Bubble, you degenerate, the word was Bubble, you think I’m scared to write the word Bitch? I’m not, and you probably didn’t think that. Jesus Christ. Ok let’s get into it.
Electric Vehicles have been captivating the minds and wallets of the stale and ancient automobile industry for a little while now. The auto industry has its perks since pretty much the entire world uses cars from time to time, but the industry has flaws within itself. Low margins, costly raw materials, and recession prone, the automobile is tough world to navigate but people will try. And EV’s or Electric Vehicles are in that very industry just a segment of it, so the problems that are attached to the industry almost automatically are attached to each and every automaker hoping to make a buck or two. EV’s in the past decade have gone from a tiny pocket of the car economy to the mainstream headline-making titan. It’s easy to see. Once we noticed the benefits and virality of Tesla, everyone wanted in. From the new guys to the old titans, the dollars were moving electric, and the auto makers move to where the dollars go.
But the hype has reached its limits, the house of cards that has been built out of dumb fucking VC’s funding, empty promises, and claims of production where there is none is crashing down. For the sake of making an argument, I’ll use the best two examples of glaring stupidity, and that is in the form of Nikola and Lordstown Motors Group. Both put the market in a frenzy but did not back up any of their talk. Both said production was rolling or coming soon, and production was not. Both have had to answer to lawyers and even the SEC on why these claims were made. Look those two buffoons are just the mascot of the problems within the EV world. Not only are companies that have nothing behind them getting money, but now the companies that are actually worth a damn can’t get the products or materials that they need. There has been a well-documented chip shortage that has been driving the price and buyers to all time highs for the lil computer thingies. Lastly, the overall growth of EV’s has not touched a fraction of the (maybe artificial) demand for EV’s. Charging networks, different road signs, different driving cultures, all play factors into what obstacles EV’s as a whole face today. You think everyone on goddamn planet earth is turning in their Honda for an Nio? Nah fam, that just ain’t how it works.
The Electric Vehicle Industry is starting to look a lot like a bubble from an outside perspective. But again, what the fuck do I know? EV’s are trending but behind the scenes they’re suffering. It’s a tough world to navigate but not impossible, with a bit more growth, EV’s are undoubtedly the future of the automobile.
Anyway, that’s my take on it. Until next time.- GS
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