Panasonic Is Investing $3.86 Billions In Tesla

Panasonic is one huge and very successful company. They slowly developed technology which is good enough for Tesla Motors and they now have the exclusive right to supply Tesla Motors with lithium ion batteries. We have already known that Panasonic has a good business relationship with Tesla but their most recent move caught us off guard.

We have already informed you about Tesla’s plans for Gigafactory. For those uninformed, Gigafactory is Elon Musk’s biggest investment in the auto industry so far. He wants to make a sort of revolution and to bring his electric vehicles available for general population by cutting down prices. That Gigafactory will have all steps of car manufacturing under one roof in order to do that.

The thing that surprised us was the official report. Panasonic will make Tesla Motor’s Model 3 lithium ion batteries exclusively, and it will raise 3.9 billion dollars in corporate bonds to invest into Gigafactory with Tesla. The investment this huge has to have some really durable backbone in order to be sustainable for a longer period of time.

Panasonic has “pledged” itself by contract as a principal partner with Tesla. The goal of the partnership was (is) to substantially reduce the price of long-range battery packs and to establish a facility which could mass-produce electric vehicles.

A Tesla Model S lithium-ion battery pack

Since Panasonic sees automobile industry as a potential “wind in their sails”, the main priority is a successful Gigafactory. There is no evidence that can point to something bad in the production, but this investment is too large to be a mere partnership obligation. We already know that this is a big investment, and one of the greatest risks, Elon Musk has ever made, but can this be a hint that something bad is happening? Maybe the expenses grew too much for Tesla?

Let’s look at this situation from an economy point of view

After Panasonic raised 3.9 billion dollars from bonds to help Tesla’s Gigafactory, they immediately felt the 13 percent decrease in their profit and 5.9 percent drop in their total revenue, to about 17 billion dollars. The official report is that they believe the drop is caused by their deal with Tesla, but only partially. The main headquarter is in Osaka, Japan but they have special department only for automotive industry called Panasonic Automotive Systems Co. That department, solely, has the estimated revenue from auto parts sales of about 10 billion dollars in its 2015 fiscal year. So is their profit decrease important? Is it even noticeable?

Panasonic is a corporation with a long history. Their roots go before any of us were even born and they handled every situation, every crisis, even great war without stumbling. They went into this business with Elon Musk, with capital large enough to decrease their profit by a tenth in a second. But they did this for their long-term growth.

Tesla Motors is not a single company in Elon Musk’s hands. Everything that he has created brought him a great deal of money, but there were no easy steps. Every decision he made about his business was risky. We all looked at him in wonder, as he was spending millions (he earned by selling PayPal) creating his Roadster, and he earned billions by making that risk. Then he started building rockets and telling people he will go to Mars, and we laughed. A couple of months ago the entire USA filmed with their cameras some “meteor” going slowly into the atmosphere, but nobody knew that was Elon Musk’s rocket going back to its landing platform. Even NASA is using his rockets, so nobody is laughing now.

Historically and for the sake of future, we can only say that Panasonic has chosen the right ally in this silent war of economics. They couldn’t have chosen a better partner. And if they decided to back them up, that can only be a proof that there is nothing to worry about. In the end, only time will tell us if there is something “fishy” going on with Gigafactory and the future of Tesla. Or maybe we will never find out. For now, we can only sit, enjoy and wait for the next story.

Tesla Model S Autopilot Caused a Fatal Accident

On the 7th of May, a man named Joshua Brown, lost his life on the road when cameras on his Tesla Model S failed to detect a tractor trailer and hit it. The car was on an autopilot driving mode at the moment when the accident occurred.

tesla-truck-accident-explained

The entire story would be a simple car accident story, only if the NHTSA (National Highway Traffic Safety Administration) didn’t get involved. What are they trying to do is to determine, whether or not the self driving car is safe.

Tesla S self driving car driver died

The driver of the car was a well known Tesla enthusiast, and a friend of the company, as they stated in the official notice. He used to upload videos of his Tesla and even some videos where he showed how Tesla autonomous driving saved his life.

There are no actual details about the accident, except the information that we could get from the Tesla Motors. They said that the incident happened on the divided highway with autopilot engaged. The tractor trailer drove across the highway 90 degrees to the model S. In that moment, neither the sensors nor the driver reacted appropriately and everything resulted in the fatal outcome. The car ran under the trailer and got its windshield and roof completely shared off.

Crashed Tesla model S

The car was found hundred feet from the accident, which tells us that it was moving really fast, and additionally the portable DVD player was found in the car which might have been a distraction for the driver.

This is not the first time that Tesla Model S had trouble seeing high trailers. Earlier this year, a driver reported that his Tesla Model S didn’t stop in front of the tractor trailer when it was summoned with the autonomous parking feature. We have no doubt that Tesla Motors engineers will find some kind of solution, with wider range sensors and better cameras, but we need to keep in mind that this is still the beta testing for that system. Here is the blog post about the accident on the official Tesla website.

Autonomous EV Cars

One should make a difference between “autonomous cars” and an “autopilot option” which Tesla cars have. Google is making a fully autonomous cars and this investigation may be a problem for them and companies that have “autonomous cars” as projects.

Autonomous cars are cars which don’t need any actual driver. They don’t need brake and gas pedals, steering wheels nor shifters. Tesla is not an autonomous car. It has an autopilot option which must be seen as an advanced version of cruse mode. You, as a driver must look at the road and take over if you need. It doesn’t matter if this system is in beta or a full version. You need to watch the road, for your safety and the safety of others. Planes have had autopilots since 1912 and people haven’t changed its use since then. It only serves as an assistant in driving.

Semi autonomous cars, or cars with an autopilot option are a new thing. Humankind was introduced with it, last year. News about the autopilot came as a shock, for the general population, and the drivers of Tesla cars likewise. Since it has been activated for the first time, the autopilot option had some minor flaws and it is not perfect. This is the first accident with the fatal outcome but its development mustn’t be stopped because of this. And this fatal outcome came after more than 130 million miles without any accident.

Every year 1.3 million people lose their lives in car accidents caused by human error, not an autopilot.

Fear from new things has been present in human behavior since the dawn of man. What would have happened if man stopped making fire when he first felt the burn?

They should have their investigation and maybe laws should be made to make people pay additional attention during their use of the “autopilot” option. Even Tesla Motors advice drivers to keep their hands near the steering wheel during the use of the autonomous drive option.

Tesla Is a Jail Free Card?

In May, one man lost his life driving Tesla Model S. Autopilot option was turned on at the moment of the accident. Journalists are blaming an autopilot option, the autopilot option is directly connected to the technology advancement, the technology advancement is connected to the company’s shares and company’s shares are connected to the development of their products, the green energy products. On the other hand, green energy is not so popular in the industry. Why?

2017 Tesla Model S side view, black color, headlights and alloy wheels

After the May 7th accident, there were a couple of other crashes, luckily without any casualties. There were some broken windows, fences, doors, mirrors and other cars. The only victims of those crashes were the wallets of the drivers. Those drivers bought Tesla Model S and Model X, some out of curiosity, others out of their love towards EVs and the rest of them… well because “why not?”. The sad thing is that those drivers or owners tried to blame the Tesla Motors for their accidents. To be precise, there were three accidents in the last two weeks, in which drivers tried to get a “Jail Free” card. Neither of them told the truth. Their sincerity came to question after Tesla Motors had reviewed their Model X’s logs.

Tesla model x white color doors open up

One Model X owner hit the “gas” pedal while trying to stop on the parking place, thus continued to the building wall. He claimed that the car autonomously crashed. Logs say that the accelerator pedal was pressed manually prior to the accident.

electrek.co/2016/06/06/tesla-model-x-crash-not-at-fault/

The other Model X driver successfully rolled the unrollable car by hitting the guard rail. The accident happened on the Pennsylvania Turnpike on July the 1şt. The driver claimed that the autopilot option was activated. Cars rolling and tumbling in accidents are not rare, but rolling over the car so heavy is very hard. You need to travel very fast in order to do that, and logs in Tesla Motors show that the driver hit the accelerator pedal to 100% just before the accident.

electrek.co/2016/07/05/tesla-model-x-crash-rollover-autopilot-driver-cited-police/

The third tried to drive a car on autopilot, with sensors, on a road without a central divider. That one happened on July the 10th. The driver claimed that autopilot suddenly changed the trajectory, turned off the road, causing the car to hit the guard rail and completely destroy the right side of the car. Autopilot is not autonomous driving. You need to look the road. Every time there is a flaw in lane markers, the autopilot will disengage…

teslamotorsclub.com/tmc/threads/my-friend-model-x-crash-bad-on-ap-yesterday.73308/

I will try to be gentle on this one.

To make some things straight. I am writing to you now. Yes, you. You live in a world of hunger and thirst in one part and food waste and water pollution in the other part of the world. You are lucky enough to afford one of the most expensive vehicles on the planet. When you buy it, a company that produces those vehicles gives you the fuel (charging capabilities) for free and it develops your vehicle through days, months and years via updates for free. You practically began to live in a futuristic world, the day you bought that vehicle.

One day, your car says:”Listen bub, I have just been updated to an Autopilot Beta Stage. From now on, I can assist you in driving. Have a nice day”. You go crazy, start telling your friends and it is a good life.

Summer 2016. You wake up cheerfully singing, said hello to your family and asked your car to get out of the garage by itself and to wait for you in front of your door. Then you had breakfast and brushed your teeth. In the meantime, your car opened the garage doors, slowly checked its surroundings and compliantly went to your door and waited for you to come outside. You drove in that same car, looked at all the pretty things around you, and just as you reached to your bags on the back seat, some strange wall appeared in front of you out of nowhere, and you crashed. Immediately, you remembered that you can blame the “autopilot” option and get around the insurance stuff.

In spite that you can harm the company that was so good for you, that you have the best possible car that anyone can afford, you lie and blame the pioneer manufacturer that had brought to you all that futuristic things you have.

“Shame, shame, shame.”

Actually, that is just the tip of the iceberg. In the depth of the cold ocean beneath you, you can find the monsters that can actually harm that same company. You are the one that anyone can see, you are the instigator.

Others that support your actions are not seen by many.

Oil

The World in which we live in is built around fossil fuels. Whether we want to acknowledge or not, wars have been fought because of it. We travel on the wings of oil, we farm our lands on the hoofs soaked into oil and we distribute our food in chariots that go on oil. Oil has become the strongest power one country has. If you control oil, you control the power.
People that control oil roads.

Humans, animals, and plants live on this planet. Only a dozen of people control all of them. How did they get all that power? Well, by trading oil. They are at the beginning of this chain, and if they didn’t do that, somebody else would.

Industry

That monster is the biggest pillar of them all. When we talk about saving the world – About the global warming, pollution and the need to change everything to green energy. We never mention them. THEY do not hold the power – they are the power.

Who are they? Every single machine that goes on oil has to be made in parts. Generations of men have been thought how to make those machines and how to implement them in transport, production, construction, water purification and many other parts of the industry. There are different parts of industry interconnected with the production of those machines. If you change that technology “in a day”, all those generations of men and women are going to be thrown into the streets, without their jobs and ways to provide for their families. Thus, by saving the planet you create chaos.

These are the main reasons why so many people are trying to stop the advancements in EV technology. Some car manufacturers even tried to sell diesel as “pure” fuel and lied about the fuel economy of their cars. Now they have to pay billions to their customers and clean the stains out of their names.

EVs are very young technology

Before Tesla Motors gave the world the beautiful Roadster, everyone claimed that EVs can only go for 30 miles on their batteries and that, it was impossible to make a fast EV car. Now, EVs go from 0-60 in 2.3 seconds and can stay on the road 300 miles for an hour of charging. As the final sign of good will, Tesla Motors gave its technology to anyone who wants it. Car manufacturers will slowly go from internal combustion engines to electrical engines. That is a fact.

Journalists are going to continue doing their jobs, and report about anything, politicians are going to continue worrying about their seats and industry is going to advance.
So, understand this world, and take responsibility for your actions. In the end, there is no such thing as a perfect machine. Machines always break!

We always have to intervene because we are drivers and drivers always keep their hands on the steering wheel and eyes on the road. Drive safe.