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Battery price skeptic says Tesla's $35,000 EV won't happen [UPDATE]

UPDATE: The story's been updated to include a response from Tesla. It's a good thing Dr. Menahem Anderman doesn't run the Nevada state government. The longtime battery-technology researcher, who heads the Advanced Automotive Batteries conference, isn't buying Tesla Motors' claim that it'll get lithium-ion battery costs down to less than $100 per kilowatt hour within the next 10 years. That would be bad news, since that price will be key to the automaker's ability to make a $35,000 electric vehicle. The good doctor is instead pegging battery costs at about $167/kWh in 2025, and says they will "unlikely" drop below $200/kWh before the end of the decade. He makes a rather detailed case in his report, which can be found here (PDF). We all know how confident CEO Elon Musk has been on his company's price predictions to drop the price of a pack by "more than 30 percent." As for Anderman's estimates, Tesla is taking the high road, as company spokeswoman Alexis Georgeson, in an e-mail to AutoblogGreen, declined to comment directly on the report, choosing instead to defer to Musk's previous comments. Tesla has said its planned Gigafactory will provide the scale needed to bring battery costs down enough to make the $35,000 EV. By Anderman's estimates, the battery costs will be more commensurate to a $50,000 EV, which isn't horrible, but it's not the type of mass-market price that the industry (and Tesla stockholders, for that matter) are expecting. Earlier this month, Nevada offered an incentive package worth about $1.3 billion to Tesla, which is planning its plant near Reno. Battery-maker Panasonic is an investor in the factory as well.

Genesis wins J.D. Power Tech Experience Study for third straight time

The results are out for the J.D. Power 2023 U.S. Tech Experience Index (TXI) Study, which "focuses on the user experience with advanced vehicle technology as it first comes to market and is an early measure of problems encountered by vehicle owners." Its measurement metric is problems per 100 vehicles (PP100), same as with the J.D. Power Initial Quality Study (IQS). The takeaway this year isn't that owners aren't using advanced technologies, as was the case with the 2022 study, or that they're having more problems with them overall. It's that owners of battery-electric vehicles are having more problems with advanced tech than owners of ICE-powered vehicles. According to the study, 17 of 21 features that can be had on both propulsion types — such as remote parking assistance and gesture controls — get lower satisfaction ratings by owners of BEVs, in some cases nearly 20 PP100.  The survey organization says this tracks with what its found in the IQS, where total vehicle problems were "46% higher among BEVs (excluding Tesla) than ICE vehicles and satisfaction is lower among owners of BEVs across nine of 10 APEAL categories than among owners of ICE vehicles." Findings regarding biometric measurements are among those that go against the overall study findings. Whether a fingerprint reader or an eye tracker, car owners in general said "they do not consider them to be useful." In terms of ease-of-use and satisfaction, plug-and-charge capability on EVs gets good marks. This allows EV owners to plug into a public charger and have payment taken care of automatically; the vehicle communicates with any charging station compatible with an automaker's plug-and-play system, so the vehicle can automatically submit a bill for the charging session to a central owner account with no further action needed at the station. Survey respondents noted a mere 6 PP100 and an 88.9% satisfaction.    Among manufacturers, repeat winners took the top prizes. Genesis earned the highest rank for innovation overall and among premium brands for the third straight year. Hyundai not only won the tech innovation banner for mass market brands for the fourth straight year, ahead of Kia, GMC, Ram and Subaru, Hyundai finished in second in the overall standings. On that overall chart, the top five are Genesis, Hyundai, Cadillac, Lexus and BMW. On the premium chart, Genesis is followed by Cadillac, Lexus, BMW and Mercedes-Benz in the top five. It wasn't close from the first to the rest, though.

Tesla launches Model S in UK, says Euro factory could be upcoming [w/video]

With the first UK deliveries of the 49,900-pound (about $84,000 at today's rates) Tesla Model S completed, it's time for the company to get back to business. For CEO Elon Musk that means discussing a long-anticipated rumor - a dedicated European production facility to build the luxurious EVs from the ground up.
Obviously, though, such a hefty investment would need to be worth the company's while, which is why Musk told Automotive News Europe that sales will need to hit 160,000 units before a factory is considered. The company has recorded over 3,400 sales in Europe during the first four months of 2014, which actually surpasses the 2,000 cars sold in the US.
Tesla currently maintains a factory in the Netherlands, although it only installs batteries in cars shipped from Tesla's Fremont, CA facility, rather than building cars from scratch. The factory, in Tilburg, is set to expand, while a new research and development facility is set to open in the UK in 2015 or 2016, according to Musk.