Making Electric Cars Sell Like Cell Phones

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Shai Agassi has electrified the Israeli government and also the world. The entrepreneur has proposed that Israel – and everyone else (no less) – adopt his new vision: marketing electric cars like cellular phones.

Instead of investing big bucks in a new car, Agassi has developed a business plan and company (Project Better Place) modeled after the cellular phone business – where the more an owner uses a car (measured by hours at a recharging station) the less the vehicle will cost to buy.

Agassi aims to create a new infrastructure that will support vehicles on a country-by-country basis to jump-start the mass adoption of electric cars.   

“We have crossed a historic threshold where electricity and batteries provide a cheaper alternative for consumers,” said Agassi in a statement... "Existing technology, coupled with the right business model and a scalable infrastructure can provide an immediate solution and significantly decrease carbon emissions."

The Israel government has recently given a vote of confidence in support of his dream.

In order to succeed, some 500,000 refueling stations will need to be built in Israel; and for long trips greater than 200 km, Agassi proposes a robotic system that will replace the battery with a charged one.

Since the cost of a battery can be anywhere from $10, 000 – 20,000, the idea includes leasing batteries to users for a monthly fee. Compared to the average $250 a month Israelis spend on gas, Agassi’s planned costs will make oil barons nervous: fuel costs, he predicts will amount to about $80 a year.

::Haaretz