Summary Tesla’s explanation of vertical integration benefits from a SolarCity acquisition belies a lack of understanding of what vertical integration means and its associated benefits and costs. The Tesla identified forward and backward integration benefits created from a SolarCity acquisition are murky at best and do not necessarily correspond to traditional vertical integration value levers. […]Read more "Disproving Elon Musk’s “Vertical Integration Theory” for Tesla-SolarCity Deal"
Summary Elon Musk about to reveal Tesla Master Plan 2. A large part of the first plan was not successful. Analysts are starting to lose hope for the stock. Someday there will be a book written on how just a few words on Twitter can dramatically move a stock. The lead example will most likely […]Read more "Tesla MasterPlan 2 - A Reminder of the Past"
Summary More reports of Tesla autopilot users getting into accidents are emerging. While many have already commented on Tesla’s handling of these incidents, I comment on the technical side of the autopilot technology Tesla is using. Aside from product management issues, Tesla’s approach might not lead to fully autonomous driving in principle. A self-driving car […]Read more "Tesla’s Cheap Approach To Autopilot Might Not Lead Anywhere"
For Tesla, the Forecast Is Partly Cloudy - WSJ SunEdison’s Icarus-like fall offers a cautionary tale for Elon Musk’s proposed SolarCity hookup. Tesla has been in the news lately following a fatal accident in Florida involving one of its Model S electric cars running on autonomous cruise control, called Autopilot. Discussions about the future of […]Read more "For Tesla, the Forecast Is Partly Cloudy"
Summary Tesla has proposed an exchange of shares that at the midpoint equates to paying $27.50/share for SCTY. The market is telling us this deal is no good. Just how bad is this deal? We crunch the numbers and show that, even in the most optimistic cash flow scenario for SCTY, Tesla should pay no […]Read more "Tesla uses Investors $7.4 Billion to bail out SolarCity"
Deadly Tesla Crash Exposes Confusion over Automated Driving Amid a federal investigation, ignorance of the technology’s limitations comes into focus How much do we really know about what so-called self-driving vehicles can and cannot do? The fatal traffic accident involving a Tesla Motors car that crashed while using its Autopilot feature offers a stark reminder […]Read more "The Science of Automated Cars and an Impatient Business"