Ascendiant Analyst On Tesla-BMW Collaboration: 'A Natural Fit'

Speaking exclusively to Benzinga, Ascendiant Capital Markets Senior Research Analyst Theodore O'Neill said the rumored partnership between Tesla Motors Inc

and Bayerische Motoren Werke AG would be “a natural fit.” “Every automaker is going to want to get in bed with Tesla for the batteries,” O'Neill said. Because Tesla's use a lot of small batteries rather than one large device, O'Neill explained, there is more flexibility in the design of the car. For that reason, Tesla batteries can be built in places that don't interfere with the cargo or the cockpit. O'Neill also suggesetsd Tesla wants BMW's carbon fiber body parts, which are very light and would help cars travel farther on a single charge.