Tesla is selling cars to Hertz at full price. What would you have Tesla do to keep Hertz from buying its cars?
You could argue that Hertz is getting a
de-facto rebate by locking in the price now in a (a) generally high-inflation environment and (b) when Teslas specifically are in high demand.
Such a deal may become quite unlikely in the near future.
Tesla could have chosen to deliver the Teslas to Hertz at whatever is the going rate when taking actual delivery.
I aggree that such a move would have been even more hardcore than given them no rebate, which is seen as hardcore now.
I predict that this Hertz deal, aside from the many strategic advantages, will be seen as very good in 1-2 years, purely from a price stand-point.
Tesla could choose to stagger the next huge deal for either Hertz or another corporation in
delivery chunks or installments, or some such method, in order to take into account the high likelyhood of
rising prices. The buying company would then either pay the going rate at time of delivery or decline delivery and payment both - their choice.
Above approach may seem like harsh terms. But Hertz may be the canary in the coal mine, waking up traditional thinkers.
Harsh deals may become more normal as autonomy inches closer toward becomming more promising, trustworthy and eventually full release.
(With the traditional disclaimer that we don't yet know if self-driving is truly possible)
And when the
Kraken is released (Robotaxi cababillity) many companies like Hertz will line up and prostrate themselves and accept whatever terms Elon and Tesla deem fit to offer them.
For without Teslas their future will be grim - or none.
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