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02:28
Tesla has had a wild ride this year, with its stock more than quadrupling, and then undergoing a five-for-one split. The stock dropped recently despite the company’s CEO Elon Musk, laying out some ambitious plans at an event called Battery Day.
Following its annual shareholders meeting, Telsa launched Battery Day.
With socially-distanced shareholders sitting inside Tesla cars and honking their approval, Musk laid out a detailed plan to transform Tesla manufacturing.
“Eventually, every car company will have long-range electric cars. Eventually, every company will have autonomy. But not every company will be great at manufacturing. Tesla will be absolutely head and shoulders above anyone else in manufacturing. That is our goal," Musk said.
Tesla currently sources batteries from Panasonic, but plans to make new battery cells in-house.
They plan to eliminate traditional battery tabs – something Musk says inefficiently increases the distance electrons must travel and also slows down manufacturing.
The company says it will eliminate the battery’s most expensive material – cobalt – because it is mined under inhumane conditions.
Tesla was also inspired by airplane wings for another innovation – incorporating the battery as part of the structure of the vehicle.
“As with many things, Elon seems to be a step or two ahead of everybody. I guarantee you other companies are looking at the same stuff. What Elon has figured out is that it’s not just a matter of building more cars, it’s a matter of building them smarter," said Michael Coates, editor of the Clean Fleet Report.
Musk says it will take at least a year to 18 months to start realizing these advantages. As for what it means for future products, Musk says he’s confident Tesla will be able to make a compelling $25,000, fully-autonomous electric vehicle in about three years’ time.
"The thing to keep in mind with the timeline that Elon laid out, he’s never been on time with any of his products. So, if he says a year-and-a-half, three years, I would say factor in a little bit of a cushion," Coates said.
Tesla also showed a video of its high-performance Model-S Plaid—a 320 kilometer/hour car, scheduled to be ready by the end of 2021. The 1100 horsepower EV features a range of around 520 miles, or roughly 836 kilometers. The highest-spec version of the Plaid is listed at more than $140,000.
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