Tesla and Electrify America To Get a Brand-New Competitor, It's a Big Win for EV Buyers

It has been widely known that one significant advantage Tesla currently has over anyone else is its Supercharger network. It's reliable, the charging process is seamless, and the connector (aka the North American Charging Standard – NACS) is much more versatile and simpler than the Combined Charging System's Combo 1 found on virtually all other EVs.

That is, of course, until 2025. That's when most automakers plan to adopt the NACS and take advantage of Tesla's comprehensive and ever-expanding charging network.

Ford wanted to launch its own version of Tesla Superchargers but eventually decided against it. The American automaker was late to the game, and fighting the now-Texas-based brand didn't make sense when it was already winning. As such, instead of spending tons of cash on competing with Tesla, Ford was the first to announce that it was ditching the Combo 1 connector in favor of the NACS.

The move will also grant Blue Oval customers from North America access to most Superchargers starting in 2024. One year later, Ford's all-electric vehicles will come out of the factory with the NACS connector.

After the floodgates opened, brands like General Motors rushed to follow suit. Even Rivian, the startup that started its own CCS- and J1772-ready charging network, decided to partner with Tesla.

But the world's most valuable automaker can't simply win everyone over and conquer the national high-power charging network by itself, while Electrify America tries to figure out what's working and what's not. That's not the American way.

It wouldn't even make sense since programs like the National Electric Vehicle Infrastructure (NEVI) and the Charging and Fueling Infrastructure Discretionary Grant Program exist. Moreover, the Inflation Reduction Act (IRA) gives 30% discounts for fast-charging station installations ($30,000 maximum).

Enter "the seven"

Thus, here we are – General Motors, Stellantis, BMW, Hyundai, Kia, Honda, and Mercedes-Benz are creating an Ionity-like joint venture. The brands are ready to invest around $1 billion for "at least 30,000 high-power charge points" in cities and near highways.

The automakers will make use of the available public funding and their own money to build another charging behemoth. The first chargers are expected to go online in 2024 in the US. We'll see them in major cities before they pop up elsewhere. Canadians will see similar stalls at a later and currently unconfirmed date.

The deal between the seven carmakers is eerily similar to what Europeans currently enjoy through Ionity. Over the pond, the fast-charging network is owned by BMW, VW, Ford, Mercedes-Benz, and Hyundai.

The plan to bring a serious competitor for Tesla and Electrify America is as serious as it could be. The seven brands plan for this joint venture to create "the leading network of reliable high-powered charging stations in North America."

What's even better (but still just a promise at this point) is that the business arrangement seeks the use of renewable energy and prioritizes a "plug and play" type of charging experience where the user doesn't need to remember apps, tap all sorts of displays, and spend a lot of time to confirm that the replenishing of the battery has started.

Some of the upcoming charging stations will have canopies (with solar roofs!), restrooms, and food service. Some exclusive locations will benefit from even more cool amenities, but we're not yet told what those will look like.

The new charging network will be open to everyone. The seven automaker will not restrict access, and it will install plugs with both NACS and Combo 1 connectors.

Lastly, this announcement is great news for EV owners and the general adoption of the all-electric car. Currently, one DC fast charger is available for every 72 EVs in the US. More is needed, and fast!