 Okay, we all heard this news today. This is MXUX. This is just a trick-or-treat video here Tesla's market value hits 1 trillion after Hertz agrees to buy 100,000 model threes So we have Hertz here. We have Tesla here. We have Hertz buying a trillion Hertz buying a hundred thousand model threes. They want to go all EV by what is it? But what doesn't matter anyway, they want to go all EV by like 2030. So this is the first first shot Over the bow of the other car rental companies fleet. I might add fleet. These are fleet sales and Does Hertz rent pickup trucks in its fleet? Yes, it does Does everybody else rent pickup trucks in their fleets you haul penskey? Yes, they do anyway So this is a trillion dollar Market cap based on a hundred thousand sales of model threes big order Big market cap. Let's go over here F-150 lightning orders delayed until December blah blah blah blah blah blah blah blah. This is a delay in the start of production which we all expected from Ford because I no one thought that they were going to be able to Produce the production numbers. They thought they did Here's the here's the rub Let's recall the company increased sales production target from 40,000 to 80,000 a year in 2024 But in 2023 it might be less 55,000 while in 2022 it will probably be very limited Like 15,000 Okay, we can only guess that Ford will not be able to produce more than 20,000 f 150 lightning next year So if they're going to produce 20,000 they have a hundred hundred thousand a hundred fifty thousand orders for the highest models I don't know. Where's the fleet production there and the question is How much production Ken Lordstown motors ramp up? But as you can see we're looking at 20,000 Produced vehicles. They're not going to be able to fill a hundred thousand unit order for Tesla or I mean Hertz or anybody else Will Lordstown well, you know, they're going to ramp up. Let's see see what they can do Mike Schmidt said What do you say four cars and four cars a minute this year six cars a minute next year? so Anyway Now let's get into the tangled web. We weave here on this Whole thing Ford thought more of you would flock to its EV trucks and vans turns out you can lead businesses to electric 150 But you can't make them buy and this is from electric Jalopnik, I'm sorry First gear fleet EV adoption not going to weigh Ford hoped uh-oh Okay Ford's going all in on battery electric commercial vehicles between the F-150 lightning and the e-transit on their van on Paper these vehicles make sense for business. They're cheaper to run cheaper to fuel and come heavily subsidized Which is all true? Companies should be flocking to them. Well, at least in a perfect world where charging infrastructure is equally distributed Limited range is an issue and the batteries in these cars won't necessitate costly repair replacement in a decade And this is a story from router Reuters Ford Motor Company Sees a robust market for electric trucks and vans way 2030, but it's facing some early pushback from commercial customers A key audience now these are fleet customers Okay, the key audience for the automakers new F-150 lightning and e-transit These are both vehicles that Lord's time is also producing The lightning pickup and e-transit van are targeted at real people doing real work. I think they stole that from Lord's time didn't they the chief of Ford pro Okay, and this is the Fleet model of the lightning the Ford pro but some of those potential fleet pliers are taking a wait and see attitude Okay, now here's what they give for the rationale partially from a lack of experience with electric vehicles and Partially from a lack of clarity on government policy and regulations around EVs, which we can all understand and Of course depending on how that bill comes out Ford could come out with a very distinct advantage By the way Lord's time could possibly also vote in their union, but that would likely take more time But they give those two reasons Those are not insurmountable obstacles over the long term in the US We see a 70% of the full-size bus and van industry going with electric by 2030 That's 300 vehicles annually And we expect the third of the full-side pickup market to go a little electric that's more than 800,000 vehicles annually now I might add They're taking a wait and see attitude. One of the thing they didn't mention was the competitive the competing offer of a more suitable electric vehicle from Lord's time voters Maybe they don't want to get the Ford with F-150 lightning. I'm just putting this out there Maybe You know the scale in the in the bed because you know, let's say you run a truck from Hertz You're in a pickup truck. You're moving Do you think you're gonna pay attention to that scale? You're gonna load that truck up with as much crap as you can And you're gonna take it to wherever you're going and you're gonna try to get the truck back as soon as possible And I'm telling you the reason that scales there is to monitor the warranty They're gonna violate the warranty on the truck and that's the end of it Lord's town straight rear axle a solid rear axle leaf springs not the same problem a much better fleet vehicle I am taking the the position that that is what the wait and see attitude is and Government policy and regulation here's the thing about government policy and regulations everybody follows California California is mandating these private fleets go electric by X year They have to go all they're supposed to go all electric and the rest of the world follows, California's EV Regulations, so that's why everybody's that's why Lord's town motors is in Orange County That's why Tesla sells more EVs in California than anywhere else. Anyway So we got 800,000 potential market for electric fleet pickup trucks are saying here It's very easy for Ford to say it does 90 F-150 with the blue collar work in mind I I don't doubt that. Well, I don't know about that EVs and offer a number of benefits to businesses that doesn't change the reality that people's livelihoods depend on these vehicles and every commercial application is different Sure, and he he transit sounds great for last mile deliveries in the Northeast but how useful is the F-150 lightening going to be to a contractor in the Midwest who has to drive 60 miles to the next charging station and I would add that, you know, we're gonna get to full specs on the on the Lord's town endurance Providing there is power at the worksite. I do believe they'll be able to charge reasonably Via 110 During an eight-hour workday to increase the range of the F-1s of the Lord's town endurance Which is something you cannot do with the Ford F-150 because It's an energy hog. So I think this is another selling point for the Endurance One day Ford will be right about all this and it's too early to bet on on on workhorse Workhorse EVs Will pay off But it's foolish to think it's going to undo decades of routines and Expectations overnight business will adopt EVs when they feel confident doing so So as I said Workhorse, you know, of course is a is another brand. I don't think that's what the form they're using it in here in any case You know, they're making a lot of calls here on why nobody's doing it They aren't mentioning the comp competing fleet truck, which is Lord's town. Of course, why would they and I actually think that This the F-150 Really is a lifestyle vehicle. It is not a fleet pickup and again, we said in the last Slide here, what was there? They're gonna make like 15,000 vehicles next year. Those are not going to fleets. Those are going to the hundred thousand dollar Customers, so I don't think Lord's town is gonna have any competition from Ford in my opinion It doesn't look like the fleets are even Shining a light on Ford as a potential right now. Looks like they've been shut down No play for mr. Gray. Now. Here's a couple interesting factors that turn us into a trick-or-treat Sears of Hertz jump after appointment of X Ford CEO Mark Fields. Okay, and X Ford CEO Is right now? Hertz CEO Does he like Ford and he is he gonna be is he gonna genuflect the Ford? and take them on You know Irregardless of what the competition is I Don't know. Does he hate Ford because they fired him Maybe does he want to get back at the Ford family? Maybe we don't know but I thought that was interesting They're saying the fleet sales are flagging. They're not making the fleet sales connections They wanted to an ex CEO of Ford is the Hertz CEO Now here's a very interesting factor too What's on first taps Hertz board member to write the ship? this is August 27 and You know, I'm I'm pretty sure he's still he may have resigned from Hertz board I'm not certain you guys can check the status of that Um Let's see here Novaji too many after a previous executive found resigned Novaji auto background blah blah blah blah Recently wrapped up a seven-year of member of Hertz board of directors. Okay, so he recently wrapped up a senior staff We helped to see the cars. So anyway, the point is Lordstown CEO is an ex Hertz board member. Okay, who probably has everybody on speed dial there All right The present CEO of Hertz is an ex CEO of Ford and they could have very easily bought Mustangs, of course, they wouldn't get a potential tax credit But you know, they're buying the Teslas Damned the torpedoes on the on the tax credits But I think they're they announced this today And I do believe that this is not going to go into effect and for a number of years blah blah blah blah blah Anyway, this is this is an announcement. It's it's gonna ramp up gradually, but again, they chose Tesla and and not for Anyway, I thought this is all very interesting how this will work out with Lord sound motors remains to be seen. It's kind of a trick-or-treat. Is it gonna be a trick? Are they gonna get docked or is it gonna be a treat? Are they holding off on order and force because they want to try out the Lord's son endurance? Are they going to Novaji whispering in their ears the Ford ex CEO? Want to get back at the Ford family. We don't know is the endurance of better fleet truck absolutely So anyway guys, I thought this was all very exciting how this all all link together. I hope you liked the video Please like and subscribe and I'm trying a new system here. I don't know how this is gonna work. Let's see Hi guys, this is mx2x. I hope you liked the video Trying out a new system cut it a little short. I want you to please like comment and Subscribe, you know The riders we got to stick together. There ain't too many of us. I'm this isn't getting monetized or anything So I need your support. Good luck in the market. I hope you like the vid