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What Do The Model-T And The Tesla Have In Common?
Forbes ^ | May 12, 2015 | George Leef

Posted on 05/12/2015 10:19:16 AM PDT by reaganaut1

Henry Ford did a lot for the automobile in America. What everyone knows is that he figured out how to improve manufacturing efficiency so much that the auto was transformed from a toy for the rich into an item that ordinary people could afford.

...

But very few people know that Ford had to fight against a cartel to be allowed to sell his vehicles. In this 2001 article published in The Freeman, “How Henry Ford Zapped a Licensing Monopoly,” Melvin Barger goes into the fascinating history of Ford’s legal battle against the Association of Licensed Automobile Manufacturers (ALAM).

In 1895, an inventor named George Selden had received a patent for a gasoline powered automobile. That patent was later acquired by ALAM, which then said to everyone who wanted to sell a gasoline powered car, “You must pay us royalties for the privilege of selling such vehicles and if you sell without our license, we’ll take you to court for patent infringement.”

Ford had developed his auto without any knowledge of Selden’s patent and saw no reason why he shouldn’t be free to make and sell cars without paying ALAM for the right to do so.

...

Substitute Elon Musk for Henry Ford and Tesla for Model-T and state dealer regulation for an extortionate patent scheme, but the stories are largely the same. ALAM didn’t want competition that might break up its cartel and neither does the established auto dealer system want innovative marketing upsetting its business.

(Excerpt) Read more at forbes.com ...


TOPICS: Business/Economy
KEYWORDS: elonmusk; henryford; modelt; tesla
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1 posted on 05/12/2015 10:19:16 AM PDT by reaganaut1
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To: reaganaut1

They are both cars.


2 posted on 05/12/2015 10:20:57 AM PDT by Impy (They pull a knife, you pull a gun. That's the CHICAGO WAY, and that's how you beat the rats!)
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To: Swordmaker

You should probably look at this article. It echos the issue I see with Apple and their arguments.


3 posted on 05/12/2015 10:21:51 AM PDT by DiogenesLamp
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To: Impy

Except that Model-T’s actually served a purpose and were profitably produced at a price the marketplace would accept.


4 posted on 05/12/2015 10:23:48 AM PDT by Mr. Lucky
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To: reaganaut1

If the Tesla is going to be a success, then it won’t matter that many states are organized to defeat them through good old boy dealer networks.

Even if I could go down to the local Tesla dealership here in Texas to buy one, I could not.

Not practical and too expensive.

IF Musk can (and I believe he will) overcome that - then yeah. The Tesla will be as successful as the Model T.


5 posted on 05/12/2015 10:24:08 AM PDT by Responsibility2nd (With Great Freedom comes Great Responsibility.)
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To: Impy

They both cost $600?


6 posted on 05/12/2015 10:24:09 AM PDT by VanShuyten ("a shadow...draped nobly in the folds of a gorgeous eloquence.")
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To: reaganaut1

Top speed?


7 posted on 05/12/2015 10:24:17 AM PDT by fungoking (Tis a pleasure to live in the Ozarks)
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To: reaganaut1

Glenn Curtis... vs the Wright Brothers... very similar situation. Innovator vs a patent holder willing to sue rather than developing an industry. Ford, eventually helped Curtis out via introductions to the legal team that settled the Ford issues and it was settled in Court.. the wright’s were wrong and died bitter.


8 posted on 05/12/2015 10:26:52 AM PDT by Article10 (Roger That)
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To: reaganaut1
No, it's NOT Bonnie & Clyde!


9 posted on 05/12/2015 10:27:57 AM PDT by ETL (ALL (most?) of the Obama-commie connections at my FR Home page: http://www.freerepublic.com/~etl/)
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To: reaganaut1

“...What everyone knows is that he figured out how to improve manufacturing efficiency so much that the auto was transformed from a toy for the rich into an item that ordinary people could afford. “

Colt firearms did it first, using the assembly line and a “utopian” company “town” to build revolvers.

KYPD


10 posted on 05/12/2015 10:28:10 AM PDT by petro45acp (Grubbers "stupid" electorate is starting to look very much like Romney's 47%. Just sayin...)
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To: reaganaut1

11 posted on 05/12/2015 10:29:03 AM PDT by ETL (ALL (most?) of the Obama-commie connections at my FR Home page: http://www.freerepublic.com/~etl/)
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To: reaganaut1
The Telsa is getting billion in tax breaks. Did Henry get a govt kick back too ?

Why are we subsidizing GM aka Obama Union motors still ?

12 posted on 05/12/2015 10:29:41 AM PDT by ncalburt ( Amnesty-media out in full force)
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To: reaganaut1

13 posted on 05/12/2015 10:30:24 AM PDT by ETL (ALL (most?) of the Obama-commie connections at my FR Home page: http://www.freerepublic.com/~etl/)
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To: reaganaut1

The letter “T”


14 posted on 05/12/2015 10:30:31 AM PDT by from occupied ga (Your government is your most dangerous enemy)
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To: petro45acp

” and a “utopian” company “town”

Some would call it that.

Tennessee ernie Ford - 16 Tons
https://www.youtube.com/watch?v=jIfu2A0ezq0


15 posted on 05/12/2015 10:33:27 AM PDT by Lurkina.n.Learnin (It's a shame nobama truly doesn't care about any of this. Our country, our future, he doesn't care)
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To: reaganaut1

They both are powered, ultimately, by fossil fuels.


16 posted on 05/12/2015 10:34:48 AM PDT by Boogieman
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To: ncalburt

The Telsa is getting billion in tax breaks.

________________________________________

Nevada is giving them 1.3 Billion in Tax Breaks. Yet that state is getting 5 Billion in jobs and benefits.

Argue whether the government should involve itself in private industry all you want. But this is a good deal.


17 posted on 05/12/2015 10:36:53 AM PDT by Responsibility2nd (With Great Freedom comes Great Responsibility.)
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To: Responsibility2nd
Good deal for whom?

Tesla? Politicians? Taxpayers who bear the cost of the subsidy?

18 posted on 05/12/2015 10:39:12 AM PDT by Mr. Lucky
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To: reaganaut1

Substitute Elon Musk for Henry Ford and Tesla for Model-T and state dealer regulation for an extortionate patent scheme, but the stories are largely the same.

I don’t recall Henry Ford receiving WELFARE to produce cars for the Wealthiest in America at the time.


19 posted on 05/12/2015 10:41:28 AM PDT by eyeamok
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To: reaganaut1
Ford Model T-Bucket V8 Hot Rod
20 posted on 05/12/2015 10:41:37 AM PDT by ETL (ALL (most?) of the Obama-commie connections at my FR Home page: http://www.freerepublic.com/~etl/)
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