Tesla Motors is profitable.

[Swampy]

I'm impressed, because it's the first ever electric car company to make money, and Business Insider says the other car makers are anxiously watching it.

Tesla Motors - and its founder, Elon Musk - have changed the debate, but it's only 1% the size of BMW, and history shows that new companies can burn brightly then die. So I don't think the other car makers' CEO's are spending sleepless nights yet.

Still, it's an impressive achievement for now.

[Deleted]

www.theblaze.com/stories/2013/03/....d-o f-schedule/

www.forbes.com/sites/joannmuller/....mpanie s-arent/

Swampy I read months ago somewhere that the latest Tesla car would have to retail for double the price without government subsidies

[Sir John]

government TAXPAYERS

[Deleted]

That's right SJ governments do not have money, they should manage ours in our best interests,

[Swampy]

I've been thinking about this.

According to Forbes, Tesla got government loans, presumably at favorable rates, and it also sold batteries, which made money. So its profitability may not have come from selling electric cars. IOW, we have to wait and see if its high-tech gamble succeeds.

[mcnoch]

One of the reasons why Tesla is making more profit is due to the fact that they don't use third-party dealerships but sell to their customers directly and so have to share none of the money. Many think that is a very sound business idea, but if you agree please don't tell that the Republican politicians in NC as they want to ban this. www.slate.com/blogs/future_tense/2013/05/13/north_carolina_tesla_ban_bill_would_prevent_unfair_competition_with_car.html

Don't be surprised by this ban, they also have banned the use of climate science. Swampy, maybe you should consider moving there.

[Deleted]

Same in Texas, although I don't have a clue why.

[Swampy]

Everything is bigger in Texas, especially the barbecues.

Anyway, Tesla is repaying the government loans, but partly because it's getting more money from selling shares, as opposed to making so much money it can do so. IOW, the jury is still out on whether Tesla can survive in the long run.

[Sir John]

Swampy,

ANY manufacturing company, indeed any company, lives and dies by the quality of its product, and the price of its product.

If they fail, the customer will go elsewhere.

Taxpayer subsidies are a contamination of the marketplace that will NOT change the fundamentals of the quality of the product, and if it cannot convince the customer it is worth buying, then it will NOT sell.

eg. The Toyota Prius is a DUD! Governments using taxpayers money are the major buyers.

JMO


SJ

[Deleted]

Australian government uses our monies to subsidise GMH, Ford and Toyota but buy large numbers of fully imported Prius. Toyota are now manufacturing a Camry hybrid here but using imported components.

Australia has LPG outlets all but remote areas and produces more LPG than can be exported, sold locally or stored, it is about half the price of gasoline most of which is imported from Singapore (part Australian aid to a strong ally) and with the latest injection system for LPG fuel economy is about the same as using gasoline.

It makes no sense