Musk’s ambitions, however, don’t end here. He hopes that one day the electric vehicle assembly line, and cell and battery pack production would be joined under one roof.
Gigafactory 1 will cost $5 billion and is expected to create 10,000 new jobs by 2018. The factory is also expected to boost world’s lithium-ion battery production by two times. As of now, the building is under construction, but the company reportedly seeks to speed things up to get it up and running before the official roll out of Model 3 in the last quarter of 2017.
Musk acknowledged Tuesday that batteries are the “biggest constraint” for the company’s current and future cars. On Tuesday, a few dozen journalists were allowed to tour the 1.9 million square feet location.
When it is fully erected, the factory is expected to stretch across over 10 millions square feet. With this new addition to Tesla’s assets, Musk hopes that the energy storage business will be as large as Tesla’s car business.
During the tour, the billionaire CEO told the media that he sees the plant “incredibly romantic.” He added that the company won’t stop here. Three more gigafactories will be opened in Europe, India, and China respectively if there is “huge demand.”
The company announced that the monster factory would officially open gates on Friday, but it will reach its full capacity in three years’ time.
Analysts believe that the new plant is crucial for the business, as Tesla will be able to boost battery supply and trim costs by more than one-third. This could help the company’s cars become mainstream.
About 370,000 people have booked the Model 3, which is more than even Tesla has ever dreamed of. The firm is now struggling to meet its 2017 deadline as it had been confronted with production delays in the past.
And the new plant may just help the tech giant with that. Analysts explained that now that battery production relies on a single, monster plant there shouldn’t be any more battery-related delays.
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