Hertz To Purchase 100,000 Teslas by End of 2022

[U100]

https://www.wsj.com/articles/hertz-orders-100-000-teslas-11635167670

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[fromSf]

Tesla stock skyrocketed after this news today

 

[CommodoreAmiga]

I wonder where Hertz got the funds? Wern't they basically bankrupt?

I'm also curious how this affects delivery timing. I looked at a Model Y and it's already estimating May for delivery -- yikes.

 

[DucRider]

I wonder where Hertz got the funds? Wern't they basically bankrupt?

I'm also curious how this affects delivery timing. I looked at a Model Y and it's already estimating May for delivery -- yikes.

They emerged from bankrupcy.
They (like all rental car companies) are struggling to rebuild their fleet. No matter what they buy it will require funds. I think it is a smart move as it differentiates them from the competition. The Model 3 is also the most popular car in the most searched category (electric) on Turo.

I suspect the delivery timing being pushed out on the Model 3 is due in part to this order (I doubt that it came as a surprise to Tesla - they have likely been in negotiations for a bit).

I would absolutely choose Hertz/Tesla when renting. Been using Turo to rent elecric on trips for a while (which has pluses and minuses).

 

[mwexler2]

The part I noticed was the headline that this was the biggest EV purchase ever. Apparently the reporter hadn’t heard of the Amazon deal with Rivian to purchase 100,000 vans.
Apparently from the pricing it seems Hertz was given the same pricing as normal buyers. My guess is they wait in the same line as everybody else. So it’s similar to 100k people each buying a Model 3. Probably doesn’t effect your current place in line, but if you place an order after them…

 

[CommodoreAmiga]

Rental companies don't typically keep vehicles more than a couple years, right? This may mean an influx of used inventory, in the future.

 

[DucRider]

The part I noticed was the headline that this was the biggest EV purchase ever. Apparently the reporter hadn’t heard of the Amazon deal with Rivian to purchase 100,000 vans.

They articles I saw with that reference were quoting Bloomberg. For whatever reason they don't seem to paint Rivian in a positive light.

 

[Temerarius]

Rental companies don't typically keep vehicles more than a couple years, right? This may mean an influx of used inventory, in the future.

This might change that.

I suspect a big reason to cycle through the fleet of cars is "warranty expired" followed closely by "maintenance costs".

EV's don't have the same level of maintenance needs, so it will save them those costs upfront, and in theory, they could hold on to these vehicles longer (thus reducing the overall cost of fleet acquisition on top of maintenance).

I can see why they went Tesla as well, SuperCharger network, plus production levels (no other manufacturer is cranking them out like Tesla is right now).

 

[timf]

Hopefully they figure out a way to enable phone as key through the Hertz app. It would be annoying if you were stuck having to use the key card for everything with a rental car. They'll also need to have a system setup to bill any Supercharging sessions to the renter rather than Hertz, hopefully without the service charges that come with their toll payment system.

 

[Sgt Beavis]

Tesla's market cap temporarily surpassed $1TRILLION.. It's now down to $996Billion.. But man this was a massive deal.

Times are a changin'

 

[Canthoney]

I wonder where Hertz got the funds? Wern't they basically bankrupt?

I'm also curious how this affects delivery timing. I looked at a Model Y and it's already estimating May for delivery -- yikes.

WSBs money

 

[Blur1t]

I wonder where Hertz got the funds? Wern't they basically bankrupt?

I'm also curious how this affects delivery timing. I looked at a Model Y and it's already estimating May for delivery -- yikes.

Yes and the used ones are more than the new ones, supply and demand I’m guessing…

 

[Temerarius]

Yes and the used ones are more than the new ones…

I have an offer on my 2017 X 100D with 51k miles on it.. for more than I paid for it... now if only I could get an ETA on my R1T I could sell it...

 

[Dbeglor]

This might change that.

I suspect a big reason to cycle through the fleet of cars is "warranty expired" followed closely by "maintenance costs".

EV's don't have the same level of maintenance needs, so it will save them those costs upfront, and in theory, they could hold on to these vehicles longer (thus reducing the overall cost of fleet acquisition on top of maintenance).

I can see why they went Tesla as well, SuperCharger network, plus production levels (no other manufacturer is cranking them out like Tesla is right now).

Plus they don't have to worry about the fleet appearing dated, because the Teslas never change....

 

[Temerarius]

Plus they don't have to worry about the fleet appearing dated, because the Teslas never change....

Just that stupid ass yoke...

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