In August, 2023, Loop COO and co-founder Frank Nau was interviewed by EV Charging and Infrastructure regarding the game-changing partnership of seven major automakers. In the interview, Mr. Nau discusses the future of a global EV charging network, the intricacies of the partnership, and how it may affect Loop moving forward.
You can read the original interview on EV Charging and Infrastructure.
The impact of the automakers’ North American EV charging partnership on EV adoption…and on Tesla
Original Article by Pete Kennedy
EVCANDI.com spoke with industry expert Frank Nau, COO of Loop Global, about the partnership.
What jumped out when you heard this?
NAU: At first glance, a standardized charging experience across different EV manufacturers and models can make charging more convenient, reliable, and user-friendly, further encouraging people to transition to EVs. Moreover, this can also empower and educate business owners, landlords, and third-party partners of the benefits of offering charging stations to their customers and tenants, which also happens to be the growth strategy here at Loop.
While this holds many promises, there might be some challenges and concerns. Coordinating the efforts of seven automakers could be complex, and they may face issues related to interoperability, data sharing, and infrastructure – such as imposing pressure on the electricity grid.
However, finding a great partner in the EVSE (electric vehicle supply equipment) space for the equipment and infrastructure rollout strategy would make many of these issues go away. It’s important, though, that the automakers do not make the same mistakes that have plagued the other DCFC network rollouts – most notably equipment/network reliability issues.
What do you think the impact will be?
NAU: The impact will be dictated by the decision to focus on a short-term or long-term approach to the investment.
If the automakers seek a quick return, it is likely that their network will suffer from the same issues that plague the incumbent EVSE network operators with reliability, distrust, and frustration from consumers. Additionally, as their brand names will be attached to this network, the probability of a negative impact to sales of their EVs increases.
However, if they look at this from a long-term perspective, they can ensure to create a network that can actually help accelerate the sales of their EVs – and most importantly rest some control away from Tesla as the de facto leader of the future automotive space.
They must take a look outside of the incumbent players to find the right partners for this investment. The old approach is what has led to Tesla’s network being anointed the leader of this space, mostly associated with its reliability.
If they do play said “long game,” this collaboration could foster a spirit of competition and innovation in the EV charging market. Companies like Loop are constantly trying to differentiate themselves by offering unique solutions, affordability, and overall reliability, driving the advancement of charging technology.
An endeavor like this will require substantial investment in EV infrastructure. We can see this investment contributing to job creation, economic growth, and a positive environmental impact on climate change. Even more, an expanded charging infrastructure may also drive investment in rural and less-developed areas as EV charging companies, like Loop, begin to focus on providing stations across diverse geographic locations.
Will this speed EV adoption?
NAU: This will help accelerate EV adoption by alleviating range anxiety, which is the first hurdle for any first-time EV consumer. If they go about this investment the right way, they will also solve the network reliability issue and keep people in the EVs they purchased for years to come.
As a result, consumers may feel more confident in adopting EVs, leading to an increase in EV sales and chargers alike.
How will Tesla be impacted?
NAU: I think that Tesla opened the door to show the world the value that can be generated from building a broad, reliable EV charging network. However, Tesla will not be able to supply enough infrastructure to satiate the demand generated by EV adoption.
Moreover, consumers must have reliable alternatives – a monopoly simply doesn’t work. I am not sure that it hurts Tesla’s overall strategy … a broader network will ultimately lead to more EV sales at the end of the day.
What are your thoughts on this newly announced partnership? Do you see this speeding up EV adoption significantly?
Discuss in the comments below!
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