Is Nio A Tesla Competitor
Shanghai-based electric vehicle manufacturer shuts its manufacturing plant over supplier disruptions.
Which countries is NIO sold in?
Norway was the first overseas market to offer the companys complete charging infrastructure including battery swapping stations. After entering the Norwegian market last year, Nio will launch in Germany, the Netherlands, Sweden and Denmark in 2022.
Is NIO selling in Europe?
Nio can sell 11,000 units in Europe to achieve a similar outcome from its first foreign forays, assuming the top line is similar to Refinitivs forecasts for 2022. Such early success would put Nio far ahead of most rival Chinese companies, too.
Why is NIO down?
Is NIO building its own factory?
At the NIO Day 2021 event on December 18, William Li, founder, chairman and CEO of NIO, said the company will enter Germany, the Netherlands, Sweden and Denmark in 2022. NIOs goal is to serve users in more than 25 countries and regions worldwide by 2025, Li said.
Tesla Is Leading The Ev Revolution
Tesla is undoubtedly leading this new future of an EV world.
Teslas Q4 was another blowout quarter. They delivered over 308,000 vehicles to bring their full-year count to 936,172 vehicles, an 87% increase from 2020.
Going into 2022, Tesla doesnt expect this level of growth to slow. They plan to focus on meeting existing demand for existing models, choosing to push back new models like the Cybertruck and the lower-priced $25,000 Model 2.
In their quarterly report, they also noted that they expect to achieve 50% average annual growth in vehicle deliveries over the next several years to produce 20 million cars annually over the next nine years.
During their earnings call, Musk reiterated that the supply chain and manufacturing capacity was the main limiting factor. To scale production and meet demand, two new factories in Austin and Berlin will go online this year.
Its unlikely that either will fully ramp up by year-end, but it certainly sets up Tesla for continued growth down the line.
Meanwhile, legacy automakers are taking clear steps to transition to EVs. According to The New York Times, the auto industry will invest around half a trillion dollars in the next five years to transition to EVs.
Even with the increased competition, analysts believe Tesla will maintain its lead for the foreseeable future. He noted Teslas advantages in vertical integration, software, battery technology, capital availability.
Honourable Mentions: Big Tech
If an EV is a computer on wheels, then its no surprise that Apple has been trying to produce an EV for the longest time.
In 2014, Apple began working on Project Titan, with over 1,000 people dedicated to developing an EV. Much of the project is tightly under wraps, so most news is speculative.
According to Bloomberg, Apple currently plans to launch a self-driving EV as early as 2025. Heres how they describes the vision for the car:
Apples ideal car would have no steering wheel and pedals, and its interior would be designed around hands-off driving. One option discussed inside the company features an interior similar to the one in the Lifestyle Vehicle from Canoo Inc., an upstart in the EV industry. In that car, passengers sit along the sides of the vehicle and face each other like they would in a limousine.
Apple has also explored designs where the cars infotainment system likely a large iPad-like touch screen would be in the middle of the vehicle, letting users interact with it throughout a ride. The car would also be heavily integrated with Apples existing services and devices.
Because Apple has no experience with car manufacturing, it is likely to partner with an established automobile manufacturer to build its vehicle.
But with its close to 3-trillion market cap and mountains in cash reserves, Apple certainly has the war chest necessary to tackle this challenge.
Don’t Miss: Does It Cost To Charge An Electric Car
Tesla Has A Clear And Strong Advantage In The Ev Market But Others Are Starting To Catch Up
With Tesla being one of the most popular EV producers in the world, its no surprise that they are starting to see some fierce competition. With nearly a decade under their belt, Tesla had made great strides not only for themselves but for the EV industry overall. Tesla had taken the boring, underpowered electric vehicle and turned it into a high-performance, sleekly designed vehicle. While it may take a while for other car manufacturers to catch up to the level that Tesla is on, there are a few that are gaining ground every day. Today, we are going to look at Teslas 3 biggest competitors and what gives Tesla a competitive advantage.
Find The Right Electric Car For You
Theres nothing wrong with choosing a Tesla if thats the right electric car for you. But with so many other options out there, its worth shopping around before deciding which new EV to bring home. In addition to these Tesla competitors, other rivals include Kia, Audi, BMW, and Toyota.
Were not here to give you advice on which EV startups to invest in but we can help you decide which EV is right for your budget and lifestyle.
Compare EVs Near You
Recommended Reading: How To Build An Electric Car
Tesla Sold Close To 500000 Automobiles Last Year
Tesla sold 499,500 vehicles in 2020 and close to 185,000 vehicles in the first quarter of 2021. Its vehicle deliveries more than doubled in the March quarter despite supply chain constraints due to semiconductor chip shortages used in automobiles. Tesla attributed the robust sales to its Model Y EV which it began producing in China in the fourth quarter of 2020.
In 2021, Tesla expects vehicle deliveries to touch 750,000 which suggests it will need to average 188,000 deliveries in each of the four quarters.
EV manufacturers including Tesla have successfully managed to get drivers to transition towards hybrid and fully-electric vehicles over the years. The electric vehicle deliveries grew by 43% in 2020 despite the ongoing pandemic. Now, Bloomberg New Energy expects EVs will account for 10% of the total global passenger vehicle market by 2025 and this figure might touch 58% by 2040.
Xpeng Is Also Tesla Competition
Xpeng Motors is another automaker based in China hoping to serve as a competitor to Tesla. Founded in 2014, it is the southernmost Chinese automaker on the list with its headquarters in Guangzhou. Xpeng went public last summer on the New York Stock Exchange raising $1.5 billion .
Since 2018, Xpeng has launched two electric vehicles. First was the G3 SUV, followed by the P7 sedan in 2019. Xpengs CEO has hinted at a third model, a sedan, but there have been no further details. The P7 is a clear attempt to compete with Teslas Model 3 sedan while the G3 is more similar to the Model Y, although it debuted two years prior.
While Xpeng currently operates in China, and has recently begun deliveries to Norway as well. It did operate a subsidiary in the US at one point too. The company briefly held a permit with the California DMV to operate self-driving tests. This technology has been growing exponentially among major automotive players like NIO and Tesla. Xpeng Motors has not revealed any plans to enter the United States market yet, but its enormous rounds of funding on the NYSE should be encouraging to the automaker.
Don’t Miss: 2021 Tesla Model X Price
Tesla Continues To Dominate The Luxury Car Market
Tesla is a dominant player in the luxury market but not in the EV market. Nevertheless, the US brand was the top-selling luxury brand in the US in Q2, outselling all well-known names such as Audi, Mercedes-Benz, BMW, Lexus, Cadillac, and others.
Teslas market share in the EV segment is decreasing as new competitors enter the industry. In Q2, it was 66%, a 9% decrease from the previous quarter. So, Teslas EV market share is expected to decline as the EV market grows.
Tesla Is Going After The World’s Gas Cars Not Rival Evs But A Recent Tweet From Ceo Musk Takes It To The Next Level
Searching the internet for Tesla and/or EV-related content likely brings you to many comparisons between Tesla’s vehicles and other electric cars and SUVs. We cover this type of content all the time. However, in the grand scheme of things, Tesla is really competing with gas-powered cars, and a recent tweet by CEO Elon Musk paints a clearer picture of the much larger overall rival.
Teslarati points out that Tesla is also seemingly competing with legacy automakers. Over the years, most early automotive startups have failed to succeed, and most of today’s automotive startups are EV makers. Tesla and Ford are the only two US automakers that haven’t ever filed for bankruptcy, though Musk says Tesla was very close to dying for a time.
It may seem to some folks that there are plenty of people, companies, corporations, organizations, and even political movements working against Tesla. However, Musk pins it all down to just one, which he aims to beat: Saudi Aramco.
As you can see, Musk would like to one day see Tesla’s market cap surpass that of Saudi Aramco. Saudi Aramco is a fossil fuel company with a massive market cap. It makes sense that Musk wouldn’t be concerned with rival EVs, and even that he’d encourage their success. In fact, the more automakers push for electric cars and bring compelling options to market, the more it threatens Aramco’s market cap.
Check Out More Elon Musk Coverage:
Read Also: Tesla Model Y For Sale
Nio Is All In On Battery Swap Technologies
Speaking of battery swaps, that is one form of tech that separates NIO from Tesla as a competitor in China. Battery swapping allows EV owners to easily replace the vehicles battery once it goes dead or requires an upgrade. This has become the core of NIOs business model, hence the division of NIO Power. On the contrary, Tesla chose to abandon battery swap technologies several years ago. It instead chose to develop longer-lasting batteries for its EVs.
Nevertheless, NIO has used battery swapping to its cost advantage. Chinas subsidies generally only apply EVs priced under RMB300,000 . However, there is a vital exception granted to vehicles built with battery-swapping tech. This allows the NIO to price its vehicles in the premium category while still incentivizing potential customers with cuts from government subsidies. That being said, the governments plans to slash future subsidies could soon jeopardize this price advantage. It would leave many of NIOs models priced above Tesla. Check out our latest coverage this automaker by checking out our NIO guide.
Gm Has A New Business: Fixing Tesla Evs
Thats right. GM dealers are fixing Teslas. Since 2021, GM dealers have fixed more than 11,000 electric vehicles from Tesla , according to GM President .
Don’t Miss: 2022 Tesla Model X Specs
Ev Stocks You Need To Watch Out For
While it’s quite evident that the electric vehicle segment is all set to explode given the long-term drivers, there are severalEV stocks that will benefit from this transition.
As stated, above China is the largest EV market in the world where Tesla is currently the undisputed leader. Electric vehicle sales in the country surpassed the one million figure in 2020 and are forecast to touch 5 million by 2025, 10 million by 2030, and 20 million by 2040.
This rapid growth makes China-based EV stocks including NIO and XPeng exciting propositions. These two companies already account for 7% of the total EV market in China and this figure might rise at an enviable rate given how the Chinese government supports domestic manufacturers.
Lucid Takes On Tesla As Electric Vehicle Competition Hots Up
Well send you a myFT Daily Digest email rounding up the latestElectric vehicles news every morning.
Two years ago Tesla chief executive Elon Musk proudly claimed there was still no battery car that could compete with the Model S he launched in 2012.
At the time, it was true and even models from Porsche and Jaguar in 2020 failed to match the specs of his eight-year-old electric vehicle. Still waiting, Musk quipped.
Lucid Motors claims the wait is nearly over.
The Lucid Air, which is set to begin production later this year, boasts a range of 500 miles, twice the 2012 Tesla range and a quarter higher than any current Tesla, plus a recharging system that would replenish hundreds of miles within minutes.
The company, backed by the Kingdom of Saudi Arabia, wants to emulate not only Teslas battery-stretching performance in its cars, but also the stock market acceleration that has seen it catapulted to become one of the worlds most valuable companies.
This week, the business filed for a $24bn listing through a special purpose acquisition company, in the largest Spac deal to date.
Were in a fantastic position. We raised more than we needed to and we have long-term financial partners who may commit more, Peter Rawlinson, Lucids chief executive, told the Financial Times.
Everyone thought I was nuts but it saved the company
Peter Rawlinson, Lucid Motors chief executive
Don’t Miss: Electric Cars For Sale In Florida
Price And Battery Efficiency
Rawlinson expects the Lucid Air to be the catalyst for a lineup of future all-electric vehicles, including an SUV starting production in early 2023 and more affordable vehicles down the line.
To start, Lucid plans to sell a high-end version of the Air, the Dream edition, for $169,000.
It’s unclear at this time just how low Lucid pricing could go after its first two vehicles are out on the market.
Rawlinson said the company’s next planned vehicle platform will be the base for less expensive models in the $40,000 to $45,000 range. But he’s not sure the company will ever offer a vehicle for around $25,000, which Musk said Tesla intends to do.
“In the longer and the fuller timescale, do we actually make a $25,000 car like Tesla’s planning to do with its Model 2?” Rawlinson said. “My view is, as a company, I think we’re probably seven or eight years away from being able to contemplate something like that. That’s a huge undertaking.”
Rawlinson says Lucid has industry-leading battery technology for its vehicles. His main measure is the efficiency of Lucid’s batteries by miles per kilowatt hour driven.
Lucid’s vehicles are capable of more than 4.5 miles per kWh while Tesla’s Model S Long Range is greater than 4, Lucid says.
Nio Is Currently Teslas Biggest Competition In China
NIO is a publicly traded automaker founded in 2014 and based in Shanghai. The company actually debuted its first EV, the the EP9 two-seat sports car, the day its brand was established. NIO quickly established itself as a leading brand for electric SUVs including its ES8, ES6, and latest EC6.
The Chinese automaker now looks to expand its reach in the EV market with the recent debut of its first luxury sedan, the ET7. This new EV seems like it will try to compete with Teslas Model S. Much like Tesla, NIO has its hand in other extensions of the EV market, including the NIO Life apparel brand, NIO Service centers, and NIO Power, which handles the companys network of battery swap stations.
Read Also: Tesla Model X Long Range
Build It And They Will Come
While the electric car has a checkered past, there is a consensus among auto industry executives and analysts that a tipping point is approaching where mass adoption will become unavoidable because of falling battery costs, pressure from regulators and generous government subsidies. âThese factors have come together to force the traditional industry to take electrification seriously â faster than we had previously expected,â said Max Warburton, an analyst at research firm Bernstein. âThis is now really happening.â
According to Bernstein, dramatic declines in the price of batteries will allow leading automakers to sell fully electric vehicles for less than cars powered by gasoline and diesel as soon as 2022. Electric cars, they argue, are already gaining traction: As recently as 2010, annual sales were close to zero. âThereâs just such an incredible amount of money being poured into electric cars,â said Al Bedwell, the director of global powertrain at LMC Automotive.âIâve been looking at this industry for 20 years, and my real gut feeling is that itâs kind of unstoppable now.â
Who Are Teslas Biggest Competitors
Tesla is fighting off competition from legacy manufacturers such as Ford, Volkswagen, and General Motors as well as new entrants that include China-based companies including NIO and XPeng.
The automotive industry is shifting towards electric vehicles at a frantic pace. The number of companies entering this highly disruptive sector continues to gain momentum in 2021 and EV stocks were some of the top-performing companies in 2020.
According to a report from the International Energy Agency, the number of EVs sold worldwide rose from 45,000 in 2011 to 3.24 million in 2020. Markets and Markets expect EV deliveries to touch 27 million by 2030, indicating a compound annual growth rate of 21%.
Over the past decade, vehicle manufacturers such as Tesla have managed to increase the number of miles an automobile can run on a single charge and the number of charging stations, as well as lower manufacturing costs driven by economies of scale.
Tesla is the leading EV manufacturer in the world and the company hasmanaged to increase annual sales from just $400 million in 2012 to $31.5 billion in 2020. The company ended 2020 with a market share of 16% in the EV segment. However, there is a good chance that legacy automobile manufacturers are now looking to enter this high-growth market given the multiple secular tailwinds and a rapidly expanding addressable market which might impact Teslas leadership position in the near future.
You May Like: Wawa Tesla Charging Station Cost