The twilight of the internal combustion engine, the reason why the pride of the ‘tank corps’ was pushed out of the stock market > haberler

Recently, Germany's Frankfurt Stock Exchange decided to exclude Porsche Holding Company (Porsche SE) from the DAX index and include construction company Hochtiff in its place. This goes beyond a simple stock change and symbolically shows that the global industry paradigm has shifted from engines to data. The stock prices of Porsche and Volkswagen, which peaked amid optimism about the transition to electric vehicles in 2021, have fallen by a third in five years, receiving a dismal report card.

On the other hand, the rise of Hochtieff, who newly entered the blue-chip stock index, is dazzling. This company is a key partner in building data centers for big tech companies, including Meta, and has directly benefited from the AI ​​boom, with its stock price soaring more than 200% over the past year. Unlike automobile manufacturers, which are unable to keep up with the pace of the transition to electrification and are suffering from the triple whammy of sluggish sales in the Chinese market and tariff risks from the United States, companies building infrastructure for the data era have emerged as new players in the stock market.

Meanwhile, the temperature difference within the automobile market is also stark. Although Porsche is struggling in the stock market, it is quenching the thirst of enthusiasts by maintaining the brand's unique ‘raw’ sensibility through high-performance internal combustion engine models such as the Panamera GTS. However, the fact that such technological pride and emotional value move independently from the market's harsh evaluation of stock prices clearly reveals the dilemma currently facing the automobile industry.