When you talk about the price to the consumer I agree it can make sense...for the consumer. The 40K retail is a money loser for GM. The consumer electronics analogy is faulty IMO. While the Volt is "new" in the way it combines various items in the propulsion system none of the items are new tech. The designing of the Volt for production is still very typical of the auto industry. It costs alot to build because the parts are expensive.
As you note-the volume is up, and they still can't build it profitably for 40K.
The main drag, batteries, is a very mature industry and the cost will come down slowly. We are talking 200 years of work on electrical storage-this will not be a Moore's law situation.
This blog has gone over that subject many times with much expert testimony that we should not expect a miracle battery.
As I said, it may be a great car for 30K, but most companies can build a great 30k car for 60-100k. Once the consumer is faced with the Volt at profitable retail it is dead.
Sales should grow for a 60-100k car for 30k-duh-but a company can't do that for ever.
Please explain how the govt paid for 2/3 of the overhead of the Volt. Don't say it was the bailout, because it wasn't. The Volt had been in development for 5 years prior to the bailout. The government actually wanted to kill the program, but GM insisted it was vital to their success. By the time the bailout happened, all of the R&D was basically complete.
BTW Ford accepted billions from the govt for alternative fuels research just a couple years ago.
I can assure you the Volt is here to stay. It is a phenomenal car and sales have grown every month (with the exception of November due to low inventory). The Volt outsells over half of all car models sold in the US. No it's not selling like the Corolla, but it's also a very different car. Price is the big sticking point for a lot of people, but it will come down. Anyone remember the price of a DVD player or BluRay player when they debuted? $2000+. Now you can get one for 60 bucks.
You also have to look at the lifetime cost of the car. If you take into account the $1500 (est) a year you will save on gas, plus oil changes and other maintananced, the cost drops a lot. Add in a $7500 tax rebate and it's actually quite competitive. And also consider that is is a more upscale car than a base mode Cruze. It a joy to drive!
And don't complain about your tax money going to everyone else. It's a tax rebate, so it's my money that I get back, not yours. Oil companies get $4 billion in US tax subsidies every year. Subsidies are your money.
Kleetus is a perfect example of why hybrids and electrics are taking so long to hit the mainstream... misinformation. At current prices, these cars are not for everybody, but as demand goes up, prices will come down. Here is someone who thinks that hybrids and electrics don't have any power. "(I) would rather have a real car that can actually haul 4 normal adults at greater than the speed limit?" Prius does 90 smooth with 4 adults no problem (@ well over 40 mpg). It has no problem getting up to speed either. It is suprising... to the uninformed, that electric is powerful (not saying the Prius is a race car by any means).
GTOlover: Great car, but not great for commuting, they are for Sunday drives and car shows. I used to have one, and it got a wopping 8 mpg with the 455 I stuck under the hood with the Holly double pumper. I could have taken that on my trip and spent $853.00 instead of $140. If GTOlover has a substantial commute to work, the VOLT would, in essense... be FREE. LOL.
*** Why all the stink about tax breaks for hybrids and electrics? Why isn't anyone complaining about the billions of dollars in tax breaks for oil companies? Maybe we should, instead, make the annual tax on your car adjustable by it's rated gas mileage?
If I can get a Lexus for the price of a Corolla I would feel pretty good too!
But the price is just a fictional number on the Volt. Only a small group want it for a price it cannot be produced for, not even close. Not likely at volume.
It seems very difficult to get across to Volt owners that I am not saying it is a bad car, I am not saying they got a bad deal. I am saying that I do not believe it can be produced profitably at a volume attractive price anytime soon.
IMO the Volt will likely go the way of the EV-1. It is not a sustainable product and will not be very soon.
The Volt is solid, fast and quiet and can get over 100MPGe.
The ConverJ which should have been on the road for two years by now and which you will see in another week is an absolute stunner!
Yes, this is an unbelievable automobile and boldly displays that under great leadership Detroit can out innovate and out design anyone.
Perhaps if Bob Had not had that interlude with Exide, it might never have happened.
Sort of reminiscent of WWII... the Germans had their Messerschmidts and the Japanese had their Zeros and then we came out with the P 51 Mustang in collaboration with the Brits.
It was better, faster, more maneuverable, greater range, and far more beautiful.
The ELR is the Real Mustang!
And the Tesla represents the amatures vs the real pros.
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