Plug-In Hybrids to Muddy Market

The competition to be the first company with a production plug-in hybrid (PHEV) is heating up faster than a dry radiator in Death Valley. DaimlerChrysler says it will have 20 plug-in hybrid Dodge Sprinter vans on the road by the first quarter of 2008. The company put out a press release touting that it is […]

The competition to be the first company with a production plug-in hybrid (PHEV) is heating up faster than a dry radiator in Death Valley. DaimlerChrysler says it will have 20 plug-in hybrid Dodge Sprinter vans on the road by the first quarter of 2008.
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The company put out a press release touting that it is the only manufacturer currently evaluating PHEVs in real world conditions.

Entrepreneur Malcolm Bricklin says he will bring PHEVs to the U.S. by 2009 through a partnership with Chinese company Chery. GM, Ford, Toyota, DaimlerChrysler, and recently Honda have all stated at least interest in developing cars that can run on battery-only power for the first 25-40 miles, and then switch to a gasoline engine to extend the range.

When we start to see PHEV for $25,000 or less, the market for electric and "standard" hybrids becomes unclear. Would people want to buy a Prius if they can use electricity for a fraction of the cost of gasoline 80 percent of the time? Will peo ple still pine for an all-electric vehicle that would probably have a maximum 200 mile range?

I will address these questions shortly, so stay tuned.