Tesla Will Be Overtaken By Ford – Electric Car Wars

Tesla Will Be Overtaken By Ford – John Murphy, senior auto analyst at Bank of America, believes that Tesla is not moving fast enough. The Texas-based electric vehicle company could be overtaken soon by Ford and General Motors.

Bank of America’s annual Car Wars report predicted that Ford and General Motors will surpass Tesla’s electric car sales by 2025. Murphy predicts that Tesla’s 70% market share in electric cars could fall to less than 11% over the next three-years.

Murphy predicts that GM and Ford will reach 15% by the end of this year with their new electric cars. The problem with Tesla is its lack of product range and the slow pace at which Elon Musk introduces new products.

Tesla Will Be Overtaken By Ford

He’s not introducing products at a faster rate. Murphy stated that he doesn’t have a complete product portfolio so there is huge opportunity for manufacturers.

Tesla has had its fair share of delays. Other than vehicles like the Model Y which were delivered earlier than expected, many of the company’s projects, such as the Cybertruck, have been delayed multiple times. Murphy believes this could mean that Tesla will fall behind over the next few years.

“The biggest mistake that Tesla made, when they look back on it in five to ten years, was that it didn’t take more advantage of the free money that it could have gotten, raise more, open up capacity faster, grow faster, and close the door.

“He (Musk) didn’t. He wasn’t fast enough. He did not recognize the market. Murphy stated that he was so naive they wouldn’t catch him and would not be able to do the same thing he did.

Murphy’s findings are very interesting, as Tesla has been severely constrained in supply for many years. The company holds back a wave, with just two vehicles: the Model 3 sedan (and the Model Y crossover) — and it’s still winning. Tesla’s vehicles are constantly improving, and are often updated via free software updates.

The Bank of America analyst’s conclusion about Tesla’s “hubris”, and Elon Musk’s “cybertruck-semi-future-proof” seems a bit off base. The EV market share of Tesla seems to be stable with the Cybertruck, Semi and Model Y entering the market.

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