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Can competitors source the raw metals required in sufficient quantities to put bigger batteries in their cars?

• hef19898 4y ago
  Yes. And if Tesla would move to block them from doing so, they would set themselves up for an anti-competition suite of epic proportions in all markets, from the US over the EU all the way to China.
  • JumpCrisscross 4y ago
    > if Tesla would move to block them from doing so Tesla is in no position to do so. They have a strong position in battery assembly, but zero direct presence in extraction or refining.
  • politician 4y ago
    The problem of procurement is about access to Lithium and Nickel ores. Telsa has a joint partnership with a Nickel mine in New Caledonia and rights on mining Lithium in Nevada. GM, Ford don't and there is a global shortage, so I don't see them succeeding in battery production long term. If they source batteries from Panasonic, they're buying an inferior battery. If they source from Tesla, that's obviously positive for Tesla. https://www.bbc.com/news/business-56288781 https://www.bbc.com/news/business-56288781
    • hef19898 4y ago
      If you hold a de-facto monopoly on certain taw materials, you are legally obliged to share it with competitors.
      • hef19898 4y ago
        Plus: Tesla's battery cells came for a very long time from Panasonic. So much for inferior tech.
• elisharobinson 4y ago
  not quite, if you bought it in the open market its 10~20% more $ than having a fixed longterm contract. and ICE carmakers usually have one OEM like samsung and Panasonic who have interest in getting best price for each cell . Tesla has inhouse cell production capacity and uses cells from all oems to get the best possible price / cell . This will give tesla a permanent 5% lead (outside of china) in cell pricing.