Tesla Motors, Inc. (Tesla), incorporated on July 1, 2003, designs, develops, manufactures and sells electric vehicles and advanced electric vehicle powertrain components. Tesla owns its sales and service centers and Supercharger stations. In addition to the Company’s own vehicles, it designs, develops, manufactures, and sells advanced electric vehicle powertrain components to other automotive manufacturers. The Company has provided development services and powertrain components to Daimler AG (Daimler) for its Smart fortwo and A-Class electric vehicles. The Company developed stationary energy storage products for use in homes, commercial sites, and utilities. The Company offers financial products through various financial institutions in the United States, Europe, and Asia.
Tesla’s mission is to accelerate the world’s transition to sustainable transport
Tesla Motors was founded in 2003 by a group of engineers in Silicon Valley who wanted to prove that electric cars could be better than gasoline-powered cars. With instant torque, incredible power, and zero emissions, Tesla’s products would be cars without compromise. Each new generation would be increasingly affordable, helping the company work towards its mission: to accelerate the world’s transition to sustainable transport.
Tesla’s engineers first designed a powertrain for a sports car built around an AC induction motor, patented in 1888 by Nikola Tesla, the inventor who inspired the company’s name. The resulting Tesla Roadster was launched in 2008. Accelerating from 0 to 60 mph in 3.7 seconds and achieving a range of 245 miles per charge of its lithium ion battery, the Roadster set a new standard for electric mobility. Tesla would sell more than 2,400 Roadsters, now on the road in more than 30 countries.
In 2012, Tesla launched Model S, the world’s first premium electric sedan. Built from the ground up to be 100 percent electric, Model S has redefined the very concept of a four-door car. With room for seven passengers and more than 64 cubic feet of storage, Model S provides the comfort and utility of a family sedan while achieving the acceleration of a sports car: 0 to 60 mph in about five seconds. Its flat battery pack is integrated into the chassis and sits below the occupant cabin, lending the car a low center of gravity that enables outstanding road holding and handling while driving 265 miles per charge. Model S was named Motor Trend’s 2013 Car of the Year and achieved a 5-star safety rating from the U.S. National Highway Traffic Safety Administration.
In late 2014, Tesla CEO Elon Musk unveiled two dual motor all-wheel drive configurations of Model S that further improve the vehicle’s handling and performance. The 85D features a high efficiency motor at the front and rear, giving the car unparalleled control of traction in all conditions. The P85D pairs a high efficiency front motor with a performance rear motor for supercar acceleration, achieving a 0 to 60 mph time of 3.2 seconds – the fastest four-door production car ever made.
Now with more than 50,000 vehicles on the road worldwide, Tesla is preparing to launch Model X, a crossover vehicle that enters volume production in 2015. Featuring exhilarating acceleration, falcon wing doors, and room for three rows of seating, Model X defies categorization.
Tesla owners enjoy the benefit of charging at home so they never have to visit a gas station or spend a cent on gasoline. For long distance journeys, Tesla’s Supercharger network provides convenient and free access to high speed charging, replenishing half a charge in as little as 20 minutes. Superchargers now connect popular routes in North America, Europe, and Asia Pacific.
Tesla’s vehicles are produced at its factory in Fremont, California, previously home to New United Motor Manufacturing Inc., a joint venture between Toyota and General Motors. The Tesla Factory has returned thousands of jobs to the area and is capable of producing 1,000 cars a week.
The company is expanding its manufacturing footprint into other areas, including in Tilburg, the Netherlands, where it has an assembly facility, and Lathrop, California, where it has a specialized production plant. To reduce the costs of lithium ion battery packs, Tesla and key strategic partners including Panasonic have begun construction of a gigafactory in Nevada that will facilitate the production of a mass-market affordable vehicle, Model 3. By 2020, the gigafactory will produce more lithium ion cells than all of the world’s combined output in 2013. The gigafactory will also produce battery packs intended for use in stationary storage, helping to improve robustness of the electrical grid, reduce energy costs for businesses and residences, and provide a backup supply of power.
Tesla is not just an automaker, but also a technology and design company with a focus on energy innovation.
The Tesla Roadster
The Tesla Roadster is an electric sports car. The Company sells and services its Tesla Roadster though its Company-owned sales and service network in the North America, Europe and Asia. It has delivered approximately 2,500 Tesla Roadsters to customers in over 30 countries. It completed the production of Tesla Roadster gliders at Lotus Cars Limited in January 2012.
Model S is a four door, five-passenger premium sedan. It has designed Model S to include a third row with two rear-facing child seats, subject to applicable safety regulations and requirements, allowing the Company to offer a seven passenger sedan.
The Company revealed an early prototype of the Model X crossover as the first vehicle that it intends to develop by leveraging the Model S platform. This vehicle has been designed to fill the niche between the roominess of a minivan and the style of an SUV, while having high performance features, such as a dual motor all-wheel drive system. Model X will seat seven adults. The Company anticipates that it would make Model X available with 60 kWh and 85 kWh battery pack options, with pricing of each version similar to those of a comparably equipped Model S.
The Company also has announced its intent to develop a third generation electric vehicle, to which it refers as Gen III, to be produced at the Tesla Factory.
Powertrain Development and Sales:
In addition to the Company’s own vehicles, it designs, develops, manufactures, and sells advanced electric vehicle powertrain components to other automotive manufacturers. The Company has provided development services and full powertrain systems and components to Daimler AG for its Smart fortwo, A-Class, and B-Class electric vehicles. It has also developed an electric powertrain system for Toyota Motor Corporation for use in its RAV4 EV. As of December 31, 2013 the Company shipped approximately 1,600 units.
Stationary Energy Storage Applications:
In 2013, the Company developed stationary energy storage products for use in homes, commercial sites, and utilities. The applications for these battery systems include backup power, peak demand reduction, demand response and wholesale electric market services. The Company intends to ramp sales of these products in 2014. In 2015, Tesla introduced the Powrball: Tesla Home Battery. Powerwall is a home battery that charges using electricity generated from solar panels, or when utility rates are low, and powers your home in the evening. It also fortifies your home against power outages by providing a backup electricity supply. Automated, compact and simple to install, Powerwall offers independence from the utility grid and the security of an emergency backup. Powerball comes in 10kWh weekly cycle and 7kWh daily cycle models. Both are guaranteed for ten years and are sufficient to power most homes during peak evening hours. Multiple batteries may be installed together for homes with greater energy need, up to 90 kWh total for the 10 kWh battery and 63 kWh total for the 7 kWh battery.
The Company offers financial products through various financial institutions in the United States, Europe, and Asia. In the United States and Canada, it offers customer loans through specified commercial banking partners. In connection with certain of these loans, the Company offers a resale value guarantee to all customers who purchased a Model S and financed their vehicle.