International Motor Vehicle Technology Association Supports Tesla Standardization Efforts
"Relying on Capricious Musk Could Pose a Major Risk"
Tesla's proprietary charging network, the 'Supercharger,' is increasingly likely to be adopted as the standard in the North American region. The Society of Automotive Engineers International (SAE International) has stepped forward to support the standardization of the Supercharger, gaining momentum, and following General Motors (GM), Ford, and Rivian, even the European automaker Volvo has joined the ranks of Supercharger users.
On the 27th (local time), the association announced that it would support the creation of an industry standard configuration for Tesla's Supercharger within six months. The association explained that it is in talks with the U.S. government, GM, Ford, Rivian, and other electric vehicle manufacturers regarding this matter. The association stated that there is a shared awareness between the government and industry about creating standards, and although Tesla's charging specification has not yet reached industry consensus, this process aims to establish a basis for agreement.
The association expects that by standardizing Tesla's charging specification, the North American Charging Standard (NACS), this support will provide certainty and broaden choices for manufacturers and suppliers, as well as offer reliability and convenience. It also anticipates that this will expand charging accessibility for consumers.
The reason the association decided to support this is that recently, major automakers in the North American region have begun recognizing Tesla's Supercharger as a standard specification. Until now, the common electric vehicle charging standard was the Combined Charging System (CCS·DC Combo). This system is still primarily used in Europe, and Hyundai Motor Company also uses this method. In contrast, Tesla has adhered to the NACS method, which has prevented other brand electric vehicles from using the Supercharger until now.
However, the atmosphere changed when Ford Motor Company formed a partnership with Tesla on the 25th of last month. Ford announced that starting in 2025, its electric vehicles would be equipped with Tesla's charging standard, allowing charging without an adapter. This came six months after Tesla declared in November last year that it would open the Supercharger to other brands aiming for North American standardization. Subsequently, GM and Rivian also joined the ranks of Tesla Supercharger users.
Not only American automakers but also European companies have begun to join. On this day, Volvo announced that it had signed a contract with Tesla. As a result, starting next year, Volvo electric vehicle drivers will be able to charge at Tesla's 12,000 charging stations in the North American region. Like Ford, Volvo's electric vehicles will also be equipped with Tesla's charging standard starting in 2025. CNBC reported that Volvo is "the first European electric vehicle manufacturer to officially adopt the NACS method for electric vehicles sold in North America."
With the association also stepping forward to support the standardization of Tesla's Supercharger, the possibility of Tesla leading the international standard has increased. Founded in 1905, this organization has over 100,000 engineers working in technology-related industries such as automotive and aerospace in the United States. Originally known as the Society of Automotive Engineers, it has since been renamed SAE International. This association has created autonomous driving technology standards that are used worldwide and holds significant influence in the automotive industry.
As of April, Tesla operates more than 45,000 Superchargers worldwide. According to the U.S. Department of Energy, Tesla's Superchargers account for about 60% of all fast chargers in the United States.
However, some concerns have been raised that the standardization of Tesla's Supercharger could pose risks to the automotive industry.
The New York Times (NYT) evaluated the association's decision by stating, "It increases dependence on Elon Musk, Tesla's CEO, who is known for being capricious and a 'maverick,' which could pose significant risks to the automotive industry." Typically, technology standards are created with participation from multiple companies, but since the Supercharger is a proprietary system developed solely by Tesla, there is skepticism about how much authority Tesla will relinquish during the process of making it a standard involving multiple companies.
NYT also pointed out that Tesla must bear the risk that drivers of its electric vehicles might have to wait behind drivers of other brands such as Ford or Chevrolet at charging stations.
In response to concerns that Tesla might discriminate between its own electric vehicle drivers and those of GM, Ford, and others, GM stated, "It is part of the contract that GM drivers will be treated the same as Tesla drivers."
Meanwhile, despite a downgrade in investment rating by the global top investment bank Goldman Sachs, Tesla's stock closed at $250.21 on the New York Stock Exchange (NYSE), up 3.80% from the previous trading day, influenced by the announcement of the partnership with Volvo.
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