The first time I saw their EV sedan called “SU7” I thought “Hey, look, a Porsche Taycan!”. There is no secret that Chinese companies are stealing design besides Intellectual property. (see picture below)
Now, those who follow this newsletter know by now that the transition to EV means a once-in-a-decade shift:
ICE competitive advantage: proprietary engine, scale, design and distribution
EV competitive advantage: scale, design, distribution, 5-10x less spare parts, battery, and software capabilities (hint! New skillset: software)
You can read my essay below, but what I’d add are the following. Making the car means taking care of 5 things:
1/ E-motor
2/ Battery
3/ Hyper case
4/ Multimedia/entertainment
5/ Autonomous driving
Most of these are software problems, hence the easier transition from making phones to making (EV) cars. My essay, Su7
