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Production Tesla Model X designed for women, looks 'better' [w/video]

A recent study found that men and women drive their electric vehicles differently. That might help explain why there is a male bias towards Tesla's electric offerings while the more practical Nissan Leaf get the attention of female drivers. Well, according to Tesla CEO Elon Musk, who spoke with investors yesterday during the company's annual shareholder meeting, the upcoming Tesla Model X could shift the paradigm of the gendered EV. "We probably got a little too guy-centric on the S. So, we're hoping to correct that with the X" – Elon Musk Musk didn't get into details, but responding to a question from the audience, Musk said that "we're certainly paying more attention to the needs of women in the Model X. ... We probably got a little too guy-centric on the S. So, we're hoping to correct that with the X." Musk also said that the "production version of the Model X actually looks different from [what we've seen before], it looks better." When we think about the design of the Model X, the first thing that comes to mind are those falcon-wing doors, which Tesla repeatedly promises are sticking around in the production version. Perhaps the feel of opening them is what he meant when he said the design is meant to appeal to women? So in the case of Model X that's just taken a bit longer than we would have liked. In particular, getting the falcon-wing door right is extremely difficult. Things that you maybe wouldn't expect are also very difficult, things like the second row seats are quite a challenge because what we're aiming for with the Model X is that when you open the falcon-wing door, you have the second row seats essentially framed and we want that to feel like a work of art. If you open up the door it should be this amazing experience. I mean, it may sound a bit silly, but it should just feel like "ahh!" [laughs] And then the seat, I mean it's just the seat but we want the seat to be like feel like a work of art like something you could have in a museum. Anyway, that's where we're going for with the Model X, and it's bloody hard. Whatever the case, Model X pre-orders are rolling in. Once the EV arrives in customer driveways some time next year (Musk said he expects volume production to kick in during the second quarter of 2015), we'll have a better idea if it's the soccer moms or the soccer dads who like the AWD-only Model X more. You can see all of Musk's remarks in the video below.

This map shows where Tesla can and can't sell cars

The fine folks at Mojo Motors recently put together a US map showing where the Tesla Model S electric vehicles can and can't be legally sold. They marked the "legal" states in blue, "illegal" states in red and "in legislation" states in that proverbial gray area. And darn if that colorful map didn't match up pretty well with a political-party map of the country. 24 states are technically Tesla-ready. Of the 50 US states, 24 states are technically Tesla-ready, in addition to Washington, DC. And while some (California, New York, Massachusetts and Washington State) were pretty obvious, others (Mississippi and Georgia, for example) surprised us a little. We were also interested to see that Arizona and West Virginia were marked as "in legislation" but Ohio and New Jersey were not, given the fights there. In any case, Texas is red. Bright red. Tesla Supercharger locations are also marked, but Tesla's constantly updated map is likely a better source for that info after a few weeks have passed. If you'd like to dig into the nitty gritty of the various dealer franchise laws, then use the same source that Mojo Motors' marketing manager Max Katsarelas used to make the map, an article in the Georgia State University Law Review from 2002. Check out footnote 153 on page 23 for all the details. While he did integrate current news reports, Katsarelas told AutoblogGreen that he had to update the map recently after finding out that Oregon and Indiana do allow Tesla sales. With the ongoing legislation fights, we don't expect this map to remain current all that long. Still, you can even click it to enlarge. The legality of Tesla being able to sell directly to consumers without third-party dealership franchises could some day change from the patchwork you see above into a single color. Recently, the Federal Trade Commission (FTC) went on record as saying that Missouri and New Jersey should reconsider its policies that would prevent automakers from direct consumer sales. It's not a national rule, but it is a step in that direction.

For Tesla, the energy-storage company, the magic is in batteries

Tesla Motors Chief Elon Musk has always been a big-picture guy, and the company's chief technology officer appears to be following suit. JB Straubel, who was a keynote speaker at the Joint Venture Silicon Valley symposium near the automaker's Northern California home base recently, says the company is just as much an energy-storage company as a car maker. And he said the rate of battery-technology improvement shows no signs of slowing down, according to Green Tech Media. Straubel estimated that battery performance has improved about 40 percent during the five years between the debuts of the Tesla Roadster and the Model S. Additionally, battery density has doubled during the past decade and continues to ramp up fairly steeply. He noted that further near-term improvements will come not from the size and shape of the cell, but from improved cathode and anode materials. Those energy improvements won't just help the cars. Tesla uses a two-megawatt-hour battery pack to supply as much as 10 percent of the peak energy used at the company's factory in Fremont, CA, and will double the size of that battery-powered energy capacity within the next few months, Straubel says. Automakers like Tesla and Nissan are licking their proverbial chops at the prospect of substantially improved battery performance paired with declining battery costs as more and more lithium-ion battery packs get produced. Late last year, Navigant Research estimated that lithium-ion battery costs would fall by almost two-thirds by 2020, down to a low $180 per kilowatt hour. That should make electrified powertrains price-competitive with conventional vehicles, as electric vehicles could then command a price premium as low as $2,000 compared to their gas-powered brethren.

BMW just the latest automaker to realize China will want a lot of EVs

News about China and cars isn't in short supply these days. With several of the world's largest cities, millions of cars on the road and huge problems with air pollution, it's no wonder that the nation is trying to make some changes. Along with decommissioning many of its aging vehicles, China is also expected to see huge growth in its electric vehicle market. BMW, as other automakers already have done, sees this as an opportunity to sell more cars. "We expect that the Chinese car market for electromobility will become the largest markets for those cars in a few years," says Karsten Engel, BMW's China head. BMW is collaborating with Shanghai's State Grid municipal power company to put public EV charging points at the former World Expo site, and the city plans to create 45 more by the end of the year. These will charge many different vehicles made by BMW and other brands. Tesla, which began delivering its Model S to China last month, plans to build its own supercharger network for the country. BMW plans to begin selling the battery-powered i3 and i8 plug-in hybrid in China this fall. BMW hopes to sell more than 400,000 vehicles in China this year. Fewer than 1,000 of those will be the i3, though, says Engel, due to a lack of supply. So far, China is falling drastically behind its own targets to get EVs on the road. With a goal of 500,000 by 2015, fewer than 70,000 EVs are currently operating in China. This numbers gap doesn't necessarily mean that the demand is or isn't there yet, but more and more automakers are betting it will be, and soon. Volkswagen is planning a fleet of electrified models for China by 2018 (at least 15 models according to Bloomberg). Daimler is teaming up with China's BYD to build EVs (and, of course, Your Dreams). Other Chinese companies are getting into the game as well. Featured Gallery 2014 BMW i3: First Drive View 33 Photos Related Gallery 2015 BMW i8: First Drive View 62 Photos News Source: Bloomberg via Automotive News EuropeImage Credit: Copyright 2014 Sebastian Blanco / AOL Green BMW Tesla Electric Shanghai charging station pollution exports

Tesla dropped to 'junk bond' status by S&P

While Tesla Motors' Model S is a piece of pristine, well-designed metal, the company's bonds have now been rated as "junk." But maybe that's better than the other way around. We'll let the investors decide. Standard & Poor's gave Tesla's bonds a 'B-' rating this week, indicating so-called "junk status," Automotive News says. That means investors are saying the company has a relatively high chance of defaulting on its loans. S&P cites Tesla's short history, competition from some very large companies and relatively narrow product line (none of which are new facts), and estimates that investors would be able to recover 30 to 50 cents on the dollar should the company default. Tesla has been issuing billions of dollars in bonds this year to raise funds for its planned gigafactory somewhere in the southwestern US, a project that Tesla estimated will cost $5 billion ($2 billion from Tesla, $3 billion from partners). Tesla said earlier this month that it took a first-quarter loss of $49.8 million, compared to year-earlier net income of $11.2 million. While revenue rose 10 percent to $620.5 million, selling and administrative costs more than doubled while research and development costs jumped 48 percent. And while Tesla's share price has doubled during the past 12 months (it's at around $209 today), the company's liabilities doubled to $3.52 billion from the beginning of the year to the end of the first quarter. There's a short video on the situation from CNN Money below.

Toyota still wants Tesla's battery help, still evaluating RAV4 EV program

Tesla Motors said earlier this month that the agreement it has with Toyota to supply battery packs for the Toyota RAV4 EV SUV would be finished by the end of the year. The deal is done, but Toyota is now singing its best version of Baby, Please Don't Go. The Japanese automaker may look to extend the battery-pack agreement with California-based Tesla, Automotive News says, citing comments made by Osamu Nagata, who heads Toyota's manufacturing and engineering in North America. Nagata also complimented Tesla for its "clear business strategy." Toyota, which owns 2.5 percent of Tesla, started the RAV4 EV collaboration in 2012, in which Tesla was to make about 2,600 battery packs for the all-electric SUV. That agreement was estimated to be worth about $100 million. "We are also evaluating the RAV4 EV program and will have more to say at a later date" – Toyota "We have a good relationship with Tesla and will evaluate the feasibility of working together on future projects," Toyota said in a statement e-mailed to AutoblogGreen. "We are also evaluating the RAV4 EV program and will have more to say at a later date." And while Toyota hasn't quite met initial sales expectations – it sold about 1,600 of the RAV4 EVs through this spring – the company expects to reach 2,500 by the end of the year. And the partnership did generate about $15 million in revenue for Tesla, according to that company's first-quarter letter to shareholders. That said, Tesla is obviously focusing its battery-making efforts on its own models.

Panasonic has an idea to be Tesla's one and only gigafactory partner

Samsung? Who's Samsung? That's what Panasonic is asking as the electronics conglomerate makes it clear it is looking to secure its position in Tesla Motors' plans to build a huge car-battery factory over the next three years. Panasonic is now saying it expects to be the only battery manufacturer partner for Tesla's so-called gigafactory, Reuters says, citing comments from Panasonic senior executive Yoshio Ito. Ito says his company has been in talks with Tesla about its construction plans, and while Samsung started supplying Tesla's batteries last year, Panasonic, which makes Tesla's lithium-ion cells, is looking for solo billing once the $5-billion factory goes live in 2017. All Tesla CEO Elon Musk has said so far is that he expects Panasonic to be the main partner in the gigafactory. Tesla, when contacted by AutoblogGreen, declined to comment on Ito's comments. Last fall, Panasonic and Tesla reached an agreement in which Panasonic would increase its supply of battery cells to Tesla by a factor of 10 within the next three years, and Panasonic says its already doubled its battery-production investment this year largely because of the California automaker. That said, Panasonic president Kazuhiro Tsuga said in March that there was significant risk involved in any investment in the gigafactory and hadn't committed to any investment as of that time. So Ito's comments may merely be a negotiation ploy. Tesla is looking for partners to shoulder about $3 billion of the $5 billion gigafactory cost. Earlier this month, Lux Research estimated that Panasonic has a 39-percent global market share for plug-in and hybrid batteries. NEC has 27 percent and LG Chem has nine percent.

Toyota's Lentz says fuel cells are the future, not EVs

Toyota is not bullish on EVs. That comes from the company's North American CEO, Jim Lentz, who said the company will focus not on electrification, but on continued hybridization with a long-term focus on hydrogen fuel cells.
Lentz questioned the long-range ability of EVs, saying that Toyota feels "there are better alternatives, such as hybrids and plug-in hybrids, and tomorrow with fuel cells." Lentz spoke about Toyota's focus on hydrogen following Forbes Brainstorm Green conference and barely a week after a battery deal between Tesla and Toyota ended, according to Automotive News.
That deal provided for 2,500 battery packs for the Rav4 EV. While valuable to Toyota, the deal "was never about open-ended volume," Lentz said. "It was time to either continue or stop. My personal feeling was that I would rather invest my dollars in fuel cell development than in another 2,500 EVs."

CARB scrapping plan for $60,000 limit on EV rebates

In April, we heard about a discussion within the California Air Resources Board (CARB) that would have put a $60,000 MSRP limit on plug-in vehicles that would qualify for CARB's $2,500 rebates. A new report in Silicon Beat says that CARB is once again ready to give EV money to everyone, no matter what expensive car they buy. There's no question that the CARB proposal would have had an inordinate effect on Tesla Motors, the only company selling a EV expensive enough to cost more than $60,000, the Tesla Model S. Okay, the Cadillac ELR plug-in hybrid would also have been affected, but that only would have applied to a small handful of people. According to Silicon Beat, the updated CARB proposal says clearly that, "at this time staff is not proposing any significant changes to the Clean Vehicle Rebate Project as part of this year's Initial Funding Plan." CARB spokesman David Clegern told Silicon Beat that, "It's fair to say [the $60,000 limit] been removed. I never say anything is dead until after the vote, but I'm not aware of any plans to revisit it." In other words, Tesla, you're good to go. We've asked CARB for confirmation of this, but have not yet heard back.

FTC staff comes out in favor of Tesla, direct vehicle sales

On the subject of Tesla Motors and its efforts to legally sell its electric vehicles directly to consumers without franchised dealerships, the FTC has taken aim at Missouri and New Jersey. The Commission hasn't made any nationwide decision on the subject quite yet, but in a May 16 statement it encouraged the two states to reconsider policies that would further prohibit automakers from selling directly to consumers. And the FTC didn't mince words, calling such laws an example of "protection that is likely harming both competition and consumers." This is much further than the FTC has ever gone before in support of direct vehicle sales. FTC didn't mince words, saying such laws were "likely harming both competition and consumers." The statement follows an April blog post from three FTC officials, who wrote that the anti-direct sales mandates were "protectionist" and "bad policy." Tesla has been doing battle with a number of states as well as lobbying efforts from the National Automobile Dealers Association (NADA), which represents 16,000 new car and truck dealerships representing about 32,000 domestic and international franchises. The NADA has been supporting dealers who oppose Tesla's direct sales for years. In fact, Jonathan Collegio, vice president of public affairs for the National Automobile Dealers Association (NADA), maintained that the states need to retain the right to regulate the automobile sales distribution channel. "These arguments ignore the fact that fierce competition between local dealers drives down prices both within and across brands. When three Ford dealers compete for the same customer, the customer wins, period," Collegio wrote in an e-mail to AutoblogGreen. "Finally, it's a major fallacy to compare buying cars with buying other goods, like books or computers. New cars are major purchases that require licensing, insurance, complex financing involving trade-ins, contain hazardous materials, and if operated incorrectly can cause serious bodily injury." Tesla representatives didn't immediately respond to a request for comment from AutoblogGreen. New Jersey and Missouri have both been in the news lately. Garden State politicos have created a bit of a grey area, first voting in mid-March to stop Tesla stores from selling cars starting April 1, then extending the deadline to April 15.