TucsonPhil
1月前
A well reasoned response.
I believe the U.S. will increase oil production and net exports under the new administration. That should initially drive fuel prices down, until it forces the OPEC+ nations to restrict supply, in an attempt to drive prices back up.
Tensions within the Middle East will continue to rise, until some cataclysmic event, or miraculous peace accord, causes a huge shift in world markets.
In a distant EV future, petroleum lubricants will still be required within the drivetrain of EV, (bearings and rotating parts). Since use as a fuel will diminish, the price of lubricants will surely rise, in order to cover lost revenue from fuel production.
I see the PIF investment as a hedge against the eventual fall of their oil empire dominance. They have the capital to see this enterprise through to mass production and they would most likely decline any kind of merger/acquisition from Musk, but if the price is right, maybe.
Zilidium
1月前
Lucid Motors has significant backing from the Public Investment Fund (PIF) of Saudi Arabia, which holds a majority stake in the company. This relationship complicates any potential acquisition, as the PIF's strategic interests may not align with a sale to Tesla. Additionally, Lucid has been expanding its operations, including plans for a manufacturing facility in Saudi Arabia, further entrenching its ties with the PIF.
Given these complexities, even if Tesla deemed the acquisition advantageous, executing such a deal would be challenging due to Lucid's existing commitments and ownership structure.
Even if Elon wanted to buy Lucid with his personal private funds he would still need approval from Lucid Motors' board of directors and its shareholders and the PIF. Is this plausible, sure, likely? nope.
Which Is Better?
Determining superiority depends on individual preferences and priorities:
Performance and Range: Lucid's Air models offer higher performance and longer range in certain configurations.
Infrastructure and Experience: Tesla's established charging network and broader vehicle lineup provide convenience and versatility.
Brand Maturity: Tesla's longer market presence may appeal to those valuing a proven track record.
Both manufacturers excel in different areas, and the choice between them should align with the investors specific goals and preferences.
Nukemtiltheyglow
1月前
Zill, actually I used to ride a company subsidized vanpool to work 60+ miles one way. Since COVID, things have changed. Most people are telecommuting, working from home. That's about to end. People are not happy about driving 50-60 miles one way, fighting the traffic snarls on an overcrowded freeway. The stress levels are intense and increasing. I like the idea of EVs as I work at a Nuclear Power Plant. 3 things I see happening. The AI craze and buildout, EV usage increasing and (3) These two things alone will drive electricity demand way up so, we will require more electric generation. It's inevitable. So, three sectors to invest in going forward; AI, EVs and Electric Utilities. What's cool about Utilities is they pay a dividend. Very important when you consider people who are retired are usually on a fixed income.
double_m
2月前
double_m
Re: TucsonPhil post# 5705
Sunday, August 11, 2024 5:58:46 PM
Post# 5706 of 5722
The Saudis have come to the realization that the west is too busy swordfighting rather than commit, so they will target the mid-east market, starting with their own homeland. That's why they built that mega-factory in KAEC. I spent a lot of time in the region (Kuwait, Bahrain, Dubai, Fujarah, Qatar) and Hummers, Ferraris and Lamborghinis are always parked outside McDonalds and Dunkin' Donuts. There is a lot of personal wealth across the region and they love their toys with the latest technology.
Nukemtiltheyglow
4月前
Hi TucsonPhil,
How does a place like Casa Grande make for a good shipping point to European Markets? It's like saying Missoula, Montana is a good shipping point to European markets? I'm a native Arizonan and a fan of Lucid as I own shares, but I don't understand your point?
Don't get me wrong, I like Casa Grande and Lucid being in our state. Casa Grande has one railroad line and I-10 unless you know of something else? Magic carpet maybe? Inland waterway?
How do the cars get shipped economically? It has to be by Rail or Truck. Shipping by sea directly saves money. Maybe that's why Detroit besides being close to steel mills and the Great Lakes shipping is still in business, besides of course having plenty of skilled labor.
I ask the question? Why Casa Grande, AZ? I would venture to guess that land prices to build Lucid's factory had a lot to do with it? Plus, Casa Grande is between two large metropolitan areas with two major Universities nearby? UofA and ASU both have Engineering Colleges, however;
"ASU's Ira A. Fulton Schools of Engineering is the largest and most comprehensive engineering program in the United States."According to the following;
https://www.google.com/search?q=compare+asu+engineering+to+university+of+arizona+engineering&oq=Compare+ASU+engineering+to+University&gs_lcrp=EgZjaHJvbWUqBwgBECEYoAEyBggAEEUYOTIHCAEQIRigATIHCAIQIRigATIHCAMQIRigATIHCAQQIRigATIHCAUQIRigAdIBCjI1NDE5ajBqMTWoAgiwAgE&sourceid=chrome&ie=UTF-8
So, two biggies; Land and Talent. Other factors are; Cheap labor, housing and food availability. Think about setting up a factory in Los Angeles California? If the "Red tape"doesn't kill your project, finding a dependable labor force, a decent place to raise a family, affordable housing, dedicated work force and not losing your employees to a competitive job market would surely doom you. Why do you think Elon Musk moved to Texas from California?