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With GM and Ford embracing Tesla’s EV charging technology, here’s what it means for consumers

by Ryan Lee
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EV charging technology

In the near future, General Motors (GM) and Ford will be adopting Tesla’s electric vehicle (EV) charging technology, resulting in significant benefits for consumers. This move entails allowing owners of GM and Ford EVs to charge their vehicles at Tesla’s extensive network of charging stations, which currently stands as the largest network in the country.

To facilitate compatibility, both Detroit-based automakers have decided to adopt Tesla’s EV charging connector, the plug that links an electric vehicle to a charging station. By joining Tesla’s charging system, GM and Ford may set a precedent for the rest of the auto industry to follow suit. This adoption could lead to a significant victory for Tesla, ensuring a new and assured revenue stream for years to come.

Currently, there are two main types of EV charging plugs: Tesla’s North American Charging Standard and CCS, used by almost all other automakers. It remains unclear which additional automakers might join Ford and GM in adopting Tesla’s technology.

How Will This Change Impact Consumers?

Tesla currently operates a network of 17,000 charging plugs, making it the largest network in the United States. These stations offer faster charging speeds compared to most others, while also boasting higher reliability and safer locations near popular travel routes. Under the new agreements between Tesla, GM, and Ford, starting next year, EVs from these automakers will gain access to 12,000 Tesla Supercharger plugs. Tesla leads the U.S. EV market, with GM in second place and Ford in third. Given their substantial market share, other automakers are likely to partner with Tesla to avoid being at a competitive disadvantage. Gary Silberg, KPMG’s global head of automotive, questioned the wisdom of excluding Supercharger access for customers, especially if these automakers intend to charge a premium for their vehicles.

What Happens if I Own a Non-Tesla EV?

If you own a GM or Ford EV, you may need to purchase an adapter to connect to Tesla chargers. The cost of these adapters remains uncertain. Alternatively, you can continue to use networks that support CCS connectors. However, if your EV is from a different manufacturer, you currently do not have access to Tesla’s chargers. Nonetheless, there is a growing network of public stations equipped with CCS connectors, which according to the Energy Department, encompasses nearly 54,000 locations with around 139,000 plugs. It is important to note that only 7,400 of these stations are DC fast chargers, capable of providing a significant charge in minutes.

What Happens if I Purchase a Non-Tesla EV in the Future?

By 2025, GM and Ford have announced their intention to install ports in their new EVs that will be compatible with Tesla chargers. However, until then, an adapter or a charging station accommodating both technologies would be required to use a CCS charger instead. While it is likely that other automakers will eventually switch to Tesla’s charging system, consumers might need adapters for a few more years. Sam Abuelsamid, an analyst at Guidehouse Insights, predicts that by 2027, new EVs built for North America will no longer have CCS ports.

Who Benefits the Most from This Agreement?

GM and Ford have not disclosed detailed financial arrangements. However, it is evident that Tesla will experience an increase in revenue as more Ford and GM vehicles utilize their charging infrastructure. GM has stated that it will not incur any costs; instead, its customers will pay Tesla for charging services. GM and Ford EV owners also benefit from gaining access to twice the number of chargers compared to before.

Who Stands to Lose?

If other automakers choose to adopt Tesla’s technology, companies developing their own charging networks, such as ChargePoint, EVgo, or Electrify America, may face pressure. They would need to ensure that their fast chargers are compatible with Tesla’s plug or become more competitive by improving the location and reliability of their charging stations. Abuelsamid suggests that until now, these companies did not have to compete directly with Tesla for owners of CCS-equipped vehicles. With Tesla’s network opening up to more vehicles, these companies might struggle to attract investors. However, as they adapt to the changing landscape, consumers should benefit from increased charging options.

What Are Other Automakers Saying About Joining Tesla?

Responses from other automakers vary. Kia, Nissan, and Toyota declined to comment, while Hyundai stated that it is continually evaluating its technology without any immediate announcements. Stellantis is working on a response, and Volkswagen remains committed to the CCS standard. Electrify America, which was established with funds from a VW emissions cheating settlement, plans to double its number of chargers by 2026. Currently, they operate 840 stations with around 4,000 plugs.

Frequently Asked Questions (FAQs) about EV charging technology

What does it mean for consumers that GM and Ford are embracing Tesla’s EV charging technology?

Starting next year, owners of electric vehicles made by General Motors and Ford will be able to charge their EVs at many of Tesla’s charging stations, which form the largest network in the country. This means more charging options for consumers, increased convenience, and access to Tesla’s fast and reliable charging infrastructure.

What types of EV charging plugs currently exist?

There are two main types of EV charging plugs: Tesla’s North American Charging Standard and CCS (Combined Charging System), which is used by almost all other automakers. Tesla’s plug is specific to their Supercharger network, while CCS is more widely adopted by other EV manufacturers.

Will other automakers follow GM and Ford in adopting Tesla’s charging system?

It is possible that other automakers may follow suit and adopt Tesla’s charging system, especially considering the market dominance of Tesla, GM, and Ford in the EV industry. However, it remains unclear which automakers will join Tesla’s network and when they might do so.

What happens if I own a non-Tesla EV?

If you own an EV made by GM or Ford, you may need to purchase an adapter to connect to Tesla chargers. The cost of these adapters is currently unknown. Alternatively, you can continue to use charging networks that support CCS connectors, which are available at a growing number of public stations.

What happens if I purchase a non-Tesla EV in the future?

GM and Ford have announced plans to make their future EVs compatible with Tesla chargers by 2025. Until then, if you purchase a non-Tesla EV, you may still need an adapter to use Tesla chargers. It is expected that over time, more automakers will transition to Tesla’s charging system, reducing the need for adapters.

Who benefits the most from this agreement?

Tesla stands to benefit financially from increased revenue as more GM and Ford vehicles utilize their charging infrastructure. GM and Ford EV owners also benefit by gaining access to a larger number of charging stations, enhancing convenience and reducing charging time.

Who might face challenges due to this adoption?

Companies that have been developing their own charging networks, such as ChargePoint, EVgo, or Electrify America, might face challenges as more automakers adopt Tesla’s charging system. They will need to ensure compatibility with Tesla’s plug or find ways to differentiate themselves through factors like location, reliability, and additional services.

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