Ford & GM Are Doing It… What Happens Next? NACS Standard?

Ford & GM are in recent headlines about adopting Tesla’s NACS (North American Charging Standard) chargers for their future EV lineup.

What if NACS becomes the standard…and Tesla opens more of its charging infrastructure? It’s fantastic for the growth and support of the charging infrastructure; but it could have an impact on smaller charging companies that use different equipment such as CCS (Combined Charging Standard).

CCS is the other major charging standard in the US, and is currently being used by most other automakers. As more manufacturers adopt NACS, competition will increase for the smaller charging companies and their market share and profits will be affected.

Here are a few possible scenarios and potential strategies for smaller charging companies:

• Provide Adapters: It would be expensive to retrofit existing CCS stations with NACS adapters. The cost of the adapters themselves would be significant, along with the cost of labor to install them.
• Upgrade Equipment: The cost of upgrading to NACS would be a significant expense that would vary depending on the size and scope of the EV charging company’s infrastructure. Since there is no guarantee that NACS will be standard at this time, companies may not consider investing right now. (Especially since most EV manufacturers currently use CCS).
• Consolidation and partnerships: Smaller companies could combine resources and expertise.
• Specialize: Specialize in specific niches and consider factors such as charging speed, pricing models, customer service, or location coverage.
• Locations: Focus on specific regions or local markets where there aren’t a lot of charging locations, like rural areas, small towns or specific neighborhoods.
• Invest in new technologies like wireless charging. This could help smaller charging companies stay ahead of the competition.
• Diversify Services: Smaller charging companies could include revenue streams from complementary services. Convenience stores or coffee shops at their charging locations will offer additional value to the customer.

It’s important to note that the impact on smaller charging companies would depend on various factors, including the speed of adoption of NACS chargers as the standard, the extent to which Tesla opens up its infrastructure, and how smaller companies adapt to the changing landscape.

Go electric ✌️