Here's How Volkswagen Can Beat Tesla (It's Not With Software Or Batteries)
In order to meet EU climate targets and beat Tesla, VW plans to launch about 70 purely electric car models by 2030.
VW also plans to cut the cost of EV batteries — and improve battery efficiency relative to Tesla — by setting up its own battery cell production plants across Europe.
Analysts at UBS recently praised VW’s debut EV model, the ID.3, as "the most credible EV effort by any legacy auto company so far."
UBS anticipates that VW can seriously challenge Tesla's leadership in sales volumes by 2022 “driven by a plethora of [new EV] launches.”
VW is already the top EV seller in Europe — Dan Levy, an analyst at Credit Suisse, wrote in a recent research report that in Europe VW climbed to the leading position in the all-electric car market in 2020, with a 24% market share, up from 13% in the prior year, while Tesla’s comparative share in Europe plunged from 29% in 2019 to 13% last year.
David Trainer, CEO of New Constructs, an investment research firm in Nashville, says VW has at least one big advantage over Tesla – scale.
Last year, Tesla sold just under 500,000 EVs, taking a 16% share of the global market (down from 17% in 2019), while VW sold about 422,000, denoting a 13% share. In the fourth quarter of 2020, VW actually sold the most EVs (191,000) compared with 183,000 for Tesla. However, in terms of all-electric car sales, Tesla had a 23% global market share in 2020, more than double VW’s 11% position (Tesla only manufactures all-electric vehicles, while VW also makes plug-in hybrids).
Read More at https://www.forbes.com/sites/palashghosh/2021/03/16/heres-how-volkswagen-can-beat-tesla-its-not-with-software-or-batteries/