ipace2Tata’s Jaguar has revealed an electric car that is set to rival the Tesla Model X.

‘The problem with electric cars is that can’t travel far enough between re-charging – they are fine for short rides, but travel for more than an hour – forget it’, or say critics.

Such arguments are full of linear thinking. It is true that there was a time when electric cars couldn’t manage 100 miles before having to take them off the road and re-charge them. But times change, and when forecasting how a market will change, you have to project how technology will change.

Take the Jaguar I-PACE, revealed to the world recently. It will have an estimated range of 220 miles, and the company says the car will be in show rooms during 2018.

This gives Jaguar a lead over rivals and puts it in a category of two: the Jaguar I-PACE and Tesla Model X.

The Jag will sell for $74,000.

The company was quick to emphasise how the lack of an engine in the front has created more cab-room.

Boasting 394 horsepower and 516 pounds of torque, the car is slated to be able to do 0-60 miles per hour in four seconds.

This is exciting stuff.

Here is a warning concerning innovators’ dilemma.

Gaining specialisation early on in as new technology develops is the key to maintaining market presence in an era of disruptive technology. The theory called innovators’ dilemma demonstrates this. It shows how companies that neglect new technology, and leave it to newer niche players, find they can no longer compete with these niche players once the market gains traction.

The new Jaguar does indeed sound like a wonderful car – it’s expensive but then Jaguar are not known for being cheap, anyway.

But what will the latest Tesla be like in 2018? Maybe by then it will be much cheaper – indeed Elon Musk has promised precisely this.

The big car companies are focusing on Tesla as it is now, but, and assuming that Tesla can raise the money it needs, by the time rival electric cars are on the market, Tesla will have moved forward.

Has Tata left it too late with the I-PACE? Probably not, but time is running out for the world’s leading car companies if they want to compete in the world that is approaching.