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Recharge Wrap-up: Tesla Gigafactory gets high-tech neighbors, BMW i8 still comes with a long wait

Switch plans to build a large data center near the site of Tesla's Gigafactory battery production facility in Reno, Nevada. The 3 million square-foot facility in the Tahoe-Reno Industrial Center will cost $1 billion to build, and eBay is expected to be the main tenant when the first portion is finished in 2016. Apple is also building a data center nearby. One draw for companies like Switch, Apple and Tesla is access to the region's clean power, and the Reno area could become the next big center for high-tech manufacturing. Read more at GigaOm. Daniel Sparks of investing website The Motley Fool has shared his insights after living with the Tesla Model S for four months and 10,000 miles. After driving his 85-kW version through various conditions, including a 2,200-mile road trip, Sparks is optimistic about the car and the company behind it. From his experience, he says that charging is easier than most people believe, and that range anxiety isn't a problem. He calls Tesla's growing Supercharger network a "game changer," citing their quickness, availability and the fact that charging is free for life. He also says that most people seem to know very little about the car. Still, he calls Tesla stock "pricey" with the growth already priced into the shares. Read more at USA Today. The wait for a BMW i8 is about a year, despite efforts to ramp up production. BMW is reducing production of the i3 in order to increase the number of i8s by more than 50 percent for 2015, but the bigger batch won't become available in the US until October. Ludwig Willisch, CEO of BMW North America, says that he doesn't expect cheap gas to slow sales of the i3. He also denies rumors of an i9 positioned above the i8. The new 7 Series appears to be taking some cues from the i8, though, with carbon fiber, magnesium and aluminum construction, as well as improved connectivity. Read more at Automotive News.

Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

Recharge Wrap-up: BMW i app for Apple Watch, Tesla certified pre-owned web page

BMW has introduced ConnectedDrive and BMW i remote apps for the Apple Watch. The apps can show users battery and charging status, give service alerts, and control certain vehicle functions from the wearer's wrist. It can tell the owner if the doors are locked, or if the sunroof or trunk is open. Users can activate the climate control remotely from their watch, or honk the horn to help find the car in a crowded parking lot. It can even guide the owner back to the car using the navigation system. Read more in BMW's press release below. Higher octane gasoline could provide better fuel economy. According to a panel at the SAE World Congress that included folks from Ford, General Motors, Chevron and an ethanol group, a higher-octane fuel could boost fuel economy by three to six percent and reduce CO2 emissions by two percent. While higher octane fuel is more expensive, building cars calibrated to higher octane ratings could help automakers raise fuel economy and meet CAFE standards. Cars not calibrated to the higher octane levels would likely not see any significant benefit in fuel economy. Read more from Automotive News. Tesla Motors has added a Certified Pre-Owned section to its website. Tesla didn't make any announcement before it quietly added the CPO page. The used Model S electric cars sold by Tesla include a warranty good for four years or 50,000 miles. Plus, the cars have been inspected by technicians at Tesla to make sure everything is in working order and up to company standards. Explore the page yourself, and read more at Teslarati. BMW ConnectedDrive and BMW i Remote app. World premiere: Apple Watch controls functions of BMW i models. Munich. BMW is pressing its claim to automotive brand leadership in the world of mobile vehicle connectivity through its BMW ConnectedDrive technology. As the BMW i Remote app confirms, nowhere else is the link-up of driver, car and outside world raised to such an advanced level. The app can already be used to remotely check and control functions of BMW i models. It is an application that customers will also be able to use from day one on the new Apple Watch, due for imminent release. Apple Watch uses the BMW i Remote app – which can be downloaded free from the Apple iTunes Store – to keep users updated on the car's current battery status, for example, and alert them when the high-voltage unit is fully charged.