❝ Tesla’s announcement of an electric semi-truck is a big deal – not only does it have the potential to disrupt one of the nation’s largest industries, but it marks another leap forward in making Tesla’s grand vision a reality. That said, we caution that it will take years for the Tesla Semi to come to market.
❝ Based on Tesla’s history, the most logical go-to-market approach would be staggered: Within about 3 years, Tesla could target short haul trucking (think of UPS or Fedex trucks that return to a depot to be charged at night). Then in about 5 years, Tesla could target long haul trucking, and, in 6-10 years, offer a fleet of trucks as a service. We expect the Oct 26th event will be short on details (we don’t expect details on pricing or delivery date) and long on the opportunity. That opportunity is ripe for Tesla’s taking, considering legacy truck manufacturers’ past struggles with innovation.