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Weekly Recap: The cost of Tesla's ambitious plans for growth

Tesla has ambitious plans for growth, and they won't come cheap. The electric-car maker said this week it plans to spend $1.5 billion in 2015 to expand production capacity, launch the Model X crossover and continue work on its Gigafactory, which is being built outside of Reno, NV. The company is also investing in its stores, service centers and charging network, which is expected to grow by more than 50 percent this year. Plus, it's still working on the Model 3, which is scheduled to arrive in 2017. "We're going to spend staggering amounts of money on [capital expenditures]," Tesla chairman and CEO Elon Musk said on an investor call. He then added: "For a good reason. And with a great ROI [return on investment]." They're bold plans, and Musk is clearly willing to put Tesla's money where his mouth is. That's why the company is projecting a whopping 70-percent increase in deliveries this year, for a total of 55,000 cars. A large chunk of that growth will come from the addition of the Model X crossover to Tesla's portfolio, and the company already has nearly 20,000 reservations for it. More than 30 Model X prototypes have been built, and it is expected to begin shipping to customers this summer. Musk said he's "highly confident" the vehicle, which has experienced delays, will arrive on time. The company also had more than 10,000 orders for the Model S at the start of the year. The big spending plans caused a stir, even though Tesla spent $369 million on capital expenditures in the fourth quarter alone. In a note to investors, Morgan Stanley analysts called the costs required to keep pace with Tesla's demand "eye-wateringly high," and said the $1.5-billion figure was nearly double their expectations. Still, Musk is not thinking small and suggested that his company could be as big in 10 years as Apple is now if Tesla's growth continues. His optimism comes as the company actually reported a $294-million net loss in 2014, more than its $74-million loss in 2013. The money, however, continues to roll in, and total revenues increased to $3.2 billion in 2014, up from $2 billion in 2013 and a dramatic surge from $413 million in 2012. More of the same is expected this year, and the company could reach $6 billion in revenue. As Morgan Stanley noted, it "seems Tesla is preparing to be a much larger company than we have forecasted." It's certainly spending that way.

2013 Nissan GT-R and 2013 Alpina B6 mix it up on track and street

Here we have Autocar making an unforeseen comparison: the Nissan GT-R against the Alpina B6 at Brands Hatch and on public roads. Steve Sutcliffe clobbers the circuit in the 3,828-pound, all-wheel-drive sports car, then sees how well the 4,114-pound, rear-wheel drive grand tourer does against it.
Sutcliffe says there are quite a few similarities between the two cars, but that's really only on the spec sheet. The Nissan's got two turbos attached to its 3.8-liter V6, 542 horsepower and 465 pound-feet of torque. The Alpina's got two turbos attached to its 4.4-liter V8, 532 hp and 528 lb-ft. But one's brief is to be a monster on the track, the other on the boulevard, and if there's anything the video demonstrates, it's each car's focus.

Basic Continuously Variable Transmission explained with Legos

In recent years, the search for better fuel efficiency and smoother shifting has produced automatic transmissions with double-digit gears. Alternatively, the same quest has boosted the popularity and usage of a different type of automatic transmission without any fixed gears, the continuously variable transmission, or CVT. YouTuber Sariel's Lego Workshop recently took the time to build a CVT demonstration model out of Legos to help explain how they work. Sariel begins by showing the model's input and output shafts that are parallel to each other. Each shaft has a cone attached to it, and they are inversely placed so that the large part of one cone is next to the small part of the other cone. The two cones are connected using a rounded rubber band.  By shifting the rubber band up and down the cones, the machine changes the effective ratio between the cones. So, a 1:4 ratio can be smoothly transitioned to 4:1. No clutch is required to operate the mechanism, and it eliminates hitches or pauses between gear changes. CVTs are also advantageous over 9- or 10-speed automatics in that they are far less complex and weigh less.  To demonstrate how the CVT operates in a vehicle, Sariel used a joke about Top Gear. The original Top Gear is represented by a faster-moving car that has the rubber band around the large part of the cone on the input shaft. Top Gear without former hosts Richard Hammond, Jeremy Clarkson, and James May is represented by a slow-moving car with the rubber band around the large part of the cone on the output shaft.  For an even more detailed explanation of how CVTs work — albeit one that doesn't involve toys — you can click here. Technology Toys/Games Nissan Subaru