Will Tesla partner with Mercedes for a new vehicle?



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There was a discreet hubbub – a buzz if you will – around Mercedes-Benz and Tesla (TSLA) potentially partners in the future.

Of course, the question of whether a partnership will ever run remains a big question mark. And if we discover the scope, this partnership would be an even bigger puzzle.

Last month, Mercedes-Benz's parent company, Daimler (DDAIF), gave a slight boost to the pot when its CEO, Dieter Zetsche, said he was not opposed to it. 39, idea to work with Tesla in the future. Daimler sold its 4% stake in Tesla in 2014 and, while asserting that he did not regret having been sold, Mr. Zetsche stated that this "did not preclude a cooperation in a future "at a conference at the Paris Auto Show.

Tesla CEO Elon Musk added a boost on Twitter a few weeks later. After someone inquired about the need for an electric van "difficult like nails", Musk answered with"Maybe it would be interesting to work with Daimler / Mercedes on an electric Sprinter – it's an excellent van – we'll find out."

In a follow-up tweet, Musk has explained this one of two things should happen so that there is an electric Tesla van. Either a partnership with Mercedes where Tesla provides the battery, powertrain and "computer computing" while Mercedes produces the rest of the car, or Tesla goes all alone and manufactures the vehicle later.

In the latter case, Tesla has "a lot of work to do," said Musk, explaining that the current list of priorities is: Model Y, the solar roof, Tesla Pickup (which he is most excited about), Tesla Semi and the Roadster.

Of course, none of this consolidates a partnership or equity investment with Mercedes-Benz or Daimler. But the fact that the leaders of both companies have openly expressed their willingness to work together a few weeks apart suggests a potential for the future.

It is likely that Tesla's situation will continue to improve, both operationally and financially, which is likely contributing. While the company continues to improve the production of its vehicles – both in terms of quantity and quality – and its financial situation improves, car manufacturers are more likely to show their willingness to work with her. Why? Because no one wants to associate with a company that could go bankrupt anytime.

So as these situations improve, companies like Mercedes are more likely to be working with Tesla.

Other factors include the capabilities of the Tesla electric car and its Supercharger network. At the moment, German luxury car manufacturers are starting to take a closer look at electric and hybrid alternatives. Porsche and Audi, two Volkswagen brands (VLKAY), as well as BMW (BMWYY) and Mercedes-Benz are offering several electric vehicle offers on the market over the next few years.

The guitar, however? With years catching up to the S, X and 3 models and a much higher R & D budget than Tesla, why do so many of these electric vehicles fail to meet Tesla's performance specifications?

Do not get me wrong, some of these vehicles are downright beautiful and full of performance. It seems that the bears had the argument to want Tesla, a Mercedes, etc. That does not seem to be the case – not far away.

In addition, where will these vehicles load? Musk has shown its willingness to work with other electric car manufacturers so that others can use the Tesla supercharger network. But without that, where does the Porsche Taycan go to recharge its batteries on a road trip? How will the Mercedes EQC cross the country? These are serious questions and show that Tesla can have more partnership effect than critics attribute to it.

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