Milking gullible investors for all they’re worth is a plan too. Have a look at the companies involved in developing a flying car: Terrafugia has been living off investors for over a decade without selling any products.
David Moore
/He’s going to buy that solar roads outfit, then he can double down on the scam.
I don’t much care if the business case is a scam – I still want one of the cars…
Bloke in North Dorset
The memory is going and I can’t fnd it via Google, but wasn’t one of the famous bubbles based on “an investment of which no one shall know” or something similar?
Tim Worstall
Not quite. In the mania of the South Sea Bubble there were many company launches. One of which was “an enterprise of great profit but no one to know what it is”. It absolutely wasn’t the basis of it all, rather a creature of the bubble where investors would pile into anything. More like say, in dotcom boom, someone proposing a meta meta search engine.
Moonbather
Now, now Timothy. Their line by line margins are excellent, their order book enormous. What they’ve already achieved is about 4 fold what people usually call impossible.
I would not bet against Elon Musk.
Andrew M
Following up on my flying car comment, there’s a chap called Paul Moller who has spent over 40 years trying to invent a flying car. None of his prototypes actually work. He has previously been sued by the SEC, and more recently has turned to crowdfunding sites to raise more cash. He’s playing an impressively long game (for an 80 year old).
Bloke in North Dorset
Thanks, Tim,.
Mr Ecks
“I would not bet against Elon Musk.”
As long as the Federal Tyranny is there to kiss his green arse and hand over the bales of taxpayer’s cash.
bloke in france
Agree with David Moore. The whole thing, taking money from average Joe to subsidise rich boys’ toys, stinks.
But this is California, so I don’t expect him to be un-Musked very soon.
Liberal Yank
It is funny how nobody notices that Musk doesn’t actually care about making a profit. The goal is to have a lair in the largest volcano in the Solar System. This requires a distrubuted energy infrastructure. Solar City, Tesla, and SpaceX are just means to the end. If shareholders end up footing the bill instead of customers it doesn’t really matter from his perspective.
BigFire
I thought they’re technically turning a profit, though not for selling any cars, but for selling carbon credits to power generating companies.
Liberal Yank
Carbon credits are not the basis of a low term business plan. As new players enter the electric car market the value of each credit drop. California is increasing the demand for credits by legislating an increase in the number needed but that is only a short term solution. The homegrown auto industry can only be protected for a few more years using this income stream.
Milking gullible investors for all they’re worth is a plan too. Have a look at the companies involved in developing a flying car: Terrafugia has been living off investors for over a decade without selling any products.
/He’s going to buy that solar roads outfit, then he can double down on the scam.
I don’t much care if the business case is a scam – I still want one of the cars…
The memory is going and I can’t fnd it via Google, but wasn’t one of the famous bubbles based on “an investment of which no one shall know” or something similar?
Not quite. In the mania of the South Sea Bubble there were many company launches. One of which was “an enterprise of great profit but no one to know what it is”. It absolutely wasn’t the basis of it all, rather a creature of the bubble where investors would pile into anything. More like say, in dotcom boom, someone proposing a meta meta search engine.
Now, now Timothy. Their line by line margins are excellent, their order book enormous. What they’ve already achieved is about 4 fold what people usually call impossible.
I would not bet against Elon Musk.
Following up on my flying car comment, there’s a chap called Paul Moller who has spent over 40 years trying to invent a flying car. None of his prototypes actually work. He has previously been sued by the SEC, and more recently has turned to crowdfunding sites to raise more cash. He’s playing an impressively long game (for an 80 year old).
Thanks, Tim,.
“I would not bet against Elon Musk.”
As long as the Federal Tyranny is there to kiss his green arse and hand over the bales of taxpayer’s cash.
Agree with David Moore. The whole thing, taking money from average Joe to subsidise rich boys’ toys, stinks.
But this is California, so I don’t expect him to be un-Musked very soon.
It is funny how nobody notices that Musk doesn’t actually care about making a profit. The goal is to have a lair in the largest volcano in the Solar System. This requires a distrubuted energy infrastructure. Solar City, Tesla, and SpaceX are just means to the end. If shareholders end up footing the bill instead of customers it doesn’t really matter from his perspective.
I thought they’re technically turning a profit, though not for selling any cars, but for selling carbon credits to power generating companies.
Carbon credits are not the basis of a low term business plan. As new players enter the electric car market the value of each credit drop. California is increasing the demand for credits by legislating an increase in the number needed but that is only a short term solution. The homegrown auto industry can only be protected for a few more years using this income stream.