<story><title>Tesla&apos;s market cap now accounts for roughly 1/3rd of the global automaker market</title><url>https://datamentary.net/psa-tesla-may-soon-be-as-big-as-all-other-automakers-combined/</url></story><parent_chain></parent_chain><comment><author>RivieraKid</author><text>The stock price increased by 15x in 1.5 years on basically no major news. If you don&amp;#x27;t include profits from regulatory credits, they&amp;#x27;ve lost over $700M so far this year. Government money is not scalable or sustainable, so this an important indicator of how their finances are doing.&lt;p&gt;The intuition is that Tesla cars are like iPhones. I think it&amp;#x27;s wrong. This is a low-margin business, where you increasingly compete with &lt;i&gt;all&lt;/i&gt; of the goods and services people buy, like housing, education, healthcare. It&amp;#x27;s not a &amp;quot;buy a new phone for Christmas every 2 years&amp;quot; business.&lt;p&gt;People are on the phone all the time, so paying $200 more for an improved experience for several hours per day is justified. But paying $5k or $10k more for an improved experience for 1 or 2 hours per day? If you&amp;#x27;re rich, maybe. If not, why not move closer to your work instead, so you don&amp;#x27;t have to use the car? Why not take a longer vacation, or eat out every day, or retire earlier, or pay for your kid&amp;#x27;s college education?</text></comment>
<story><title>Tesla&apos;s market cap now accounts for roughly 1/3rd of the global automaker market</title><url>https://datamentary.net/psa-tesla-may-soon-be-as-big-as-all-other-automakers-combined/</url></story><parent_chain></parent_chain><comment><author>Gustomaximus</author><text>I assume the high value is more about Tesla being more than a car company.&lt;p&gt;1) If they win the self driving race that will be incredible value beyond just manufacturing cars.&lt;p&gt;2) Battery manufacturing in general is huge on its own.&lt;p&gt;3) The roof top combined with domestic battery side is potentially significant in replacing (full or part?) domestic power companies&lt;p&gt;4) Insurance - Musk said this could grow into 30-40% of their business&lt;p&gt;5) Super charger network gives them a first advantage to replace petrol stations to a degree.&lt;p&gt;6) Elon factor of what&amp;#x27;s next.&lt;p&gt;And dont get me wrong, I do feel its gone beyond reasonable value, but there is more than a car company there.</text></comment>