http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/ Engadget Comments for Tesla pulls in $465 million government loan to build Model S electric sedan http://www.engadget.com/media/feedlogo.gif http://www.engadget.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:08PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Hey, you could do a lot worse than an Aston Martin clone electric car (that costs a lot less). But yeah, that's what this looks like to me.

I don't get it. The federal government keeps telling me it's flat broke. Why is it giving people half a billion dollars for stuff like this? Most of the environmental damage from a car is when it's first built and disposed of, not when it's driven around. This is doubly true for cars with huge batteries, like the Prius's Chinese environmentally unregulated atrocities.

Wouldn't it be better to give people a tax deduction for auto repairs on cars with high mileage? Keep old cars on the road, save tons of money, and yeah, the economy won't bustle back to its unstable height where everyone buys stuff they don't need, but... so what? It will also be more stable.]]>Jan 22nd 2010 12:22PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
It's pretty easy to give out money that isn't backed by anything tangible. Just print more!]]>Jan 22nd 2010 12:25PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
It's the same designer.]]>Jan 22nd 2010 12:28PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:28PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
My thoughts exactly. It looks damn sexy though.]]>Jan 22nd 2010 12:29PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/The federal government isn't *giving* them anything but a loan. You do understand how loans work, right?]]>Jan 22nd 2010 12:41PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:43PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:45PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
But the money that is being loaned has to come from somewhere, which I think was "(Unverified)'s" point.]]>Jan 22nd 2010 12:45PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
+1

This is a Department of Energy low interest loan. And Tesla has shown that they can get a product out the door... which is more than GM can say.]]>Jan 22nd 2010 12:47PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:49PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Actually, the prototype was built on a Mercedes chassis. Mercedes also made a rather large investment in Tesla recently.

Mercedes CLS clone?

http://jalopnik.com/5153129/is-the-tesla-s-a-prettied+up-mercedes-cls]]>Jan 22nd 2010 12:59PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
It's a risk that the US government shouldn't be taking with taxpayer dollars, whether it's in debt or in surplus. Additionally, the whole 'government picking winners and losers' inevitably crowds others out of the marketplace who might, just might, have better ideas.

Who's going to be buying the cars anyway? People who couldn't afford them if the additional cost of a commercial bank loan was baked into the MSRP?]]>Jan 22nd 2010 1:03PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/well said:

You forgot to mention that it's ELECTRIC which lessens our dependency on foreign oils, AND helps the environment. And considering how much the US spends on oil yearly, and toxic emissions, this may actually pay for itself over a short period of time.........

Compared to the bank bailouts I think its money well invested]]>Jan 22nd 2010 1:20PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
weatherman, I'm the unverified you replied to.

Actually LOTS of people are saying the federal government is broke, because it is. It's borrowing so much now that inflation is probably going to hit the poor very hard.

You are wrong about this being a loan, by the way. They call it that, but it's not like you or me going to the bank and taking out a business loan. Even if it were, why doesn't Tesla go to a bank and take out a business loan? If you contribute to the right politicians, you can get sweetheart loans from the government and never pay them back.

I am not a right winger about this stuff, and I won't bloat this awesome thread with examples, but look into the "loans" the federal government gives out to airlines, car manufacturers, poor folks, etc. We don't consistently get our money back at all, let alone our money with a reasonable rate of return. When the company can't pay the loan back, the government just trades the debt for nationalization or something else or eats the red ink. That's why the fed just took majority ownership of GMAC... GM couldn't pay their bills. Now the fed owns their failed bank. This isn't a good deal for the people, but it's a GREAT deal for the family of the people who divvy out our money.

in short, the deficit has been way too high for a long, long time. Was it ok to send it to the moon to stop the soviets or terrorists or housing crisis? we all disagree on that, but for YET ANOTHER producer of cars? No chance in hell it's worth it.

This car is totally sweet. Let Tesla make their money the old fashioned way, please.]]>Jan 22nd 2010 1:41PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
You do understand that "the old fashioned way" is to send everything to china, use chinese batteries and motors, and maybe write somewhere "designed in california". What is the point then for the US? There is no way electric cars can make it out there without help, and there are alot stupider things to do with half a billion dollars. BTW, this is like dimes compared to the trillions of debt. You do realize that the japanese government supposedly helped toyota and panasonic develop the prius and its batteries, don't you?]]>Jan 22nd 2010 2:35PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/No, the government would rather use my money to pay to destroy perfectly good older cars. So much for being able to find fun cheap toys and parts for your older vehicles!]]>Jan 22nd 2010 3:05PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
The loan isn't destined to "buy down" the cost of the vehicle. It's being used to build a factory here in Southern California. This will not only promot the leader in electric car development, but add jobs in a community that desperately needs them.

One of the requirements to qualify for this loan was to use a building that was previously vacated due to the economic down turn. Tesla will be reoccupying an old Boeing building in Long Beach.

]]>Jan 22nd 2010 4:59PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 5:20PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
It appears that you don't understand that this is a loan for the construction of a factory, not a subsidy.

]]>Jan 22nd 2010 5:30PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Looking at China right now, I am more convinced than ever that when historians look back at the end of the first decade of the 21st century, they will say that the most important thing to happen was not the Great Depression (or our current recession), but China’s Green Leap Forward. For all their oil craving, the Beijing leadership clearly understands that the E.T. — Energy Technology — revolution is both a necessity and an opportunity, and they do not intend to miss it. The Chinese government clearly understands this situation, which is why 600,000 engineers graduate annually. India graduates 350,000 engineers annually. Compare that to our 7000 graduating engineers here in the US.

What are we doing? We, by contrast, intend to fix Afghanistan and Iraq. Have a nice day. O.K., that was a cheap shot. But here’s one that isn’t: Andy Grove, co-founder of Intel, liked to say that companies come to “strategic inflection points,” where the fundamentals of a business change and they either make the hard decision to invest in a down cycle and take a more promising trajectory or do nothing and wither. Example, a bankrupted Apple introducing iTunes (which led to the iPod, and iPhone and so on) . Similarly Palm, which invested heavily in R&D their webOS platform while their stocks took a beating. The same is true for countries.

The U.S. is at just such a strategic inflection point. We are either going to put in place a price on carbon and the right regulatory incentives to ensure that America is China’s main competitor/partner in the E.T. revolution, or we are going to gradually cede this industry to Beijing and the good jobs and energy security that would go with it.

Here’s e-mail from Bill Gross, who runs eSolar, a promising California solar-thermal start-up: On Saturday, in Beijing, said Gross, he announced “the biggest solar-thermal deal ever. It’s a 2 gigawatt, $5 billion deal to build plants in China using our California-based technology. China is being even more aggressive than the U.S. We applied for a [U.S. Department of Energy] loan for a 92 megawatt project in New Mexico, and in less time than it took them to do stage 1 of the application review, China signs, approves, and is ready to begin construction this year on a 20 times bigger project!”

China’s leaders know that their country is in the midst of the biggest migration of people from the countryside to urban centers in the history of mankind. This is creating a surge in energy demand, which China is determined to meet with cleaner, homegrown sources so that its future economy will be less vulnerable to supply shocks and so it doesn’t pollute itself to death or depend on foreign fossil fuels.

I say invest in the future now while we still have the edge both in talent and in technology. Startups like eSolar and Tesla provide an opportunity to create a new industry that not only will create jobs but also keeps us at the forefront of technology. Investing in the future will saves us, but if we choose not to, not even a well balanced checkbook will keep the US from joining the list of former greats.]]>Jan 22nd 2010 6:43PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
It's got some Jaguar and BMW lines as well, just look at that Hofmeister Kink in the rear window.
]]>Jan 22nd 2010 11:51PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 23rd 2010 4:32AMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 23rd 2010 8:45PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/"This is a Department of Energy low interest loan. And Tesla has shown that they can get a product out the door... which is more than GM can say."
The 2010 Camaro begs to differ: http://www.wheels.ca/Article%20Category/article/783828]]>Jan 25th 2010 1:06PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Yeah, I know you get a couple thousand tax break if you have an electric car (is that still in effect?) but really I would love to see a car like this become a collection. Like the Honda Civic and Accord. A couple of cars in various styles and prices for all the consumers.
]]>Jan 22nd 2010 12:10PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
huh, huh . . . "penetrate."]]>Jan 22nd 2010 12:15PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:26PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
http://green.autoblog.com/2010/01/18/report-general-motors-ceo-says-volt-will-be-in-low-30s-and-be-p/]]>Jan 22nd 2010 12:32PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Yeah, but is this one a plug-in hybrid, or just straight-up electric? I'd rather go with the Volt if this doesn't have a gas back-up.]]>Jan 22nd 2010 12:36PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
And to the person who said... "At least Tesla can get the product out the door.." Yeah, because their 1,000 $100,000 hand built electric roadsters are doing a lot of good.]]>Jan 22nd 2010 1:38PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
And you are comparing it to what other company that is doing so well with their electric vehicles? Really, these guys are on to something. Money well spent, I say. Give them a few more years, and they'll probably have cars with better efficiency, and better range, for under 30k.]]>Jan 22nd 2010 3:55PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
+1 for the stimulus package doing it's thing.]]>Jan 22nd 2010 12:11PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
The Advanced Technology Vehicle Manufacturing Program has nothing to do with the stimulus package. It is part of the Energy Independence and Security Act of 2007. The funds for 2009 (when Tesla applied for it) were approved on September 2008.]]>Jan 22nd 2010 12:17PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Still a waste. ]]>Jan 22nd 2010 12:18PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Don't bother, most of the people here aren't old enough to vote, even if they cared enough to understand. ]]>Jan 22nd 2010 12:19PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
In short, we're paying the car companies to do what they're supposed to do on their own.

So yeah, it's not part of the stimulus, but it's still a handout. Ford, who has been lauded for some reason for taking their own initiative to make more fuel efficient cars took $6B from this program for the purpose of making more fuel efficient cars.]]>Jan 22nd 2010 12:36PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:42PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/How is a LOAN considered a handout? Is Citibank giving consumers handouts when it sends them a credit card?]]>Jan 22nd 2010 12:45PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
If you can't see the difference between the usurious interest on a credit card and a low-interest government loan, you can go ahead and excuse yourself from any discussions involving finances.]]>Jan 22nd 2010 1:23PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Not saying that an uber-reputable company like Tesla would ever pull something like that.

http://www.engadget.com/2009/09/21/tesla-motors-confirms-it-settled-lawsuit-with-former-ceo/

Don't get me wrong, I am a big fan of electric cars. I think that this is the future of transportation (once some science and engineering challenges regarding energy storage are resolved). I am just not convinced that Tesla is going to be the ones that lead us to that promised land., nor am I convinced this will be money well spent by our government.]]>Jan 22nd 2010 1:24PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
My point






Your head. ]]>Jan 22nd 2010 2:07PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
You have to understand their financial strategy. Also, I recommend reading up on Elon Musk, who is running the show at Tesla Motors. He's no idiot. The idea is to make expensive fancy cars in order to make themselves profitable, and remain profitable, while they work on lowering costs by increasing volume. Their goal is to make a good electric car that the average middle class person will want and can afford. Within a few years, I bet they'll be doing just that. I only wish ALL our government money was being handled as judiciously. ]]>Jan 22nd 2010 4:01PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Jan 22nd 2010 12:12PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/Maybe if you got off the internet and got a job, you could afford one and we wouldn't have to listen to your whining.]]>Jan 22nd 2010 2:46PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
doesn't change the fact it's a waste :)]]>Jan 22nd 2010 3:59PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/No one will sell their current car and buy new one and lose 10.000-15.000$ to save 1000$ a year (cost difference between electric and oil)]]>Jan 22nd 2010 12:13PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
Tell that to the people who spent $10-15K over sticker on a Prius to save $500 per year on gas. ]]>Jan 22nd 2010 12:18PMhttp://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/http://www.engadget.com/2010/01/22/tesla-pulls-in-465-million-government-loan-to-build-model-s-ele/
The way I see it, my parents have done a great job of running the planet down the crapper. Caring nothing about the generation to follow, the baby boomers have taken all they could and damn the repercussions.

Although it might be futile, I'd like to think that by making better consumer decisions I can try and help make a slightly better world for my 2 year old daughter.]]>Jan 22nd 2010 12:26PM