Boeing doesn't have a "decade of experience" with Lithium-Ion batteries though. The particular type of batteries have an elevated risk profile, but are light weight. The 787 has a larger APU than previous aircraft, and requires a larger battery to start the APU.
These particular batteries are Lithium Cobalt Oxide. One of the sub-contractors, Securaplane, who made the battery controller/charger, had their factory destroyed by fire, after a battery malfunction in 2006.
Edit: Cessna had problems with their Lithium-Ion batteries in some Citations, and had to replace them with NiCADs in a emergency airworthiness directive.
Ref: http://www.newyorker.com/talk/financial/2013/02/04/130204ta_...
http://www.gsyuasa-lp.com/content/thales-selects-gs-yuasa-li...
If Musk is right (IANA Battery Guy), I would presume there are cost / design trade-offs involved. And some exec had to evaluate those against safety issues. Those are engineering decisions, they're also business decisions. If the execs deciding that didn't have the proper background to make an engineering evaluation himself, they are left trying to decide which engineers to trust. It isn't at all hard to see someone getting that wrong.
The big increase in electrical supply (4x over the 777 i believe) is the result of the bleedless air architecture that boeing chose. There was a big push by boeing to make the system work as it was a selling point for the public and carriers. I think that decision didn't receive the scrutiny that it probably should have.
Now, with that said, it could be that SpaceX and Tesla were allowed to focus more on batteries while Boeing had to improve jet engine efficiency as well as electrical battery usage.
Boeing had 10 layers of contractors involved in this SNAFU. WWED = What Would Elon Do.
It's kind of like Rotax for motorcycles and Snowmobiles... give the designs or specifications to a supplier and have them do all of the heavy lifting.
I've seen a Saab in which the ashtray started to smoke and then before we could pull out (on the highway) the dashboard had flames and started to melt.
And I've seen a very nice and shiny Porsche 911 Carrera model 964 whose alternator belt did broke and then started "burning" on the engine. We smelled it and then we could see smoke. By the time we opened the engine trunk (with our fire extinguisher in hand) it was on fire. Funnily enough the repair were under warranty and there wasn't much to change (the trunk needed to be repaint and one or two pieces changed).
When there is unexpected smoke on a plane it is a safety issue.
Seen that a Boeing supplier's factory went up in flames due to a battery that took fire, I'm not exactly sure there's "no doubt Boeing know that even if the batteries smoke and fail they won't be a threat to safety". Same for the 16 hybrid sport cars that burst into flames on that parking lot due to batteries shorting.
I think that: "There's no smoke without fire" may be the sentence you're after ; )
Is it a safety issue? Probably, but not definitely. Do the general public have a problem with smoke on a plane? Hell yes.
Our experience with traditional cars and planes is that where there is smoke there is fire. That may or may not be true with the batteries, I dont know but I do know that Boeing do a LOT of testing, so would be suprised to see a plane go down due to these problems.
I believe the cars you were talking about were completely submerged in sea water and then caught fire. Presumably any car or plane submerged in sea water will get written off which is probably why they dont worry too much about it.
FedEx's shipping guide, as an example: http://www.fedex.com/downloads/shared/packagingtips/battery_...