Tesla Motors Inc (NASDAQ:TSLA) will see several global heavyweight automobile companies competing directly with the company in the coming years. Juggernauts such as Audi, BMW, Mercedes, Porsche and Range Rover have already made clear their interest in entering the all-electric vehicle segment.
Rivals preparing all-electric vehicles
Currently, these brands are offering plug-in hybrid models while only BMW offers a battery-powered electric vehicle. Mercedes, also, sells a B-Class Electric Drive, but the availability is limited as of now.
Tesla Motors Inc (NASDAQ:TSLA) has already updated its Model S brand, which will receive competition from luxury automakers that are planning to offer all-electric sedans before the end of the decade. Recently, Germany’s Manager Magazine citing industry sources revealed that the upcoming Porsche sedan will include an all-electric version.
The Tesla Model X will receive competition from the Audi’s Q8 e-tron, which will be an all-electric version of the car, essentially four-door coupe utility vehicle. BMW, on the other hand, is working on a larger vehicle based on the concept of the i3 architecture. Mercedes-Benz is also analyzing the feasibility of an electric version of its S-class large luxury sedan. Every automaker except BMW plans to use steel construction, making the car heavier than Tesla Model S. According to the article in Manager, the all-electric Pajun will be lighter than Model S.
Increasing competition for Tesla
The new Pajun from Porsche could be a serious competitor to Tesla Model S as long as its performance to matches or exceeds that of the Tesla Model S.
Another car maker that may challenge Tesla Motors Inc (NASDAQ:TSLA) soon is Ford. Ford CEO Mark Fields, in a recent interview with USA Today, said that the company has the capability to build an all-electric car to compete with Tesla. Fields told that its engineers got a Model S and has experimented with it.
Tesla Motors Inc (NASDAQ:TSLA) has been working on the electric models for several years, and has developed a very successful business model. The Model S is a gorgeous, all aluminum vehicle from a car maker who was unknown 10 years ago, and it offers a fast, comfortable, technologically advanced driving experience.