3 ms·

Tesla doesn't manufacture the batteries, Panasonic does, this acquisition is strategic for Tesla to mitigate the impact of Model 3 sales falling far short of p

Tesla doesn't manufacture the batteries, Panasonic does, this acquisition is strategic for Tesla to mitigate the impact of Model 3 sales falling far short of projections [1, 2] on its relationship with Panasonic. Elon and the Panasonic CEO had some tough conversations earlier this year [2], Panasonic has stopped investing capex in Tesla [1], and Panasonic has pivoted to other automakers long-term [3], particularly Toyota [4] [1] https://asia.nikkei.com/Business/Companies/Tesla-and-Panasonic-freeze-spending-on-4.5bn-Gigafactory https://asia.nikkei.com/Business/Companies/Tesla-and-Panason... [2] https://asia.nikkei.com/Spotlight/Cover-Story/Sparks-fly-Inside-the-strained-Tesla-Panasonic-relationship https://asia.nikkei.com/Spotlight/Cover-Story/Sparks-fly-Ins... [3] hard to find a singular link that back this up, note the constant drumbeat of agreements/movement over the last year and contrast with 1 & 2: c.f. https://www.google.com/search?q=panasonic+toyota&rlz=1CAUWRX_enUS861&sxsrf=ACYBGNRw7tUnacVUmH1nxdmUX6dEGVclSg:1570301686068&source=lnms&tbm=nws&sa=X&ved=0ahUKEwi6673R5YXlAhWpd98KHQlJDRAQ_AUIEigB&biw=1333&bih=785 https://www.google.com/search?q=panasonic+toyota&rlz=1CAUWRX... [4] https://sciencebusiness.net/network-updates/commission-clears-creation-joint-venture-between-toyota-and-panasonic https://sciencebusiness.net/network-updates/commission-clear...

andrewtbham 7y ago
It is an open secret that Tesla has been working on manufacturing their own batteries for years, and especially since Maxwell acquisition. This is the more likely explanation.. that Tesla is developing their own in house... and they don't need or want Panasonic's help. https://electrek.co/2019/06/26/tesla-cells-in-house-secret-battery-lab/ https://electrek.co/2019/06/26/tesla-cells-in-house-secret-b...
- Bayart 7y ago
  I don't doubt Tesla wants its own battery operation (vertical integration seems to be a big thing in Musk's book), but I don't really see how Maxwell fits with that. They're a capacitor company. Sure sticking big ole caps next to batteries is great for instant power but it's not like the skill set of manufacturing one really translates to manufacturing the other.
  - cptskippy 7y ago
    > but it's not like the skill set of manufacturing one really translates to manufacturing the other. They're not? While batteries store energy in a chemical reaction and capacitors store it in an electric field; physically their construction is very similar. Super capacitors, like batteries, have plates and use an electrolyte. They are also packaged similarly. https://duckduckgo.com/?q=industrial+capacitor&t=fpas&iax=images&ia=images https://duckduckgo.com/?q=industrial+capacitor&t=fpas&iax=im... I would imagine there is quite a bit of overlap in manufacturing and chemistry.
  - dharma1 7y ago
    The reason Tesla bought Maxwell isn't ultracapacitors, but their solventless dry electrode tech for making better and cheaper li-ion batteries. Higher energy density, no cobalt needed, cheaper/faster battery production. Recommend reading up on it, it's fascinating and quite widely covered online. It's a win on many fronts for Tesla if they can make it work.

andrewtbham 7y ago

It is an open secret that Tesla has been working on manufacturing their own batteries for years, and especially since Maxwell acquisition. This is the more likely explanation.. that Tesla is developing their own in house... and they don't need or want Panasonic's help. https://electrek.co/2019/06/26/tesla-cells-in-house-secret-battery-lab/ https://electrek.co/2019/06/26/tesla-cells-in-house-secret-b...

Bayart 7y ago
I don't doubt Tesla wants its own battery operation (vertical integration seems to be a big thing in Musk's book), but I don't really see how Maxwell fits with that. They're a capacitor company. Sure sticking big ole caps next to batteries is great for instant power but it's not like the skill set of manufacturing one really translates to manufacturing the other.
- cptskippy 7y ago
  > but it's not like the skill set of manufacturing one really translates to manufacturing the other. They're not? While batteries store energy in a chemical reaction and capacitors store it in an electric field; physically their construction is very similar. Super capacitors, like batteries, have plates and use an electrolyte. They are also packaged similarly. https://duckduckgo.com/?q=industrial+capacitor&t=fpas&iax=images&ia=images https://duckduckgo.com/?q=industrial+capacitor&t=fpas&iax=im... I would imagine there is quite a bit of overlap in manufacturing and chemistry.
- dharma1 7y ago
  The reason Tesla bought Maxwell isn't ultracapacitors, but their solventless dry electrode tech for making better and cheaper li-ion batteries. Higher energy density, no cobalt needed, cheaper/faster battery production. Recommend reading up on it, it's fascinating and quite widely covered online. It's a win on many fronts for Tesla if they can make it work.