We read about Tesla, and its owner, Elon Musk, in the news all the time. Musk is this generation’s “Tony Stark,” a visionary whose electric cars are some of the least complicated projects he’s working on — other projects include a superfast transport system called the Hyperloop (set on making a 350 mile journey in 35 minutes), and eventual colonization of Mars.
Tesla is currently building what it calls its “Gigafactory,” a massive factory that plans to be able to annually produce more lithium batteries than were produced worldwide in 2013. This is a huge undertaking, but one that is necessary given that Tesla plans to have one million electronic cars on the road by 2020.
Well, now they’re not alone…
A Rival for Batteries
I think it’s safe to say you’ve heard Volkswagen’s latest troubles: a scandal that nearly destroyed the company.
Up until now, however, the company hasn’t really been a player in the electric car game, with only four electric or plug-in hybrids currently available.
That’s about to change.
Volkswagen now says it will be selling one million electric cars per year by 2025. That’s only 5 years after Elon Musk’s predictions for Tesla (figures which some analysts think are overinflated).
Now, one of the biggest considerations for electric cars is their most important component: the battery.
Batteries for electric cars require a lot of labor and precision, much more than a regular car’s battery. You can’t just fill up an electric car with gas once its power starts to dim.
Volkswagen knows this, and is looking into building its own battery factory, like the Gigafactory, but estimated to cost over $11 billion dollars, more than twice as much as Tesla’s factory.
If Volkswagen gets the approval from its board (their next meeting is scheduled on June 22nd), then construction on the factory could start soon. And with a factory that costs twice as much as Tesla’s, you have to assume that it will be able to produce more batteries, and therefore, more electric cars.
In other words… Volkswagen could be creating the cars of the future instead of Tesla.
To continue reading about the possible factory, click here.
Until next time,
A true insider in the technology and energy markets, Keith’s research has helped everyday investors capitalize from the rapid adoption of new technology trends and energy transitions. Keith connects with hundreds of thousands of readers as the Managing Editor of Energy & Capital, as well as the investment director of Angel Publishing’s Energy Investor and Technology and Opportunity.
For nearly two decades, Keith has been providing in-depth coverage of the hottest investment trends before they go mainstream — from the shale oil and gas boom in the United States to the red-hot EV revolution currently underway. Keith and his readers have banked hundreds of winning trades on the 5G rollout and on key advancements in robotics and AI technology.
Keith’s keen trading acumen and investment research also extend all the way into the complex biotech sector, where he and his readers take advantage of the newest and most groundbreaking medical therapies being developed by nearly 1,000 biotech companies. His network includes hundreds of experts, from M.D.s and Ph.D.s to lab scientists grinding out the latest medical technology and treatments. You can join his vast investment community and target the most profitable biotech stocks in Keith’s Topline Trader advisory newsletter.