“We believe the days when Tesla was known as purely an auto company are numbered,” declared Morgan Stanley analysts in a note this week, after the electric car maker reported another set of stellar results.
Endless column inches have chronicled how Elon Musk’s electric car company is disrupting the auto industry and making inroads into the luxury car market (especially on America’s West Coast). But the true impact of its technology may reach far beyond America’s roads. The way forward, Tesla is betting, is in producing its own batteries.
Next week the company will detail plans for its “giga-factory,” where it will produce the lithium-ion batteries needed for its next line of cars. This won’t be just any factory. It could be the biggest battery-making facility in the world. It will be “heavily powered” by renewable sources of energy, such as wind and solar, Musk said on Tesla’s earnings call, and will have the capability to recycle old battery packs.