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CEO & Principal Analyst of Constellation Research, Inc. , previously a founding partner at Altimeter Group where he led the Enterprise Strategy team.  Ray authors the  popular enterprise software blog "A Software Insider's Point of View"., and his point of view is frequently sought by publications such as The Wall Street Journal, Business Week, Fortune, Inc., The Associated Press, CIO Magazine, Information Week, ComputerWorld, Financial Times, eWeek, CRM Magazine, IDG News, ZDNet, TechTarget, and Managing Automation. In both 2008 and 2009, Ray was recognized by the prestigious Institute of Industry Analyst Relations (IIAR) as the Analyst of the Year and in 2009 he was recognized as one of the most important analysts for Enteprise, SMB, and Software.

6 responses to “So You Want A Tesla Model S? See Why It’s Cheaper Than ICE.”

  1. Logical_thinker

    typo: “hepatic” should be “haptic”.. except while the screen is touchscreen, I am not sure it has vibration feedback to input (I.e. haptic responses).

  2. Steve G

    How do you get $2,000 a year for regular car service? There’s a 4 year =, 50,000 mile warranty on cars that cost over $50,000 and oil changes and tire rotations don’t cost anywhere near that. I had one on order and cancelled it when I looked into the Tesla further.

    1. Neil Horning

      If that’s the case Steve, you must feel like a total goof.

    2. Mike D

      And after the 4 year warranty runs out and you have another 4 years of ownership to go you do what Steve? I’m sure the costs start to add up when you have to look at timing belts, oil changes, gaskets, breaks (with re gen breaks they last for the life of the car), spark plugs, etc.. etc… that you don’t have with an electric. So average that over the course of your 8 year ownership and presto!…. $2,000/average for ICE cars. Do your research….

  3. Ev.sans.opec

    Don’t forget that you no longer need emissions tests (which clearly carry the potential to be a huge fiasco). Additional unexpected benefits include (in my case) a 20% decrease in annual insurance premiums. You can cut the .15 cost/kwh by using Chargepoint, Tesla superchargers or solar panels for free. Factor in Zero emissions, HOV access, regenerative braking, low drag coefficient, copious cargo space, OPEC independence (priceless), associated costs for cleaning up oil on the streets and in the oceans (Valdez, BP, Gulf wars etc). It all adds up.

  4. Paul Roddick

    Your calculations do not make sense. You have to repay the capital on the loan somewhere, where is that?