Economies of scale and large scale manufacturing certainly don't go away, but decentralization does add robustness and nimbleness that a gigafactory can't. Geog

Economies of scale and large scale manufacturing certainly don't go away, but decentralization does add robustness and nimbleness that a gigafactory can't. Geographic diversification also helps if you scale beyond a level that the area your current factory permits (or any location that makes sense to move it to). Manufacturing processes are also changing thanks to automation and more general tools, like laser sintering 3D printers, that don't require extension retooling to make a completely different part. This is doubly true if savings from scale get nuked by shipping from wherever your factory is.