Barron's - USA (2021-02-15)

(Antfer) #1

February 15, 2021 BARRON’S 19


100 YEARS OF BARRON’S


Electric Vehicles Were


A Nonstarter—Until


Tesla Came Along


I


t was 1959, the dawn of the Space Age,


and a half-dozen companies were “racing


to bring out the first electric automobile


in a half-century,” according toBarron’s.


Leading the way was the Nu-Klea Star-


lite, a new electric model being billed as


an “economy car”—a concept so novel


thatBarron’sput it in quotation marks.


“Simply by plugging the car into an electric


outlet each night, thereby recharging the batter-


ies, the owner can drive about 80 miles the next


day at a cost of no more than 20 cents,”Barron’s


marveled.


But the Starlite fizzled, and no other success-


ful EV emerged from this short burst of enthusi-


asm. And so it would continue for the rest of the


century—high hopes dashed by lack of vision,


willpower, and funding. It took a new millennium


and a “green-powered cruise missile” known as


the Tesla Roadster to finally show the way to a


new electric golden age.


The first golden age of the EV was a short one,


lasting the first decade or so of the 20th century.


“The stately, battery-powered sedans of the pre–


World War I era,”Barron’swrote, appealed


mostly to well-to-do urbanites. President Wood-


row Wilson drove around the White House


grounds in his Milburn Electric.


Unlike gasoline-powered cars, EVs rode clean


and silent, with little effort or maintenance


needed. But they lacked speed (25 miles an hour)


and range (60 to 70 miles per charge), largely


because the batteries were so heavy.


The first electric age effectively ended in 1915,


after Henry Ford and Thomas Edison teamed up


to take a crack at EVs. The result: “The vehicles


were too slow, too heavy, and too costly,” accord-


ing toBarron’s. “The project was dropped.” If


Ford and Edison couldn’t pull it off, who could?


That’s pretty much where things still stood in


1959, when the Starlite made its


disappointing debut. EVs weren’t


abandoned—there were golf carts


and British “milk floats”—but the


dream of an electric passenger car


was deferred for decades.


Fast-forward to 1968, whenBar-


ron’sreported that GM, Ford, and


Chrysler, “stung by criticism” over


“the fumes their gasoline buggies


spew into the air,” were boasting


about their research on “smogless


vehicles.” The big hope this time was


a Union Carbide electric motorcycle,


which clocked 25 mph and was dem-


onstrated by a “dignified, gray-haired


chemist” dressed “in a paratrooper


jacket and white crash helmet” who


“rode slowly around in circles” on


the sidewalk in front of the com-


pany’s New York office.


The motorcycle was “strictly


experimental,” and Detroit’s Big


Three had nothing of their own to


offer except vague promises of elec-


tric passenger vehicles that might be


ready for commercial production in


“10 or 15 years,”Barron’swrote. That


was optimistic.


A


nother decade passed. Then,


on June 13, 1977,Barron’s


cited “renewed interest in


EVs,” this time because of


concerns about the oil embargo and


air pollution. Yet the only assembly-


line producer of EVs was Sebring-


Vanguard, whose CitiCar two-seater


“boasts a top speed of 38 miles per


hour and can go about 40 miles per


charge.” The CitiCar was so flimsy,


Barron’swrote, “it’s not allowed on


major highways.”


Some 13 years later, in 1990, GM


CEO Roger Smith, “desperate for a


piece of good news on which to end


his career,” asBarron’sput it, intro-


duced a new EV program with great


fanfare. But the effort didn’t yield a


car until 1996—the General Motors


EV1, a two-seater with an initial


range of just 60 miles. GM pulled the


plug on production in 1999, sparking


controversy detailed in the documen-


tary,Who Killed the Electric Car?


By 2002, the big car makers knew


that the gasoline engine was “rum-


bling into its twilight years,” with


Ford, GM, and the then Daimler-


Chrysler spending “well over $1 bil-


lion a year on new-engine technolo-


gies,” including hybrids,Barron’s


wrote. Led by Toyota’s Prius, there


were 50,000 hybrids on U.S. roads.


The modern EV era begins with


Tesla and CEO Elon Musk, a vision-


ary no less audacious than Ford or


Edison. Musk’s goal is “an electric-


car revolution,” and instead of build-


ing another niche economy EV, Musk


shot for the moon with a high-end


sports car, the Tesla Roadster.


Barron’sunderestimated the


power of Musk’s revolution. A 2013


cover story panned the stock, sug-


gesting that Tesla’s fans “are view-


ing its prospects through 3-D


glasses.” Musk hung up on us dur-


ing an interview for the story. Tesla


stock, then a split-adjusted $23, is


now above $800.


The revolution is clearly under


way. GM stunned the industry last


month with a plan to eliminate inter-


nal-combustion engines by 2035. Ford


is back in the game with the beautiful


and fast Mustang Mach-E. Apple


could be next.


If only Edison could see it all


now.B


By KENNETH G. PRINGLE


Sebring-Vanguard’s CitiCar two-seater, pictured above in 1974, was so flimsy that “it’s not


allowed on major highways,”Barron’swrote. Below, Henry Ford, left, and Thomas Edison,


circa 1930.


On This Week


Feb. 16, 1987:Wall Street reels as three arrested


in “Goldman-Kidder insider-trading scheme.”


Feb. 13, 1933:Short-selling curbs


prevent “natural functioning of


bear forces,”Barron’ssays.


top) Marion S. Trikosko/Library of Congress; (bottom) Detroit Publishing Co./Library of Congress
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