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Gigafactories (second one coming soon) are a joint effort with Panasonic and Tesla enjoys the economies of scale from them. They just recently started deliverin
by Geee 8y ago
Gigafactories (second one coming soon) are a joint effort with Panasonic and Tesla enjoys the economies of scale from them. They just recently started delivering their solar tiles. Solar -> batteries -> chargers -> cars. This level of integration makes them potentially 10 times more valuable than other car companies.
- vkou 8y agoWhy? Do Teslas only get charged by Elontrons, produced by a vertically integrated SolarCity panel, stored in a PowerWall, as opposed to regular electrons? What next - is Elon Musk going to start buying iron and nickel mines, so that Tesla can mine iron, to smelt it into steel, to build robots that build Teslas? Maybe a chip fab, while it's at it? And a ranch, for the leather seats? Why hasn't GM bought an oil company, and a couple thousand gas stations? Apparently, this vertical integration would have made them 10 times more valuable. Maybe it's because I can get the exact same gas from the Shell across the street. Also, half of this vertical integration only 'works' (If you squint a lot) due to subsidies/loopholes in how people are billed/credited for home solar installations. When those installations become widespread, these subsidies will go away, and we'll be back to buying power wholesale, from utilities. There is no universe in which putting solar panels on your roof will be cheaper, or more efficient, then buying power from a solar utility.