Comment Re:Musk worship (Score 2) 260
Why does his company need a huge pile of tax breaks to succeed? If I open a company tomorrow, how can I get away with not paying taxes?
They don't need tax breaks to succeed, but since the states were competing to get the gigafactory, the state that offers the highest tax breaks wins. If no state offered tax breaks on the factory, they'd have built it anyhow.
Why are Tesla's debt bonds in Junk status but he continues to get freebies from states?
The junk bond status is because S&P doesn't think Tesla will succeed. It's an opinion.
Why are Tesla's cars so rudely expensive? Is there a plan for a 4 door sedan that a real family can afford in the 20K - 30K range like the Prius?
Tesla has always been very open about their strategy. Electric cars are very expensive to make. Their plan was to introduce a high-cost sports car (the roadster) to build experience/resources/etc, and use the revenue from that to design a luxury sedan (the model S), and use that to start to get some economies of scale and use the revenue from that to build a mass-market vehicle (the model 3).
Their next stage of vehicle will not be 20-30K, but it will be a 40K vehicle competing with sedans like the Camry. As soon as it is possible to build a car for 20-30K that will compete with ICE cars, you can be sure that they'll do it.
In other words, they're currently limited by technology (or rather the cost of the technology).
Why is it that a guy with a big mouth and political friends on all sides gets so much tax subsidy, loans, breaks and deals?
Errm, isn't that the way US politics work in general?
Why are guys who run factories employing tons of US citizens in US based factories (like Toyota) who produce super reliable product with great mileage get slapped by the media when a bogus story about a gas pedal getting stuck?
How is this Tesla's fault? In fact, the media has been rather harsh on Tesla for minor problems like the occasional fire in a crash, despite the fact that they're still less likely to have that happen than regular cars.
3.8 million priuses have been sold and cab drivers will tell you they easily go into the 300K range and even if the battery runs out the car is still useable.
The Prius has been on the market a lot longer than Tesla's cars. There's a guy putting 40K miles on his Roadster per year without issues, and they've got various warranties for batteries over the long haul.
But instead we continue to give money to the cartoon guy.
Nevada's government is claiming that they'll get an 80:1 return on investments for the tax breaks. If true, it seems like a good investment to me. I'm a bit skeptical that they'll get that high of a return, but it seems certain they'll get back more than their investment.