It was General Motors that made the first foray into marketing electric vehicles with the EV1.
But, Tesla is likely the brand you most closely associate with electric cars today. In 2009, Tesla’s yearly revenue was $112 million, but as EVs have grown more popular, the company has grown too. The end-of-year revenue in 2022 was a staggering $81.4 billion showing just how the public has taken to EVs.
Investors are putting money into electric vehicle manufacturers as they see this as the future of road travel. The current Tesla valuation is around $175 per share which isn’t cheap. However, one analyst at Baird recommended buying Tesla stock as recently as February 2023 due to the huge potential growth in the EV market.
Just how big is the global EV market now?
From Tesla’s early days, the firm has grown into a global brand generating tens of billions of dollars each year. It is clearly the best-known name in the industry, but it is being joined now by some famous names.
Every car manufacturer from Kia to BMW it seems is producing electric cars now, and there are some impressive models available. The Lotus Avija costs approximately $2.8 million and has a range of 250 miles on just an 18-minute charge. Accessories and adapters make it easy for drivers to charge their EVs up on travels, and the price of these cars is dropping too.
Advances such as this, have led the industry to grow exponentially. The international EV industry was valued at $170 billion in 2022. However, by 2030 it is expected to be worth a whopping $1.1 trillion as more people switch to EVs.
Why are electric cars the future?
Transportation causes 30% of all pollution in the US now, so clearly any alternative that helps to reduce harmful emissions, and help the environment must be a winner right? Here’s why EVs are the future for road travel.
1. Charging an EV is easier than ever
More charging stations are available, and cars charge faster than before. There are now 130,000 plus public EV charging stations across the country, and more are planned. Soon, it will be easier to charge an EV in the states than to find a gas station.
Hertz, Pilot, and Tesla have announced funding for further charging stations, and the latter has also pledged to open up 7,500 of their current EV chargers to owners of rival brands during 2024.
Tesla uses proprietary chargers but drivers can now use any charger. Through the use of Tesla adapters, a driver can charge their EV in any charging station.
2. Charging times are shorter than before
A Tesla can be charged in just 15 minutes giving the car a range of 200 miles. While it takes a little longer to charge an EV than to fill a gas tank, it’s considerably cheaper.
Charging an EV from nearly empty to nearly full can cost as little as $10 up to $30. But, filling a small car’s gas tank will cost about $46, and bigger cars around $57.
3. They are more attainable than ever
Prices of EVs are dropping with Tesla making sweeping price cuts across its range of vehicles. Several manufacturers have lowered the prices of their entry-level vehicles including Nissan and Chevrolet.
This is important as many people would like to switch from gas to electric-powered cars. Making EVs affordable will reduce the amount of gas guzzlers on the road, and make the inevitable switch to an EV easier.
4. Countries and cities are banning gas-powered cars
Many countries plan to cease sales of gas-powered cars very soon.
Norway has set an ambitious target to halt traditional car sales by 2025, and they look to be on target. California and New York want gas-powered car sales stopped by 2035. And the benefits for residents will include less pollution leading to cleaner air.
These bans have likely helped push some of the traditional car manufacturers toward producing EVs.
5. Big names are getting involved
As mentioned already, some of the biggest names in car manufacturing are already producing EVs.
Jaguar Land Rover, Ford, BMW, General Motors, Hyundai, Chevrolet, and Kia, are all producing EVs now. Sports and luxury car manufacturers are not missing out either with Lotus and Porsche making EVs now. Even Bugatti is developing hybrids and planning an all-electric powered vehicle in 2030.
6. Fossil fuels will end
Statistics surrounding fossil fuel reserves vary, but there is little doubt that they are disappearing. The usage of fossil fuels has risen year over year, but the reserves are running low.
The METGroup reports that natural gas and oil will run out in around 50 years, while coal will last for another century. Switching to green electricity will reduce the need for fossil fuels.
If less fossil fuels are used, then air quality will improve, and there will be less pollution.
7. EVs require very little maintenance
EV owners can forget about oil changes, tune-ups, and all the fuss that comes with combustion engines. Even the brakes on EVs need changing less often due to regenerative braking.
In general, EVs are low maintenance compared to gas-powered cars. You don’t even need to go to the gas station to refill either.
Another benefit of owning an Ev is that you can use a Tesla charger or other appropriate home charging station to give your car a top-up while you relax on the sofa.
8. Electric vehicles aren’t limited to cars
Countries such as China are investing in electric buses as they drive forward their aim to ban gas-powered vehicles. There are also e-scooters and hoverboards, and electric bicycles are becoming popular.
Scooters and hoverboards may be limited in their use, but electric bicycles might be environmentally beneficial when used for commuting or local travel.
9. The range of modern EVs is impressive
Owners of gas guzzlers have long used the range of an average EV as an excuse not to switch to a greener mode of transportation. But, EVs have impressive ranges now. The Mercedes EQS has a range of over 450 miles once charged, and even the entry-level Chevrolet Bolt EV has a range of up to 270 miles.
Considering that the average gas-powered car has a range of 200 to 400 miles, electric vehicles are extremely comparable, and they cost less to ‘refill’.
10. Electric vehicles are more environmentally friendly
As fossil fuel reserves empty, and climate change causes environmental problems across the planet, everyone should be looking for green solutions.
Electric vehicles don’t create emissions and therefore don’t pollute the planet. Businesses can reduce environmental impact by changing fleet vehicles to EVs, and individuals will one day be able to take an electric bus to work reducing emissions further.
11. Long battery life
Traditional cars require batteries to run just like their EV counterparts. Regular car batteries only last 3 to 5 years, and many end up in landfills leaching lead and other toxic compounds into the earth.
EV batteries on the other hand can last up to 20 years, and as technology improves are only going to improve.
Summary
EVs are definitely the future in countries imposing bans on gas-powered car sales. Indeed, you may wonder just when the rest of the world will announce their plans to cut traditional car sales as they surely will.
Technological advances, improvements to battery life and range, and an abundance of charging options make EVs a highly practical transport option today. When you consider the environmental impact that gas-powered cars make, EVs will inevitably dominate the market sooner rather than later.
