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Found 2 results

  1. The past ten years has seen a number of automakers either being folded up or taken into other automakers. But an analyst believes there is more consolidation for the automotive marketplace. Morgan Stanley auto analyst Adam Jonas said in a research note earlier this month says in the future there will only be five to six automakers in the world. This comes down to such factors as economics and technologies. “We believe the radically changing landscape of autos requires a commensurate change of thinking in Detroit if the domestic OEMs, as we have traditionally known them, are to remain relevant 15 or 20 years from now. The world has too many car companies: We cover nearly 30 auto assemblers globally across eight countries. In our opinion, the balance of economic, competitive and technological forces will ultimately consolidate this figure to five or six players,” said Jonas. Jonas' thoughts appears to be have spurned from Tesla Motors as the company has been very successful with their Model S rollout and introduction of new technologies. Last year, GM set up a group to study Tesla and see if they can take anything away from them. “Tesla could either end up being Detroit’s worst enemy or its salvation. In our opinion, the disruption from Tesla comes early enough to allow an incumbent sufficient time to adapt its culture, capital allocation and recruiting strategy to the changing forces. With proper execution, Detroit may thank Tesla Motors for being that stiff board in the back of the head right when they needed it,” said Jonas. It should be said that many of these predictions that have been spoken before have not amounted to anything. Will this one be any different? Stay tuned. Source: The Detroit News William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.
  2. The past ten years has seen a number of automakers either being folded up or taken into other automakers. But an analyst believes there is more consolidation for the automotive marketplace. Morgan Stanley auto analyst Adam Jonas said in a research note earlier this month says in the future there will only be five to six automakers in the world. This comes down to such factors as economics and technologies. “We believe the radically changing landscape of autos requires a commensurate change of thinking in Detroit if the domestic OEMs, as we have traditionally known them, are to remain relevant 15 or 20 years from now. The world has too many car companies: We cover nearly 30 auto assemblers globally across eight countries. In our opinion, the balance of economic, competitive and technological forces will ultimately consolidate this figure to five or six players,” said Jonas. Jonas' thoughts appears to be have spurned from Tesla Motors as the company has been very successful with their Model S rollout and introduction of new technologies. Last year, GM set up a group to study Tesla and see if they can take anything away from them. “Tesla could either end up being Detroit’s worst enemy or its salvation. In our opinion, the disruption from Tesla comes early enough to allow an incumbent sufficient time to adapt its culture, capital allocation and recruiting strategy to the changing forces. With proper execution, Detroit may thank Tesla Motors for being that stiff board in the back of the head right when they needed it,” said Jonas. It should be said that many of these predictions that have been spoken before have not amounted to anything. Will this one be any different? Stay tuned. Source: The Detroit News William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster. View full article
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