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UAW sets up organizing committee at Tesla's Fremont factory
Mon, Jan 6 2014Tesla is happy to do things differently than other automakers, from the company-owned stores to the all-electric drivetrain. It also doesn't use union workers at its factory in Fremont, California (the former NUMMI plant, pictured). But now the United Auto Workers (UAW) is testing the waters for representation at the plant, according to a report in the San Francisco Chronicle. UAW President Bob King has revealed that the UAW has created an organizing committee in Fremont. How this would change things at Tesla – and whether it would be a good or bad thing – is not really known, but it would certainly make the EV company more like the Big Three in this one aspect. We heard rumblings of unions at Tesla in 2010, when Toyota and Tesla announced they were going to collaborate on developing EVs. At that time, the United Auto Workers said it wanted union workers back at the plant, especially some of the 4,500 who ended up unemployed after the General Motors/Toyota partnership that built cars at NUMMI was shut down. That didn't happen, but Tesla has called unionization a 'risk' to business in a financial report. Tesla CEO Elon Musk at least has a plan for running his shop both with and without a union. As he told Wired in 2009, "Most of our experienced factory workers come from unionized environments, and we asked them what benefit did they see in unions. They said, 'Well, if their boss was an asshole, they had recourse.' I said, 'Let's make a rule: There will be no assholes.' I fired someone for being an asshole. And I only had to do that once, actually." Tesla declined comment to AutoblogGreen about the new union rumblings, but when we spoke with Musk in 2012, he described the longer-than-average work hours: Right now we're working six days a week. Some people are working seven days a week – I do – but for a lot of people, working seven days a week is not sustainable. The factory is operational seven days a week but most people we only ask to work six days a week right now and, obviously, we want to get that to a more reasonable number. I think people can sustain a 50-hour work week. I think that's a good work week. If you're joining Tesla, you're joining a company to work hard. We're not trying to sell you a bill of goods. If you can go work for another company and then maybe you can work a 40-hour work week. But if you work for Tesla, the minimum is really a 50-hour week and there are times when it'll be 60- to 80-hour weeks.
Aftermarket carbon fiber rear spoiler for Tesla Model S is priced accordingly
Mon, Jan 6 2014Need a little something extra for your Tesla Model S? Robert Strohmeyer and EV Autosalon have you covered. The item is a thin rear spoiler, and it only costs $1,200. Strohmeyer sent AutoblogGreen an email about his new aftermarket parts company focusing on full EVs and plug-in hybrids. "Naturally," he wrote, "I started with the Tesla Model S" and the spoiler is the first product he's offering. EV Autosalon claims the very first of its EVA fiberglass spoilers was shipped last week and that more will go out next week. A few things to note. The spoiler – available in both fiberglass and carbon fiber - comes unpainted "so that [it] can be painted and installed by your local body shop of choice to match your Model S perfectly." The spoiler is meant to be attached to your Model S with 3M industrial strength body molding tape and will come with templates so that you can line up the spoiler with the edges of the trunk - you don't want this one to get put on crooked. The $1,200 price tag is for the matte or glossy carbon fiber spoilers. The fiberglass version will set you back $600, well below the cost of the official carbon fiber rear spoiler for the Tesla Roadster ($1,700). If you want an official rear spoiler for the Model S, you need to order it when you order the car (there is currently no option to buy one in the accessories section of company website), and Tesla will only put it on the $85,900 85-kWh Performance model. Tesla says the official spoiler will, "improve high speed stability" and will "reduce lift at the car's rear by 77% at highway speeds, with minimal range impact." Strohmeyer isn't making any performance claims about his aftermarket spoiler, but some members of the Tesla Motors Club like the look of it. Do you?
Analyst predicts GM will buy Tesla in 2014
Mon, 30 Dec 2013There's little question that Tesla has come at the automotive industry as an outsider. But will it last as an outsider for much longer? Not if you ask Yra Harris of Praxis Trading. According to USA Today, the veteran financial analyst recently predicted on CNBC that General Motors will try to buy Tesla in 2014.
It certainly wouldn't be the first time that GM acquired another automaker. It did just that when it purchased the rights to the Hummer brand from AM General in 1999 and completed its takeover of Saab the year after. But, of course, The General has since divested from both, shutting down its Pontiac and Saturn brands in the process. Daewoo and Oldsmobile are gone too, as is Geo. Chevrolet is to be withdrawn from Europe, and over the past few years, GM has sold its minority stake in Isuzu, Subaru, Suzuki and PSA Peugeot-Citroën as well.
Of course, none of these are dedicated electric carmakers like Tesla is, and the Volt may not be doing as well as Detroit had initially hoped. But does that mean it's ready to start expanding its brand portfolio again? With all due respect to Mr. Harris, somehow we doubt it - especially with Tesla currently enjoying sky-high market valuation. The company's market capitalization stands at over $18 billion - more than 100-plus times its earnings. That would make mounting a Tesla takeover a hugely risky and costly endeavor unless Wall Street tempers its stock value greatly.
Ford files trademark application for 'Model E'
Fri, 27 Dec 2013In early December, Ford filed an application with the US Patent and Trademark Office for the name "Model E." Historically, Ford never produced a Model E, and while automakers are known to file for trademarks they never use, some have wondered if the application might be used for a concept car.
Based on other recent events, though, it could be a legal move. In 2000 Ford sued an online start-up called Model E over the similarity of that name to Ford's industry-shaping Model T, but the judge dismissed the case citing lack of proper grounds. In August 2013, Tesla applied for trademark registration for Model E, and at the time, Ford said it would review the application. Tesla actually made two applications for Model E, one for automobiles and structural parts therefore, the other for "providing maintenance and repair services for automobiles," and there are plenty of theories about what the name could be applied to.
The Published for Opposition date for Tesla's applications is December 31, 2013, after which anyone who thinks they'd be harmed by Tesla being granted the trademark gets 30 days to register their issues. This is just speculation, but Ford's application - which was filed for automobiles only - might be about protecting what it sees as unwelcome encroachment on the name Model T, protection it wasn't able to enforce before when the stakes were only online and much smaller.
Tesla begins selling in China, despite lack of formal company name
Fri, 20 Dec 2013Car buyers in China can now start shopping for a new Tesla Model S. Only problem is, the California-based automaker doesn't seem to have hammered down a brand name for that market. According to Reuters, Tesla is still dealing with a trademark squatter for "Tesla" (or "Te Si La"), so in the meantime, it is a brand without a name.
Tesla has launched a website in China under the Tousule name, but it doesn't appear that will be the official nomenclature for cars sold in China. According to the report, a Tesla salesman in Beijing doesn't know when - or even if - Tesla plans to come up with a Chinese name for its brand. We reached out to Tesla for a comment on the matter, but we've yet to receive any response regarding this ongoing situation in China.
California grants Tesla $34.7 million tax break to boost production
Wed, 18 Dec 2013Tesla Motors' plans to expand just got a big boost, as the state of California has announced it will give the Palo Alto-based company a $34.7 million tax break to increase its production capacity. The EV manufacturer is being given a pass on sales and use taxes on up to $415 million worth of equipment, according to a report on the San Francisco Chronicle's website.
Tesla is currently on track to produce 21,500 cars, although the planned expansion should more than double that capacity to 56,500 units, adding 112 jobs at Tesla's Fremont factory. "I'm pleased we could take this action to encourage Tesla to expand its electric vehicle production in California, which will create green jobs and improve our air quality," State Treasurer Bill Lockyer said. The state estimates that between the additional jobs and (hoped for) increase in sales, it will recoup the costs of the tax break in more taxes.
Tesla not bought with Bitcoin currency after all?
Mon, 09 Dec 2013The story we posted about a dealership accepting Bitcoins as payment for a Tesla Model S is reportedly only partially true. Lamborghini Newport Beach instead used BitPay to exchange the electronic currency for US dollars before completing the sale, according to "Squawk on the Street" on CNBC.
"We found out that by using a little program that Bitcoin uses, which is actually BitPay, we would have received US dollars," Pietro Frigerio, general manager of the dealership, says in the interview. "It's like if you come into the dealership and you want to buy a Lamborghini using gold bars, we would not accept it. So you'd go out, exchange it, and you'd come back to us. That was how it worked [with the Tesla and the Bitcoins]."
Frigerio says that the dealership doesn't accept Bitcoin as a currency and only accepts US dollars as payment for its vehicles. That said, we wouldn't be surprised if using BitPay to turn Bitcoins into US dollars for the used Model S purchase was actually easier than going through a more traditional financial establishment. Head over to CNBC to check out the "Squawk on the Street" interview with more details.
Ohio Senate strips anti-Tesla amendment from bill
Thu, 05 Dec 2013Tesla's strategy to sell cars, such as the Model S, through manufacturer-owned retail stores has rubbed traditional franchise auto dealerships the wrong way. The battle between Tesla and the Ohio Auto Dealers Association heated up quickly over the past week because a proposed amendment to an Ohio road-maintenance worker safety bill (Senate Bill 137) threatened to ban Tesla stores in Ohio. The automaker asked for help from its supporters to fight the amendment, and on Tuesday all 12 members of the Ohio senate passed the bill without it, Transport Evolved reports.
After the vote, Tesla sent out an e-mail to its supporters thanking them for their help, which you can read below:
Dear Tesla Advocate,
Tesla says Germany concludes Model S fire probe without further action
Wed, 04 Dec 2013It was the perfect storm: three Model S fires in six weeks were enough for the National Highway Traffic Safety Administration (NHTSA) to start an investigation into the two US fires in mid-November, but as it turns out, the German government was paying attention too. According to Tesla, Germany's Kraftfahrt-Bundesamt (KBA), or Federal Motor Transport Authority, already has completed an investigation into the two US fires and the one in Mexico, found no manufacturer-related defects and will not take further measures.
According to a statement issued by Tesla, the automaker says it was contacted by the KBA about the post-crash fires, and it "provided the KBA with data and additional information regarding each of these incidents." The KBA subsequently sent a letter in German to Tesla saying the investigation was complete and that no manufacturer-related defects could be found. (Take a look at the letter here.)
Tesla Model S tops Consumer Reports annual satisfaction ratings [w/video]
Thu, 21 Nov 2013Despite all the bad recent publicity for Tesla, it would appear that its Model S customers remain the happiest of any automaker - or at the very least, they're just likely to respond as such in satisfaction surveys. For its just-released annual owner satisfaction report, Consumer Reports surveyed more than 600 Model S owners, which resulted in the all-electric hatchback receiving a top score of 99 out of 100.
These results come from surveys that are sent out to current vehicle owners asking them "Considering all factors (price, performance, reliability, comfort, enjoyment, etc.), would you get this car if you had it to do all over again?" and the scores are assessed based on how many respondents answer "definitely yes." The Tesla's impressive 99-percent satisfaction rates the highest among all of this year's responses, with the Porsche Boxster was a close second with 95 percent. Other class-leading standouts include the Subaru Forester, Mazda6, Volkswagen Golf TDI and Dodge Charger, which were each the top vehicle in their respective classes with 85-percent satisfaction rates.
The full press release is posted below along with a video detailing the institute's findings.