A Tesla And GM Merger…How Do You Feel About It
April 7th, 2017
Tesla is now worth more than GM. Yup, you heard that correctly. Late last month, Tesla surpassed Ford with a record market capitalization of $45.47 billion. Now, current market evaluation has Tesla worth $52.08 billion with GM only being worth $51.23 billion. Tesla is officially the highest valued American automaker and actually only falls slightly behind Honda, with their value being at $53.08 billion. This is surprising considering Tesla doesn't produce cars in high amounts due to a lack of manpower.
The company also continuously fails at making a profit. However, Road & Track laid out the case why a possible Tesla-GM merge would make sense. GM has shown with the Volt, that they are really good at delivering large quantities of electric-capable vehicles. Tesla has had a production capacity problem for a long time now and with GM's resources, a massive amount of Tesla's could be produced everyday. Tesla also has the "cool" factor which the name alone on any GM electric cars would not only help Tesla make more money but GM as well, creating an unstoppable car company.