The Race For The Electric Car

Competition To Build A Viable Electric Car Heats Up, As Silicon Valley Gets Into The Game

(CBS)  Ray Lane is a senior partner at Kleiner Perkins, the venture capital firm that helped start Google and Amazon. Now, he's investing in three electric car start-ups.

"When I first started talking about the possibility of investing in automobiles, my partners thought I was crazy," Lane says. "We're not out of the woods yet, okay? I haven't proved I'm not crazy yet."

One of his startups is Fisker Automotive, the maker of the "Karma," a four-door plug-in hybrid like the Volt, with some added gee-whiz features.

For example, the car has a solar roof. "So this will generate electricity. It will not generate enough to drive the battery though, like the engine does," Lane explains. "It will drive enough electricity so you can be maybe cool the car while it's in the parking lot."

Some of the other start-ups in California are less conventional, like the all-electric, three-well Aptera, due out this Christmas. But one issue with all these cars is that much of the electricity to power them would come from burning coal, which produces greenhouse gases. So they're not necessarily the perfect green solution.

"Four years ago we had the hydrogen car. Three years ago there was ethanol. And now it's the electric car," Stahl remarks. "In each case, there were such problems with them that everybody's focus moved onto the next thing. Isn't that going to happen again with these electric cars?"

"It could. I mean…that is what Silicon Valley is all about," Lane says. "A good entrepreneur that fails, we will pick that person up, fund them again to do something new if it's a good idea."

"Is there any thinking with all these 30 little Henry Fords that we're going to crush Detroit?" Stahl asks.

"Some, " Lane says. "There was a company, it’s pretty well known, Tesla, for a long time believed that what would be their advantage is they had no car people. No Detroit people. 'We're going to build a vehicle company exactly like we would build computer company. So it’s, when you have your car repaired, it’s going to be like going into your Apple Store. We'll give you a latte; you watch your car being repaired.' These are real statements. So they've certainly found out you cannot build a car company without car people."

"There's, sort of, this feeling of, especially in Silicon Valley, that people in the automobile business aren't very smart," Lutz tells Stahl. "And then, they get into it, and they find out, 'Holy Mackerel. Look at all this government regulation. Look at what everything costs.' And then once they're into it, 'Hey, this isn't an easy business after all.' And I think that's about the point where Tesla is right now."

"But these startups out in California don't have the union problems, the health care costs, the labor issues. These startups don't have boardrooms. They don't have nervous shareholders," Stahl points out.

"Yeah, but they have no experience in the car business," says Lutz, who thinks that outweighs everything.

[EV-lover]

If anyone is interested in learning more about this topic, there is an excellent book recently published which argues for the electric car and scrutinizes hybrids, hydrogen-based vehicles, and the automotive and oil industries as well as the government for their neglect of the electric vehicle as as viable alternative. It's called "Two Cents Per Mile" and it's a great starting point to understand the mechanics, history, and possibilities of the electric car. You can get it on amazon: http://www.amazon.com/Two-Cents-per-Mile-President/dp/0615293913/ref=sr_1_1?ie=UTF8&s=books&qid=1246464373&sr=8-1

[willkan1]

The problem with the electric car is the batteries. What is needed is a source of electric that is better than the batteries. I went to a local colledge and spoke to a physics professor. I told the professor that I have a theory for an invention that would solve all our energy and pollution problems. He grinned at me as if to say,"YA RIGHT". I told the professor that I needed someone to prove me worng so I could stop thinking about this. I am totally fixated. When the professor could not prove me wrong,he got angry,and said,"It will never work,but if it does,you will win a Noble Prize". I get so depressed to see all the money wasted,when I know that I have something better. We can solve it.org and the pickens plan makes me sick.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[lola328]

Curious: Where''s the moderator for this blog, one that should eliminate all these redundancies???

As Leslie Stahl said, Tesla is not for the commoner. What is need is a more affordable vehicle which has a performance similar to Chevy Volt but costs less. Actually, I have a patent pending invention that addresses the twin needs of an economical electric car for daily use (which is 95% of the time), and the flexibility to use it on vacation. I disclosed the invention to GM and Ford but they were not interested. The cost of the vehicle is expected to be the same as Toyota Prius. Anyone interested in licensing this technology can contact me at [e-mail]

Sincerely,
Narayanan Subramanian

[strmrnnr]

This should have started 20 years ago when the other countries did. North America was behind on the Hybrid Cars and they likely will be on the Full Electric Cars. The only thing that may save them in the Nanotechnology which allows for the superstregth to weight ratios to be added to the designs.

[claydowner]

The all electric plug-in car with a 100 mile range needs to be mass produced by the the Big Three automakers. Nearly, 90% of Americans drive less than 40 miles per day. If the car has a 100 mile range this will eliminate our need to import oil. Now imagine 250 million electric cars. Israel and Denmark are building all electric cars with a 100 mile range. Shai Agassi, Israeli businessman, has spearheaded the electric car with "Project Better Place". By 2020 Israel will have mostly electric cars. Denmark will follow suit. Combine Shai Agassi with T. Boone Pickens and you could get a comprehensive energy program eliminating oil almost entirely.

American corporations are very short sighted and ignorant. We all know oil is a finite resource that is going to run out even faster with China and India industrializing. We will have one billion cars by 2020 up from 800 million today. Remember we need to invest heavily into solar, windpower, and geothermal. Electricity from coal is a lot better for the environment than gasoline cars spewing out pollution and CO2. Electric cars CAN WORK VERY WELL. The status quo oil consumption economy has strong entrenched defenders. We need to start a major program to bring the all electric car to the market. The other nice thing is that all electric cars require very little maintenance. Once they get marketed they will sell like hot cakes.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[doctks]

This man is a large part of the reason that GM is suffering and will continue to do so for a very long time. He has no vision for the future whatsoever. He is extraordinarily dim, stubborn, and myopic in his belief that our existence on this earth has caused no significant distress.
One other thing I must mention is that trickle down economics doesn''t work because of people like this. How can he possibly need or use two jets and two helicopters. My bet is that he purchased these with all the income he made while GM was posting all those enormous profits over the last several years. Anyone dumb enough to purchase a GM car or who owns GM stock certainly has to feel stupid after watching this. Thanks for your excellent coverage. Sincerely,
Ted Sullivan

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[dirttrucking]

Those guys from california need to be given more credt since they are putting their own money into the projects, unlike GM which has asked the gov''t for money to re-tool??? Yet their CEO is quite a wealthy man who does not dare put his personal money into these ventures. As if that is not enough, the new legislation has a clause that will give all Americans a $7,000.00 rebate to all those that buy a VOLT! Gm is a major corporation that needs to quit contributing to those problems that have brought our Country into the state it is in. Lutz is a greedy --- whose only concern is his wealth.

[pytrboaz]

You hit the main point about "all electric cars" and then let it go when you should have hammered the point. How is the elctricity produced to recharge these vehicles?
With elctricity from power plants. Here in the south a large part of our elctricity comes from hydroelectric dams. However with the global warming we are experiencing record droughts. So more and more of our elctricity comes from coal burning plants. These do not have the stringent Epa requirements of autos as to emissions. A 20 % switchover of cars to all electric would wreck the south''s ecology.
Also we are experiencing constant at random brown outs. One night diner cooks in 1 hour. The next night it takes two or three hours.
That 20% move to all elctric cars would cause us to have rolling black outs.
Here in the south Air Conditioning is not a luxury. It is a necessity. In the days before wide spread usage of AC the most common form of death was from heat prostration and heat related heart attack. If you visit an old cemetary you will be struck by the numbers of deaths at realative young ages in June, July, August, and September.
Introduction of AC brought on by cheaper electricity rates these fatalities declined markedly. If we increase demand on our electricity while we are allready at crises levels we will return to those grim old days.
The all electric car just is not the answer. Perhaps a hybrid that never or rarely needs to be plugged in is the answer.

[aerhed]

Very fluffy, very lame, big giant Duh! Leslie do you feel smart?

[keating54u]

www.keatingeconomics.com

McCain Received $166,000 In Campaign Contributions from Charles Keating and his Associates.

McCain Used Keatings Private Planes on Nine Occasions

McCain Had Direct Financial Ties To Keating

When the story broke, McCain did nothing to help himself. ''You''re a liar,'' McCain said

when asked about the investments. He challenged reporters saying, ''It''s up to you to find that out, kids......

[lamboatseb]

I watched the story and was dissapointed that the Aptera was not given in -depth coverage. here is a car that will go into production in 90 days, costs Around 30,000,goes over 100 miles on a charge,and has over 3000 deposits by waiting customers.