Tesla Motors 

Disruptive innovation : http://blog.ihs.com/q14-tesla-motors-a-case-study-in-disruptive-innovation

"Tesla Motors broke the modle. Then reinvented it." ---Mark Boyadjis, Andrew Rassweiler and Stephanie Brinley

The auto industry already innovated in 100 years ago with its own customs, rules and processes, but Tesla, the company founded in 2003 has pushed the envelope beyond what most automakers thought possible. It caused a revolution in this traditional industry with its innovation..

Tesla is always focus on disrupting mobility. It tried to make Tesla became completely different with other vehicle you can see in the road.  As of mid-June 2014, the company has released all of its patent holdings, claiming that open-source innovation is more powerful than anything one company could do individually. This radical approach to innovation runs deep.

There are three major differences  that can prove the how disruptive of the Tesla innovation to the auto industry:

 

• Technology differences: The technical specifications are impressive. the Autopilot technology allows Tesla to steer within a lane, change lanes with the simple tap of a turn signal, and manage speed by using active, traffic-aware cruise control. Digital control of motors, brakes, and steering helps avoid collisions from the front and sides, as well as preventing the car from wandering off the road. Model S can also scan for a parking space, alert you when one is available, and parallel park on command. The 17-inch screen is a Chi Mei Optoelectronics display with 1920 x 1200 WVGA resolution that includes a projected capacitive touch screen. The system runs on a Linux-based operating system, offers Garmin navigation with Google Earth overlays, and computes at speeds still besting most other systems available today with its NVIDIA Tegra 3 processor combined with 2 GB of DDR3 SDRAM. The system includes an embedded 3G modem from Sierra Wireless that runs broadband data off AT&T’s network. It can receive software updates over the air and controls all of the functions of infotainment, audio, navigation, Bluetooth phone, HVAC, and even vehicle settings like windows, door locks, sunroof, trunk release, traction control, headlights, steering, and suspension settings.

• Manufacturing differences: The company chose to change up the supply chain and borrow from the electronic manufacturing services (EMS) model of production that is standard practice in the consumer electronics industry. In this respect, Tesla is closer to being a technology company than a traditional automobile maker. Much like how Apple designs the iPhone and then employs Foxconn to build it, Tesla contracted with a leading EMS provider to build its center infotainment system, instrument cluster, and several other systems in the Model S. This model required Tesla to internalize much of the hardware and software development, as well as the systems integration work. Given that Tesla has hired its engineers from all over Silicon Valley and beyond, this was not a problem.

The Silicon Valley culture and the EMS approach to manufacturing were a clear advantage for Tesla at one time but no longer make it unique. The EMS model is expanding in the automotive industry, and the likes of Compal, Flextronics, Foxconn, and Jabil are working with brands including Chrysler, Daimler, Ford, General Motors (GM), Jaguar, and Volkswagen.

• Service differences: It all starts with the connection. The 3G connection in the Tesla infotainment system is already providing this solution via relatively old wireless technology. Since the modular and flexible hardware architecture of its infotainment system allows for mid-cycle technology enhancements, IHS expects Tesla will soon debut true 4G LTE connectivity in its vehicles. The added bandwidth will further enhance the OTA update service, as well as the rest of the services the Model S offers. One central purpose of this mass-market vehicle broadband adoption is to accommodate FOTA (firmware over the air) and SOTA (software over the air). Tesla has already deployed this function in part because it allows the company to provide vehicle service without needing to charge (or possibly pay) for service bay labour.

 

                 (source: http://blog.ihs.com/q14-tesla-motors-a-case-study-in-disruptive-innovation)

According to the disruptive innovation which assisted Tesla to disrupt past auto industry, The reset of vehicle market provided more business opportunities to electric vehicle in the auto industry compare with before. The social impact of disruptive innovation to Tesla leaded huge public attention to its product, which provided more potential customers to it than its competitors. The leading position of it in electric vehicle resulted in it occupied more market resources than other similar firms. Disruptive innovation gave Tesla greater voice in the future development of  electric vehicle.