Tesla Motors Inc (NASDAQ:TSLA) impressed the energy storage markets when Elon Musk, the company’s CEO, introduced some new products at a press event held at Universal Studios last week. The new Powerwall 2.0 and Powerpack 2.0 are in a league of their own and Tesla is setting itself up as the leading firm in battery system tech. Elon Musk also wowed us with innovative solar glass shingles, which has massive potential to disrupt the home construction and home energy markets.
However, the backbone of Tesla’s giant strides in the EV market and the energy storage market is the Gigafactory that the firm is building out in the Nevada desert. The Gigafactory is the world’s largest battery factory and it is germane to Tesla’s market dominance in the EV market and the energy storage market. This post provides a progress report on the Gigafactory as Tesla prepares to enter a phase of massive productions across its all its product categories.
Here’s how far Tesla’s Gigafactory has progressed
In September, news broke that Tesla Motors Inc (NASDAQ:TSLA) will double the size of its Gigafactory. The Gigafactory started out with about 1.9 million square feet space – the firm later added another 2.5 million square feet while commencing work on an extra 930,000 square feet of operational space. Electrek posted an incredible 360-degree image of the Gigafactory that Lance Nevue of shot last week during his road trip from Montreal to San Francisco.
The 360-degree picture of the Gigafactory (shown above) shows how the construction of the four new sections is moving on towards completion. You’ll observe that the first section towards the north housing the pilot plan of the Gigafactory based on the original plan is practically fully completed. The other three sections on the southern end of have also progressed at an impressive space.
A close-up view of the picture also shows that the development team is working on the parking lots and the roads around the Gigafactory. One of the commenter on the picture posted on Facebook, Mugwort Roddy Erickson observed that Tesla might be planning to further enlarge the the Gigafactory. He says, “Looking back down the valley, to the right of the road, is a large building not far away (with others behind). On this side of it, the ground’s been bulldozed level; that yard appears to connect to the GF’s parking-lot road.”
Here’s why the Gigafactory is very important
Tesla Motors Inc (NASDAQ:TSLA) is moving mountains to get the Gigafactory in order and Nevada state authorities are upholding their end of the bargain in terms of incentives. In fact, a close up view of the 360-degree picture shows decent progress on the highway that Nevada is building to connect the Gigafactory to highway 50 near Silver Springs.
The entire future of Tesla depends on the Gigafactory and the success/failure of the Gigafactory has material effect on the global market for EVs and home energy storage solutions in the grand scheme of thing. To start with, Tesla needs the Gigafactory up and running in order to enjoy the economies of scale for building the $35,000 mass-market Model 3. More so, the firm needs the Gigafactory in order start producing enough Powerwalls and Powerpacks to meet the energy storage needs of individuals, businesses, and utilities.