In this clip from Motley Fool Live, recorded on Dec. 14, Motley Fool contributors Lou Whiteman and John Bromels analyze the differences between buying a hybrid vehicle versus a gasoline-powered vehicle and discuss what the future of automaking might look like.
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John Bromels: If you're eco-conscious today, if that is your Number 1 factor when you're buying a car [then] you're probably going to be looking at battery electric vehicles, not hybrids. If you want to go green, if that is your Number 1 priority, I want a green car, I want to protect the environment, I feel like you're not buying a hybrid if that's your only consideration. You're buying electric. If you're not buying electric, do you think there's a big difference for people between buying a hybrid versus buying a non-hybrid gasoline-powered car?
Lou Whiteman: For me, it was an economic decision. My daughter's high school is 20 minutes from us if we're lucky. I get almost 60 miles a gallon and that was worth it. My issue with the pure plug-in is, and she's a little older so it'd be less annoying, but imagine packing up the car for grandmom's trip and you had, say, it's a two-tank trip and having to sit there with the kids for 40 minutes at the gas station, basically.
Bromels: Opportunity is at the Supercharger, right?
Whiteman: Yeah. If you have that brand and if you're not waiting for it, sure. But I just don't think it fits into every use case. It only fits into certain use cases. Hybrids are yes, they check no boxes or they are the best of both worlds where you get better fuel economy, whether it's good for your wallet, good for the planet, all the above. But you also have the backup. The other side of that too is the hybrids that basically just have a lawnmower engine just in case you run out, which are even greener still. But to me, again, solid-state is the ultimate answer because that is a battery that can be recharged in the time it takes you to put 10 gallons of gas in your tank if and when we get there. But until we do, I think Toyota (TM 2.84%) is right that as far as where the money goes, where the global market goes, I think that that's a better bet.
Bromels: Remember, these investments that Toyota has announced, this is starting in 2022 going through 2030. So plenty of time to change their mind again if in three years it looks like these investments aren't paying off or Toyota isn't getting the benefit of these investments. But again, this is not Toyota saying that they're going to change overnight their lineup of cars for 2022 or even 2023. This is a long-term thing.
Whiteman: Yes. One of the advantages of being them is you have money that you should not be caught off-guard by anything. And, I think if nothing else, they are doing that, they are spreading their bets.