An analyst on Bloomberg laughed at the combination, but I say it makes very much sense, because:
- Both are in a high growth potential industry
- Both are in the same segment — renewable energy, electricity generation and storage
- There is absolutely no way of reaching renewable energy targets without growing the transport and storage infrastructure by an order or orders of magnitude!
- Only other option is to consume the produced (renewably-sourced) energy locally.
- USA leads a car-centered suburban lifestyle, which fits this combination nicely.
- The amount of energy consumed by transportation is 7x over that of the electric network itself. So TSLA + Solarcity has still a lot of room to grow into.