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Friday, December 18, 2009

Toyota's hybrid vision leads the auto industry

The king of hybrid cars

For years now GM has been on the verge of toppling Toyota's hybrid cars according to GM's Bob Lutz. The dual mode hybrid powertrain was to be more sophisticated. The BAS mild hybrid was to be cheaper.

Neither has been competitive.

Might all that change when the Chevy Volt beats Toyota to market with a plug-in hybrid vehicle?

How is that even possible, some might ask? How could GM beat the king of hybrid cars to the plug-in hybrid market?

To answer that question, one needs to step back in time several years.

Finish: Toyota's hybrid vision leads the auto industry

Labels: Chevy Volt electric vehicle concept, Hybrid Vehicles, plug-in hybrid vehicles, toyota prius plug-in hybrid

posted by Dahcredyns at 10:32 AM

10 Comments:

Blogger Dahcredyns said...

Rest of Story

Just a decade ago, Toyota's Prius plans were an utter joke in the auto industry. Auto executives, such as Lutz, mocked Toyota's hybrids relentlessly. Yet, Toyota even upped the ante on this joke when they announced several years ago that they would be selling 1,000,000 hybrid vehicles per year worldwide in the first half of the next decade.

LOL, GM would have tweeted, if only tweeting had been around back then.

Yet, based on last month's sales numbers, Toyota is on pace to sell well over 1/2 million hybrid cars per year by 2010. And, with several new and important hybrids set to reach production in the next few years, it's beginning to seem almost a certainty that Toyota will achieve its 1,000,000 hybrids per year prediction before 2015. In fact, by 2020 Toyota expects a full 30 percent of its entire fleet to be hybrid.

So, again, how is GM beating Toyota to market on plug-in hybrid cars, even producing a plug-in with greater EV range than a Toyota Prius plug-in hybrid?

I have to admit, I'm a bit perplexed as well. While GM was still trying to figure out the body shape of the Volt concept, Toyota was busily testing more than 100 plug-in Prius hybrids in every real world condition imaginable. They even found out that these lithium-powered plug-in hybrids were safe and reliable.

But they also found out they would be expensive, too expensive for most consumers. Plug-ins would not be the driver of the auto industry for decades, Toyota realized. Consequently, being first to market with such vehicles would be about marketing, not reality.

And, since GM has always been a better marketer than Toyota, GM seized this hype-filled opportunity.

For this Toyota has again been mocked. And, while letting GM beat Toyota to market with plug-in hybrids is probably a mistake, it is almost certain to be a short-lived moment of glory for GM.

Essentially every serious study on the subject hasn't only validated Toyota's plug-in realizations, theses studies have suggested that if plug-in hybrids are successful, they will probably be short range plug-in hybrids almost exactly like the Toyota Prius plug-in hybrid, rather than the Chevy Volt.

In essence, smaller battery packs will offer better cost-effectiveness for consumers, and cost-effectiveness is a key driver for most auto consumers.

Now, certainly, it is possible that some huge battery breakthrough could change this fundamental dynamic, but why bet the future on an assumption? Likewise, if some battery breakthrough does change this dynamic, I'm quite certain that Toyota will be able to capitalize on such technology.

In the interim, however, Toyota will be on a path towards selling millions of hybrids per year, as well as one of the most cost-effective plug-in hybrids on the market. And that's by 2020, a full decade before the mass adoption of plug-in vehicles is supposed to finally pick up pace.

And the hybrid joke is on who?

12:20 PM  
Blogger Indigo said...

Indigo Incarnates

I haven't exactly been impressed with Toyota's "Vision". They have exactly *one* car model that sells for less than $30,000 (the $28k Camry will cost well over $30k once you add the markup and features).

Most of Toyota's hybrids wear the "Lexus" imprint and cost $50k+. The Lexus models also don't get very good gas mileage because Toyota tuned them to be "power" hybrids.

Yes, HSD is a wonderful technology. Too bad it's mostly slated for rich yuppies with six-digit incomes.

1:05 PM  
Blogger Smurf said...

Its true...

GM has been leading the hybrid "headlines" for the past 15 years, while Toyota has been the leader in hybrid sales.

It appears that Toyota has had it's finger on the pulse of the hybrid consumer the whole time and has developed hybrids that meet the needs of the consumer.

Meanwhile, GM's development of hybrids is very similar to the Army's development of the Bradley Fighting Vehicle (See the movie "The Pentagon Wars"). That's why their hybrid motors ended up being put on big trucks.

I have a feeling, as does, this article, that the same will be true with plug-in hybrids...

1:43 PM  
Anonymous mike said...

you have to compare hybrid to diesel...which is better?

10:38 PM  
Anonymous car reviews said...

Yeah you are perfect about your point the hybrid vision said by the toyota few years back is now going to be the base platform for the next auto generation!

2:09 AM  
Anonymous Lifted Trucks for sale said...

Hybrid technology is the best technology developing in automotive world and doing great. I agree with Smurf yes the GM is leading this technology.

Hybrid cars are the future cars, In future every automobile company will focus on these cars, So no one knows who will be the next leading Company. May be the Toyota will be the Next!!!!

2:42 AM  
Blogger Dahcredyns said...

mike-

why do you have to compare hybrid to diesel when hybrid technology is fuel independent?

in just a few years there will be many diesel hybrids, at least in europe.

9:44 AM  
Blogger Dahcredyns said...

indigo-

i hear what you are saying about price. still, in order for Toyota to achieve its 30 percent goal, cheaper hybrids will have to be part of the mix.

for now, toyota's hybrid pricing has been priced well enough that demand has typically outpaced supply.

9:48 AM  
Anonymous RV Trader said...

Hybrid VS Diesel
Hybrids have the hype, but diesels have the history. As the battle to develop a more Earth-friendly automobile heats up, both technologies offer strengths and weaknesses. By giving a gasoline engine an electric assist, hybrids squeeze more out of already efficient vehicles. But making the most of those gains requires a style of driving that makes the most of the hybrid's capabilities and a light foot.

Diesel powerplants have always been efficient thanks to their ultrahigh compression ratios and the higher energy content of diesel fuel. Still, anyone who has whiffed the pungent exhaust of many diesels might doubt the engine's claim to green status. But, today's diesels have been engineered to burn cleaner while still delivering impressive mileage.

4:41 AM  
Anonymous supra shoes said...

it is possible that some huge battery breakthrough could change this fundamental dynamic, but why bet the future on an assumption? Likewise, if some battery breakthrough does change this dynamic, I'm quite certain that Toyota will be able to capitalize on such technology.

10:32 PM  

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