It is the best of times and the worst of times for Tesla Motors.
On the downside comes news a Tesla S vehicle was hacked by students at Zhejiang University in China, as part of a competition at an annual security conference in Beijing.
The hackers were able to open the doors and the sunroof, turn on the headlights and beep the horn. Even worse, all this happened while the car was in motion.
Organizers of the security conference had offered a $10,000 prize to anyone who successfully hacked the Tesla S.
In a statement, Tesla said it supported "the idea of providing an environment in which responsible security researchers can help identify potential vulnerabilities" and hoped "security researchers will act responsibly and in good faith."
Tesla Motors expressed mixed feelings about the hack job. On one hand, the company appreciated the information that the hacking provided about further safeguards in its Linux-based vehicle software program, but Tesla did not support the competition.
On the bright side, the British government may be making a big purchase of Tesla S models.
Based on the idea that "government should lead by example," the British Government Car Service (GCS) has set aside £5 million ($8.6 million) for the purchase of 150 ultra low emission vehicles (ULEV) and electric vehicles for use in government fleets. The GCS is responsible for providing transport for government ministers. As part of the initiative to lead the way into electric vehicle acceptance by the British public, charging stations will also be installed as part of the allocated funds for the project.
This project has the full backing of British government officials. Danny Alexander, chief secretary to the Treasury, said "I am delighted the Government Car Service is leading the move to electric vehicles and I will be one of the first in line to use one. This is the right thing to do, with much lower running costs and close to zero emissions. These vehicles will save the taxpayers money and be much greener."
A source at Tesla has revealed that the British are considering the purchase of 150 Tesla S models to fulfill the mandate. Although the Tesla will cost the British government an additional £17,000 per vehicle and will necessitate expanding the original budget allocation, the Tesla's significant range advantage over electric vehicles like the BMW i3 may make the Tesla the default winner, as range is a key consideration for meeting the needs of government ministers.
Should this come to pass, Tesla production in 2014 should see a 50 percent expansion when the newly opened Chinese and Hong Kong markets are also included.
