It’s premature to declare any winners in the electric vehicle competition, Warren Buffett said on Saturday. There’s just too much uncertainty in the sector.
“You will see a change in the vehicles, but you won’t see anyone that owns the market because they changed the vehicles,” Buffett said at Berkshire Hathaway’s (BRK-A, BRK-B) annual meeting.
In recent years, Tesla (TSLA) has dominated the US market for EVs. While Tesla still has a strong hold on the market with 54.3% market share, legacy automakers such as General Motors (GM) and Ford (F) have gradually started adding market share as well.
The competition has intensified as traditional automakers and new startups spend billions on EV production, securing supply chains, and infrastructure. Automakers including Tesla have signaled they are willing to suffer lower margins through price cuts as they vie for market leadership.
Buffett alluded to Ford as a cautionary tale of how unsteady the auto industry can be: “Henry Ford looked like…
This article was written by and originally published on finance.yahoo.com