Gartner: In three years EVs will be cheaper to build than ICE cars

Electric cars are the future, or so we're relentlessly told. But as with most things shiny and new, there's a catch or two lurking beneath the hype. A new report by analyst company Gartner claims that that as early as 2027, battery-powered vehicles will cost automakers less to produce than those old-fashioned, gas-powered ones.

Whether you'll see that reflected in the showroom price is a whole different story, of course.

Batteries, the most expensive component, have been getting more affordable. But even more impactful is something called “gigacasting.” - automakers make increasingly larger chunks of a car's body out of a single piece of metal, instead of painstakingly welding and gluing a bunch of parts together. Tesla has been the poster child of this technique, saving them buckets of time and cash in the process.

The analysts are now suggesting that within the next few years, the price of building an electric car could match and even dip lower than its gas-powered counterpart.

In less encouraging trends those shiny EVs, with their complex designs and integrated battery tech, could have you weeping at the repair shop. The report predicts that if you get into a serious accident, getting your EV fixed will cost 30% more than fixing a comparable gas-powered car.

And while the cost of entry into the EV market is potentially becoming more attractive, the competition is becoming downright vicious. Established car makers are finally taking electric tech seriously. At the same time, ambitious Chinese brands like BYD and MG are muscling in with aggressively priced models. At times it feels like it's survival of the fittest out there.

The EV startup scene, once bursting with promises of flying cars and self-driving miracles? Well, let's just say some of those stars have dimmed considerably. Companies like Lucid and Nio are facing massive headwinds, Rivian with its latest R2 and surprise R3 is trying to desperately catch a breath. Others are on life support, desperately seeking buyouts. Gartner, the analysis firm that spilled all this tea, predicts some of these flashy EV hopefuls simply won't survive the coming years.

Electric cars are getting more streamlined, but that might not translate to easier on your wallet in the long run. On top of that, the race to win over buyers is becoming a free-for-all, with the finish line nowhere in sight. Is this the clean, affordable future of motoring we were promised? We all are going to need a lot of patience because the answers aren't coming anytime soon.

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