News that Porsche’s Mission E is finally underway, with around €1 billion set aside to fund the project, has certainly set the electric car industry alight. This is a project which has been rumoured for some time now and could be the first real challenge to Tesla. As you might expect, this news has given Tesla bears much ammunition to attack the company but will Elon Musk sit back and let some other company take over his mantle?
Does the '1st to Market' phenomenon stand?
Historically, those first to market with new technology/services tend to fall by the wayside as others follow behind them once they have done the hard work. A mixture of improved marketing, improved technology, and perhaps a more structured approach to the future, often pay greater dividends for those following behind. There will be some experts focusing on the '1st to market' phenomenon as Porsche launches its Mission E project, but is this a fair representation of the challenges ahead?
Never underestimate tesla
Time and time again the '1st to market' phenomenon has evolved like a script but there are a number of reasons why Tesla will not roll over for anybody. This is a company with a focused and determined chief executive officer in the shape of Elon Musk. Tesla is a company which has invested billions of dollars in new technology and perhaps more importantly, has a reputation that money just cannot buy.
Let’s not forget that Tesla was pushing electric vehicles when nobody else would touch them. The alone ploughed on with research and development while others fell by the wayside and Tesla has taken on governments and regulators around the world while others have backed off. Unlike many predecessors in the '1st to market' group, Tesla is not afraid of challenges and competition. Indeed many would argue that Tesla performs better under pressure.
Is this a big gamble for Porsche?
Those with a liking for Tesla have already begun to point the finger towards Porsche, suggesting this is a market which could make or break the company’s future reputation. While a move into electric vehicles with a name like Porsche is risky, it will require significant investment and success will not appear overnight. But what are the choices going forward?
The fact remains that fossil fuels will eventually be phased out, no matter what the politicians and the automobile industry tells us. As a consequence, more companies will need to move towards more environmentally friendly fuel sources in the not too distant future.
Will consumers be the ultimate winners?
When we see companies like Tesla and Porsche going head-to-head, both will want to be the winner and build on their already awesome reputations. Therefore it is likely that consumers will see an array of offers and deals available and could come out of this battle as the major victors. It will be interesting to see whether the companies actually challenge each other head-to-head in specific markets and with specific types of vehicles or whether they give each other some room.
Whatever happens in the short-to-medium term, there will be no lack of news flow from these companies as they look to outdo each other on the public relations front!