6 Things to Know About the Planned Tesla Gigafactory

by Christopher Freeburn | February 27, 2014 11:46 am

[1]On Wednesday, Tesla Motors (TSLA[2]) announced that it is looking to build a 10-million-square-foot factory to produce batteries for its electric cars[3].

Tesla calls the planned facility a “Gigafactory.” The maker of the pricey Model S electric car is considering sites in four states for the new factory, which will make batteries for use at Tesla’s California assembly plant. The facility is expected to cost between $4 billion and $5 billion to build, the Associated Press notes.

Word of the planned factory comes as Tesla increases its outlook for future car production[4].

Here are 6 things to know about the Tesla Gigafactory:

1. Tesla expects the facility to have a staff of about 6,500.
2. Tesla is evaluating potential locations in Arizona, Nevada, New Mexico and Texas.
3. Construction for the facility is expected to start this year.
4. Tesla plans to spend $2 billion to build the Gigafactory, while as-yet unidentified partners will pick up the remaining $2 billion to $3 billion cost.
5. Tesla hopes to finish the factory in 2017.
6. The Gigafactory could produce batteries for 500,000 cars by 2020.

Tesla stock slipped modestly in Thursday morning trading.

More Tesla News:

• Tesla Continues to Drive Forward as TLSA Stock Tests All-Time Highs[5]
• TSLA Stock Zooms as Morgan Stanley Doubles Tesla Price Target[6]
• TSLA, AAPL: Tesla Stock Shoots Up on More Apple Rumors[7]

Source URL: https://investorplace.com/2014/02/6-things-know-planned-tesla-gigafactory/

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