TESLA - Chapter 8 - The Tool Set 80+ Components of Patent’s Warranty

  There is a common trait to Elon Musk’s Vertical Integration. It’s been made possible through his tech upgrades. Tech breakthroughs naturally lend themselves to this kind of consolidation. All those savings and added income we outline here for Tesla are taken from across the board of consolidating service providers, manufacturing, and product features. The specialty of our Warranty is finally formalizing this tech process into a template that can be scaled industry wide.

We have uncovered many more ‘Components’ that expand upon Musk’s initial savings and new revenue. Our Patent has 100+ Components in all. They multiply Elon Musk’s revenues and savings even further.

  Examples:

1. Time-Value-of-Money

• (Can you star or spot in place of these numbers below so they don't conflict with the other numbers)
• Revenues Multiplied by each additional decade; 
• The 30-year Warranty offers 7 x more revenues. 

1. Revenues multiplied by each additional decade;
2. Doubling the Warranty from 5 years to 10 is not just double the revenues, but triple – as an example.
3. The 30-year Warranty offers 7 x more revenues.
4. 2. Staggering

(Can you star or spot in place of these numbers below)

1. Replacing auto parts over a Million-Miles compared to those of today’s 100k miles will extend the schedule of different auto parts that need be switched out.
2. Maximizing Durability of auto parts to last 10 and 20 years vs today’s 5-to-10-years reduces how often those parts need be replaced.

Examples:

Today’s electric battery may need be replaced after just 8 years, but the coming ‘next generation’ battery may well last the remaining 22 years (Elon is predicting a million-mile battery).

The electric engine may last 400k miles and so need be swapped out thrice over a million miles (every 350k miles).

So year 8 will replace the battery, year 12, 18 and 25 replaces the engine. The repairs will be Staggered – scheduled – about every 8 years. These longer timelines reduce costs significantly.

So year 8 will replace the batter, year 12, 18 and 25 will replace the engine. The repairs will be Staggard – scheduled – about every 8 years. These longer timelines reduce costs – significantly. 

Elon Musk is talking of an engine that will be even more durable. Such upgrades translate into greater savings once scaled against this Million-Mile Standard. 

Elon is talking of an engine that will be even more durable. Such upgrades translate into greater savings once scaled against this Million-Mile Standard.

3) Inflation Added Value

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The price of cars rises every decade.

The cost rises 30% to 100% every decade. This allows a used car to recoup its value by this same amount with each new decade the car remains driving. Hence, we beget the ‘Classic Car’ 30 years later. The car is now worth more than when you first bought 3 decades earlier.

The stipulation for a a Classic Car is fairly straightforward: Tthe car has to be in ‘Mint Condition.’ Our Warranty provides the ‘Mint Condition.’

Our Warranty converts your car into a ‘Classic Car.’ by extending it’s life out to 30 years. Your car is no longer a liability. It’s now  has now become a new ‘Asset Class.’

The price of the CyberTruck rises by the end of the 30-year Warranty. We just flipped the auto industry from one of depreciating liability to appreciating asset.

4) Dynamic Pricing

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1. Open Ended Pricing vs Static Pricing.
2. Examples:
3. (Can you star or spot in place of these numbers below)

• Open Ended Pricing: Insurance, Warranty, Upgrades, Co-pays, etc. Pricing rises every decade.
• Static Pricing: Sales price. Price is locked in at the time of sale. No flexibility.
• Our Warranty plugs automakers into a host of Dynamic Pricing products &  services.

5) Tag-Teaming

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5) Tag Teaming

Shifting (sharing) costs between services.

Examples:

1. Splitting the costs for the Warranty between the Warranty and the Insurance’s monthly Premiums.
2. Let’s say the costs of the Warranty is $70 a month ($8,500 a decade). Tesla Insurance would cover $35 of that monthly costs. This reduces the the Warranty to just $35 a month (instead of $70). 
3. (New Parag) This is one of several tools used to how we get that low $25 monthly (for the $40k auto) to $35 (for $70k auto) while still offering full bumper-to-bumper coverage. The Warranty is really covering just half the costs. It’s now being subsidized by Tesla Insurance as well. Our program will do this with a number of services.
4. Tesla Insurance is looking at reducing their insurance rates by 20% to 30%. We recommend they instead use some of those savings to off-set the Warranty costs. The Warranty’s monthly payments drop 50%. It’s one of the tricks – secrets – to our seemingly low, low prices for our full coverage Warranty. That is Tag-Teaming.

These are just 6 of the 100+ Components of our Patent Pending Auto Membership Warranty program. Most Components multiply savings or revenues - as you see with our examples above. Taken together, they offer automakers 7x more revenue and buyers their 70% savings.