backtop


Print 92 comment(s) - last by Mint.. on May 7 at 9:42 AM

Next-generation Volt could cost as much as $10,000 less to produce

In the world of electric and plug-in hybrid vehicles, the Chevrolet Volt has been the most high-profile entry aimed at consumers. However, the biggest problem for GM when it comes to the current Volt is that the vehicle isn't profitable.

"This car, on a technology scale, is off the charts vs. what you [have] seen," said GM CEO Dan Akerson, who owns one personally. "We've sold about 26,500 of them [and] we're losing money on every one."

Akerson says that the loss GM takes on every Volt that it sales will soon come to an end. The automaker has significant improvement planned for the second-generation vehicle, including making it lighter. Less weight means that the electric driving range can be made extended without adding larger battery packs -- the battery pack on the current generation Volt battery weighs 400 pounds alone.


According to Akerson, GM believes that the cost to build the Volt can be reduced in the range of $7,000 to $10,000 on the second-generation model. That doesn't necessarily mean buyers will see a discount, but it will mean GM doesn't take a loss on each vehicle it sells.

The current Volt has proven to be a hit with owners, as many are claiming they can go as far as 900 miles between fill ups.

Source: Fortune



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: Bailout Mentality
By 91TTZ on 5/3/2013 1:45:33 PM , Rating: 1
As I clearly said in my initial post the Volt is probably a nicer car but it comes at a really steep price.

The problem is that they're selling the Volt at a premium price but they're marketing it as a "practical" car. You market fuel efficient econoboxes as "practical" cars. When you're trying to sell a $40k car you better have a better selling point than "it gets good fuel economy".

As a product goes, it's in "no-man's land". It's too expensive for the "practical" market they're targeting, but too bland for the luxury range in which it's priced.


"We are going to continue to work with them to make sure they understand the reality of the Internet.  A lot of these people don't have Ph.Ds, and they don't have a degree in computer science." -- RIM co-CEO Michael Lazaridis

Related Articles













botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki