Could Apple save Tesla?


  1. Tesla stock is in free fall and hasn't reached terminal velocity yet. It is a fraction of the valuation it once was, and it doesn't appear to be slowing. If it continues this trajectory, it could be in the teens faster than it left them when the government started printing easy money. Tesla will be a ridiculously easy takeover especially financially
  2. I don't think this descent is due only to the loss of easy money. Musk has invested a huge portion of his holdings, focus, and time into Twitter. He's got a lot riding on that venture, and it seems to have consumed him. Even more, I'm seeing more and more complaints and examples of ridiculously poor quality detailing on Tesla vehicles. They had a good thing going, but it's slipping now. Obviously slipping in value, but also in quality, and competition is hitting them from every angle now.
  3. Apple has an interest in producing next gen cars, and they have the customer base, loyalty, apps and services and entire ecosystem to compliment “smart” cars. If anything, Tesla has advanced technology in cars. Apple could push their design, quality, and technology to an entirely new and better level. It would be a turnkey solution to their “Apple Car” interest, compliment their stack of technology and services, and possibly even keep Tesla cars relevant in the face of mounting competition.

I seem to recall in the not so distant past that Musk was interested in selling to Apple, then experienced rapid increase in stock valuation and changed his mind. The two brands and stacks of technology compliment each other well. With Musk shifting his interest to social media, it might be a great time for Apple to come in and save Tesla… save their shareholders… and take Tesla's quality and technology to the next level.


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *