Posted on 07/24/2013 1:27:04 AM PDT by grundle
On Monday, BMW announced that the U.S. base price for its all-electric i3 will be $41,350, not including any federal or state incentives. For General Motors' Chevy Volt, and possibly Tesla Motor's Model S, BMW's move spells major trouble. Here's why.
Bad news, GM
With a starting MSRP of $39,145 in 2012, the Volt was the best-selling EV, and it's not hard to see why. Really more of an electric hybrid than a straight EV, the Volt combines a 9.3-gallon fuel tank with a lithium-ion battery. This combination allows the Volt can go an estimated 38 miles on pure battery before switching to regular fuel, which extends the range to an estimated 380 miles. Because of this combination, the Volt cuts down on range anxiety, which is still a huge deterrent to getting consumers into EVs.
Now, compare the above to BMW's all-electric i3: According to BMW, the i3 has a pure-electric range of 80-100 miles, thanks to its lithium-ion battery, and has an optional range extender that lengthens that initial range by 80 miles. Plus, thanks to BMW's eDrive technology, a driver can extend the initial range up to 124 miles by putting the vehicle in one of the "EcoPro" modes.
Right away you can see the problem. Not only does BMW's i3 go farther on pure battery power, but with the purchase of the optional range extender, range anxiety goes way down. More pointedly, the base MSRP for the BMW is only $2,000 more than the Volt. I don't know about you, but if I had to decide between spending $39,000 for a Volt, or $2,000 more for a BMW, I'm going with the BMW, hands down.
Tesla, this is bad for you, too
Right now, Tesla is the crème-de-la-crème of EVs. But it's competing against all-electric EVs like Nissan Motors' Leaf, and Ford's Focus Electric. To put it simply, Tesla's Model S can drive circles around these cars. Yes, it's more expensive, but the technology, range, and precision of the Model S makes anything else seem almost silly in comparison. BMW, however, is a luxury brand with renowned German engineering, and its new i3, and the future i8 model, presents a new challenge for Tesla.
Consider this: The i3, designed from the ground up as an EV, has received praise from some of the industry's harshest EV critics. As BBC's "Top Gear" drivers put it:
At first sampling, then, this is a compelling electric car. It's not the first on the market, but BMW has put some original thinking into almost every part of its design and engineering. It drives sweetly, is distinctively designed, and has the reassuring range-extender option if you are anxious about running flat.
These are the same critics that gave Tesla's Roadster a less than glowing report -- in fact, Tesla sued the show for "libel and malicious falsehood" because of the review.
What to watch for
The i3 isn't set to hit showrooms until the second quarter of 2014, and right now it's too soon to predict exactly how this will affect GM and Tesla's sales. However, given BMW's reputation, the i3's reviews, and the just released base price, this is something investors would do well to monitor.
Electric cars are gaining in popularity, but they're still a niche market. Ford, however, has its hand in EVs and is starting to make its presence known in China. China is already the world's largest auto market -- and it's set to grow even bigger in coming years. A recent Motley Fool report, "2 Automakers to Buy for a Surging Chinese Market", names Ford and one other global giant, poised to reap big gains that could drive big rewards for investors. You can read this report right now for free -- just click here for instant access.
Because the government won't let them.
Thannks. Very interesting. Clearly they are committed to the concept.
People in Hawaii don’t have these longer commutes. An all electric car would do them fine, especially with a solar blanket charger on top when they are at their destination.
By this I take it you mean that the bugs have been worked out, but with overnight charge times for full charge I beg to differ. Also was it 15 years ago that the Volt quit burning up garages?
2)Not if you buy a hybrid or an electric vehicle with a gas powered range extender.
But why buy an electric/hybrid with all the added cost and complexity when I'll be using gas in the end?
3) Right now hybrids can be had for a price below the average price of a new car. A real functional electric will be within reach of the average new car buyer within 5-10 years.
Call me in 5-10 years.
4)Tesla is offering an 8 year unlimited mile warranty. We shall see how long they last, what the salvage value of used batteries are(they will be perfect for home solar systems)and how much the new batteries cost.
Tesla's start at $71,000. How does that square with point #3?
5) If you define every positive review as dishonest then there can’t be one. Consumer Reports gave the Model S a 99 out of 100 rating. The highest rating ever. It is a direct replacement for the BMW 7 Series, Audi A8, Mercedes S class, and Lexus LS. The way the vast majority of those owners use them. They don’t drive from Texas to North Dakota.
I'm looking for an apples to apples review that doesn't have a bunch of qualifiers like "As long as your not driving from Texas to North Dakota." While I don't do it every day, I don't want my vehicle to be the deciding factor in that decision. That hasn't happened since I owned a 1964 VW in high school.
6) Every hybrid and extended range electric vehicle can do a 1000 mile journey. Like a convectional ICE car you just need to add gas. By the end of 2014 you will be able to do that in a Model S.
See answers for #2 & #4.
I don't know about you, but if I was handed a free $39,000 to spend on a car, I'd spend it on a $22k Honda Civic Si 6-speed manual sedan and keep the change, or spend all of it on a "classic" older air-cooled Porsche 911.
I play softball with a retiree who has a volt and he loves it. Most of his driving is within the battery limit but if he exceeds it, no problem, it automatically switches to the gas.
He's going to install a charging station in his garage that's going to cost $2,700.....BUT, the electric company will pay the first $2,400...
Excellent question.
BTW, why not hybridize a hi-tech diesel car?
"Because the government won't let them."
BMW sells/has sold diesels here. The X5 35d is a diesel they sell at the moment. They did sell the E90 sedan with a diesel -- but the sales were much less than expected. The problem with diesels here is that they aren't big sellers. (In that sense, diesels are much like electric cars.)
Porsche, Audi, VW and Mercedes offer at least one diesel model in the US in addition to BMW.
That's just the additional energy used. Battery performance itself is directly affected by extreme temperatures.
How would an electric vehicle perform in MN in the winter, or Phoenix in the summer?
Is the lithium ion battery the same one that has caused fires in Boeing airplanes in two separate applications? And don’t Volts have a tendency to spontaneously combust? And don’t they use that battery?
I don’t think that battery is ready for large applications, regardless of their being approved by some government rubber stamp agency.
Tesla has world renowned Silicon Valley engineering.
I thought silicon valley was famous for software engineering, not hardware.
Electric is still a novelty. Until they can get descent range in a battery that doesn’t catch on fire, they will be nothing more. 100 miles is nice, but I see 200 miles as the holy grail. And that is Minnesota in the dead of winter. And they need a safer battery.
Electric cars are still liberal lunacy causing more damage to the environment than today’s gasoline engines and with per mile life costs through the roof.
Everyone who buys one is doing so all because of left-wing liberal religious/self-righteous pride....”I’m better than you.....” arrogantly thinking they are helping the planet.
Sorry, it’s all a lie. They are still ridiculously expensive, harmful to the environment in their whole life cycle and still not practical.
Typical liberal lie, bought into by our deceived masses......
“It’s worthless, if you ask me.”
I think so too. Between the hazardous waste created in manufacturing and disposing of the batteries, lack of range and restriction in speed I just don’t get it. Not to mention ya gotta use a fossile fuel to charge em up. I’m not against alternative fuel and power sources but I refuse to go backwards and loose speed, power and range. For my $$ this is the future.
http://automobiles.honda.com/fcx-clarity/
“Why not hybridize a diesel”
Volkswagen is already doing this with its new SUV. Can’t remember the name of it though
Anyone purchasing and driving a diesel vehicle should have to sit behind and idling one in traffic for thirty minutes a day.
I am so over all these farm punks and their chipped up, fartpiped Rams, F350s, and Silverados with stock turbos blowing a cloud of lingering particulates every time they leave an intersection.
Diesels are for heavy duty lawn mowers, construction equipment, tractors and semi trucks. Come out with your high end oil burners and try on my DOHC, turbocharged, intercoooled, direct injected GASOLINE powered ride sometime. Just please let me have the lane opposite your exhaust outlet.
Main reasons I will never buy a hybrid:
I don’t want to look like an idiot.
If I’m in a crash, I’d like a little bit of protection.
A hybrid will never be able to pull my 14’ enclosed duck/goose hunting trailer.
I have not been convinced that the worst gas guzzling, smoke spewing, oil leaking vehicle on the road impacts the environment one bit.
I also have not been convinced that electric cars are “good for the environment” (I want to puke every time I hear that stupid phrase!)
— and —
ELECTRIC CARS ARE PART OF A LIBERAL, PROGRESSIVE, DESTRUCTIVE AGENDA.
Main reasons I will never buy a hybrid:
I don’t want to look like an idiot.
If I’m in a crash, I’d like a little bit of protection.
A hybrid will never be able to pull my 14’ enclosed duck/goose hunting trailer.
I have not been convinced that the worst gas guzzling, smoke spewing, oil leaking vehicle on the road impacts the environment one bit.
I also have not been convinced that electric cars are “good for the environment” (I want to puke every time I hear that stupid phrase!)
— and —
ELECTRIC CARS ARE PART OF A LIBERAL, PROGRESSIVE, DESTRUCTIVE AGENDA.
Fred Flintstone had a much better idea.
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