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Friday, July 11, 2008

Prius: Litmus test for the auto industry?

Can anyone take on the Prius?

The Toyota Prius has changed the way Americans think about automobiles. Today, according to the latest surveys, most Americans are now interested in hybrid cars and the Prius is the standard. Certainly, the Prius isn't for everyone, but the Prius is the litmus test by which even automakers must judge their hybrids. It's not just about hybrid technology, but hybrid sales, which makes the Prius so important.

GM was the first to name its Prius-killer, the Chevy Volt, offering a totally different kind of hybrid powertrain and one that can plug-in. Unfortunately, it is now obvious that the Volt, at least in terms of sales, will come nowhere close to challenging the Prius until long after 2015. By then the Prius will be on its fourth generation of Hybrid Synergy Drive technology and who knows if the Volt's revolutionary technology will still be a killer by then.

Other than GM, only Honda has reasonable plans for a Prius-killer in the near term, and they have a pretty good plan, in terms of technology and production numbers. A hybrid as accommodating as the Prius, as efficient as the Prius, and cheaper than the Prius. Of course, that's before Toyota launches the third generation Prius. And, it still seems the Prius will easily dominate city fuel economy against this killer.

Sadly, outside of Honda and GM, no other major automaker is anywhere near a Prius-killer, as gas surges towards $5.00 per gallon. Thus, if the Prius is a fair litmus test for the auto industry, the industry is failing, pathetically.

Labels: Chevy Volt electric vehicle concept, Hybrid Vehicles, toyota prius

posted by Dahcredyns at 3:18 AM

7 Comments:

Blogger kpdriscoll said...

Honda will make progress, but I don't see the rest of the big-boys.
Tesla has potential but the Big-3 pulled the file on "Tucker" and will take them down with their ship using the same tactics that worked for that innovative upstart.

Since capacity is low and demand is high, I think you'll see a repeat of the Lexus Hybrid methodology where you put the new technology where the profit margins are to make business sense until economies of scale make it profitable for lower-margin vehicles. That's what make the Prius amazing: great technology in the affordable segment.

BTW, how about "Prius joiners." Your "Prius killer" comment seems a bit vindictive. I thought you were promoting hybrid technology, not trying to subdue GM's competition. There's plenty of space in the market for more reasonably priced hybrids.

5:24 AM  
Blogger Indigo said...

Indigo Incarnates

Of course, the Prius is rapidly becoming not-that-affordable as dealers are charging an extra $5k for the prividge of buying one. But you can get a Civic hybrid with no markup and the fuel economy is almost as good.

I look forward to Honda's next hybrid, especially if it will be priced in the low-$20k range and is a hatchback.

I suppose GM is using their 2-Mode hybrid system on guzzlers because most of their factories are geared for land hulks. That's too bad. I'd like to see what they could do with a Chevy Cobalt Hybrid. THAT would be a very affordable hybrid!

I agree with KDP: fuel-efficient cars are in such high demand that no car will be a "Prius Killer", but any carmaker that makes an affordable vehicle that gets 40 MPG or higher will make a killing in their own right.

12:48 PM  
OpenID armchairaviator said...

I'm looking forward to seeing how the Chevy Volt will turn out. I'm sure it will probably be the most revolutionary car GM will have introduced in the first decade of the 21st Century and that it will have many merits.

However, I think the 3rd-Gen Prius is going completely pwn the Volt in the marketplace, considering that:

- The 3rd-Gen Prius plug-in hybrid will be coming out probably around the same time, built on existing proven technology (Hybrid Synergy Drive).

- The 3rd-Gen Prius PHEV probably wouldn't cost much more than a non-PHEV Prius. Probably around $30,000 or so.

- The Volt is going to cost $40,000.

I really really hope the Volt isn't "too little too late.." It would be a bad thing if GM went away and left Toyota with less competition. As much as the Big 3 resembles the 3 stooges, we do need them around to keep Toyota on its toes instead of resting on its laurels.

4:51 PM  
Blogger Jabroni said...

The Mitsubishi i MiEV will be here in 2010...for a wonder. With a 100 mile EV range, it would be considered a Prius killer in my book. In fact, if the price is right, this vehicle makes perfect sense as our second car...no gas, ever....sorry to go off topic on the hybrid car blog with my EV post, but it is pretty exciting to think that in the year 2010, there will be lots of choices!

7:26 PM  
Blogger Dahcredyns said...

jabroni-

i think cheap electric cars are a great idea, but with only 100 mile range i can't call the iMiev a prius-killer. still, choices are much needed.

12:59 PM  
Blogger Dahcredyns said...

kp-

"prius-killer" is a word that has been used in both GM and Honda circles, it's not meant to be vindictive in any way, especially since i consider the prius to one of the best cars available in america.

i use that word 'prius-killer' because when the facts are reviewed, there is nothing coming out anytime soon, if ever, that will be a prius killer.

1:08 PM  
Blogger Dahcredyns said...

armchair-

i think the volt will be a great vehicle, but gm just won't be able to produce them in prius-like production numbers until after 2015, when toyota will be coming out with the fourth gen prius, let alone 2nd gen plug-in prii. who knows what will happen between then and now, especially if toyota can perfect its better-than-lithium battery technology.

1:16 PM  

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