Energy innovation has been the core feature of Tesla's success, and its new concept tire unveiled at Geneva's Auto show this week could be a real boost to Tesla's bottom line. The new concept tires dubbed BH03 are manufactured with a layer of thermal piezo-electric material that feeds electrical energy to the electric vehicle's car battery by converting the heat energy produced by friction between tires and road to electrical energy. Tesla has also hinted on hte possible manufacture of snakelike charging cord that will automatically make its way to the charging slot without the need of driver to stop and manually make the connection.
With the ramifications of extreme climate changes and irregularities taking its toll on the environment, the European Commission has said that electric vehicles should be the top priority. If all goes well, it signals a very positive development for Tesla Inc. as the leader of electric car makers. Not only will it open a huge market for Tesla cars, but increased usage will also lead to production of more affordable and competitive cars.
Moreover, Tesla's model S Sedan has already proven to others in the market that there is a nice place for luxury electric vehicles. The competition is hence going tougher with the entry of Audi, BMW, and Lexus. But Tesla is getting a foothold by the promised unveiling of a cheap EV by 2017. It sure will give a nice competition to the Nissan Leaf and Chevrolet Bolt. Tesla is undoubtedly banking on pushing EVs mainstream and developing a thriving competitive market for them. As long as they are succeeding, others will follow suit.
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In other news, the sales figures for Tesla's Model S is on rise. Tesla started 2015 with over 10,000 orders for Model S. Tesla is expecting to hit even higher level of orders with the introduction of all-wheel drive dual motor cars. The future indeed seems safe and bright for Tesla.
Tesla is also manufacturing a giant battery factory in Nevada. While such forward vision is necessary, it can also make investors weary when thinking about all of the possible ramifications. Its long term ambitions might be the reason for plunge in its stock from a high $223.40 to a low $185.
