A New Breed of Motorbike
A number of factors including record oil prices and the threat of global warming are currently driving the "Green" solution search party to epic proportions. Everywhere from Thailand to Tampa, even the simple task of driving to work has become both an economical and environmental nuisance for many. In response to this trend, those capable of bringing viable renewable energy solutions to market are fulfilling their own searches for green in grandiose fashion.Going Green Is Getting Green
As far as your portfolio goes, the options for buying into green energy are staggering. Everyone and their brother is looking for their own way into the "green trend". One company showing a great deal of promise in the alternative energy space is Electric Moto Corporation (OTCPK: EMOT).Founded by the principal designer of the world record holder for the most number of miles completed by an electric car (the GM battery-swap proof of concept car) EMOT is a rapidly emerging developer of low environmental impact motorcycles and all-terrain vehicles (ATVs). The vehicles are powered by a lithium-ion battery and are suited for a multitude of applications including, recreation, individual consumer transportation, public safety/military, and commercial.
With India vying for the auto industry with cars that you could fit in your bathroom, the race for more efficient transportation is brutal, and those already parked in the trend will no doubt be positioned for a lucrative run.
The Blade XT4 is a Revolutionary Product, Just Ask Forbes!
The company is currently seeking $2M in funding to begin mass-manufacturing their revolutionary Blade XT4 battery-powered electric motor bike. Why is it revolutionary? Let's first ask Forbes Magazine. In a 9/17/07 article, writer Patrick Cooke had this to say about EMOT's Blade XTZ model:". . .an astonishingly quick, battery-powered motorbike called the Blade XTZ that equals or outperforms every gas-powered bike in its weight class (200cc--250cc). Best of all, it does so without making a sound". . . "No high-pitched engine whine, no choking blue smoke, no teeth-grinding vibration. And at 178 pounds, it's 25 to 50 pounds lighter and creates more torque (250 pounds) than most of its competition."
Battery Power: Practical, Energy Efficient, Environmentally Friendly, Suitable for Many Applications
With bio-fuel and solar energy gobbling up the lion's share of media attention as of late, battery power is often overlooked as an optimal alternative energy source despite its ability to facilitate emission-free, noise-free, and economical transportation. From what I have read, some battery-powered motor scooters on the market today can travel about 100 miles at 55 MPH on just $.75 worth of electricity versus the $10 of gasoline that would be required to power an economy car.
For someone traveling 20 miles to work each day, the cost savings associated with utilizing this mode of transportation would be approximately $1,000 per year. While not whopping at first glance, if the worker happens to be employed in the state of California making minimum wage, the $1,000 savings equates to more than three weeks pay, before taxes.
The value proposition becomes even more enticing when we look at regions outside of the US such as Asia, South America, and parts of Europe where rising gasoline prices and low wages make motor vehicle travel completely cost prohibitive in many instances. And if you have a car so small you could park it in your bathroom, you may as well have a motorbike that can weave through daily commuter traffic too.
Perfect Storm of Trends for EMOT
EMOT currently benefits from a very favorable business environment in many regards. Currently, a perfect storm of trends are combining to bring demand for the company's low environmental impact motorcycles and all-terrain vehicles (ATVs) to an all time high. These trends include:
The Growing Popularity of Extreme/Action Sports - Action Sports is a $12 billion plus industry with more than 25M active participants. Sport showcases including ESPN's X Games are helping drive global interest, particularly with America's Generation Y population. Generation Y is comprised of more than 75 million people and possesses more than $200B in annual spending power while influencing another $300- $400B;
Rising Oil Prices Making Travel Cost Prohibitive - Crude oil is rapidly approaching $100 per barrel and the avg. price for a gallon of regular unleaded gasoline in the United States is teetering on $3.00. In response to the recent surge in energy costs, consumers around the world have never been quite so open to the idea of adopting alternative energy solutions, including electric and battery- powered vehicles;
Rapidly Increasing Global Energy Consumption, Growing Global Population Driving Need for Alternative Energy Solutions - World energy consumption will rise nearly 60% from 2004 to 2030 (EIA) while the global population grows by 211,090 every day (2007 CIA Fact book). Moreover, growing instability in the Middle East region, a leading global supplier of petroleum, is forcing the U.S. and its allies to focus more on domestic energy development than ever before;
The Push towards Green Energy & Eco-Conscious Products: The threat of global warming, increased governmental regulation of vehicle emissions, and the fact that current bio-fuel sources are proving to be less economical and environmentally friendly then originally thought are all playing a key role in the world's search for renewable energy sources;
Consumer Quest to For Economic Offerings - Overall cost of living increases and inflation in the U.S. are forcing consumers to cut spending and strive to become more efficient in every facet of their lives; and
Less Sound = More Ground: State/Local Governments Ban All Terrain Vehicles from parks, forests, and small residential properties - Excessive noise/fumes continue to prompt bans on recreational vehicles in some of the most prime landscape available to enthusiasts which slowing adoption growth and hindering overall participation.
EMOT is Changing the Game
With research firm IDTechEx forecasting in 2005 that the global electric vehicle market will grow from $16.1B to $227B by 2015, it appears that the opportunity for EMOT is major and growing by the day. However, straight battery-powered electric vehicles, or BEVs, have seen their performance related limitations hinder their true sales potential in recent years. Luckily for Electric Moto Corp, their Blade XT4 was designed for high-performance motor cross usage first and has been favorably evaluated by top riders and industry periodicals alike.
Essentially, all that the company needed to do once gaining recognition for its products in that circle was to alter and customize the Blade to meet the needs of both lower-tiered recreational riders and everyday consumers (i.e., drilling it down instead of ramping it up). I would guess that to be a much easier task that the initial decade-plus of fine tuning that went into ensuring that the bike was up to par with the motor cross world and well-respected industry publications as well as Forbes.
According to management, the company's sales and manufacturing capabilities are already optimally positioned and the initial funding currently being pursued will be the final component in facilitating its first stage of growth. With their landmark product already found in the garages of pro riders and now garnishing acceptance throughout Europe and the U.S., EMOT represents a potential timely and compelling early stage position in a budding market.
Perfect Storm of Trends for EMOT
EMOT currently benefits from a very favorable business environment in many regards. Currently, a perfect storm of trends are combining to bring demand for the company's low environmental impact motorcycles and all-terrain vehicles (ATVs) to an all time high. These trends include:
The Growing Popularity of Extreme/Action Sports - Action Sports is a $12 billion plus industry with more than 25M active participants. Sport showcases including ESPN's X Games are helping drive global interest, particularly with America's Generation Y population. Generation Y is comprised of more than 75 million people and possesses more than $200B in annual spending power while influencing another $300- $400B;
Rising Oil Prices Making Travel Cost Prohibitive - Crude oil is rapidly approaching $100 per barrel and the avg. price for a gallon of regular unleaded gasoline in the United States is teetering on $3.00. In response to the recent surge in energy costs, consumers around the world have never been quite so open to the idea of adopting alternative energy solutions, including electric and battery- powered vehicles;
Rapidly Increasing Global Energy Consumption, Growing Global Population Driving Need for Alternative Energy Solutions - World energy consumption will rise nearly 60% from 2004 to 2030 (EIA) while the global population grows by 211,090 every day (2007 CIA Fact book). Moreover, growing instability in the Middle East region, a leading global supplier of petroleum, is forcing the U.S. and its allies to focus more on domestic energy development than ever before;
The Push towards Green Energy & Eco-Conscious Products: The threat of global warming, increased governmental regulation of vehicle emissions, and the fact that current bio-fuel sources are proving to be less economical and environmentally friendly then originally thought are all playing a key role in the world's search for renewable energy sources;
Consumer Quest to For Economic Offerings - Overall cost of living increases and inflation in the U.S. are forcing consumers to cut spending and strive to become more efficient in every facet of their lives; and
Less Sound = More Ground: State/Local Governments Ban All Terrain Vehicles from parks, forests, and small residential properties - Excessive noise/fumes continue to prompt bans on recreational vehicles in some of the most prime landscape available to enthusiasts which slowing adoption growth and hindering overall participation.
EMOT is Changing the Game
With research firm IDTechEx forecasting in 2005 that the global electric vehicle market will grow from $16.1B to $227B by 2015, it appears that the opportunity for EMOT is major and growing by the day. However, straight battery-powered electric vehicles, or BEVs, have seen their performance related limitations hinder their true sales potential in recent years. Luckily for Electric Moto Corp, their Blade XT4 was designed for high-performance motor cross usage first and has been favorably evaluated by top riders and industry periodicals alike.
Essentially, all that the company needed to do once gaining recognition for its products in that circle was to alter and customize the Blade to meet the needs of both lower-tiered recreational riders and everyday consumers (i.e., drilling it down instead of ramping it up). I would guess that to be a much easier task that the initial decade-plus of fine tuning that went into ensuring that the bike was up to par with the motor cross world and well-respected industry publications as well as Forbes.
According to management, the company's sales and manufacturing capabilities are already optimally positioned and the initial funding currently being pursued will be the final component in facilitating its first stage of growth. With their landmark product already found in the garages of pro riders and now garnishing acceptance throughout Europe and the U.S., EMOT represents a potential timely and compelling early stage position in a budding market.
Labels: Blade XT4, E Moto, Electric Moto Corporation, EMOT, Forbes


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