Tesla’s electric vehicle switchover Hyundai Motor (005380)In addition, global automakers such as General Motors (GM), Volkswagen and other global automakers jump in one after another, causing controversy over’bubble’ in some companies. Even companies with no sales have soared their ransom only with anticipation for the future. Startups dreaming of a’second Tesla’ around the world have sprung up, leading to global funding, and it is an analysis that in the future, the intense jade stone will be covered.
Tesla is the No. 1 market share in the global electric vehicle market, but subtle changes are detected in detail. The electric car that sold the most in the European market last year was the Renault Zoe, not the Tesla Model 3. In Europe last year, a total of 75,7941 electric cars were sold, and Joe recorded the first market share (13.3%) with 10,657 units. During the same period, the Model 3 sold 86,599 units, followed by Volkswagen ID.3 (53,138 units).
Hyundai Motor Company launched last month’s first pure electric car Ioniq 5./Hyundai Motor Company
In addition, as Hyundai Motor recently released the first pure electric car Ioniq 5, the market is inclined toward existing automakers. Ionic 5 is known to be close to its annual sales target in the pre-contract made on the first day of its launch in Korea, while in Europe, the number of inquiries has reached 240,000 during the four days of launch. Andreas Christoph Hoffman, head of Hyundai Motor’s Europe Marketing Manager, said, “With super-fast charging, long-distance driving, and customized interior space, the Ionic 5 is a’game changer’ that will shake the electric vehicle industry.”
In an article titled’Why Hyundai Motor Can Be Tesla’s Next Major Competitor’ on the 27th of last month, US economic magazine Forbes said, “It is true that Tesla, who has never made a car, has pioneered the global electric vehicle market, but many companies do this. As it entered the market, the environment has changed a lot from the past,” he said. “In particular, Hyundai Motor, which launched the first pure electric vehicle Ioniq 5, which applied E-GMP, an exclusively developed electric vehicle platform, will be the biggest obstacle to Tesla’s future.” did.
Global automakers including Hyundai Motor Company are rapidly converting electric vehicles. After GM announced that it would stop producing and selling internal combustion locomotives by 2035, Ford also announced plans to release only electric vehicles in the European market from 2030. German Volkswagen plans to transform into an electric car company by releasing 75 electric cars by 2029, and Volvo also announced that it will transform into a complete electric car company by 2030.
Tesla production plant in Tilburg, Netherlands. / Courtesy of Tesla
If automakers that have led the automobile industry for more than 100 years respond to the electric vehicle era based on their long-standing technology, electric vehicle startups that have just started developing technology will inevitably be pushed out of the competition. An official in the domestic car industry said, “Because electric vehicles are also a means of transportation, the car makers that have built up technology and safety for decades to over a hundred years have no choice but to dominate the market.” BMW Group Chairman Oliver Rent also recently said, “Tesla will soon lose market dominance as global car makers are moving forward (in the EV competition).”
If automakers accelerate their conversion to electric vehicles, it is also expected that the survival game of electric vehicle startups, which had been focused on global funds, will begin in earnest. “It is difficult to say that the entire stock market has bubbled up, but the electric vehicle and renewable energy sectors are in an overheated state,” said Marco Colanovic, the head of quantitative analysis strategy of JPMorgan.
U.S. hydrogen truck startup Nikola’s hydrogen truck. However, questions about technology and production capacity have been raised. / Provided by Nikola
In fact, according to global market research firm LMC Automotive, Tesla’s market share is only 1-2%, but its market cap exceeds $800 billion (about 900 trillion won), far more than the combined market caps of GM and Ford. Lucid Motors, which has not yet started mass production of electric vehicles, is attracting money with its corporate value of $24 billion. The stock price of Churchill Capital IV (CCIV), a company for acquisitions (SPAC, SPAC), recently surged due to reports that it is discussing a merger with Lucid Motors. Chinese electric vehicle maker Viton, which has experienced bankruptcy once in a while, is still unclear about its business plan, but has disclosed plans to list it through SPEC.
If the leadership of the electric car market moves to existing automakers, the bubble in the electric car start-up market is likely to extinguish. For example, Nikola, who entered the NASDAQ market through a detour listing to produce hydrogen trucks, announced plans to cooperate with GM, but the stock price plunged after suspicion of inflating technology and production capacity was reported.
