To The Moon

Tesla's stock soared for 12 consecutive days, matching the record high from January 2021, with market cap surging over $200 Billion. Increased value of its charging network A major contributing factor to this significant surge is the announcement by $General Motors(GM)$, the largest U.S. automaker after Ford, that starting from 2025, they will install Tesla's charging ports, known as the "North American Charging Standard" (NACS), in their electric vehicles instead of the industry-standard "Combined Charging System" (CCS). GM will also share access to Tesla's Supercharger network. Furthermore, Tesla announced that all its Model 3 vehicles are eligible for the full $7,500 tax credit under the new standards set by the U.S. Department of Treasury. Specifically, the inclusion of GM and $Ford(F)$ in the partnership will add millions of users to Tesla's charging network. GM plans to reach a production capacity of one million electric vehicles in the U.S. by 2025, while Ford expects to surpass two million electric vehicle units by 2026. This collaboration is expected to generate substantial revenue for Tesla. 图片 Tesla has the potential to become a provider of infrastructure for the North American electric vehicle market. Statistics show that Tesla has around 17,000 charging stations in the U.S., while other local charging stations have slower speeds. The collaboration between Tesla, GM, and Ford ensures that over 60% of electric vehicles in the region will support the NACS standard, making Tesla's Supercharger network the largest fast-charging network in the current U.S. market. Furthermore, GM and Ford's decision to forego building their own electric vehicle infrastructure is essentially an acknowledgment of Tesla's leading position in the electric vehicle industry. The reason behind this may be that their electric vehicle profits cannot support infrastructure development. Joining forces instead of competing For traditional automakers, transitioning to electric vehicles quickly while maintaining their competitive edge in the market is undoubtedly a significant challenge. When they realize that their technological capabilities and profitability are inferior to Tesla, it is more advantageous for them to join Tesla's overall industry network rather than engage in direct competition. GM's Electric Vehicles Will Use Tesla's Charging Network - The New York Times On one hand, using Tesla's Supercharger stations allows them to provide their customers with a better fast-charging experience. On the other hand, it enhances their brand image and market competitiveness. This shift in strategy indicates that their primary focus is no longer competing with Tesla but rather competing with other automakers. Sharing charging facilities is just the first step; the next phase may involve sharing and collaborating on other industry segments. As early as 2014, Tesla announced that it is willing to provide free access to Tesla's technology patents to everyone. Recently, Elon Musk also expressed willingness to license Autopilot/FSD or other Tesla technologies to other manufacturers. This implies that, with Tesla leading the way, the North American electric vehicle industry may transition from a phase of industry competition to an ecosystem of collaboration and synergy. Chinese EV stocks were in the spotlight. $NIO Inc.(NIO)$ advanced due to price cuts and $XPeng Inc.(XPEV)$ rose on large pre-orders for its upcoming G6. Nio shares rose 9% after the company announced a 30K yuan ($4.2K) price decrease for all models beginning June 12 and the end of free battery swaps for new purchasers. XPeng stock surged more than 16% after it disclosed on a social media account that over 25K customers have pre-ordered its new G6 model in just three days, ahead of the official launch set for June 29. Among Tesla, Ford, General Motors, Li Auto, and Xpeng, which stocks are you bullish on? Have you purchased any of them?