[Ira]

Tesla makes a good acquisition candidate by a major car company for the following reasons:

1. CARB ZEV credits - Why pay Tesla for the right to sell your cars in California? http://insideevs.com/model-s-could-earn-tesla-up-to-250-million-in-carb-zev-credits/.

2. Elon tweeted yesterday - "Tesla could be acquired at some point in the future."

3. Toyota already owns a significant stake in Tesla - "Toyota Tesla" has a nice ring to it.

4. Market penetration - An acquisition by a big car company would give Tesla access to every major automotive market.

5. People's car - Although the Model S has a proven track record, it's still too expensive for most buyers. Tesla is planning a $30K model to address that.

 

[smoothoperator]

Tesla makes a good acquisition candidate by a major car company for the following reasons:

1. CARB ZEV credits - Why pay Tesla for the right to sell your cars in California? http://insideevs.com/model-s-could-earn-tesla-up-to-250-million-in-carb-zev-credits/.

2. Elon tweeted yesterday - "Tesla could be acquired at some point in the future."

3. Toyota already owns a significant stake in Tesla - "Toyota Tesla" has a nice ring to it.

4. Market penetration - An acquisition by a big car company would give Tesla access to every major automotive market.

5. People's car - Although the Model S has a proven track record, it's still too expensive for most buyers. Tesla is planning a $30K model to address that.

From what I have heard I think Elon has lost a bit of interest in Tesla. He likes to build companies and develop the technology. I think the thrill in Tesla is gone at this point and he is more interested in Space X or some of his new planned ventures (i.e. Hyperloop).

 

[Ira]

From what I have heard I think Elon has lost a bit of interest in Tesla. He likes to build companies and develop the technology. I think the thrill in Tesla is gone at this point and he is more interested in Space X or some of his new planned ventures (i.e. Hyperloop).

That's Reason #6. Well-stated, Smooth.

 

[SoCalGuy]

Personally I think it would be terrible if Tesla got acquired by a major auto - it would devastate a strong customer-oriented culture as well as the spirit of entrepreneurship and innovation that characterizes Tesla. No major auto could have developed the S platform for less than $3-5B - that is 5-8x what it cost Tesla to develop.

 

[NJFISKERGUY]

Elon always said he would sell it at some point.

 

[Ira]

Reason # 7. The DOE loan paid off.

Elon said he would accelerate payments. Considering the California ZEV credits the company is receiving, upwards of $250M, he's definitely in a position to do that. Hmmm . . . using taxpayer money to pay down a taxpayer loan. Sweet.

 

[smoothoperator]

After what Tesla stock did today I think it would be smart to shop the company. The value is currently at an all time high. Who knows what will happen in the future (recall, Model X uncertainty etc). Right now there is enough upside for it to make sense. Personally I am not sold on there being this kind of demand for the Model S long term. I think a part of it is pent up demand.

Happy camper over here I can sell some TSLA shares and buy another Karma .

 

[Sandy Eggo]

Happy camper over here I can sell some TSLA shares and buy another Karma .

That's the spirit !!!

 

[Dutch]

Reason # 7. The DOE loan paid off.

Elon said he would accelerate payments. Considering the California ZEV credits the company is receiving, upwards of $250M, he's definitely in a position to do that. Hmmm . . . using taxpayer money to pay down a taxpayer loan. Sweet.

ZEV-money isn't taxpayer money! This is a misunderstanding. It's money paid by other car manufacturers. They fail to meet the requirements set by the CARB for producing enough clean cars and can buy ZEV-credits to compensate for this. That money then goes to clean car companies like Tesla, who have ZEV-credits they can sell.

 

[Ira]

Good point. The only taxpayer money involved appears to be in administering and regulating the program. California Air Resources Board (CARB) explains ZEV credits here:

http://www.arb.ca.gov/msprog/zevprog/zevcredits/2011zevcredits.htm

Note that Fisker isn't listed and Tesla and Azure Dynamics are the only manufacturers with zeros in all of their credit balance columns as of 9/12. In case you haven't heard of Azure, you can get more info here:

http://www.thetruthaboutcars.com/20...nds-ford-transit-connect-electric-production/

This makes what Tesla has accomplished look even better.

 

[smoothoperator]

Regardless of who is paying for the ZEV credits it is still a subsidy