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Technology Stocks : The Electric Car, or MPG "what me worry?"

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To: Tadsamillionaire who wrote (3)9/1/2006 9:17:23 PM
From: Tadsamillionaire   of 17500
 
Interest in electric cars lighting up again
By CHRIS WOODYARD USA Today
8/27/2006

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SANTA MONICA, Calif. -- There are growing signs that the electric car, once on the road to extinction, may jolt back to life.

Several small, independent automakers are juicing up electric cars as an environmental statement amid renewed concern about global warming and dependence on imported oil.

The latest is a Silicon Valley startup called Tesla Motors, which is taking orders for a $100,000 electric high-performance sports car that it hopes to deliver by next spring.

Tesla unveiled its roadster, billed as capable of a Ferrari-like zero to 60 mph in four seconds, last month in a converted aircraft hangar here. The cocktail-swilling crowd featured an odd coalition of environmentalists and sports car enthusiasts. Even California Gov. Arnold Schwarzenegger, a Hummer-loving Republican, took a spin.

Observers say the varied assortment of vehicles in the new electric-power generation -- from racing-style cars to around-town jalopies -- have a shot at success if they can create some excitement.

"There's no question" that success is within reach, says Dick Messer, director of the Petersen Automotive Museum in Los Angeles, which has chronicled the attempts at electric car production through the years. "Nobody has connected the

dots."

The winner will be the company that ties together the finances, engineering, battery range and other assorted technical features to make a sustainable business, Messer adds.

Among the companies trying to lead the charge:

Tesla. The car was designed in California but will be built by Lotus in Great Britain, which is basing it on its two-seat Elise model.

The company says its sophisticated lithium-ion battery will allow a range of 250 miles on a single charge and a top speed of 130 mph.

Tesla is largely bankrolled by PayPal co-founder Elon Musk, who says he kicked in about half the $60 million capitalization, so far. Musk, Tesla's chairman, also has a rocket company called SpaceX.

By producing expensive cars in a small quantity to start, the company hopes to bankroll future production of more-affordable, mass-produced electric cars. Musk compares next-generation electric cars with the personal computer industry in its infant stage in the early 1970s.

"Our goal is to become one of the great car companies of the 21st century," producing a car that's competitive against Porsche and Ferrari. And "by the way," Musk adds, "it's electric."

Wrightspeed. Another Silicon-Valley-based start-up hopes to produce its own, $100,000 high-performance car within two years. It will have about a 200-mile range.

Ian Wright, who heads Wrightspeed, is a former computer-industry engineer and amateur racer. He says electric cars promise "extreme performance" through advanced electronics and software.

He says the new breed of electric cars could have three times the energy efficiency of gas-electric hybrids.

"You can build something that's seriously fast and a lot of fun to drive," he says. "We're building different cars aimed at different people."

Zap. At the other end of the performance spectrum, specialized-auto importer Zap last month started selling a three-wheel electric "city car" imported from China that it says is capable of a top speed of 40 mph.

Priced at $9,000, the Xebra has a range of about 40 miles using a conventional lead-acid battery. So far, it's being delivered to five dealers on the West Coast and Florida.

Xebra seats four -- and even has four doors -- although it is classified by regulators as a motorcycle because of its three wheels. It comes in four colors, including a zebra-striped version.

Tomberlin Group. An Augusta, Ga.-based company plans to sell three versions of electric cars.

The E-Merge E-2, a two-passenger car, is expected to be on sale early fall, followed by E-Merge E-4, a four passenger model, and Anvil early next year. Prices will range from $5,000 for E-Merge E-2 to $8,000 for the four-seat Anvil.
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