Tesla Competition Revs Up - Who's Who?

Four electric vehicles. (Creative Commons License).

There used to be a time when Tesla had the EV market all to itself. However, while still maintaining its lead, the increasing interest in zero-emission mobility means the world's biggest EV maker faces more competition than ever.

Who are Tesla's competitors? How can the company maintain its edge? This article answers these questions and more.

Who Are Tesla's Competitors?

The companies challenging Tesla can be grouped into two main categories, legacy automakers, and EV startups.

Legacy Automakers

This group includes companies making internal combustion engine (ICE) vehicles for decades but are now moving into EV production. They bring the expertise of making automobiles, sometimes converting their existing ICEs to battery-electric cars, and deep access to funding to the fighting ring.

Tesla isn't resting on its laurels, which will make catching up with it quite tasking. For example, the company has announced its new 4680 battery that promises more range, less charging time, less weight, and increased safety.

On the home front, this group includes Ford, which has released the Mustang Mach-E (which recently snatched the top spot of Consumer Reviews electric car recommendation), General Motors, the American brands under the Stellantis umbrella, etc.

Ford's new EV the Mach-E. Source: Ford Media Center (Creative Commons License).

Overseas, Tesla battles with the German trio of Volkswagen, BMW, and Mercedes-Benz. Elsewhere, Toyota, Honda, Kia, the European brands controlled by Stellantis, eye Tesla's market share.

Multiple legacy automaker EVs. (Creative Commons License).

EV Startups

This category contains companies that, like Tesla, are set up to make EVs. Since they are starting on a clean slate, these companies have the opportunity to optimize their production. In the US, this group has Rivian, Lucid Air, Canoo, Fisker, etc.

Lucid Air electric vehicle. Source: Lucid Motors (Creative Commons License).

Outside the US, the competition comes mainly from China, where Nio, Xpeng, BYC, etc., duel for regional supremacy before expanding to the rest of the globe.

What Advantage Does Tesla Have?

Tesla isn't resting on its laurels, which will make catching up with it quite tasking. For example, the company has announced its new 4680 battery that promises more range, less charging time, less weight, and increased safety.

Another invaluable asset Tesla has is its manufacturing prowess. After years of handling its production in-house, it has become the most vertically integrated automaker. 

Tesla Roadster. Source: Tesla (Creative Commons License).

It has developed its own electric motors that are faster and last longer. It has also perfected the use of Giga Presses, saving time and cost in production. 

One of Tesla's greatest assets is its CEO, Elon Musk. As the company's public face, he has a large social media following that helps keep him and the company visible and in the spotlight.