Electric cars are becoming more and more popular every day as consumers begin to realize that they can be up to three times as efficient as a standard combustion engine. Although the first practical electric car was created way back in the late 1800’s and was commonly used for a while, once combustion engines were developed, the electric motor took a back burner.
However, since the global realization of the damage that greenhouse gasses and exhaust fumes, in particular, are having on the environment, electric cars are again, making a comeback. As good as this sounds for those who want to save money and the environment, it is not such an exciting time for the gasoline industry.
Gas sales have been on the decline steadily since the introduction of electric and hybrid cars, and could fall by as much as a fifth over the next 20 years. Although the electric car market is not rapidly increasing yet, with the strict environment guidelines that will soon be introduced by Europe and China it is expected to boom shortly.
With Tesla being one of the main leaders in the field of electric motors, they are hard competition to beat, especially when there is a talk of them releasing a car capable of driving 200 miles before needing to recharge. However, Ford feels confident enough to step at least up to the challenge of rivals, Tesla, and see if they can compete by investing $4.5 billion in this market. This cash injection will give them the ability to produce 13 different electric models of at least one is expected to compete with Tesla.
But, Tesla is not ready to let go of the gold medal just yet as they plan to reveal a new model in 2017 called the Model 3. This little beauty will be able to buy from around $35,000 if you can get your hands on one. It is said that Tesla already has 325,000 people on the reserve list for the Model 3, generating a massive $14 billion in sales.
So, just what this boom in electric vehicles will do to the gas industry is still to be seen. Although it is fairly obvious there will be a hit of some sort, more electricity would be needed to produce the electric cars, so whether this will be enough to offset the decline in actual gas sales is yet to be decided.
More News To Read
- Nuclear Power Use Needs to Increase if The USA is to Hit 2030 Target of Lowering The Carbon Footprint
- Wall Street Hire AI’s to Interview In Hopes To Find Best Employee
- The Legend Is Back, But No Illegal Stuff This Time
- The Art of Advertising and How It Affects Our Brain
- Should Robots Have Human Rights?