• tankplanker@lemmy.world
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    16 hours ago

    The problem is that they did not build battery factories quick enough, they sat on their hands waiting for massive hand outs to pay for the factories rather than investing. All while profiting off existing investment in ICE that is high return at this point in its life cycle. So they ended up making more profitable per unit halo models like the F150 that they do not need to sell in high volumes to get a return on.

    Batteries are about half the raw cost of an EV, if you paying somebody else to make it for you its going to be more expensive as they will want to make a profit and you are stuck being able to buy ever how many they want to sell you. In practice they have ended up funding a competitor to develop battery tech as well.

    Lowering battery cost is the secret to cheap prices, you cannot truly compete until you make your own batteries in high volumes.