Tesla CEO following in Henry Ford's tracks

OntarioVanMan · Oct 13, 2009

Do you see the fly in the ointment here..note the bold

At 38, Elon Musk has already shown his Midas touch. Now he is intent on proving Tesla Motors is plugged into the future of the automobile

Oct 12, 2009

Tyler Hamilton
Energy Reporter

Tesla Motors Inc. will take a serious look at Ontario when it comes time to mass-manufacture a sub-$30,000 (U.S.) version of its all-electric car, chief executive Elon Musk told the Star in an exclusive interview.

Musk, a company co-founder, said a big part of that decision will depend on the value of the Canadian dollar at the time.

"It's a cool area to do work, and I know the Canadian auto plants are some of the most efficient in North America, so it would be wise for us to take a close look," said the 38-year-old entrepreneur and philanthropist.

Tesla, headquartered in the Silicon Valley, isn't expected to bring its third-generation vehicle to the market for five years, but there's no reason to expect Musk's six-year-old company won't get there. So far it has delivered more than 700 of its $110,000 Tesla Roadsters, a milestone that led to an announcement in July that the electric-car pioneer had achieved profitability.

The company also has plenty of money in the bank. It has raised nearly $300 million (U.S.) in venture capital, and this summer won access to $465 million in low-interest loans from the U.S. Department of Energy. Part of those funds will go toward development and mass manufacturing of Tesla's second-generation Model S Sedan, expected to hit the streets in 2011 at a retail price of $57,000.

greg334 · Oct 14, 2009

What do you mean follow in Henry Ford's tracks?

I don't remember in reading Ford's history that he raised $300M and got $465M to build a car and then went to a foreign country to build it so it can be imported into the US market.

I think Tesla is the example of a lack of a need driving an industry through government intervention. If we keep dumping money into this cr*p without the real need to build the cars or a real market, then what do we really get in return?

More Debt.

Ford didn't build his company on loans and government help, he did it by filling a market need. He was a real entrepreneur, not a redefined modern version.

Ford went to Canada because the same reasons he went to England 7 years later, because the Crown's system of tariffs were in effect in all of the UK and they would not reduce the tariffs on the imported cars for any reason. Building the cars in Canada allowed them to be exported to England and other parts of the UK without the 60% tariffs that were being applied to imported cars.

Ford of Canada (1904), like Ford of England (1911) was a separate company, owned by Ford and his family (not subsidiaries of FMC until 1948).

There is nothing that I see is being done by tesla other than take money that should not be there in the first place.

The electric car is being forced on us without the right incentives at the consumer level.

greg334 · Oct 14, 2009

It is easy, we don't have people who represent us in congress. They are all for themselves or the special groups that help them get elected.

Levin and Stabanow should be having press conferences on this issue but I know the latter is having one on health care which is not important.

The other thing is the stupidity of the people who will buy this foreign car. It is a foreign car because it is built by foreigners in a foreign country (no offense Canada). It is like having a chevorlet sitting at the UAW HQ that was made in Mexico and a crown vic made in Canada, they both have unions but the car from Mexico will get yanked off the lot because the Canadian vehicle - both foreign made but at the same time they will throw rocks at the Honda that is made in the US.