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Sputter

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It‘s very exciting to have two announcements regarding the Cybertruck in one week (stainless steel recipe shakeup and the factory location). We have been clamoring for any official news regarding our trucks and it’s been slim pickings lately.

I think all of the members on here saw this announcement coming. TX had the incentives, workforce, weather and is a desirable place to live.

Curious how far the building contractor will be along by December 31st of this year. I am sure this will foster competition between the Austin Gigafactory 5 and Berlin Gigafactory 4. Here’s a brief summary of the Berlin factory;

Tesla Gigafactory 4 (aka Tesla Giga Berlin) at brief:

  • located in the Berlin-area (in Grünheide, Brandenburg, Germany), near the new airport
  • to produce Model 3/Y starting in 2021 with the Model Y
  • will produce also batteries (for sure modules/packs) and powertrains
  • expected volume of 500,000 annually (unofficial target), initially 150,000
  • expected investment of €4 billion (unofficial). Austin factory will cost $1.1 billion.
  • expected 10,000 jobs (unofficial). Austin will employ 5,000.
Hmmm...interesting: the Texas factory will have only 5,000 employees to produce the Y, the cybertruck and the semi. In Berlin, they will have 10,000 employees to produce only the Y. How do you figure?
 

TruckElectric

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Austin has a great university with a great engineering school. Even John B. Goodenough resides there.
After listening to the 2nd quarter comments earlier there were multiple occasions where Musk and others were begging for the best engineers.
I hope young engineers nationwide take notice!
https://en.wikipedia.org/wiki/John_B._Goodenough

And just down the road is Rice University also with great engineering and nanotechnology programs.
 

Metallica1776

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Only 200k on a 350? That's not even broken in!
Considering I plow with it all winter and tow with it all summer she has been one hell of a truck.. Not diesel though.. Gas...
 

jerhenderson

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Hmmm...interesting: the Texas factory will have only 5,000 employees to produce the Y, the cybertruck and the semi. In Berlin, they will have 10,000 employees to produce only the Y. How do you figure?
Volume?
 

ELCTRUK

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Gigafactory Texas

Gigafactory Texas is official! Tesla's Q2 earnings call has just kicked off and Elon Musk has just announced that the next gigafactory will be just outside Austin, Texas.

"It's basically going to be an ecological paradise" that's open to the public, he says.​

The [Gigafactory] location is five minutes from Austin International National Airport and 15 minutes from Downtown Austin. It’s about 2,000 acres.”

Gigafactory Texas will produce the Cybertruck and Semi for worldwide distribution, as well as the Model 3 and Y for the Eastern U.S. Construction of the new factory has already begun this past weekend.

The factory will encompass 4 to 5-million square footprint at a cost of $1.1 billion.

Musk thanked Tulsa and Oklahoma and noted on the call that he and the team were “super impressed” by the state and would consider it for a future site.

Tesla has promised Texas officials it will employ at least 5,000 people. About 25 of those workers are categorized as “qualifying” jobs and would be paid a minimum of $74,050, while the remaining would be middle income jobs with an annual salary of $47,147.

The Del Valle School District was the first to approve incentives for Tesla in a property tax abatement package worth $46.6 million. Commissioners in Travis County followed the district’s lead. The county approved July 14 property tax breaks worth at least $14.7 million — and potentially more — over 10 years.

Under terms of the agreement with Travis County, Tesla must invest $1.1 billion in the new factory within the first five years. In exchange, Travis County will rebate 70% of the property taxes Tesla will pay. Once Tesla’s investment in the factory eclipses that $1.1 billion mark, the property taxes rebates will increase to 75%. Any investments in the factory beyond $2 billion, will give Tesla 80% in property tax rebates.

Travis County has estimated that a $1.1 billion investment by Tesla would generated $8.8 million in new tax revenue over a 10-year period, a figure that takes into account the property tax rebates.

If Tesla fails to hit the investment goal or if its falls 75% short of its jobs requirement in any year, the company won’t receive any property tax relief. The county will also have the ability to recoup tax rebates if Tesla breaches its contract.

Together, Tesla will receive at least $61 million in property tax abatement. It’s possible that Tesla could receive more from the state.

New Compact Vehicle

Musk also said that a new compact vehicle is expected to join the lineup in the future.

"Reasonable to assume we will make a compact vehicle and a high capacity vehicle. A long way to go with 3, Y, CyberTruck, Semi." said Musk on the call.​

Gigafactory Texas Cybertruck factory production plant.jpeg
Yeeeeesssssssssssssssssss!!!!! Sweet Victory for Texas!
 

Joe Maw

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Great news the CT will be built in the heart of USA truck country,so happy with this news.
 

drag0nfish27

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we all knew it was a Texas.

About time they announced it. Now start some construction already. Like tomorrow.

Gigafactory Texas will produce the Cybertruck and Semi for worldwide distribution, as well as the Model 3 and Y for the Eastern U.S. Construction of the new factory has already begun this past weekend.
 

Pappy

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Only 200k on a 350? That's not even broken in!
Ohhh... but the operating costs start increasing dramatically right about that mileage. Injectors, turbos, starters, fuel pumps all begin to fail right about then. I had to let my last Ford go simply because of operating cost, I couldn’t afford to keep that truck any longer.
 

ÆCIII

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Makes me think of an interesting parallel, where Jack Daniels whiskey is made in Lynchburg Tennessee inside of a dry county, where it is not allowed to be sold or purchased, only shipped out.

Texas has not been kind to Tesla at all, both in refusing to allow direct sales in the state, and also threatening the ban of Tesla Service Centers via the language in a proposed bill early last year. Fortunately, that did not become Texas law. So the parallel here is that Tesla Cybertrucks will be made in Texas, but you won't be able to 'buy' them at a Tesla store in Texas? and will have to get them via 'online purchase' For Texans, test drives prior to purchase would have to be done in another state? If Texas doesn't change this after what Elon is doing and has done for them, then IMO he should reconsider Tulsa - just sayin'...

But on another concern this is fantastic for everyone if Elon and the Tesla team have done thorough environmental research on the land purchased. Currently IMO there is 'quite a ways' to go for this land area to become an "ecological paradise". There are massive sewage ponds adjacent to the southwest corner and South Austin Regional Wastewater treatment right outside the southeast boundary.

1595508756836.png


The stench from these types of ponds can be nearly unbearable. It's very disturbing these waste processing facilities are right on the Colorado River too. These ponds are still plainly visible on Google maps ( https://www.google.com/maps/place/Del+Valle,+TX/@30.2169844,-97.6473521,2171m/data=!3m1!1e3!4m5!3m4!1s0x8644b0d5606d49d5:0x652d6a00cf79d122!8m2!3d30.2091069!4d-97.6472349?hl=en ). There is also the history of toxic wastes known in the area which had to be cleaned up when the airport was built from repurposed Bergstrom AFB.

So if Elon and team have done the due diligence and thorough research to assure they can make this area an "ecological paradise", then that's a win-win for everybody.

Not trying to put 'acid rain' on anybody's parade of excitement (I'm excited too) but these are real factors hopefully they've considered.
 
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TruckElectric

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Texas has not been kind to Tesla at all, both in refusing to allow direct sales in the state, and also threatening the ban of Tesla Service Centers via the language in a proposed bill early last year. Fortunately, that did not become Texas law. So the parallel here is that Tesla Cybertrucks will be made in Texas, but you won't be able to 'buy' them at a Tesla store in Texas? and will have to get them via 'online purchase' For Texans, test drives prior to purchase would have to be done in another state? I
Texas may fast-track a bill allowing Tesla to sell cars in the state since they are building a factory and providing thousands of jobs during construction and at the factory after it is built, not including the thousands of ancillary jobs that will come from suppliers, food industry, etc.


Interestingly, Tesla spent a lot money lobbying to get the ability to sale cars in Texas but lost the fight. "The electric-car maker has 13 stores or galleries in Texas, now one of only two states blocking direct sales by manufacturers. Tesla employees at these sites can’t talk about prices, take orders, or sell cars. All transactions must happen online. By 2017, Tesla had spent at least $1.2 million to lobby Texas lawmakers to change that, but it was no match for the big political donations mustered by the 1,300 dealerships in Texas, major players in state politics."


Also, this....

"Now it appears Texas wants to prevent manufacturers like Tesla from servicing its vehicles as well. Electrek reported on a new bill (SB 1415) that would prevent manufacturers like Tesla from fixing cars at its own service centers. Republican senator Kelly Hancock’s proposed legislation alters language in the state’s transportation code to ban vehicle manufacturers from “servicing” and “repairing” cars. That would cripple Tesla’s attempts to expand in the state, one of America’s largest auto markets, at a time when Tesla said it is making service and parts supply its “top priority.”

The bill’s language states a manufacturer or distributor may not own an interest in parties engaged in servicing or repairing their vehicles:

Screenshot-2019-03-17-13.11.17.png

The bill is wrapped up in a fight to give an exception to dealership rules for Berkshire Hathaway, which owns car dealerships and an RV manufacturing business in Texas, reports the Austin-American Statesman. Warren Buffett’s conglomerate has been embroiled in enforcement actions by the Texas Department of Motor Vehicles for two years for violating the current statute. The firm has a controlling stake in RV maker Forest River and more than two dozen dealerships in Texas (although not ones that sell RVs). Similarly, heavy engine producer Cummins has allegedly violated the law for performing warranty maintenance on its own engines in Texas. Tesla cried foul as legislators have tried to amend the statute, calling it special treatment for big donors, even as they shut Tesla out of the process.

At issue is a battle over money. Car dealers derive much of their revenue from selling and (especially) servicing vehicles. Tesla’s direct-to-customer sales and service stations are a threat to that business model since they cut dealers out of the transaction.

The Texas Automotive Dealers Association objects to this portrayal. It argues that (pdf) Tesla wants a special exemption from state rules requiring dealer franchisees for retail sales. The regulations, developed in the 1930s, “prevent monopolies and promote competition in vehicle pricing and service,” the association claims. But that arrangement is mostly the result of lobbying and protectionism. As Quartz has reported, automakers can’t cut out the middleman (dealers) to help reduce the 30% or so of a car’s costs now spent on distribution. That arrangement, say experts, stifles innovation and artificially inflates costs by forcing all sales through dealerships. The US Federal Trade Commission said similar dealer-friendly laws in Michigan were “likely harming both competition and consumers.”





Source: QUARTZ


This was from 2019
 

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