Tesla Motors and the Green Collar Revolution

Economists, environmentalists and politicians have been predicting the rise of a new, green economy as far back as 1976, when the term “green collar” was first used in congressional hearings.

Over the past three decades, we were to have shed our dependence on polluting, politically volatile petroleum. Our cars were to be electric, our houses powered by renewables and our jobs contributing to smaller carbon footprints.

Somehow, very few of those green goals have been realized. Domestic and international automobile manufacturers did build all-electric vehicles – GM’s EV1, Honda’s EV+ and Toyota’s electric RAV4 – but lessees were forced to return these great electric cars to be deactivated or destroyed.

And it doesn’t seem as if green-collar jobs in America will be retraining auto workers. The greenbacks for green jobs largely have been directed towards building retrofits, with a sprinkling of solar and wind energy investment. It’s a pretty far cry from the 5 million green jobs the incoming Obama administration hoped to create. Achieving such a lofty goal would call for a fundamental retrenching of a basic American necessity, say, the automobile.
Enter Palo Alto-based Tesla Motors.
In a little more than seven years, this Silicon Valley idea has gone from 0 to 60 faster than one of its highly sought-after Roadsters to become the world’s only auto maker that mass produces all-electric vehicles for highway use.

While the beautifully crafted and engineered Roadster and Roadster Sport have been critically acclaimed in the automotive press, the base price of over $109,000 is a significant barrier to mass-market appeal. Taking a lesson from the Silicon Valley’s entrepreneurial past, Tesla Motors has used the initial versions of its product as a test bed, integrating the feedback and experience of early adopters to fold back into the design of its first production sedan, the Model S.

The Model S will be the first truly practical electric vehicle, with space for a whole family (plus luggage) and a range of up to 300 miles on a single charge. With preorders running in excess of 2,000 units, the Model S will (after federal tax credits) carry a more affordable $49,900 price tag and should begin delivery to customers in 2012.
In a joint venture with Toyota, Tesla Motors has purchased a large portion of the defunct NUMMI auto assembly facility across the San Francisco Bay from Palo Alto in Fremont, California. According to Tesla CEO Elon Musk, “the Tesla factory effectively leverages an ideal combination of hardcore Silicon Valley engineering talent, traditional automotive engineering talent and the proven Toyota production system. The new Tesla factory will give us plenty of room to grow.”
The Model S assembly will bring more than 1,000 long-anticipated jobs to green up the Bay Area’s golden hills, continuing the Palo Alto tradition of innovative entrepreneurship, this time with an eco-friendly focus.