Nearbound Weekend 06/10: Great GTM never beats a great ecosystem
Tesla & Ford shock the world with a supercharged partnership.
Tesla & Ford shock the world with a supercharged partnership
Elon Musk & Jim Farley announced a shocking partnership between Ford & Tesla.
The shocking part has nothing to do with cars.
It’s all about network effects. And the business strategy you were never taught but need to start studying, now.
To many, Tesla produces the best car lineup in history.
But the true defensibility of this partnership comes in its increasingly ubiquitous supercharger network of 15,000 🔋.
Ford could either try to replicate or partner. But Tesla’s moat is too wide. 🌊
So Ford chose wisely.
And so did Tesla. Why?
Tesla’s superchargers are both a network and a platform.
The consumption of this platform drives the incentive for increased proximity of more nodes on the network, thereby increasing demand for EV purchasing.
Keep in mind Tesla is playing the long game here.
Today, mixed power sources supply their network with electrons.
Tomorrow, Tesla solar panels and large-scale battery storage will.
A true flywheel in motion accelerated by the partnership 🛞.
💡And that’s the lesson:
Ford doesn’t have to beat Tesla. And Tesla doesn’t have to beat Ford.
But together, they have to beat the status quo and accelerate the coming of a new, sustainable era.
And they’ll save money, grow faster, and profit more.
Consumers will all benefit from reduced prices and saved time.
Businesses in 2023 and beyond must recognize that their worldviews are myopic.
It can’t be centered solely on their own math. Their models will miss the greatest opportunities.
Flywheels > funnels.
Networks = net worth.
PartnerUp and play to win 🤝.
The greatest entrepreneur of all time and the most historic car company of all time get this.
It’s time you did too.
It’s been said great product never beats a great Go-To-Market.
But great Go-To-Market never beats great network effects.
🎤👋
