I love what Elon is doing but buying into Solar City looks like a poor business decision.
I have been tracking Solar City for a few years with the view to buying heaps and making a fortune on it. After all this time I still don't see a decent investment opportunity, in fact it looks like a bust.
The share price doesn't go up because the price of solar keeps going down and margins get smaller; money invested in the company becomes eroded by new competitors looking to cash in on the new market and any money spent on capital investment is only worth 50% a year later and becomes less sellable over time as in the Dick Smith scenario.
I think Musk is foolish to buy into Solar City because it will waste his capital base and should instead save the money and put it where he profits the most. The Solar Citys of this world will be many and Musk should use them as a service rather than invest in them. He should focus on what he does best.