Porsche Axes Gas-Powered 718: A Decision Destined for Failure?
In a move that has puzzled automotive enthusiasts and analysts alike, Porsche has announced the cessation of its gas-powered 718 Cayman and Boxster production. Despite witnessing a significant slump in its Taycan EV sales, which halved in the first half of 2024, Porsche is forging ahead with its all-electric future by culling its beloved gasoline models.
Porsche’s Taycan, the flagship electric model, saw a 51% decline in sales, mirroring a global downtrend in electric vehicle demand. This sharp decline comes at a time when only BMW managed to buck the trend with a 36% growth in EV sales, driven by new model launches. Other luxury brands like Audi and Mercedes-EQ have either stagnated or seen a decline in their EV sales. Ironically, amidst the EV slump, Porsche's all-gas 718 and 911 models have enjoyed an 8% uptick in sales this year.
History Repeating Itself?
The decision to discontinue the combustion engine 718 models to pave the way for an all-electric 718 Cayman lineup is reminiscent of a controversial chapter in Porsche’s history. Back in the 1970s, Porsche’s then-CEO Ernst Fuhrmann stirred up a storm by plotting to replace the iconic 911 with front-engined grand coupes like the Audi-powered 924 and the 928. This plan was met with resistance as the 911's demand remained robust, eventually leading to the discontinuation of Fuhrmann’s replacements by the mid-1990s. Contrary to Fuhrmann’s expectations, the 911 continued to thrive and remains a cornerstone of Porsche’s lineup today.
Albrecht Reimold, Porsche’s production manager, announced that the internal-combustion 718 Caymans and Boxsters would cease production by 2025 to make way for new all-electric models. This announcement comes at a time when the global market sentiment appears to appreciate the traditional gas models more, as demonstrated by the growth in sales for the 718 and the 911.
The Risks of Turning Electric Too Soon
Underneath the surface, the implications of Porsche's latest maneuver may be more far-reaching than they appear. Enthusiasts and critics are drawing parallels between the current decision and past mistakes, questioning whether Porsche is once again setting itself up for failure. The market's lukewarm reception to the Taycan, coupled with the surging popularity of gas-guzzlers, raises questions about the timing and wisdom of such a drastic shift.
Historical analogies are hard to ignore. Like the ill-fated 928 and 924, which once aimed to dethrone the 911 but failed, the all-electric 718 may struggle to carve its niche. The combustion engine 718’s consistent sales growth in a challenging automotive environment shows there's still a passion for gasoline-powered sports cars among Porsche's customer base.
A Future in Flux
With EV adoption not accelerating at the predicted rate, Porsche’s decision to pivot to an all-electric 718 might be a gamble. Where other automakers might choose a more balanced approach, maintaining lines of their best-sellers while gradually introducing EV alternatives, Porsche appears to be diving headlong into the EV fray. This strategy, although ambitious, could leave loyal customers cold and potentially alienate a fanbase deeply enamored with the throaty roar of a petrol engine.
Consequently, the automotive world is watching with bated breath. Will the new 718 EV models capture the essence and allure that made their gas-powered predecessors so beloved? Or will we see a repeat of the 1970s debacle? With Porsche's current market dynamics, only time will tell if this bold step will pay off or if history is set to record another misstep.
For now, enthusiasts can only reminisce about the gas-powered 718s as they continue to roll off the production line for another year. As the automotive world navigates these uncertain waters, Porsche’s strategy will undoubtedly serve as a pivotal case study in the years to come.