Automotive News
In Automotive News, BCG’s Andrew Loh and Brian Collie explain why many automakers are failing to meet customer expectations for electric vehicles (EVs). Additionally, BCG research finds that original equipment manufacturers (OEMs) lose about $6,000 on each EV they sell for $50,000, after tax credits. Therefore, automakers may delay next-generation model launches if the vehicles remain unprofitable, and hybrid vehicles may become a more prevalent compromise for consumers hesitant to buy EVs. “For the next five years, [hybrids] deserve as much attention as EVs in terms of focus of investment for OEMs,” Loh says.