In the midst of Tesla’s dominance in the electric vehicle market, General Motors said its new battery design could help it catch up with, or even surpass, the company led by Elon Musk within a few years. It seems that GM really thinks that its batteries could compromise Tesla’s dominance in the industry, in the same way that Android devices have been able to compete head-on with the Apple iPhone.
GM unveiled its $ 20 billion plan to start producing a competitive line of fully electric vehicles on March 4. CEO Mary Barra and her fellow colleagues noted that many of her efforts relate to batteries that have reduced the cobalt content. The battery design that GM plans to implement can also be changed in size or layout, making it versatile enough to fit a variety of vehicles, from small cars like the Chevrolet Bolt to massive trucks like the Hummer EV.
GM executives noted that designing a cost-effective and self-sufficient battery is crucial to the success of its next line of electric vehicles. Barra said that a range of 300 miles per charge is vital before consumers even consider buying an electric car. If a business can accomplish this in an affordable package, success will likely be close at hand.
Tesla’s dominance, particularly in the midst of the ramp-up of the Model 3, is comparable to the emergence of the iPhone in 2007. The iPhone has probably started to move away from flip and candy-type mobile devices bar to stylish touch phones. Android devices arrived shortly after, offering features that Apple’s iPhone simply didn’t have.
Tesla’s recognition as the “iPhone” of the electric car industry and GM’s position as “Android” of electric vehicles suggest that the seasoned automaker is ready to explore its options to compete with the experienced electric vehicle manufacturer. GM recognizes that batteries are the key to making its mark in the industry, and its modular customizable modular battery design is seen as the company’s response to Tesla’s advanced batteries.
“What matters most is the cost of the battery. If you can cut costs, you can get better range. Large automakers like GM have an advantage in terms of scale and global reach, “said Colin McKerracher, responsible for transportation analysis for BloombergNEF.
While GM currently owns electric cars like the Bolt, Audi e-Tron and Jaguar I-PACE, and Tesla’s line of vehicles has consistently outperformed the legacy automaker. This is due to several factors, including some of the conservative pressure from GM dealers for the otherwise formidable vehicle.
It remains to be seen if GM can solve the puzzle and start moving towards Tesla’s dominance in the electric vehicle industry. Competition among automakers can provide one thing for the future of sustainable transportation: a surefire way to increase technology as manufacturers aim to reconcile. And when that happens, it’s usually the consumers who end up winning.