Tesla’s Charging Standard Takes the Lead

Tesla seems to have secured its position as the dominant player in the U.S. electric vehicle (EV) charging scene. With only a few minor battles left to fight, another significant adopter has jumped aboard.

On Tuesday, EV newcomer Fisker confirmed its shift towards Tesla’s charging plug, making it standard on their vehicles by 2025.

As highlighted in the announcement, “The move will provide Fisker owners with additional charging options, taking advantage of Tesla’s 12,000 Supercharger stations in the U.S. and Canada.” A strong nod to the practical benefits of the move, the statement adds, “All current and future Fisker vehicles will be covered by the agreement.”

Previously, Fisker, like many non-Tesla EVs, used the CCS plug. However, with Tesla’s vast charging network reigning supreme in North America, the automotive industry is echoing a new sentiment: “if you can’t beat them, join them.”

Such decisions aren’t merely strategic; they signal a win-win evolution in the EV world. While Tesla enjoys the spotlight for setting the industry standard and the potential influx of revenue from non-Tesla EVs using its chargers, companies like Fisker find an easier path to market their EVs, bolstered by the promise of ample charging options.

This trend isn’t isolated. Tesla’s influence became evident when automotive giant Ford inked a similar agreement last May. That move alone shook the investors, sending ripples across Tesla and other EV-related stocks as they scrambled to gauge the worth of Tesla’s extensive charging network.

Since the Ford agreement, Tesla’s stock value has surged, adding approximately $175 billion to its market cap.

However, the broader charging industry felt the tremors. Shares of EV-charging enterprises like ChargePoint Holdings and EVgo dipped as more companies pledged allegiance to Tesla’s charging plug. Although these stocks have since regained ground, the industry shift remains apparent.

With Fisker now joining the ranks of Ford, GM, Rivian Automotive, Polestar Automotive Holding, Mercedes-Benz Group, and others in adopting Tesla’s plug, the industry waits in anticipation for more manufacturers to follow suit.

In Tuesday’s stock updates, Fisker showed a marginal rise of 0.4%, while giants like S&P 500 and Nasdaq Composite reportedly witnessed slight drops, and Tesla stock slid by 0.5%.

Photo courtesy of Fisker.