This cost of power is a huge issue world wide, and although they're fighting against it tooth and nail I think AI is what will hammer the final nail in the coffin of the fossil fuels industry. This chart is from a recent US report on the cost of different types of power generation, I think in the end price is what will decide for most of the world, fossil fuels are simply not competitive any more and neither is nuclear, not for the sorts of power requirements we now have.
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Australia has gone down the green energy path in a big way and it's starting to pay dividends now. Our new Sodium Ion batteries are a bit of a game changer too, cheaper, lighter, higher energy density, less pollution in manufacture, and most importantly for many people, they don't get hot and catch fire if damaged. Elon Musk isn't too happy about this of course.
Tesla 'brand destruction' could cost it millions as battery sales boom
Agree and disagree on some points here.
There are those that are concerned about this current US administration removing solar and wind subsidies...whilst keeping all the fossil fuel subsidies. The reality is that, yes, there are some solar and wind energy contracts that will get cancelled...until they realize it is still the least expensive option. New pricing will be adjusted and new contracts will be created. It will be 12-18 months, I predict, and it will be business as usual.
Specifically, with Tesla, they are diversifying their portfolio quickly and their automotive division will be of lessening importance to their survival as a company. Utility-level energy, AI, autonomous transportation, and robots...each...will have over a $trillion in market cap. I can see a day where Tesla only makes vehicles for commercial and ride-sharing services, as this is not where the money is at.
Tesla has thrown a lot into the lithium ion battery production, infrastructure, etc. but sodium ion batteries are not off their radar. If sodium ion battery technology has a broader application and the cost factor is there, Tesla will diversify their energy division for sure. I've said for years, lithium ion is today's technology...and it will pass like every other past technology. Companies that can quickly engineer and invest...like Tesla...these are the ones that will survive the next wave of tech. Their mission statement is to transition the world to sustainable energy...period. If it is next generation sodium ion batteries, then Tesla will quickly transition.
Furthermore, most of the products and services that the Tesla, xAI, SpaceX, The Boring Company umbrella are producing and testing...that is for Mars (and the Moon) colonization. Talk to the people who work closely with Elon...everything they do and the rapid timelines are based upon his Mars plans. Earth is nothing more than a testing ground. All the autonomy, the robots, the energy infrastructure...all for building on Mars. Send all of this equipment to Mars, have the robots build the habitats, life support systems, and energy infrastructure before humans even show up. Elon is in his 50s, so he is going to push his companies with some urgency in order for him to live to see his dream come true. I can see some autistic hyperfocus coming into play here. Most investors and day traders aren't even thinking about this.