GM Inside News Forum banner
1 - 20 of 61 Posts

·
Registered
Joined
·
4,350 Posts
Discussion Starter · #1 ·
YAHOO
May 5th 2022

GM (GM) CEO Mary Barra has made it her mission to surpass Elon Musk in EV manufacturing.

She promises that her 113-year-old company can pivot and take on Tesla (TSLA), the world's largest EV maker, making GM the eventual leader in that market as it's been in the past for internal-combustion powered cars.

“We're taking all the steps to do it,” she told Yahoo Finance ina wide-ranging interview this week. “We have said that by mid-decade, we will be selling more EVs in this country than anyone else, including Tesla.”

Mary Barra, Chair and CEO of General Motors Company speaks at the 2022 Milken Institute Global Conference in Beverly Hills, California, U.S., May 2, 2022. REUTERS/Mike Blake

The ambitious plans are not likely to faze Musk publicly, who once mocked Barra on Twitter as living “in Cloud Cuckoo Land”, over the market share of their respective companies.

But Barra says she knows the strategy to do it: Cheaper electric vehicles.

“Remember, we're not necessarily just selling at the premium end” she said Monday, drawing a clear contrast to Tesla, whose cheapest model has an MSRP of $46,990. “We're going to have electric vehicles affordable at $30,000.”

Currently, the Chevy BOLT EV is listed as starting at $31,500, and a Silverado EV has an estimated MSRP of $39,900. Other electric cars in Barra’s lineup — like the Cadillac LYRIQ and the Hummer — are more clearly in the luxury space, with suggested MSRPs of $58,795 and 79,995, respectively.

The company also recently announced a partnership with Honda to further drive EV prices down via a series of affordable electric vehicles that are expected to go on sale in 2027.

“We've really worked to listen and understand what the customer is looking for,” Barra says.



Nonetheless, Barra professes confidence that she will eventually close the gap and surpass Musk, the world’s richest man.

Tesla has a clear head start on production and holds a distinct advantage in clean technology, however. In 2021, It remained the leader in the global EV market with a market share of nearly 14%. GM sits at in fourth at 7.6%.

She says each year more and more GM drivers will gradually trade in their internal-combustion vehicles for electric ones. “They are going to be buying electric trucks,” she said of current Chevy and GMC truck drivers in the years ahead.

“I think it's a little bit longer game,” she says.

LINK

There is a video in the link of the whole interview .

If GM can drive the costs down, offer a bare bones basic cheap affordable entry sitting at bottom of each of it's US EV models range it will draw in a lot of buyers GM will soon shoot past Tesla. GM's little RWD Wuling car, is definitely not suited for the US market but it is No1 best selling car in China, outselling Tesla's 2 models.

If GM can bring more affordable EV cars to the US market they will do pretty well, definitely outsell Tesla, you still have to build some profitably in there as well, that where the better equipped mid and top of range in each models range come in. Only sad thing l don't see is a decent RWD EV sedan like the Tesla Model 3 in Chevy or Ford EV shed to take on Tesla Model 3 with yet.
 

·
Premium Member
Joined
·
36,091 Posts
The solution isn't offering cheaper electrics, it's offering higher quality electrics. Tesla is viewed as a premium brand, beating them with cheaper products isn't going to work.
You can position affordable as premium. The problem is the hamburger babe. Plus first gen Bolt just looks like high school design project.
Lutz who was Barra's mentor emphasized how essential design was to market success. I wonder how she missed that part of it.
But then, she was at the time stuck with Ed Welburn, who was living in the Earl past
 

·
Registered
Joined
·
1,035 Posts
I don’t blame the Bolt production design entirely on Welburn. The concept actually looks really good. The problem is that GM had to slap a design onto a heavily retrofitted ICE platform and had to cut corners to make it affordable. Kind of like what you see with the Mach-E.
If the Bolt had Ultium from the start, it probably would have been far closer to the concept in execution.
 

·
Registered
Joined
·
4,350 Posts
Discussion Starter · #5 · (Edited)
Not sure how a new $13,300 Chevy Spark ICE buyers wallet or come to that a new $24,400 Malibu ICE car buying wallet will stretch to buying a new $34,700 Bolt EV in the future when they are no longer sold by GM, can only guess they will be forced to put a million miles on the clock keep what they have got.

Cant see to many full-sized pick-up buyers having problems purchasing base model entry model electric pick-ups at 39k. Of course even a base entry EV truck will be of a high quality.

Not sure what types of cars Tesla owners were driving before they up graded to quality when they arrived in the US, in the UK its Avis, Hertz, Euro car big business are snapping Tesla's up, and those on a higher wage income brackets the majority of British people won't be able to afford these fully loaded quality EV's, big businesses like Amazon have to money to purchase Rivian vans in the US,

A recent study in the UK said one-third of British car buyers will no longer to be able to afford to buy even the most bog standard cheapest base models EV on the market as their wallet no longer matches EV new car higher prices.

Third of UK drivers cannot afford to buy even the cheapest electric car

One in three motorists cannot afford to buy and then maintain even the cheapest electric car, according to the economic research group CEBR.

That number equates to ten million households, that cannot afford to buy the cheapest electric car. If you do a quick search on Autotrader, the cheapest is a used 2014 Renault Zoe for £4,895 on a battery lease.

And middle-earning households will also struggle to pay for one of the cheapest leased electric vehicles – which is the £170-a-month Skoda Citigo.

The Centre for Economics and Business Research (CEBR) carried out the research and they showed that drivers need to be spending around £2,100 a year on their current car, including fuel, to afford an electric vehicle.

But low-income households that spend £1,800 or less could afford a plug-in car at a squeeze, but those who spend around £1,400 or less a year will have difficult, which is one third of all drivers on the roads.

CEBR economists said the research proves that ‘access to an electric vehicle is a pipe dream for a third of the population.

LINK
 

·
Registered
Joined
·
4,350 Posts
Discussion Starter · #6 · (Edited)
The solution isn't offering cheaper electrics, it's offering higher quality electrics. Tesla is viewed as a premium brand, beating them with cheaper products isn't going to work.
GREEN CAR REPORTS


Most Americans still aren't ready to buy an EV, according to the Deloitte 2022 Global Automotive Study, which examines consumer perceptions of electrification and other technology movements in the auto industry.

More than two-thirds (69%) of Americans said their next vehicle won't have any kind of electrification, while only 5% saw their next vehicle being an EV, according to the study, which was conducted globally via email questionnaire. In comparison, 17% said they could see a hybrid as their next car.

The lack of interest in EVs among United States consumers is due to both cost and range concerns, the study found.

Range was the top concern among U.S. respondents, according to the study. Those respondents also said they expected an EV to travel 500 miles on a charge, something only recently achieved by the Lucid Air, in a version that starts at $139,000.

More than half of U.S. respondents (53%) also said they didn't want to pay more for alternative powertrains. While tax credits and other incentives help, EVs can still carry a price premium over comparable internal-combustion vehicles.

LINK

Majority of Americans don't agree with what you say?

These sort of Americans will need base model lower cost entry models, GM also need to think about making electric cars that are more affordable to the masses EV's, or will they have to go without?

It's like you have gotta upscale your wallet from a $13,300 for a base model buying gasoline Spark to $34,400 for a new Bolt EV on a low income, with ramen inflation at 8.5% interest payment on the mortgage price of everything rocketing like food, how are you going to upscale the wallet to match it just aint gonna happen there is to much expensive gadgetry even in small EV's like the Bolt.
 

·
Registered
Joined
·
3,263 Posts
In overall EV market share I can see this happening pretty easily. Now when only talking about models that directly compete which will primarily come from Buick, GMC and Cadillac now that might be a different story.
 
  • Like
Reactions: 1958carnut

·
Registered
Joined
·
20,691 Posts
The solution isn't offering cheaper electrics, it's offering higher quality electrics. Tesla is viewed as a premium brand, beating them with cheaper products isn't going to work.
It works if GM is making a profit.

GM is a whole different type of business, it shouldn't be an issue to surpass Tesla. I think Tesla is something to aim to surpass simply because it is the biggest BEV, but otherwise I think the real goal for GM is to have Cadillac surpass Tesla - that I think GM will struggle with.
 

·
Registered
Joined
·
461 Posts
It is fantastic that GM has an aggressive plan to increase BEV production.

As far as Tesla goes it is dumb to allocate battery cells for a $30k vehicle when you don't have enough cells to supply demand for Tesla BEVs in the $47k-$150k range.

It will take a long time before cell capacity outpaces demand from both automotive as well as battery energy storage. And it is fine to allocate cells for low margin entry level electric cars. What year that happens is unknowable.

You can brag about a $30k EV Equinox but as an investor I would rather they allocate more cells to $50k plus EV Silverados. As a citizen of the world it makes virtually no difference.
 

·
Registered
Joined
·
39 Posts
It works if GM is making a profit.

GM is a whole different type of business, it shouldn't be an issue to surpass Tesla. I think Tesla is something to aim to surpass simply because it is the biggest BEV, but otherwise I think the real goal for GM is to have Cadillac surpass Tesla - that I think GM will struggle with.
I think GM will easily surpase Tesla. With Tesla, it mostly hype and that hype will disappear when Tesla get serious competition
 

·
Registered
Joined
·
461 Posts
I think GM will easily surpase Tesla. With Tesla, it mostly hype and that hype will disappear when Tesla get serious competition
Tesla has scaled faster than any heavy industry company in history. It is growing unit sales at over 40% per year. In 2011 Tesla delivered 700 cars. In 2021 it delivered 936k cars. In Q1 2022 it delivered 308k cars. Survey after survey shows Tesla has ~20% mindshare.

We all know the problem with EV's is price. Calling the Model 3 as premium is a joke. I'll put my money on GM.
Tesla interior materials are not premium. It has the most tech and computing power of any cars on the road. It has best acceleration and range figures in class. It has the highest crash safety scores in NHSTA's database.

You can battle over semantics but that is premium in my book.
 

·
Registered
Joined
·
3,034 Posts
Part of the problem for Tesla, or strength, is that their products are extremely reductive, striving for less to save on cost. But it means Tesla's mainstream EVs are technology and feature-starved compared to the competition, basic white good appliances. I think that's where Tesla is going to hit a ceiling with their EV competitors offering more variety and amenities, especially in trucks.
 

·
Premium Member
Joined
·
36,091 Posts
Tesla has scaled faster than any heavy industry company in history. It is growing unit sales at over 40% per year. In 2011 Tesla delivered 700 cars. In 2021 it delivered 936k cars. In Q1 2022 it delivered 308k cars. Survey after survey shows Tesla has ~20% mindshare.



Tesla interior materials are not premium. It has the most tech and computing power of any cars on the road. It has best acceleration and range figures in class. It has the highest crash safety scores in NHSTA's database.

You can battle over semantics but that is premium in my book.
Are you certain a Tesla has more computing power and tech than a GMC EV or Cadillac Escalade?

It has the highest crash safety scores in NHSTA's database. This is not true. CT5 and CTS have as high ratings
 

·
Premium Member
Joined
·
36,091 Posts
Not sure how a new $13,300 Chevy Spark ICE buyers wallet or come to that a new $24,400 Malibu ICE car buying wallet will stretch to buying a new $34,700 Bolt EV in the future when they are no longer sold by GM, can only guess they will be forced to put a million miles on the clock keep what they have got.

Cant see to many full-sized pick-up buyers having problems purchasing base model entry model electric pick-ups at 39k. Of course even a base entry EV truck will be of a high quality.

Not sure what types of cars Tesla owners were driving before they up graded to quality when they arrived in the US, in the UK its Avis, Hertz, Euro car big business are snapping Tesla's up, and those on a higher wage income brackets the majority of British people won't be able to afford these fully loaded quality EV's, big businesses like Amazon have to money to purchase Rivian vans in the US,

A recent study in the UK said one-third of British car buyers will no longer to be able to afford to buy even the most bog standard cheapest base models EV on the market as their wallet no longer matches EV new car higher prices.

Third of UK drivers cannot afford to buy even the cheapest electric car

One in three motorists cannot afford to buy and then maintain even the cheapest electric car, according to the economic research group CEBR.

That number equates to ten million households, that cannot afford to buy the cheapest electric car. If you do a quick search on Autotrader, the cheapest is a used 2014 Renault Zoe for £4,895 on a battery lease.

And middle-earning households will also struggle to pay for one of the cheapest leased electric vehicles – which is the £170-a-month Skoda Citigo.

The Centre for Economics and Business Research (CEBR) carried out the research and they showed that drivers need to be spending around £2,100 a year on their current car, including fuel, to afford an electric vehicle.

But low-income households that spend £1,800 or less could afford a plug-in car at a squeeze, but those who spend around £1,400 or less a year will have difficult, which is one third of all drivers on the roads.

CEBR economists said the research proves that ‘access to an electric vehicle is a pipe dream for a third of the population.

LINK
UK voters voted to shut down their own North Sea off shore oil wells in support of 'saving the planet' and 'doing their part' only to export all their manufacturing jobs to chainah and import energy from Qatar...
lol..
 

·
Premium Member
Joined
·
36,588 Posts
UK voters voted to shut down their own North Sea off shore oil wells in support of 'saving the planet' and 'doing their part' only to export all their manufacturing jobs to chainah and import energy from Qatar...
lol..
Incredible. More proof that brainwashing works. Qatar oil is non polluting? That's it? I wish I could say that's unbelievable.
 
1 - 20 of 61 Posts
Top