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Ohio senator with deep dealer ties proposes anti-Tesla bill

The fight against customer-direct car sales by Tesla Motors continues around the US, and the California-based company can now count dealership groups in Georgia and Ohio among its adversaries. In Ohio, Tesla has opened company-owned stores in Cincinnati and Columbus and is now fighting a state dealership association that's pushing for legislation that explicitly outlaws direct dealer-to-public sales after a lawsuit against Tesla was dismissed last week, Automotive News says. The proposed law (Senate Bill 260) would prevent any entity from selling vehicles if it "is a manufacturer, or a parent company, subsidiary, or affiliated entity of a manufacturer, applying for a license to sell or lease new or used motor vehicles at retail." Under Ohio's current laws, Tesla says its stores are perfectly legal, but clearly that would would drastically change if SB260 becomes law without some sort of provision to 'grandfather' dealers opened before the legislation passes. Ohio's dealers say Tesla threatens their network since it sets a precedent for other automakers to use the same practice. The politician behind the bill received at least $42,825 from dealership owners, employees and PACs. The politician behind the anti-Tesla bill in Ohio is Senator Tom Patton (R-Strongsville), who "received at least $42,825 from state and national auto dealership owners, employees, and political action committees (PACs) between 2002 and 2013," according to Media Trackers. His Facebook page is filling up with negative comments about his "crony capitalism" actions. Meanwhile, a Georgia exemption from that state's prohibition of automaker-to-public sales states that a company can directly sell as many as 150 zero-emissions vehicles a year, the Atlanta Business Chronicle says. Tesla sold about 500 of its Model S sedans there last year, with the rest of the cars being registered in California. The automaker is looking to expand that exemption tenfold to 1,500 vehicles. Georgia and Ohio join states such as Massachusetts, New York and Texas that have done battle with Tesla and its business model, with Texas thus far being the most formidable opponent. CEO Elon Musk said last year that he may go to the federal government to get such laws changed on a national level. That's not surprising since Tesla's preparing to start selling its Model X crossover and could unveil its cheaper EV (possibly called Model E) at the Detroit Auto Show next year.

Tesla spies something that begins with the letter D

Lest there be any doubt to the contrary, Tesla is a company on the move. Following the sensational Tesla Roadster, the Model S is now humming down roads across the country and around the world. And there's more to come: the entry-level Model 3, the upcoming Model X crossover... and something else. Two somethings, to be precise, going by this latest, cryptic tweet from Tesla chief Elon Musk.
The image enclosed appears to show the front of a Model S peering out from under a partially open garage door emblazoned with the letter D. Just what that letter stands for, we don't know. Usually we'd guess it stood for "diesel," but given that Teslas are powered purely by electricity, that'd probably be viewed as a backwards step. Drive? Possibly, if Tesla has an all-wheel-drive sedan in the works (which is does).
Whatever it is, we'll have to wait until October 9 before Tesla reveals the full thing. At that point it will also reveal "something else," though it's given even less indication as to what that might be. The Model 3? Production-ready Model X? A new Roadster? We'll find out in a week's time.

Fiat Chrysler’s Sergio Marchionne throws more cold water on Tesla, EVs

Fiat Chrysler CEO Sergio Marchionne has once again sounded off on industry upstart Tesla and its wunderkind boss, Elon Musk. In the process, he doubled down on FCA's reluctance to follow its competitors headlong into electrifying its vehicle fleet, saying "we're not betting the bank on going fully electric in the next decade. It won't happen." Marchionne made his comments on Monday during remarks at the New York Stock Exchange, where he was marking the 70th anniversary of Ferrari. They come as Tesla struggles to ramp up production of its Model 3 sedan, its first mass-market offering, and the company continues to hemorrhage money. Here's what he said: "We still don't have a viable model for delivering an electric car. As much as I like Elon Musk, and he's a good friend, and actually he's done a phenomenal job of marketing Telsa, I remain unconvinced of a new economic viability of the model that he's pitching. So I think we need to be careful, because when we embrace electrification, and I made comments on the fact that we lose money on every Fiat 500, the electric that we sell in the U.S. Now that's reflective of the 2011-2010 costs in terms of components. Those costs have come down. If I were to do it again, I would certainly reduce the amount of the loss, but I would not make any money. And you can't run economic entities on losses. It doesn't happen. "So how do we find a convergence of technology bringing prices of components down and allows us to price accordingly — or we need to navigate through this process in a combined way between combustion and electrification to yield at least a minimum of economic returns that allows for our continuity? The last thing you want is me to be successful selling cars for 24 months and then go bust. That's not a good story. Especially in a place like this which rewards economic success. Let's not sit here and design our own future in the tank. Let's try and do it properly. We will do all the right things. We are investing without making a lot of noise on electrification. We will combine it with combustion to yield the right level of CO2. But we're not betting the bank on going fully electric in the next decade. It won't happen." It's not the first time Marchionne has publicly expressed doubts about Tesla's business plan.