Tesla 👍🏻👍🏻. I sold my Porsches and bought two Teslas. Happy camper now. Porsche drive great but their maintenance just a highway robbery dealerships. And after Porsche factory warranty.. good luck. I was a Porsche fan for forty years and now I really like this Tesla EV. User friendly, ultra low maintenance
@@fkporsche1over the last 35 years, i have had one 911 targa, two 911 Carrera convertibles, one Cayenne and currentky have a Boxster S and Taycan Turbo S. Before i bought the Taycan, i did also test drive the Tesla Model S Plaid. Although the model s is beautiful and fast, the quality of build and the handling is very much subpar, no comparison at all to a Taycan. It a cheaply built car that is overpowered for its design. I used to be a big Tesla fanboi and actually planned on getting the model X and roadster, but with Elon Musk antics in politics and X (twatter), i would not be caught dead driving a Tesla!!
You haven't seen highway robbery until you watch your Tesla's depreciation over 3 years. Went from my Tesla X back to a ICE Porsche after dealing with trying to get any type of service done beyond basic tire and fluids, 50%+ depreciation, and insurance that's 2.5x higher than my Porsche that's worth just over twice as much. If I re-buy an EV it'll be a Porsche or BMW with a Telsa NACs connector for the best of both worlds.
@@SShepherd You living under a rock? It's not Tesla, it's the whole industry. Just hopped on Edmunds and the Porsche Taycan suffered equally terrible depreciation. That' what happens when the cars are improving drastically over time (as opposed to ICVs, which essentially plateaued) and, moreover, when prices jumped super high during COVID and have been returning to earth since. My insurance is fine and I have not needed any service in 5 years of owning a Model 3. And you seriously think servicing a Porsche or BMW is going to be better?? Tesla was rated the cheapest brand to repair and maintain. Your impressions don't hold up to the facts.
There's argument to be had with a couple other brands if looking only at quality but only because the others are throwing 3 times the money into their cars, just to be comparable. No one comes anywhere near to Tesla in value. A truly incredible business and product 💙
Really good episode. Very educational from the economics of building an EV and on being competitive with vertical integration. Thanks for doing this episode!
Excellent summation of points. Additionally, Tesla has chosen to have one model per segment. The old OEM dogma that one must have many models for customer choice guarantees they will make less money. There are more parts, increased logistics, increased warehousing of parts for future service, and increased overhead of documentation and training. Another is the refresh cycle. Some Wall St types criticize Tesla for their infrequent refreshes. Every time the sheet metal gets a new crease or shape, it just cost the company more money than otherwise. Both customers and companies need to learn to get over the arbitrariness of changing the look for no particular reason other than difference. In fact, some customers recognize that the car not changing significantly makes their 5, 8, 10 year old car look timeless. From a business viewpoint, the only reason to change the shape of the car is that of making it more efficient. Adding little bits and bobs of chrome and plastic to the outside does nothing but make the car more expensive. If customers want the look of, say the Lyriq, they can expect to pay more. We don't know what Tesla's economy car is going to look like, but it is easy to estimate that it will be maximally simple in nature.
@@BrunoHeggli-zp3nl Yes. I didn't say it because Ryan said it - Tesla not yet being in the subcompact market is probably their biggest gap at the moment. They will reveal their entry into that momentarily. The premium market is fairly saturated, hence not much growth. That applies to all the premium players such as Audi, BMW, Mercedes, Lucid, Porsche et al. Another potential gap is the panel van market, although I'm not convinced they will compete there since the early players of Rivian and Brightdrop are already sales limited. I don't think Tesla will go into the luxury market either. Very small and doesn't mesh with their corporate vision. A true SUV is a possibility. The Model X CUV is a people carrier rather than a bulk carrier like big SUVs, and it's not big at all when you side by side it with a Lincoln Navigator or Cadillac Escalade. All the Rivians I'm seeing lately are the S. The Kia EV9 has also made big inroads, so I think people are still enamored of the biggest SUV they can buy.
@@BrunoHeggli-zp3nl Their sales are not declining, they have just stopped growing for the moment. That is why they are about to release cheaper models. They have the best selling car in the world and have not even left the luxury market yet, which is a miniscule percentage of the total car market. Don't worry about sales, they will explode with the next model.
You really have to give it to Elon in taking Tesla to profitability. We have 2 EVs and though the insurance rates are slightly higher than our ICE vehicles, overall, we have been very happy with them.
It was said to be impossible, but that's nothing for Elon. Dude has made Tesla into such an efficiency and innovation juggernaut that it's not even comparable to legacy auto.
My take is Superchargers. Non-Tesla cannot tap into the network completely either. I don't care how luxurious their interiors are. If you can't charge you don't go anywhere
It's like the big guys took infrastructure funding from the government and spent on labor increases. They've all been dilly dallying developing a charging infrastructure. This is Tesla's biggest draw. Superchargers are being placed every day. It would be nice if more fueling stations had superchargers.
Great and holistic report! Finally something from you instead of reading other’s articles like we don’t know how to read. Thanks for the whole work! Much appreciate!
The big fly in the ointment that no one talks about is insurance cost. For me, a retired 77 year old who drives very little, insuring an EV is over triple the cost of what I currently pay for my ICE vehicle. Adding that into the equation, it would cost me more per month to drive an EV.
Have you tried insuring it thru Tesla (if available in your state) instead of the top 5 insurance companies? (State Farm, Allstate, GEICO, Progressive, USAA, Nationwide)
@@jean-yvesferry4669worst idea ever. Do you like having a SCORE for your driving so you can be regulated like a robot? Because if you get Tesla insurance you have a driving score. If you hit the breaks too hard, a third party decides whether it was justified. That is a world no human should want to live in
Only a matter of time that to change. Pretty much every new car gas or EV is unrepairable or very costly to repair at this time and insurance rates will catch up as they start representing bigger percentage of cars on the road. Parts and labor are ridiculous in any industry nowadays.
If we must call a Tesla a, BEV (Battery Electric Vehicle), then we must call a Toyota & BYD what they offer: HGEVs - Hybrid Gasoline Electric Vehicles...
Can someone tell me why the CEO of Lucid has a multi-million dollar salary when he is losing $328K per vehicle. What is the board of directors thinking? I would cut him down to 99K until he shows a profit.
Until I watched this video I never knew that there were so many software companies in one vehicle and this is absolutely NUTS! What idiot in their right mind would tie up their companies hands by being so reliant on other companies to produce their marketable product? That's like making a wheel well out of seven pieces instead of one stamped piece and that would be stupid!
Ryan, thank you for this excellent program. The economics are clear when you present the parameters. If only the "legacy" heads could have seen your episode before they dove into bankruptcy.
Def the most education tesla channel. ALMOST too much data per episode but no complaints. This guy is very bright and although somewhat dry, if you pay attention you can learn tons.
I don't know where the $140K per car comes from, considering the graph shows it's over $8K. The reason everyone's losing their ass right now while Tesla isn't is because Tesla has been at the game longer and scaled up production, whereas the others are just getting started. I think the refreshed Bolt w/ an LFP will make GM significantly more profitable with EVs.
This can also be to the disadvantage of some electric cars, some people actually don't want a large LCD screen but a car that is more conservative in the cabin like a regular petrol or diesel car. i.e. standard sliders and basic buttons. a large LCD screen can also perhaps be perceived as distracting
In an old car, however, you can still probably build your own sound system and maybe even with a sound processor that can remove the acoustics from the car and delay the sound from the different speakers so that it will be as if your ears were the same distance to all Speakers for focus and correct stereo image or sound image
Ryan, although this video is lengthy, it does an excellent job of breaking down why Tesla's new approaches to car manufacturing are leaving legacy manufacturers behind. If traditional automakers don't adapt to these innovative methods, they risk falling behind in the industry.
Its very nice,but just not true!Legacys Ev sector IS growhing faster then Tesla!Teslas growh this year around minus 5 compared to 10% of the competition!Tesla sells 36% less Cars in Europe then last year!!
@BrunoHeggli-zp3nl, you might want to double-check the numbers because they can be confusing. In Q2 2024, Tesla sold 164,264 BEVs (Battery Electric Vehicles), while Ford sold 23,957. If Ford's 23,957 units represent a 10% increase, that means they previously sold about 21,779 units (since 21,779 × 1.10 = 23,957). Conversely, if Tesla's 164,264 units represent a 5% decrease, that means they previously sold approximately 172,909 units (since 172,909 × 0.95 = 164,264). So even with these percentage changes, Tesla's sales are still significantly higher than Ford's.
@@BrunoHeggli-zp3nl, Ford sold 23,000 EVs with a 10% growth, while Tesla sold 100,000 EVs but experienced a 5% decline. Comparing growth percentages across brands isn't meaningful when the quantities differ so greatly; the actual sales numbers provide a clearer picture.
What this video fail to account for is the number of years Tesla failed to make a profit on their vehicles. They had a head start on recouping their R&D costs, that’s why their vehicles are profitable at this point. If the other car companies can survive, eventually they will make a profit on their vehicles after recouping their R&D costs.
Were you on the back seat😂. I don't like the stress/anxiety of supervising new teen drivers🤔. The primary issue is the need for constant attention, not just on road, but the visualization on screen to get an affirmation, that FSD will not do anything crazy. It does do things dangerously, like running into median, instead of merging into freeway, get too close to school buses on a stop signal, change lanes at zero speed on intersections, just to name a few. Hesistant when there is a clear path etc. In highways it does work well, except when bikers zip thru🤯.
When I bought a Tesla a year ago and traded in my 10 year old Chevy Equinox my insurance increased from $130.00 per month to $300.00. Expected new cars are worth a lot more than old ones!
coz you bought a new car and hence it will cost more for insurance company if something happens to your car compared to your 10 year old car, if you would have got vehicle replacement on your old chevy, there wouldn't have been any insurance difference. so your comparison is wrong
300 per month???😭😭😭 shh thats almost triple. I want a Tesla bc of their FSD but im too broke for that and I live in an apartment so I cant charge at home
If the Chinese EV manufacturers were freely allowed to be sold in USA as ICE cars are from Japan, S. Korea, Sweden, European Union, etc, the mass adoption of EVs would be greatly accelerated. The fallout might be catastrophic for some but the numbers of EVs sold at affordable prices would be substantial. However market protections are a fairly normal government tool.
Current auto workers and manufacturers in North America have to much political clout to allow that to happen so we are stuck with lower quality higher cost EV's until the political arena changes.
@@lucifersatoshi The legacy entities no longer existing is understood, and unions have far outlived their usefulness, but 2 million people are on the current automakers payroll as well as many millions more indirectly supported by that industry. For each auto industry job it's, estimated 10 more jobs are affected. I suspect it's wise to open the flood gates cautiously and over time so as to avert total economic disaster and collapse into depression.
It would be an economic and employment disaster for any country to allow these cars into their markets. Local auto production would be eliminated. Everyone forgets how heavily subsidized by the CCP the China manufacturers are but they sure are out innovating the rest of the world's auto manufacturers.
with With Stellantus admitting they’re in survival mode, VW scaling back, Ford announcing a $4 billion ZEV charge, and something similar for GM - would you care to speculate when ICE manufactures are unable to pay the ZEV credits and still make a profit? I’m certain it is way before their ICE car sales fall to zero. The writing is on the wall.
Wow! Color me impressed. Tesla in 2024 is similar to GM in the 1950s and ‘60’s when they held 60 percent of the market. Say what you want about Elon Musk, the man is a GENIUS. End of story. If it weren’t for him ICE cars would still be the only choice for consumers. Thank you Elon! 😊😊
Well Done, says this writer. On the note of cost cutting, the now extinct stalks on the M/03 cost Tesla circa $25.00 EACH! Do the math and see how much was saved in first costs, and in customer savings when the stalks malfunction.
However, I read a year ago or more from a Swede or some Swedes who were dissatisfied with the radio sound in the Tesla. and that apparently also applied to the sound from the Radio app. Then it should be possible to choose the radio app yourself in My Android TV box, I have downloaded a radio app that sounds better than Tunein. I tried it and there was a sound difference
As a person on the sidelines I will wait for EV's to be built with solid state batteries as this is the future for EV's. These batteries should eliminate most of the issues people have with EV's which is range. cost, resale value etc. EV's will have to be profitable for manufacturers without government subsidies to support sales or they will never fly as the majority of the auto market!
I never understood why legacy companies don't take some of the innovations like giga casting, vertical integration, 48V, generic controllers, etc. and apply them to their ICE vehicles. That would spread the cost across even more vehicles. I get obviously that battery manufacture can't be spread across ICE cars, but still.
you forgot to mention the biggest thing and that is charging infrastructure without a way to fill up especially for us who live in apartments where no 240v is accessible, having a reliable charging infrastructure is huge this alone can make even a badc ev viable where we have charges like ev go charge point blink ans 90% of the times its down offline or not working that makes a frustrating experience and those who are driving non tesla may sell it before winter or during winter when its realized how bad the regular non tesla charging experience is
I think you massively overstate Tesla's position in the EV market. It's second globally after BYD, and BYD and Tesla together account for only a third of EV global sales. Tesla is the number one seller in North America and Australia (which together account for about 5% of the world's population, and about the same % of global EV sales). Tesla has 13% market share of EVs in Europe, 12% in Asia and 3% in South America.
Tesla does better because their cars after being bought become better over time. Everyone else sells you their EV car then stop making the already bought car better over time.
@@BrunoHeggli-zp3nl oh really? Case in point my friend’s older model X came out without self driving but now has it. I have been in it to experience it. My Toyota still has exactly the same driving features and navigation from the day I purchased it. /mic drop.
Ryan, curious if you know any specifics around driver data that is shared with 3rd party vendors (especially insurance companies) I know other companies have been notorious of doing this in recent years and as a brand new member to the Tesla community I'm very curious about this.
Who says GM has no path to profitability on the Lyric? It took tesla at least 10 years to make a profit. Of course you are not going to make a profit for years when you factor in the building or retooling of new factories. And multiple totally designed cars from scratch. Plus building electric motor factories and battery factories
All this profit per car made realistically boils down to one thing. If don’t make minimum quantity then simply cannot recoup the overhead plain and simple. Car manufacturers know their break even units but they know their ev is inferior. Also they are not sourcing correctly
You touched very lightly on two points in which I believe you should have gone deeper. Tesla was not profitable for the longest time because all of their cash was going into the factories. They took money from Wall Street to build it out. They were similar to Amazon in that manner. You could have easily stated that in 2015, Tesla lost over 100k per vehicle sold as well. The current OEMs, like you mentioned, are in that phase where they need the cash to re-tool and re-engineer vehicles. Seeing that they are established brands, they decided that WS will punish their stock too much to invest as much as needed to pivot fast and WS will not fund it through bonds. The second issue you needed to elaborate on was the clean air credits. Musk wanted to go to the well and get more cash from WS. WS said no. Without those credits at that time, Tesla would have gone bankrupt. Considering that those credits are mandates from the Federal Government, Teala owes it's continued existence to the federal government. Those credits gave them money for nothing.
For other auto-makers, the writing has been on the wall for a decade that they need to whole hog switch to EVs. Long before govt. mandates. They have ignored this forewarning and carried on regardless, the world of hurt they will now ensure is entirely justified. If they're not careful the market will just be Tesla, a few other US non-legacy competitors, and China.
Wish my 2024 Model Y was easier to park. Not having parking sensors sucks. I had to buy a motion sensor for my garage just to park the car. I like my model Y but definitely one of the hardest cars to park in tight spaces.
Come to Thailand, the amount of new EV companies is insane. Honestly, I think if the US was a free market, you might not feel the same. The new Vovo is extremely nice and cheap (not in the US due to taxes). I recently bought a model y 8 months ago, today I would likely pick the Vovo hands down. I'm not super concern about software, as Tesla hasn't really focused on that outside of the US and China. Whereas, Vovo does many of those things already and works in Asia. I generally think whoever wins Asia will win the global race in general.
this is all great and wonderful…. now… if they could just bring back the stalks please. and while they’re at it, be sure to fix the untrustworthy (basically useless) ‘auto’ mode of the windshield wipers.
Don’t forget that Tesla was not profitable for many years, before they ramped up and turned the corner a few years ago. Other manufacturers are just behind the curve, and are actually getting to profitability faster than Tesla did. Don’t get me wrong, Tesla is still an insane achievement and kudos to Elon for being ahead of the trend. However, comparing profitability with manufacturers who are just now creating new EV models, is pointless.
@@jjcooler65 maybe on the subsidies and the fees on charging at the Tesla charging network. If they base it on a 15 to 20 year lifespan of the car maybe?
For Pete’s sake, you must be an American… This vid explains you step by step how he comes to 140k. Read and listen! T makes 140k. M O R E than some other brands as these other brands L O S E XXXk So he shows a brand losing 100k per car sold, if Tesla rakes in 8k profit then that shows that Tesla makes 108k more than that brand. It’s actually an American way of describing profitability!!! of certain industries. Expressing this profitability by showing the positive plus negative numbers can be a decisive factor for investors… Let’s take it a step further, if you look at the sale of the first car model of a brand one could say the loss was 1 billion usd on that car. Selling 250000 more will reduce the loss and hopefully one day become a bit profitable. Disclosing the loss/profit per car/suv/truck in the USA is not something car brands want… people would be really surprised when they see that the car they bought costs actually more than what they paid for it… and that Sir, is not a joke and it’s free for your brain!
Yeah but Tesla are making that 8k profit on a car that now rolls off the line a lot quicker than the 18k. What we want to see is the Tesla hot hatch here in Europe. As long as it doesn’t looks stupid it will sell like hot cakes.
Farley sounds like the only leader who understands what he is up against, and sees the path forward that will allow Ford's survival. It's crazy to have 150 control modules in a car that each do one task, and pay for all that redundancy, instead of having a central CPU handling most tasks across various systems with integrated software. With that change, Ford will be able to do the incremental fixes and updates that Tesla can now do, saving hundreds of millions of dollars in recall and warranty service costs. Tesla is doing kaizen in its factories as well (small, incremental improvements). This is a lean manufacturing technique that Toyota used to become the world's largest automaker. US automakers embraced lean manufacturing years ago and it allowed them to improve cost and quality and survive the Japanese auto invasion, but they still don't do it as well as the Japanese, or apparently the Chinese do now.
Lucid: we have better tech. The market: ehhhhh? David ty for the content. Ford's is the least efficient truck in the group. Hopefully, when it's not ev parts slapped onto an ice platform that will change, im rooting for ford but not holding my breath.
TACC means Traffic Aware Cruise Control which the car does very well in most circumstances. Even though the displayed speed limit is sometimes wrong. That is why drivers still need to be self aware of their surroundings at all times
Do some research and learn you are wrong. No protection in Continental Europe yet Tesla is not losing to BYD. Not sure about protection (or sales figures) in the UK, Australasia and parts of South East Asia (I suppose Japanese cars do better than Chinese in Japan, and Korean cars in South Korea, et cetera). But you’re wrong on 31 European countries.
@@johnhopkins4920 did u not read the comment. I am talking about US restrictions. Tesla is cutting down payment already for US competition and not even facing Chinese manufacturers.
One way to look at the bind legacy automakers are in is to understand that Tesla makes over two million cars a year, sales that have been taken away from the legacy companies, and they make a profit on each one. To catch them, legacy auto makers need to continue to make and sell their EVs at a loss for years, while Tesla is banking billions of dollars, and try not to go out of business while clawing back market share from Tesla. The only thing they have going for them is that Musk is doing everything he can to mess with Tesla's successful business model and alienate its customer base.
The global Ev sector growhs around 12% and Tesla sells 5% less!Why are you talking about Ford anyway?Tesla is number 5 in BEV sales in Europa!Number one is the Volkswagen group number 2 Stellantis number 3 BMW number 4 Geely Volvo!
Tesla 👍🏻👍🏻. I sold my Porsches and bought two Teslas. Happy camper now. Porsche drive great but their maintenance just a highway robbery dealerships. And after Porsche factory warranty.. good luck. I was a Porsche fan for forty years and now I really like this Tesla EV. User friendly, ultra low maintenance
My wife and I traded two gas cars for two teslas and like you, we love them. I only wish I had waited 6 months to get the M3P. Congratulations!
@@fkporsche1over the last 35 years, i have had one 911 targa, two 911 Carrera convertibles, one Cayenne and currentky have a Boxster S and Taycan Turbo S. Before i bought the Taycan, i did also test drive the Tesla Model S Plaid. Although the model s is beautiful and fast, the quality of build and the handling is very much subpar, no comparison at all to a Taycan. It a cheaply built car that is overpowered for its design. I used to be a big Tesla fanboi and actually planned on getting the model X and roadster, but with Elon Musk antics in politics and X (twatter), i would not be caught dead driving a Tesla!!
You haven't seen highway robbery until you watch your Tesla's depreciation over 3 years. Went from my Tesla X back to a ICE Porsche after dealing with trying to get any type of service done beyond basic tire and fluids, 50%+ depreciation, and insurance that's 2.5x higher than my Porsche that's worth just over twice as much. If I re-buy an EV it'll be a Porsche or BMW with a Telsa NACs connector for the best of both worlds.
@@SShepherd You living under a rock? It's not Tesla, it's the whole industry. Just hopped on Edmunds and the Porsche Taycan suffered equally terrible depreciation. That' what happens when the cars are improving drastically over time (as opposed to ICVs, which essentially plateaued) and, moreover, when prices jumped super high during COVID and have been returning to earth since. My insurance is fine and I have not needed any service in 5 years of owning a Model 3. And you seriously think servicing a Porsche or BMW is going to be better?? Tesla was rated the cheapest brand to repair and maintain. Your impressions don't hold up to the facts.
There's argument to be had with a couple other brands if looking only at quality but only because the others are throwing 3 times the money into their cars, just to be comparable. No one comes anywhere near to Tesla in value. A truly incredible business and product 💙
Really good episode. Very educational from the economics of building an EV and on being competitive with vertical integration. Thanks for doing this episode!
Hear hear! 👍🏻👍🏻👍🏻
Excellent summation of points. Additionally, Tesla has chosen to have one model per segment. The old OEM dogma that one must have many models for customer choice guarantees they will make less money. There are more parts, increased logistics, increased warehousing of parts for future service, and increased overhead of documentation and training. Another is the refresh cycle. Some Wall St types criticize Tesla for their infrequent refreshes. Every time the sheet metal gets a new crease or shape, it just cost the company more money than otherwise. Both customers and companies need to learn to get over the arbitrariness of changing the look for no particular reason other than difference. In fact, some customers recognize that the car not changing significantly makes their 5, 8, 10 year old car look timeless. From a business viewpoint, the only reason to change the shape of the car is that of making it more efficient. Adding little bits and bobs of chrome and plastic to the outside does nothing but make the car more expensive. If customers want the look of, say the Lyriq, they can expect to pay more. We don't know what Tesla's economy car is going to look like, but it is easy to estimate that it will be maximally simple in nature.
Well Tesla has already decliening Sales in a growhing Market so Just Having a few Modells isnt enough!
@@BrunoHeggli-zp3nl Yes. I didn't say it because Ryan said it - Tesla not yet being in the subcompact market is probably their biggest gap at the moment. They will reveal their entry into that momentarily. The premium market is fairly saturated, hence not much growth. That applies to all the premium players such as Audi, BMW, Mercedes, Lucid, Porsche et al. Another potential gap is the panel van market, although I'm not convinced they will compete there since the early players of Rivian and Brightdrop are already sales limited. I don't think Tesla will go into the luxury market either. Very small and doesn't mesh with their corporate vision. A true SUV is a possibility. The Model X CUV is a people carrier rather than a bulk carrier like big SUVs, and it's not big at all when you side by side it with a Lincoln Navigator or Cadillac Escalade. All the Rivians I'm seeing lately are the S. The Kia EV9 has also made big inroads, so I think people are still enamored of the biggest SUV they can buy.
@@BrunoHeggli-zp3nl Their sales are not declining, they have just stopped growing for the moment. That is why they are about to release cheaper models. They have the best selling car in the world and have not even left the luxury market yet, which is a miniscule percentage of the total car market. Don't worry about sales, they will explode with the next model.
Indeed.
Ryan, this is your best video yet.
Fully agree 👍🏻👍🏻
You really have to give it to Elon in taking Tesla to profitability. We have 2 EVs and though the insurance rates are slightly higher than our ICE vehicles, overall, we have been very happy with them.
It was said to be impossible, but that's nothing for Elon. Dude has made Tesla into such an efficiency and innovation juggernaut that it's not even comparable to legacy auto.
Panasonic stock
My take is Superchargers. Non-Tesla cannot tap into the network completely either. I don't care how luxurious their interiors are. If you can't charge you don't go anywhere
This reason I have bought one. Can't charge it guess you stuck with tesla
It's like the big guys took infrastructure funding from the government and spent on labor increases. They've all been dilly dallying developing a charging infrastructure. This is Tesla's biggest draw. Superchargers are being placed every day. It would be nice if more fueling stations had superchargers.
Great video! thanks for putting it all together and sharing with your audience.
Great and holistic report! Finally something from you instead of reading other’s articles like we don’t know how to read.
Thanks for the whole work! Much appreciate!
Great job, all the relevant information compiled into one video.
Impressive video! This is the type of video you usually expect from top media outlets! 👏
Thank you Ryan. Excellent video, well researched and explained. Much appreciated!!
Wonderful video, Ryan!
Your BEST episode ever.
So true! 👍🏻👍🏻
I enjoyed your comprehensive video on the current state of ev s 😊
The big fly in the ointment that no one talks about is insurance cost. For me, a retired 77 year old who drives very little, insuring an EV is over triple the cost of what I currently pay for my ICE vehicle. Adding that into the equation, it would cost me more per month to drive an EV.
Have you tried insuring it thru Tesla (if available in your state) instead of the top 5 insurance companies? (State Farm, Allstate, GEICO, Progressive, USAA, Nationwide)
@@jean-yvesferry4669 Yes I did, they were almost 5 times more than I pay now.
@@jean-yvesferry4669worst idea ever. Do you like having a SCORE for your driving so you can be regulated like a robot? Because if you get Tesla insurance you have a driving score. If you hit the breaks too hard, a third party decides whether it was justified. That is a world no human should want to live in
Only a matter of time that to change. Pretty much every new car gas or EV is unrepairable or very costly to repair at this time and insurance rates will catch up as they start representing bigger percentage of cars on the road. Parts and labor are ridiculous in any industry nowadays.
Bought a new M3 LR RWD. Traded in a 9 year old car. Went up $400 for the year. Yours tripled? Interesting.
If we must call a Tesla a, BEV (Battery Electric Vehicle), then we must call a Toyota & BYD what they offer: HGEVs - Hybrid Gasoline Electric Vehicles...
Thank you Ryan, your content is a “one stop shopping experience”. In the future, I hope they make a truck that is visually appealing.
I respect the competitiveness but nothing is going to kill Tesla, I think it will be dominant for the foreseeable future
Tesla dominating what?BYD already sells more BEVs then Tesla!Tesla will sell around 5% less Cars then Last year in a 10% growhing ev Market!
Really inspiring and well covered! Thank you for the quality also!
Well done, Ryan. What a great breakdown of the viability, profitability and scalability of Tesla.
Can someone tell me why the CEO of Lucid has a multi-million dollar salary when he is losing $328K per vehicle. What is the board of directors thinking? I would cut him down to 99K until he shows a profit.
Pay peanuts 🥜
Get monkeys 🐒
It takes years to become profitable
Because He is amazing!Tesla lost Money until end of 2019!
Really great video !
Really great video Sir love your channel
Until I watched this video I never knew that there were so many software companies in one vehicle and this is absolutely NUTS! What idiot in their right mind would tie up their companies hands by being so reliant on other companies to produce their marketable product? That's like making a wheel well out of seven pieces instead of one stamped piece and that would be stupid!
One of your best videos right here!
Ryan, thank you for this excellent program. The economics are clear when you present the parameters. If only the "legacy" heads could have seen your episode before they dove into bankruptcy.
Def the most education tesla channel. ALMOST too much data per episode but no complaints. This guy is very bright and although somewhat dry, if you pay attention you can learn tons.
Great information. Thanks.
I don't know where the $140K per car comes from, considering the graph shows it's over $8K. The reason everyone's losing their ass right now while Tesla isn't is because Tesla has been at the game longer and scaled up production, whereas the others are just getting started. I think the refreshed Bolt w/ an LFP will make GM significantly more profitable with EVs.
from the day Tesla got into the game we’ve been hearing about how the legacy auto makers will catch up and swamp them. It’s been 10 years.
The 140k is an addition of teslas profit and another companies loss, though this varies company to company.
@@lucalla Because they don't want to build them.
@@wishing_i_wasnt_in_or1356 It's BS.
@@justbecause9645 you’re right....they’re dying horse and buggies should keep them in their shareholders afloat for a long time yet
Ryan, thanks for this outstanding report.
Great show Ryan !!
If I were Elon musk I would hire this guy for my PR department😊
This can also be to the disadvantage of some electric cars, some people actually don't want a large LCD screen but a car that is more conservative in the cabin like a regular petrol or diesel car. i.e. standard sliders and basic buttons. a large LCD screen can also perhaps be perceived as distracting
In an old car, however, you can still probably build your own sound system and maybe even with a sound processor that can remove the acoustics from the car and delay the sound from the different speakers so that it will be as if your ears were the same distance to all Speakers for focus and correct stereo image or sound image
Ryan, although this video is lengthy, it does an excellent job of breaking down why Tesla's new approaches to car manufacturing are leaving legacy manufacturers behind. If traditional automakers don't adapt to these innovative methods, they risk falling behind in the industry.
Its very nice,but just not true!Legacys Ev sector IS growhing faster then Tesla!Teslas growh this year around minus 5 compared to 10% of the competition!Tesla sells 36% less Cars in Europe then last year!!
@BrunoHeggli-zp3nl, you might want to double-check the numbers because they can be confusing. In Q2 2024, Tesla sold 164,264 BEVs (Battery Electric Vehicles), while Ford sold 23,957. If Ford's 23,957 units represent a 10% increase, that means they previously sold about 21,779 units (since 21,779 × 1.10 = 23,957). Conversely, if Tesla's 164,264 units represent a 5% decrease, that means they previously sold approximately 172,909 units (since 172,909 × 0.95 = 164,264). So even with these percentage changes, Tesla's sales are still significantly higher than Ford's.
@@BrunoHeggli-zp3nl, Ford sold 23,000 EVs with a 10% growth, while Tesla sold 100,000 EVs but experienced a 5% decline. Comparing growth percentages across brands isn't meaningful when the quantities differ so greatly; the actual sales numbers provide a clearer picture.
@@jimfergusondevTeslas makes 60% less Profits then Last year!
@@jimfergusondevTesla is a sinking ship!
What this video fail to account for is the number of years Tesla failed to make a profit on their vehicles. They had a head start on recouping their R&D costs, that’s why their vehicles are profitable at this point. If the other car companies can survive, eventually they will make a profit on their vehicles after recouping their R&D costs.
I believe the sound system in my 2022 model S is better than system in S class Mercedes.
U would be wrong. A channel called DM Sound rates every cars sound system. Tesla is a B-..
@@G82Watts I wonder if they only measured model 3 & Y. Models S & X have more premium audio. The only rating that counts is buyer spending his money.
You are one of the few unbiased Tesla channels left.
Great video. Thank you
My Autopilot just drove me 53 miles and back with zero interventions.
I recently did a 2800 mile road trip in my new 2024 M3P and about 2500 was on FSD. Its really great. Not perfect but 95% there.
@@GuiGabois yeah it's really close at times im like WTF is it doing? However that may be just my driving style preference
Were you on the back seat😂. I don't like the stress/anxiety of supervising new teen drivers🤔. The primary issue is the need for constant attention, not just on road, but the visualization on screen to get an affirmation, that FSD will not do anything crazy. It does do things dangerously, like running into median, instead of merging into freeway, get too close to school buses on a stop signal, change lanes at zero speed on intersections, just to name a few. Hesistant when there is a clear path etc. In highways it does work well, except when bikers zip thru🤯.
@@aware2action It goes away quickly TBH. Once you understand what it is going to do and Chill mode is pretty passive
What a staggeringly good video.
When I bought a Tesla a year ago and traded in my 10 year old Chevy Equinox my insurance increased from $130.00 per month to $300.00. Expected new cars are worth a lot more than old ones!
Hmm. I have 2023 MYLR. I am able to utilize Tesla insurance. Monthly premiums are in the 230-250 USD range.
coz you bought a new car and hence it will cost more for insurance company if something happens to your car compared to your 10 year old car, if you would have got vehicle replacement on your old chevy, there wouldn't have been any insurance difference. so your comparison is wrong
@physics77guy the price are higher period. I drove 6 and 7 bmw and tesla cost is more then I've ever had to pay
300 per month???😭😭😭 shh thats almost triple.
I want a Tesla bc of their FSD but im too broke for that and I live in an apartment so I cant charge at home
@@joyfullife9070 to really enjoy the car you need a home charger. I have not super charged since july in my car.
Another Great video!
Nice summary
Great video…thanks
Great video. Vertical integration is import for R&D and timeline.
insanely great video -- the update on audio is terrific
If the Chinese EV manufacturers were freely allowed to be sold in USA as ICE cars are from Japan, S. Korea, Sweden, European Union, etc, the mass adoption of EVs would be greatly accelerated. The fallout might be catastrophic for some but the numbers of EVs sold at affordable prices would be substantial. However market protections are a fairly normal government tool.
Current auto workers and manufacturers in North America have to much political clout to allow that to happen so we are stuck with lower quality higher cost EV's until the political arena changes.
The legacy OEMs AND UAW would no longer exist. That would be a good thing.
@@lucifersatoshi The legacy entities no longer existing is understood, and unions have far outlived their usefulness, but 2 million people are on the current automakers payroll as well as many millions more indirectly supported by that industry. For each auto industry job it's, estimated 10 more jobs are affected. I suspect it's wise to open the flood gates cautiously and over time so as to avert total economic disaster and collapse into depression.
@@lucifersatoshi US manufacturing would die, completely. How can you compete with a nice $13,000 EV?
It would be an economic and employment disaster for any country to allow these cars into their markets. Local auto production would be eliminated. Everyone forgets how heavily subsidized by the CCP the China manufacturers are but they sure are out innovating the rest of the world's auto manufacturers.
with With Stellantus admitting they’re in survival mode, VW scaling back, Ford announcing a $4 billion ZEV charge, and something similar for GM - would you care to speculate when ICE manufactures are unable to pay the ZEV credits and still make a profit? I’m certain it is way before their ICE car sales fall to zero. The writing is on the wall.
I want tesla to acquire AAA and make it TeslAAA
Good idea
Lol
How about Teslol
Wow! Color me impressed. Tesla in 2024 is similar to GM in the 1950s and ‘60’s when they held 60 percent of the market. Say what you want about Elon Musk, the man is a GENIUS. End of story. If it weren’t for him ICE cars would still be the only choice for consumers. Thank you Elon! 😊😊
Still - I think you should buy Tesla shares instead of a Tesla car, if it is truely what you are thinking.
@@paulmcgraw9284 lol he was not the damn founder just came in with money.. Martin Eberhard and Marc Tarpenning are the founder of tesla
Well Done, says this writer. On the note of cost cutting, the now extinct stalks on the M/03 cost Tesla circa $25.00 EACH! Do the math and see how much was saved in first costs, and in customer savings when the stalks malfunction.
However, I read a year ago or more from a Swede or some Swedes who were dissatisfied with the radio sound in the Tesla. and that apparently also applied to the sound from the Radio app. Then it should be possible to choose the radio app yourself in My Android TV box, I have downloaded a radio app that sounds better than Tunein. I tried it and there was a sound difference
Carbon credits.
As a person on the sidelines I will wait for EV's to be built with solid state batteries as this is the future for EV's. These batteries should eliminate most of the issues people have with EV's which is range. cost, resale value etc. EV's will have to be profitable for manufacturers without government subsidies to support sales or they will never fly as the majority of the auto market!
Yes I agree if you buying new. But I got used 2018 model S long range 60k miles for $27. With 383 miles range. And saving crazy money on gas. Til then
I never understood why legacy companies don't take some of the innovations like giga casting, vertical integration, 48V, generic controllers, etc. and apply them to their ICE vehicles. That would spread the cost across even more vehicles. I get obviously that battery manufacture can't be spread across ICE cars, but still.
you forgot to mention the biggest thing and that is charging infrastructure
without a way to fill up especially for us who live in apartments where no 240v is accessible, having a reliable charging infrastructure is huge
this alone can make even a badc ev viable
where we have charges like ev go charge point blink
ans 90% of the times its down offline or not working
that makes a frustrating experience
and those who are driving non tesla may sell it before winter or during winter when its realized how bad the regular non tesla charging experience is
Tesla makes a new car every 13.41 seconds. Once this video was done, Tesla made between 125 and 130 vehicles!! Astonishing!
I think you massively overstate Tesla's position in the EV market. It's second globally after BYD, and BYD and Tesla together account for only a third of EV global sales. Tesla is the number one seller in North America and Australia (which together account for about 5% of the world's population, and about the same % of global EV sales). Tesla has 13% market share of EVs in Europe, 12% in Asia and 3% in South America.
Tesla does better because their cars after being bought become better over time. Everyone else sells you their EV car then stop making the already bought car better over time.
Nah
@@BrunoHeggli-zp3nl oh really? Case in point my friend’s older model X came out without self driving but now has it. I have been in it to experience it. My Toyota still has exactly the same driving features and navigation from the day I purchased it. /mic drop.
As usual, great job on your analysis! I'll definitely share this vid w/anyone wondering why my conviction in Tesla is so high.
Ryan, curious if you know any specifics around driver data that is shared with 3rd party vendors (especially insurance companies) I know other companies have been notorious of doing this in recent years and as a brand new member to the Tesla community I'm very curious about this.
Who says GM has no path to profitability on the Lyric?
It took tesla at least 10 years to make a profit.
Of course you are not going to make a profit for years when you factor in the building or retooling of new factories. And multiple totally designed cars from scratch. Plus building electric motor factories and battery factories
All this profit per car made realistically boils down to one thing. If don’t make minimum quantity then simply cannot recoup the overhead plain and simple. Car manufacturers know their break even units but they know their ev is inferior. Also they are not sourcing correctly
LOL. Wait for Q3 results. Q2 was practically bare bones for Tesla's core car business already. Two turkeys does not make an eagle.
All OEM should license Tesla hardware and software
You touched very lightly on two points in which I believe you should have gone deeper.
Tesla was not profitable for the longest time because all of their cash was going into the factories. They took money from Wall Street to build it out. They were similar to Amazon in that manner. You could have easily stated that in 2015, Tesla lost over 100k per vehicle sold as well. The current OEMs, like you mentioned, are in that phase where they need the cash to re-tool and re-engineer vehicles. Seeing that they are established brands, they decided that WS will punish their stock too much to invest as much as needed to pivot fast and WS will not fund it through bonds. The second issue you needed to elaborate on was the clean air credits. Musk wanted to go to the well and get more cash from WS. WS said no. Without those credits at that time, Tesla would have gone bankrupt. Considering that those credits are mandates from the Federal Government, Teala owes it's continued existence to the federal government. Those credits gave them money for nothing.
Excellent
For other auto-makers, the writing has been on the wall for a decade that they need to whole hog switch to EVs. Long before govt. mandates.
They have ignored this forewarning and carried on regardless, the world of hurt they will now ensure is entirely justified.
If they're not careful the market will just be Tesla, a few other US non-legacy competitors, and China.
Mobileeye laying of their LiDAR division, could mean, they aren't competitive in that space.
Still waiting on a cut for the model 3 to make the jump or for them to enter the used market
Wish my 2024 Model Y was easier to park. Not having parking sensors sucks. I had to buy a motion sensor for my garage just to park the car. I like my model Y but definitely one of the hardest cars to park in tight spaces.
Musk always trying to save a buck on your dime. Sold mine. Good luck.
Yeah, my CYBERBEAST cost $2,000 on top of my already existent insurance. And I don’t even like to drive my other vehicles anymore.
I’ve contacted a law firm to look into a class action suit. Tesla took my Sport acceleration mode without permission or notice.
The cheapest new car on the market is a 2024 Mitsubishi Mirage for about $17K and it will be built to perfection. Tesla? Who knows?
Come to Thailand, the amount of new EV companies is insane. Honestly, I think if the US was a free market, you might not feel the same. The new Vovo is extremely nice and cheap (not in the US due to taxes). I recently bought a model y 8 months ago, today I would likely pick the Vovo hands down. I'm not super concern about software, as Tesla hasn't really focused on that outside of the US and China. Whereas, Vovo does many of those things already and works in Asia. I generally think whoever wins Asia will win the global race in general.
this is all great and wonderful…. now… if they could just bring back the stalks please. and while they’re at it, be sure to fix the untrustworthy (basically useless) ‘auto’ mode of the windshield wipers.
And a HUD…….
Notice how comfort and color choice did not make the list.
I don’t know about this but from what I recall, Tesla was making huge losses as well in the beginning no?
Don’t forget that Tesla was not profitable for many years, before they ramped up and turned the corner a few years ago. Other manufacturers are just behind the curve, and are actually getting to profitability faster than Tesla did. Don’t get me wrong, Tesla is still an insane achievement and kudos to Elon for being ahead of the trend. However, comparing profitability with manufacturers who are just now creating new EV models, is pointless.
How do they make $140,000 per car when my brand new Y only cost $67,000
@@jjcooler65 maybe on the subsidies and the fees on charging at the Tesla charging network. If they base it on a 15 to 20 year lifespan of the car maybe?
Look how much ford loses at any vehicle it sales !
For Pete’s sake, you must be an American…
This vid explains you step by step how he comes to 140k. Read and listen! T makes 140k. M O R E than some other brands as these other brands L O S E XXXk So he shows a brand losing 100k per car sold, if Tesla rakes in 8k profit then that shows that Tesla makes 108k more than that brand.
It’s actually an American way of describing profitability!!! of certain industries. Expressing this profitability by showing the positive plus negative numbers can be a decisive factor for investors…
Let’s take it a step further, if you look at the sale of the first car model of a brand one could say the loss was 1 billion usd on that car. Selling 250000 more will reduce the loss and hopefully one day become a bit profitable.
Disclosing the loss/profit per car/suv/truck in the USA is not something car brands want… people would be really surprised when they see that the car they bought costs actually more than what they paid for it… and that Sir, is not a joke and it’s free for your brain!
Yeah but Tesla are making that 8k profit on a car that now rolls off the line a lot quicker than the 18k. What we want to see is the Tesla hot hatch here in Europe. As long as it doesn’t looks stupid it will sell like hot cakes.
That's a weird way of showing profit per EV vs. other brands. The only number that matters is what tesla makes per car...imo.
Farley sounds like the only leader who understands what he is up against, and sees the path forward that will allow Ford's survival. It's crazy to have 150 control modules in a car that each do one task, and pay for all that redundancy, instead of having a central CPU handling most tasks across various systems with integrated software. With that change, Ford will be able to do the incremental fixes and updates that Tesla can now do, saving hundreds of millions of dollars in recall and warranty service costs. Tesla is doing kaizen in its factories as well (small, incremental improvements). This is a lean manufacturing technique that Toyota used to become the world's largest automaker. US automakers embraced lean manufacturing years ago and it allowed them to improve cost and quality and survive the Japanese auto invasion, but they still don't do it as well as the Japanese, or apparently the Chinese do now.
Lucid: we have better tech.
The market: ehhhhh?
David ty for the content. Ford's is the least efficient truck in the group. Hopefully, when it's not ev parts slapped onto an ice platform that will change, im rooting for ford but not holding my breath.
It's accounting
And this is why we need Elon for our economy
TACC is no longer functional. For one thing, it no longer heed speed limit signs.
TACC means Traffic Aware Cruise Control which the car does very well in most circumstances.
Even though the displayed speed limit is sometimes wrong. That is why drivers still need to be self aware of their surroundings at all times
@@peterbachmut5873 for me, TACC now NEVER heeds a change in speed limit signs. NEVER. Furthermore, of late, TACC steers.
Love my Tesla, haha!
Without Tesla EVs won’t still be a thing. Probably just prototypes
The Chinese have followed Tesla's example and are making an embarrassment of the legacy US and European automakers
Did Ford sell to dealers, or customers?
They make money because of giga casting
Yah that's why US is scared to let BYD in if BYD can't beat Tesla right. Lmao. Tesla is losing in mkts where there is no tariff protection
Do some research and learn you are wrong. No protection in Continental Europe yet Tesla is not losing to BYD. Not sure about protection (or sales figures) in the UK, Australasia and parts of South East Asia (I suppose Japanese cars do better than Chinese in Japan, and Korean cars in South Korea, et cetera). But you’re wrong on 31 European countries.
@@johnhopkins4920 did u not read the comment. I am talking about US restrictions. Tesla is cutting down payment already for US competition and not even facing Chinese manufacturers.
😂
everyone else should focus on hybrids and building the ev charging station infrastructure i tbelieve tesla owns electric too far ahead
One way to look at the bind legacy automakers are in is to understand that Tesla makes over two million cars a year, sales that have been taken away from the legacy companies, and they make a profit on each one. To catch them, legacy auto makers need to continue to make and sell their EVs at a loss for years, while Tesla is banking billions of dollars, and try not to go out of business while clawing back market share from Tesla. The only thing they have going for them is that Musk is doing everything he can to mess with Tesla's successful business model and alienate its customer base.
Where were kia and Hyundai, out of interest?
They growhing fast and Tesla sells less Cars then Last year!
The global Ev sector growhs around 12% and Tesla sells 5% less!Why are you talking about Ford anyway?Tesla is number 5 in BEV sales in Europa!Number one is the Volkswagen group number 2 Stellantis number 3 BMW number 4 Geely Volvo!
So Tesla is charging more for a less capable vehicle than any other brand whatsoever…
This sounds too fanish I’m opting out. The leader of the company is complicated and that’s putting it nicely.