Why Apple could win big with Tesla’s massive new battery ‘Gigafactory’

“The first Tesla I ever saw was stripped down to the chassis, a bare-metal incarnation of the company’s flagship electric Roadster on display at an event in Silicon Valley. Without the need for an internal combustion engine, the two-seater’s petite frame was dominated by a huge battery. My first thought: ‘This looks like a giant cell phone on wheels,'” Marcus Wohlsen reports for Wired. “As it turns out, I was more right than I realized.”

“This week, years after that first sighting, Tesla announced plans for what it calls the ‘Gigafactory,’ a 10-million-square-foot plant for making car batteries,” Wohlsen reports. “The company hopes that the sheer scale of the operation, combined with the inventiveness of its engineers, will bring battery prices down far enough to finally bring its electric cars into the mainstream.”

“But it’s not just the prospect of a gasoline-free future that has sparked such excitement about the Gigafactory. The same basic lithium-ion tech that fuels Tesla’s cars also runs most of today’s other mobile gadgets, large and small,” Wohlsen reports. “Earlier this month, as rumors swirled that Apple might want to buy Tesla, San Francisco Chronicle reported that Tesla CEO Elon Musk had indeed met with the iPhone maker. Musk later confirmed that Tesla and Apple had talked, but he wouldn’t say what about. Now that Tesla has announced the Gigafactory, Gartner auto industry analyst Thilo Koslowski thinks it would make more sense for Tesla to talk with Apple about something other than an acquisition. ‘Depending on the capacity of the factory and who the other investors will be, Tesla could start selling its batteries for other products besides cars,’ Koslowski tells WIRED. ‘This could actually mean Tesla might build batteries for Apple.'”

Read more in the full article here.

Related articles:
Tesla CEO Elon Musk confirms Apple talks; battery ‘gigafactory’ discussions more likely than buyout – February 20, 2014
Why the heck would Apple business development execs meet with Tesla Motors? – February 19, 2014
Apple-Tesla talks fuel hopes of advanced battery tech, deeper iOS in the Car integration – February 18, 2014
Apple acquisitions chief met with Tesla CEO Elon Musk – February 16, 2014
Tesla hires Apple VP of Mac Hardware Engineering Doug Field to lead development of new vehicles – October 24, 2013

24 Comments

        1. I was hoping for an answer but in the meantime I searched on google and it appears to describe an abusive way to house chickens or any other small animal. That being said, I only asked what the original meaning was it this was a new meaning.

          Lighten up. Not everyone has heard of a battery farm.

        2. I’ve not heard the term battery farm until today. Reminds me of a time an old roomate majoring in business scolded me for not knowing some business term that he referred to as common knowledge. Common knowledge for whom?

  1. Steve Jobs said manufacturing would never return to the US…

    He told Tim Cook to never ask what Steve would do…

    Tim is making making his moves and slowly setting the course for Apple’s new course…

    Go Tim!

  2. So, Tesla might start making batteries for Apple. So what? As far as I know Apple hasn’t ever had serious problems getting its supply of batteries. So maybe they can get them a bit cheaper from Tesla but I don’t think it will have a major impact on Apple’s bottom line.

    And if you’re thinking that there will be a new high capacity battery coming out of that factory, think again. Through the years I’ve read countless articles about some new battery technology that will change the world. And it’s always 5 years down the road, but it’s never happened. The rechargeable Li-Ion is about as close as it gets to a revolutionary new battery. And if Apple wants a higher capacity battery in an iPhone they’ll just have to make them thicker. (Which they can afford to do.)

    1. Well for a start Tesla batteries charge rather quicker than the norm and that alone makes for an advance. If you can charge much quicker battery capacity is less of a drag Tesla have come closest to making practical electric cars at least partly the result of that.

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