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Tesla Makes Industry Strides


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Tesla has become a household name in such a short time with company front man Elon Musk determined to change the way people view electric vehicles. The company has made significant stride in electric vehicle technology and at the hands of Musk have begun sharing their patents with other auto manufacturers to help propel electric technology. Every time Tesla comes to the table, they seemingly push the auto industry into a customer’s dream when it comes how an automobile company serves the needs of the consumer.

A New Kind of Warrantytesla 2

Tesla has only just recently announced the implementation of a new warranty program. The previous warranty on the Tesla Model S was set at a 4 year and 50,000 miles has now changed to an 8 year and infinite mile coverage. The new rules that have been released will still have the same limits as its battery pack. This translates to Tesla customers as being able to purchase a used Model S and have the warranty applied retroactively regardless of the amount of previous owners. Musk then stated, “In hindsight, this should have been our policy from the beginning of the Model S program. If we truly believe that electric motors are fundamentally more reliable than gasoline engines, with far fewer moving parts and no oily residue or combustion byproducts to gum up the works, then our warranty policy should reflect that.” The company has gone out and informed its investors that this type of action might impact the company’s profits only slight in the short term but would be the right move for their customers. Many believe that by Tesla taking this type of service warranty out on their vehicles will in fact not damage the profits of the company because of the investment made in their customers. The car is currently marketed to a much more pricier clientele that will have the propensity to be repeat buyers and those that will be purchasing the car used will be able to enjoy the same luxuries as if the car were new. Industry analysts believe that the negative effects of this policy, if any, will be outweighed by the long term profits the company aims to achieve.

Reaching Across the US

A year ago in May, Tesla only had a finite number of recharging stations that were available across the US for its customers to recharge the batteries while on the move. In the past this lack of charging stations, overall car mileage range and time to recharge the battery packs have drawn much criticism when it came to customers looking to purchase an electric car. Tesla Motors has announced that there are now currently 105 charging stations strewn across the country for customers to use. The company has said that the charging stations are all equipped with their superchargers that as Tesla continues to boast, a half hour of charging will give the car 170 miles. Tesla has also released that by this time next year the company will have enough super charging stations available all across the US, enough to meet the needs of 98% of the US population. The best aspect of all comes from the construction companies that have been hired to help install the chargers, who on the job only takes about a week to install from start to finish for full operation.

Competition with Cadillactesla 1

Tesla’s Model S comes across as a clear competitor with BMW or Mercedes-Benz but it Cadillac that sees Tesla as their main competitor. General Motors has taken this on in such a serious light that the company released the Cadillac ELR as the direct assault against the perceived Tesla threat. The ELR sells for roughly the same cost as a Model S and as Cadillac had promoted the vehicle before release as Cadillac’s answer to an electric car. The ELR has as Cadillac representatives been described as a technology that is unlike the Model S. The Cadillac is more of a plug in hybrid and less of an electric motor. Even General Motors has admitted that the ELR may not be as big a competition to Tesla as the company had orginally intended the car to be. As of July, Cadillac has only sold 578 ELRs since the car had gone on sale earlier in the year. In the same span of time Tesla has sold roughly 15,114 Model S electric vehicles. Elon Musk has been quoted many time saying that General Motors is heading down the wrong path when it comes to producing electric vehicles and hybrids. What is most clear about Musk’s vision for electric automobiles is that while he believes the future of the automobile will be running on an electric motor, he has made no claim that they should all be produced by Tesla.

Tesla has across the board been making some generous industry strides. Strides that are virtually changing the way that the auto industry will treat and service their customers as well as how customers are viewing the future of electric cars.

 

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