Monday Dreams

Each day and each article moves the questions a little bit. We used to wonder, “Will EVs someday become as common as ICE? More common? The only option??”

But, as news comes in from around the world and from automaker projections, it seems, at the very least, we are heading for a world where EVs are always on the table. Loyalty to brand, dealership, and even style of vehicles may experience a shake-up as new options, challenges, and benefits roll out.

Ultimately, what has always been true still is: Treat the customer right, and they will do business with you and maybe tell their friends.

No matter if you’re selling gas-powered beasts, fancy little battery rides, or some sort of flintstone foot-propelled-dinosaur-wagon.

--

Huawei Is Putting More Focus On Selling EVs

At the recent Beijing auto show, Huawei made headlines with its rapid advancements in smart car technology. The company showcased its Qiankun system, which was developed in partnership with leading automakers like Audi. This move signifies Huawei's deepening engagement in the automotive sector and could have profound implications for the global auto industry.

• Market Influence Expansion: Huawei's venture into smart car technology could alter competitive dynamics worldwide, particularly in China. This might push global automakers to forge partnerships with Chinese tech giants to access the market and integrate cutting-edge technologies.
• Advancements in EVs: Huawei's innovations are expected to spur further developments and cost reductions in electric vehicles (EVs), making advanced features more commonplace and potentially boosting EV adoption globally.
• Supply Chain Shifts: With Huawei's demonstrated capability in manufacturing critical components like ADAS system chips, we might see a realignment in global auto supply chains, influencing where and how automakers source their technology.

Hertz Sells More EVs

Well, would you look at that? It's not just automakers who are desperate to sell EVs. 🥁

Hertz plans to offload 10,000 electric vehicles from its rental fleet in 2024 due to significant depreciation losses and a strategic shift following challenges in the EV rental market.

This move highlights the difficulties of managing an EV fleet and could lead other rental companies to reassess their strategies. The influx of used, low-mileage EVs into the market could make electric vehicles more accessible and affordable, influencing consumer perceptions and potentially accelerating the adoption of EVs.

Honda Wants to Sell More EVs

Honda has made a significant move in the electric vehicle sector by planning an $11 billion investment in Ontario, Canada, to establish a comprehensive EV value chain, including new assembly and battery plants for all-electric and fuel cell-powered vehicles.

What does this mean for Honda? A few things.

• They're looking to be a major player in the North American EV game.
• The way EVs are done is going to be influenced by how Honda does business. Their innovative and affordable approach will bring some simple, quality, cheap options to the EV market that could lead to a shake-up of existing shares.
• Following the semi-protectionistic auto manufacturing rules in the US, the supply chain is shifting to favor more locally sourced, built, and sold vehicle options. Canada today, USA tomorrow?

What does it mean for dealers right-now-today in the US? It means the shape of competition, which never settles, is approaching a new season of unsettledness.

--

All these tech companies are breaking into auto, while auto companies are looking to leverage tech to meet consumer wants, needs, and demands.

So…

Who is more primed for success?

Tech vs. Auto

• 👩‍🔬 Tech Companies Learning to Make Cars
• 👨‍🔧 Car Companies Learning to Make Tech
• 🤔 Other (Tell us in a comment)

‍