Billionaire investor Warren Buffett has had enough success in life that when he says something — even if it seems improbable to impossible — people’s ears perk up. He recently caused ripples when he told business students from Rice University in Texas that all cars on the road will be electric in just 20 years.
Buffett was responding to a question from Jan Goetgeluk, the president of Rice business school’s Finance Club, regarding peak oil theory and the possible decline of oil production.
He cited Berkshire Hathaway’s 10% stake in the Chinese automaker BYD. He said his investment company had lined up behind the automaker because the technology to make such a massive transformation possible is in the works.
While Buffett certainly has earned some leeway to make bold predictions, it’s highly unlikely—if not outright impossible—that U.S. cars will make the complete transition to electric power in just 20 years. After all, there are plenty of gasoline-powered cars being sold right now that will still be on the road in 20 years.
Buffett’s Advice on Life: Priceless (The Houston Chronicle)
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