CBT automotive newscast: September 7, 2022

Inside Automotive:

How subscription startup Autonomy is reducing consumer doubt about electric cars — Scott Painter | Founder & CEO
Early this year, NextCar rebranded as subscription startup Autonomy, which allows consumers to ‘subscribe’ to electric vehicles month-to-month for an all-in fee. Today on Inside Automotive, we’re pleased to welcome back Scott Painter, Founder and CEO of Autonomy, to discuss the company, and his latest partnership with AutoNation, the largest dealership group in the US. We’ll also dive deeper into the state of EVs and electrification today. Watch the complete segment here.

Headlines:

Toyota is increasing its investments in electrification to speed up future production and development. Toyota’s Chief Technology Officer Masahiko Maeda recently told journalists, “We aim to reduce the battery cost per vehicle by 50% compared to the Toyota bZ4X in the second half of the 2020s.” The automaker announced $2.5 billion dollars of investments in a battery manufacturing facility in North Carolina and an additional $2.82 billion dollars to be earmarked for two properties in Japan. These moves will put Toyota in complete control of its battery manufacturing process. Read More

Tesla stock was upgraded to ‘outperform’ from ‘peer perform’ over the weekend in light of the newly passed Inflation Reduction Act, says Wolfe Research. Wolfe analyst Rob Lache estimates the company may net close to $11 billion in government incentives by 2025. Lache said Tesla may be, “The only OEM positioned to achieve the full 75 hundred dollar purchase credit for the vehicles that they sell in the US Before mid-decade.” Earnings per share estimates in 2023 and 2025 rose to $7.40 and $16, up from $12.70. Read More

17 US states are now considering whether or not to follow California’s example by requiring all new cars, pickups, and SUVs to be electric or hydrogen-powered by 2035. Under the Clean Air Act, states must follow the federal government’s vehicle emission standards or at least partially opt to follow the stricter requirements laid out by California. Five states are expected to follow California’s lead, including Washington, Massachusetts, New York, Oregon, and Vermont. Some, like Minnesota, are facing legal battles related to the issue, and in Virginia, the matter is getting political pushback from state legislators. Read More

Critical mineral miners say the US doesn’t have the resources or capacity to produce the amount of lithium needed to keep up with nationwide EV production goals. Under the Inflation Reduction Act, President Biden hopes to reduce the percentage of all new purchases of gas-powered vehicles to 50% by 2030. The growing demand has caused the price of lithium carbonate to nearly double this year alone, and the price is projected to grow by 40 times over the next two decades, with the majority of the supply coming from outside the United States. Read More

News & Opinion

How (and why) IoT technology can bring value to your auto dealership
The Internet of Things commonly referred to as IoT, is a network of physical objects embedded with sensors and connected to the internet. This allows these objects to collect and share data about their surroundings and interact with other devices on the network. Inventory management is critical for any business, but especially for auto dealerships that need to keep track of vehicles in stock and ensure they can meet customer demand. IoT technology for inventory management systems can provide real-time data on vehicle location, stock levels, and customer preferences to help you make informed decisions about your inventory. Read More

4 strategies to manage vehicle servicing in an ICE and EV world
The rise in popularity of electric vehicles, thanks to a combination of consumer demand and regulatory efforts, will drive a significant increase in their market share over the next two decades. Yet even as sales of internal combustion engine (ICE) vehicles are replaced by EVs, analysts predict that only a third of the US car market will be electric by 2030, rising to nearly half (45%) by 2035. That means our roads and driveways will be shared by a mix of ICE vehicles and EVs for the foreseeable future. And while these two generations of mobility can exist in harmony on the road, the maintenance needs of EVs can differ significantly compared to their ICE equivalents. That means fixed operations and auto repair businesses face a complicated future as their customers begin to switch over to electric. Read More

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