A tall order for Tesla

Tesla cars in front of a Hertz location. © Hertz.

The name of the international unit of frequency is the hertz, in homage to Heinrich Hertz (1857-1897), contemporary of Nikola Tesla (1856-1943), the great architect of the development of alternating current. Today, we are witnessing a completely different kind of connection between Hertz and Tesla. In an effort to go greener, the Hertz car rental company will order 100,000 Tesla Model 3 electric sedans over the next fourteen months. Electric vehicles will make up over 20% of Hertz’s rental fleet by the end of 2022. To better serve its customers, the company will develop its own charging network and install “thousands of chargers” in its branches worldwide. Hertz customers will of course be able to charge their rented vehicle, for a fee, at the manufacturer’s 25,000 chargers internationally. The deal is probably worth around US$ 4 billion, since each Model 3 has a base price of around US$ 40,000. Hertz’s order helped boost Tesla’s share price by more than 12% in one day. Mark Fields, interim CEO of Hertz, said the company is also in negotiations with other automakers to purchase additional electric vehicles. This large-scale initiative will give consumers who are uncertain about the technology a chance to test an electric vehicle.

⇨ Ars Technica, Eric Bangeman, “Hertz to purchase 100,000 Tesla Model 3s for its rental fleet.”

⇨ CBC, The Associated Press, “Hertz to buy 100,000 Teslas for its rental fleet by next year.”

2021-10-25