyday for not investing in them and saying they could never lower their production price. he's been i the business for 22 years he said. he hs no storied career. he knows nothing.
So sad...
*The only reason why old codgers like this made it was because they had connections in top elite circles not because they were actually good at the job in question. Bob is an old goat that should shut up and enjoy his indulgent life in retirement, that he never earned.*
Bob Lutz is irrelevant. Alan Mulally of Ford would be the only former Detroit 3 auto exec worth interviewing (and Sergio M if he were still around). I don't like Tesla or Elon Musk's crazy persona but Tesla will be around at least as long as GM, FCA and Ford.
The Detroit 3's product lineup hinges on trucks, which people will buy for now, as gas prices remain low. If market conditions change, they will fold.
Tesla's problem is strictly supply chain. It seems, if they can make it, people will buy it because they're not just selling an EV, they're selling a Tesla that gives you more: Supercharger network, green cred, cool tech cred, usable range, autopilot, etc). If Tesla can fix it's supply chain issue (which the China plant will do), they'll be a real force.
Also Lutz's comments on not getting involved in carbon fibre and battery technology probably explains why GM is irrelevant as a company. If you don't have any technology, what kind of car company are you. You soon become nothing more than a company that licenses out its brand to stick on someone else's car. Look at Mercedez, Toyota, VW, etc that spend billions in R&D. Sad that no US company, besides Tesla, realizes the importance of R&D.
GM ahead of Tesla on Self Driving. I'm still laughing.
Bob has been utterly clueless about large scale transformation. For him a big thing is the transition from sedans to CUVs.
Tesla LITERALLY had a 20% margin on every car.
And he doesn't seem to have a clue that Li-Ion is not one thing.
Found the guy that has his life savings invested in the tesla scheme. GM supercruise will steamroll whatever Tesla has. Why? Tesla is run by their fired or layed off engineers. Most came from Chrysler in 2008. There is nothing special about tesla
Wow this didn’t age well 😂😂😂
Bob was absolutely clueless about EV’s and the future of Tesla.
Tesla’s now have some of the highest profit margin per vehicle in the entire automotive market.
I just can't tolerate the smell of old people....
Bob hasn't been able to figure out Tesla. Ha ha.
He starts rambling about Tesla at 45. Totally out of touch with reality
I think all new cars are crap. Can't stand all the "Technology" in them.
Rooster Hunter BMW M2, Kia Stinger, VW GTI, Mazda 3, etc. There seem to be quite a few good cars...they sure are expensive though. Base models aren’t so bad with over complication.
I think old cars are crap too. Damn rusty bodies, leaking seals, hard-to-find parts, weak powertrains & brakes, crunches like a soda can in an accident...
Incredible how quick Lutz is to consider all the variables that a CEO would have to manage and yet how incredibly ignorant he and others like him are when considering technology. Management constantly makes the mistake that you can just throw money at a problem. Therefore to him Tesla has nothing that the others don't have, because you can just buy it. Totally false. I remember 2019 was the year Tesla would have to face the competition. Never happened. Think of how difficult it was for Microsoft to replicate an iPod and compete. Software is not easy, it's not something you just buy and then problem solved. The smallest variable in developing great software is money. Having enough time and talent are far more important. In this area Tesla is years ahead of everyone. When Lutz describes a business where everything is purchased from suppliers then they own nothing unique. Whatever software they purchase will inevitably be inferior. People will want software designed specifically for the platform (Tesla) versus software designed to work with a hodgepodge of mechanical systems. Tesla is to MacOS as GMC is to Windows. When it comes to reliability and high end products we know what people buy.
This guy has no passion for cars whatsoever, that's for sure. He's all about cost. He probably would have made a good manager in a Soviet era Lada Factory. No vision for the future, just keep doing things the same way you've always done them.
Social distancing? Masks?
This was 2018 video...