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What's going on?

Tesla decided that sharing is caring, and opened its network of EV charging stations to Ford drivers.

What does this mean?

The US is a vast country, and the distances that some Americans travel to work would carry you across half a dozen national borders somewhere like central Europe. But that free-wheeling spirit poses a problem for the EV industry: after all, charging stations are still few and far between, and drivers risk running out of power on longer journeys.

Now, though, Fords making life on the road a little easier for its EV owners: theyll be given access to Teslas 12,000 fast-charging stations more than doubling the number of fast-charging stations in Fords North American network. And while current owners will need an adapter to plug in, Fords next generation of EVs will be designed to connect seamlessly with Teslas stations.

Why should I care?

The bigger picture: An offer Tesla couldnt refuse.
Lets face it: Tesla didnt have much of a choice here. The US governments long had a problem with how jealously the firm guards its charging stations and its latest tack essentially involved saying, Nice government subsidies youve got there. It would be a shame if something happened to them. That meant Tesla was planning to open up its charging network to all EVs by 2024 anyway. But whether that turns out to be a boon or whether it just robs Teslas cars of a key competitive advantage is still up in the air.

For markets: Early but expected.
Given that Tesla was already planning to open its charging network, analysts will already have factored this moves cash-generating prospects into their predictions for the firms stock. So even though this announcement didnt really change anything long-term, it has brought forward aspects of that plan along with some of the profit. And that little fast-forward might explain why Tesla’s stock rose on Friday.

Originally posted as part of the Finimize daily email.

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