Elon Musk Finally Divulges Capacity of Model 3 Battery Packs

Andrew Cummings
August 13, 2017

While Tesla previously stated the Model Y would sit on an all-new platform, the lure of sharing complex mechanical components has clearly become more attractive and founder Elon Musk has now confirmed the Model Y will share its backbone with the Model 3.

With every conference call, investors naturally want news about upcoming products - and we do too, Tesla didn't disappoint - discussing the upcoming Model Y, a compact SUV.

While we're genuinely sad that the pair - or anyone - has to explain themselves publicly when it comes to extremely personal parts of their lives, we also completely respect their desire to quell baseless rumors and unnecessary drama.


While the barrage of tweets began as a reply to a Business Insider story, Musk also took a shot at TIME for writing a story based on the same anecdote. The company can fund the almost $2 billion manufacturing investment out of its $3 billion cash balance. Tesla should be burning through equity, not debt, Holman said.

Future Tesla models understood to be in the works include an electric minibus, an electric HGV lorry and a second-generation Roadster - the original Tesla. It's a tech company with industrial assets growing 50% to 100% per year.

Over the past few years Tesla, the electric-car maker, has emerged as one of the most innovative and valuable companies on the planet. On an earnings call past year, he said a California factory would soon be an "alien dreadnought" that would efficiently pump out new cars. Selling 5 million shares at a 15 percent discount to market would raise the same $1.5 billion and dilute Musk's 20.4 percent stake by only 3 percent, assuming he didn't pitch in more himself.


Were Tesla to produce, and sell 500,000 cars per year, the company would likely outsell the BMW, Mercedes, or Lexus brands in the United States.

Don't confuse the term "junk bond" with the quality of the company and magnitude of the opportunity in front of Tesla. The company is valued at some 27 times 2020 earnings, implying the kind of growth that even the most bullish of analysts don't expect, according to Breakingviews calculations. The Model 3 is supposed to drive economies of scale by scaling to far higher volumes, and Tesla has said it's adding 1,800 reservations a day for the vehicle.


Other reports by iNewsToday

FOLLOW OUR NEWSPAPER