Bob Lutz On Tesla

"Jcarr" (jcarr) 08/22/2016 at 16:46 • Filed to: None

2

25

Quote from his “What I’d Do Differently” interview in the latest issue of Car and Driver :

“Tesla burns cash. It’s not a car company, it’s a cult of fanatics who think Elon Musk can do no wrong. But financially, it doesn’t work.”

What do you think? Old guard fogey scoffing at the new guy, or seasoned wiseman calling it as he sees it?

For Sweden > Jcarr 08/22/2016 at 16:48

1

He’s right

Steve in Manhattan > Jcarr 08/22/2016 at 16:49

0

He's wrong.

lone_liberal > Jcarr 08/22/2016 at 16:51

1

A little from Column A and a little from Column B.

My citroen won't start > Jcarr 08/22/2016 at 16:52

0

Crazy old bastard. He’s wrong.

Jcarr > My citroen won't start 08/22/2016 at 16:54

3

Crazy old bastard who’s had success at GM, Ford, Chrysler, and BMW, and had a hand in the development of the Chevy Volt.

SkyNet > Jcarr 08/22/2016 at 16:55

3

I recall saying the same thing about Amazon when I sold it at 126/share.

Yes, it burns cash now, but that doesn’t mean it’s going to burn cash in perpetuity.

Roadster Man > Jcarr 08/22/2016 at 16:57

2

And man was the Volt a hit!

Future next gen S2000 owner > SkyNet 08/22/2016 at 16:58

2

Building a car is a different animal than owning a warehouse and shipping stuff from it.

El Relámpago(LZone) - Humanity First! > Jcarr 08/22/2016 at 16:58

0

The guy is slowly losing it.

My citroen won't start > Jcarr 08/22/2016 at 16:59

4

“The unfortunate thing is that because electric cars are very associated with the left-wing environmental green movement to combat global warming and reduce [carbon dioxide], the idea of vehicle electrification triggers this visceral reaction on the part of conservatives — which is, if it’s electric it must be a product of the left-wing, Democratic enviro-political machine, therefore we hate it,” said Lutz, a self-described conservative.

Lutz, a Republican who once called climate change a “total crock of shit,”

Crazy old bastard.

xyzabc > Jcarr 08/22/2016 at 17:01

0

“There’s no better deodorant than success.”

-Elizabeth Taylor

xyzabc > My citroen won't start 08/22/2016 at 17:02

1

“I’m a big fan of fossil fuels for recreational use.”

- Bob Lutz

Urambo Tauro > Jcarr 08/22/2016 at 17:06

1

But financially, it doesn’t work.

I think he’s right. At least for now, anyway. Tesla seems to think that they’re investing in the future, and that will all pay off. They might be right, but until then, yeah it doesn’t look good.

Ash78, voting early and often > Future next gen S2000 owner 08/22/2016 at 17:10

1

This isn't Amazon from 20 years ago. Today Amazon very well may lose money on retail, but they don't give a damn — cloud computing is most of their cash, along with at least 20 other esoteric businesses. Netflix is their biggest customer. But all that said, Tesla has a long way to go on that front...maybe they'll get there with solar, but I'm not too optimistic.

SkyNet > Future next gen S2000 owner 08/22/2016 at 17:19

0

That’s a good point.

Future next gen S2000 owner > Ash78, voting early and often 08/22/2016 at 17:22

0

I refuse to use facts and logic in my arguments. This is the interwebs after all.

Frenchlicker > Future next gen S2000 owner 08/22/2016 at 17:31

0

Amazon is about as much of a company that ships from a warehouse as Tesla is a standard car company though.

El Relámpago(LZone) - Humanity First! > xyzabc 08/22/2016 at 17:33

0

“Success IS 99% Failure.”

- Soichiro Honda

El Relámpago(LZone) - Humanity First! > Urambo Tauro 08/22/2016 at 17:41

1

Money isn’t relevant in this equation. Tesla isn’t your typical car company. It’s a disruption. It is gradually changing the status quo, forcing the automotive world to accelerate the mindset shifting, that usually takes way too long.

xyzabc > El Relámpago(LZone) - Humanity First! 08/22/2016 at 17:42

0

“Sometimes a cigar is just a cigar.”

- Sigmund Frued

AfromanGTO > Jcarr 08/22/2016 at 17:42

1

“it’s a cult of fanatics who think Elon Musk can do no wrong”

Some of them appear this way. Especially the newer Tesla owners. The Tesla roadster owners were pretty cool, and bragged about having an electric Elise. The newer ones are douchey at times.

Urambo Tauro > El Relámpago(LZone) - Humanity First! 08/22/2016 at 18:13

0

I think you’re right.

Lutz’s quote makes sense, but I think that he’s only looking at Tesla’s current financial situation. Tesla doesn’t plan on burning cash forever. He might be right today, but perhaps Tesla’s gamble will eventually pay off and prove him wrong.

The other thing is that Lutz seems to be focusing on the financial aspect, and not the bigger technological picture. I can’t find the quote, but I thought I read somewhere that Tesla claimed to be more interested in pushing technology forward than in profiting. If that’s the case, the Lutz is totally missing the point.

just-a-scratch > Jcarr 08/22/2016 at 18:40

0

He may also have some stock in

just-a-scratch > Jcarr 08/22/2016 at 18:44

0

Lutz might just have some stock from a Tesla competitor in his portfolio. Wise prediction or not, he knows a lot of people listen to him. I think he has incentive to give opinions that will help his financial positions.

touring the brook - now with ZHP! > Jcarr 08/22/2016 at 19:56

0

I think he’s right, but he seems to have conflicted interests. He has previously said that he is excited to see where electric cars can go, but he also said climate change is a “total crock of shit.”