Porsche in the Electric Car Race
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For UBS marketing purposes The Porsche Panamera, an electric hybrid. Porsche recently launched a new electric vehicle, the Taycan. (Keystone) Smart mobility Porsche in the electric car race 13 March 2019, 2:52 pm CET, written by UBS Editorial Team Electric vehicles gain a new player as the Porsche Taycan joins the competition in a fast growing field. Over 20,000 prospective buyers have recently registered growth in smart growth over the next decade. CIO's to purchase the very first Taycan Porsche electric car. Long-term Investing theme of Smart Mobility will not This on the brink of just announcing to have doubled only revolutionize the automobile industry but also the the capacity to 40,000 per year (doubling capacity from way vehicles are "used." Smart mobility is defined as a 20,000). Porsche's sales chief Detlev von Platen released combination of smart powertrains, smart technology and a statement saying, " The overwhelming interest in the smart use. Taycan shows us that our customers and fans are just as excited about the first Porsche electric athlete as we are." "Over the next decade, we expect smart mobility to grow substantially, revolutionizing not only the automobile It was reported that the Taycan would be priced around industry but also the way vehicles are 'consumed,'” $83,866, just between the Cayenne sport utility vehicle and according to CIO analyst Rolf Ganter. The annual the 97,800-euro cost for the Panamera sedan, according addressable market of smart mobility by 2025 could be to Bloomberg. Porsche, owned by Volkswagen AG, is just around USD 400 billion, or 8 to 9 times today’s size, CIO one of a number of high-end vehicles to enter the race estimates. alongside Jaguar, Mercedes-Benz and Audi to challenge Tesla's electric-car leadership. One of the pillars of the smart mobility theme is "Porsche is installing fast chargers at its dealerships in the electrification. CIO believes that by 2025, about 25% of U.S. and Europe that’ll get the Taycan’s battery up to 100 new cars will be electrified, with at least 10% battery- kilometers (62 miles) in four minutes. The car’s overall range powered full-electric vehicles and the rest plug-in and full on a single charge stands at 500 kilometers," according hybrids. “A wide-ranging rollout of 12 & 48 volt mild-hybrid to Bloomberg, which also reports that Volkswagen has vehicles is not factored into our figure, which could become allocated some 40 billion euros for electric and connected standard for another 20-25% of all global new car sales, in cars and targets 50 battery-powered models by 2025. our view,” Ganter points out. The UBS Chief Investment Office (CIO) acknowledges that Ganter sees opportunities in electronics and electric electrification is underway and therefore expects significant components related to the electrification of vehicles. UBS Investment Insights For UBS marketing purposes "Electrification will cannibalize traditional internal combustion engines (ICE)," he says, noting that battery costs could be key. “A faster rollout of battery electric at the expense of plug-in hybrids would result in the higher end of the potential loss for traditional powertrain suppliers. This is because plug-in hybrids still contain an ICE and, hence, even more ICE would be replaced.” Ganter expects the battery value chain to grow to USD 80–175 billion by 2025 (from low-double-digit USD billions today), which includes not only the battery cells, but the whole battery pack. The smart mobility theme also includes smart technology and smart use, which looks at autonomous vehicles and car- sharing services, respectively. For more details: Longer Term Investments: Smart mobility, 11 March 19 Main contributor: Nash Wedderburn UBS Investment Insights For UBS marketing purposes Important information As a firm providing wealth management services to clients, UBS Financial Services, Inc is registered with the U.S. Securities and Exchange Commission (SEC) as an investment adviser and a broker-dealer, offering both investment advisory and brokerage services. Advisory services and brokerage services are separate and distinct, differ in material ways and are governed by different laws and separate contracts. It is important that you carefully read the agreements and disclosures UBS provides to you about the products or services offered. For more information, please visit our website at www.ubs.com/workingwithus. ©UBS 2019. All rights reserved. UBS Financial Services Inc. is a subsidiary of UBS AG. Member FINRA/SIPC. There are two sources of UBS research. 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