. The Toyota Motors/Tesla Motors partnership is one of the numerous Tesla motors has developed in a quest for a mass-market, all-electric automobile. Is Tesla Motors going to keep floating with this excitement of an investment?
Tesla Motors now
Tesla Motors is a business that was founded in 2003 with the goal of creating all-electric autos. There are two Tesla Motors electric vehicles on the market right now — both more than $100,000. The goal of Tesla is to, eventually; bring an all-electric sedan to the market for under $50,000.
Toyota’s investment in Tesla Motors
The investment that Toyota and Tesla announced a couple of months ago was conditional upon Tesla completing an first public offering. Now that the TSLA IPO has been completed, Toyota motors will complete its investment. The now closed NUMMI plant can be purchased by Tesla Motors. Toyota will help advise Tesla on bringing a mass-produced automobile to the market.
Tesla Model S
The prepared Tesla Model S is intended to be an all-electric sedan automobile. The 300-mile range of the current Tesla roadsters is the range for the sedan that they want to hit. Tesla wants to sell the Model S for less than $50,000, which is considered the “midrange” price point for vehicles. Government tax credits combined with fuel cost savings are expected to add up to make this automobile more affordable for most buyers. The Model S is intended to make it to the market by 2012.
Other investments received by Tesla Motors
Tesla Motors has gotten investment from more places than just Toyota Motors. Daimler-Chrysler as and the U.S. Government has given Tesla Motors loans to help bring the Model S to market. Although there are operating losses each year, the investments still are coming. The hope is that with the IPO investment money, Toyota, the U.S. Government, and also the Daimler-Chrysler investment, Tesla might become profitable within the next three years.
