Tesla in deal with Daimler (part zwei)

[dpeilow]

I remember some story from 10 years ago where some dot.com fad company was supposedly worth more than the main dairy supplier in the UK - whose turnover at the time was £250m. The author couldn't believe that a company that essentially had no chargeable product was worth more than a supplier of staple foodstuffs. Of course, one of those is still in business and the other burst with the bubble.

It all sounds very familiar.

 

[Palpatine]

Well, the odds of Tesla Motors avoiding bankruptcy just improved dramatically. I doubt Mercedes would have invested so much if they thought Tesla is a long shot.

And this definitely helps Tesla Motors in terms of the viability and matching money for the government loan program.

 

[AnOutsider]

I bet that down the road Tesla will be selling the Model S and the Roadster in all of the Mercedes dealerships. It makes sense to offer it through them instead of building a few hundred Tesla dealerships.

If Mercedes has options to increase their ownership to say 30%, then at that point they are full blown partners. It is similar to how you often see Audi, VW and Porsche dealers right next to each other, owned by the same local dealer. They share parking lots. There might be a Tesla section at each Mercedes dealership.

Hmm, didn't even consider that. That might be a very good idea. Mercedes is already upscale (to go with Tesla's image), and more exclusive than the millions of Ford, Toyota and Dodge dealerships across the nation.

They could even just build 2 more bays strictly for Tesla work, have the showroom next door (sharing lots as you said) and that'll get the job done. Stick one at say 1 out of every 5 Mercedes dealerships, and booya.

 

[DDB]

Well, the odds of Tesla Motors avoiding bankruptcy just improved dramatically. I doubt Mercedes would have invested so much if they thought Tesla is a long shot.

And this definitely helps Tesla Motors in terms of the viability and matching money for the government loan program.

Speaking of viability...and government money...what about plans for a US PLANT???

 

[TEG]

I bet that down the road Tesla will be selling the Model S and the Roadster in all of the Mercedes dealerships. It makes sense to offer it through them instead of building a few hundred Tesla dealerships.

Tesla's original plan was to run their own dealerships.

If they decide to have Mercedes dealers sell them directly it would be a change of direction for them.

 

[no96]

Speaking of viability...and government money...what about plans for a US PLANT???

Well one guess would be that the Model S would be built much the same way
as the Roadster. Gliders comming in from Germany (or even the Daimler plant
on the East Coast) final build in the Long Beach plant (is it still supposed to be there ?)
Would be the fastest time to market - which everyone likes.

 

[AnOutsider]

Tesla's original plan was to run their own dealerships.

If they decide to have Mercedes dealers sell them directly it would be a change of direction for them.

Hmm, I was thinking more like piggyback. Mercedes opens up their dealer network and allow them to share space at already-established locations.

They could still staff them with their own employees, but sharing the space would reduce costs and Tesla would benefit from the existing traffic.

 

[dpeilow]

So this "double digit millions" deal places Tesla's current value as a company between $100 million and $1 billion. But what's the point of comparing it's value to something as intangible as twitter, except as an insult?

Tesla Now Worth Less Than Twitter

Jalopnik - Tesla Now Worth Less Than Twitter - Tesla Motors

To put this in perspective, when Proton bought into Lotus they paid just over £46m for 63.75%.

 

[doug]

Tesla Worth More Than Half A Billion Dollars After Daimler Investment

Daimler got that 10% stake in Tesla that was announced today for $50 million, says a source with knowledge of the deal. They’ve actually taken 9% (they announced “nearly 10 percent” and the post money valuation is $550 million. Our source also says that Tesla’s application for $350 million in federal loans has been informally approved and will also be announced shortly.

.

 

[AnOutsider]

sweet... now bring on the Model S for those of us who don't wanna zip around in carbonfiber tunacans

 

[TEG]

 

[doug]

Tesla Motors - Press Releases


Where did this 256 MPGe figure come from? I thought the Roadster pack held the equivalent energy of about 2 gallons of gasoline, so that should be more like 244/2= 122 MPGe.

We have a whole thread on it here: http://www.teslamotorsclub.com/tesla-roadster/1280-mpg-equivalent.html

Bottom line it's some ridiculous EPA thing:

So the MPG number depends on what equivalence you assume for electricity -> gasoline. There are many approaches to this, each with their pros and cons. Some people think that MPG is meaningless for EVs, but there are many others who want to know what the number is. Tesla has decided to quote the mandated EPA 256mpg number. The 135mpg value is an outdated non-EPA estimate, and I'm sure we'll be updating the website soon.

Andrew Simpson

 

[Tin-Chicken]

Not a good look

Am I alone in thinking that Elon looks rather uncomfortable in the suit and tie? Yikes, that shirt and tie combo is ghastly.

Lisa.

 

[stopcrazypp]

Am I alone in thinking that Elon looks rather uncomfortable in the suit and tie? Yikes, that shirt and tie combo is ghastly.

Lisa.

I noticed that too in another video with him awkwardly shaking the Daimler executive's hand.

 

[TEG]

Yikes, that shirt and tie combo is ghastly.

Perhaps it is the region local Deutsche-hipster-exec look?

He looks tired, but I suppose that is to be expected given the circumstances.

 

[TEG]

{256MPG} We have a whole thread on it here: http://www.teslamotorsclub.com/tesla-roadster/1280-mpg-equivalent.html
Bottom line it's some ridiculous EPA thing

Oh yeah, forgot about that. I thought it looked familiar in a deja-absurd sort of way. I wonder what the non-EPA mindful German press will make of that stat in the translated version of the press release.

 

[TEG]

Hmm, I was thinking more like piggyback. Mercedes opens up their dealer network and allow them to share space at already-established locations.

They could still staff them with their own employees, but sharing the space would reduce costs and Tesla would benefit from the existing traffic.

I mentioned that it didn't match their earlier plans, but I always thought maintaining a full dealer / service network was an expensive proposition for such a low volume brand (even with Model S sales coming).

So, yes, it would make some sense at some levels to have a sales/service partner like that.

By the way, it could work the other way too. For instance, Daimler could consider offering a Tesla branded (and restyled) Blue Zero for US sales if they didn't think Mercedes dealers were ready to sell EVs alongside their gas car lineup.

All of this is just idle speculation though. Who knows what fruit this partnership will bear.

 

[AnOutsider]

Good point TEG. That would certainly save Tesla some trouble. I've got no prob if Tesla sparks the EV revolution then fades back into just a R&D company that supplies tech.

I'm open to EVs from any company as long as they're styled well and practical. It'll make the Roadsters (and possible Model S's) more valuable down the line as well.

 

[Rheazombi]

Someone told me the deal was worth $50 million. I'm not sure where they got their info tho...

 

[doug]

Daimler buys stake in Tesla - SFGate.com

"We're thrilled," said Diarmuid O'Connell, Tesla's vice president of business development. "Daimler invented the internal combustion engine. To partner with them is the greatest endorsement you can have in this business."
...
The obstacle so far has been the price of the batteries, which for a Tesla Roadster cost about $30,000. With backing from Daimler, Tesla hopes to expedite its research and production process, ultimately driving down the price, O'Connell said.
"We're really trying to get this technology into the mainstream," he said.