Please read this first
- I posted this article from Bloomberg News because I like what is means, and not. But I want to make certain statements on where I personally stand on this through my opinions.
- Electric components are an improvement on the car engines, not innovations. And, as for the new standard for alternative energy my bet is on the hydrogen power. I believe that there really is no profit in the electric engines in either costs of saving on the long run for the car through fuel consumption and the pretented lesser emission by companies to the work. My conclusion is that car companies like BMW are exiting certain company operations or what I like to call dynamic investments (like F-1 races which need constant funding and top of the line performance to have the investments even out), in order to re-diverse the funds to better investments that serve larger and improvement based needs. Many other reasons are for the other car companies as well.
- It costs endless millions of dollars running a F-1 team, just to start one costs around $20mil, imagine the continuing costs of parts, drivers, a team of around 100 people+ salaries, etc. No amount of sponsorships brings that kind of money in, money is made here on bets like any other sport, and when you don’t have the betting leverage anymore because you start to come in any place after 1 you get out safe while you can.
- So this type of money is taken and invested into something like company image. And the company image is where is stops.
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Truth also is that BMW can afford to run F-1 at no profits forever just to keep that image, for the “ultimate driving machine“. But, I think that BMW is also making a strategic exit from the F-1, because F-1 game is about make a huge shift on how that sport is going to be played, then after BMW will come back in with a leap over others.
- Governments have not regulated the electric cars. It’s considered as an improvement to meet better standard emissions regulations, and tax write-offs; so in this type of cases spending is saving!
- When I look at the news I like to see the real information by decoding it.
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