Recently, there’s been some bad news out of Detroit. Ford’s backing off on some upcoming EV models, including a three-row SUV many had been looking forward to, and will instead be focusing more on hybrids. GM has been having different problems with software, recently laying off 1,000 developers after a string of Silicon Valley types failed to acclimate to more traditional corporate culture.
While these companies would like to have us all believe that making EVs and software for EVs is simply too hard, other companies like Tesla and Rivian have been doing a lot better. Tesla is now making more EVs than anybody, even beating out ICE models in some segments. Rivian is still climbing the profit ladder, but is selling software to Volkswagen, a pretty good sign that “legacy auto” is struggling in odd ways while newcomers are having no problem churning out EVs.
So, we need to ask ourselves why these established players are struggling while newcomers are doing just fine.
People who want to drive and EV aren’t the same people who want to drive a giant tank
Also most people who want to drive EVs want to do so as a cost saving measure. ICEs can go for 25K where I haven’t see an EV in my local area go for less than 40k.
I would love an EV but can’t find anything in my price range, even used ones that optimistically get 70 miles per charge cost more than what a new ICE would cost. I can’t even make a round trip to my parents and back on that.
I drove 3 hours for my ‘21 id.4 Pro S AWD for $19k and I’m really liking it. Same car in my area would have been much more expensive even with the slightly higher mileage. It also helped that we had the $4k PoS credit too.