Tesla Open to Licensing Software, Supplying Batteries to Other Automakers: Elon Musk

Tesla has previously supplied batteries to Mercedes and Toyota under separate partnership deals.

Advertisement
By Reuters | Updated: 29 July 2020 14:02 IST
Highlights
  • Tesla has previously supplied batteries to Mercedes and Toyota
  • It was unclear which types of batteries Tesla will supply
  • Tesla is also planning to build its own battery manufacturing facility

Batteries are the most expensive and important component of electric vehicles (EV).

Tesla Chief Executive Officer Elon Musk said on Tuesday that the company is open to licensing software and supplying powertrains and batteries.

Tesla has previously supplied batteries to Mercedes and Toyota Motor under separate partnership deals. Battery manufacturing is an area that analysts and industry officials say the US electric car maker has a competitive edge compared with legacy automakers.

Advertisement

"Tesla is open to licensing software and supplying powertrains & batteries. We're just trying to accelerate sustainable energy, not crush competitors!" Musk said in message on Twitter.

 

 

It was unclear which types of batteries it will supply. Tesla currently runs a battery joint venture with Panasonic and also sources batteries from China's Contemporary Amperex Technology (CATL) and South Korea's LG Chem.

Tesla is also planning to build its own battery manufacturing facility at its Fremont, California, plant under its "roadrunner" project.

Advertisement

Batteries are the most expensive and important component of electric vehicles (EV).

"The supply could lower the entry barriers for startup EV makers, posing a potential threat to legacy automakers, which have their own platforms," said Park Chul-wan, a South Korean battery expert and a professor at Seojeong University.

Advertisement

"The strategy, if successful, will increase the EV market's dependence on Tesla," he said.

Musk said in a recent earnings conference call that the real limitation to Tesla's growth is battery cell production at an affordable price, and said the company would expand its business with Panasonic, CATL and LG Chem.

Advertisement

In 2014, Musk also said Tesla would allow others to use its patents in hopes of speeding up development of electric cars by all manufacturers.

© Thomson Reuters 2020


Is Redmi Note 9 the perfect successor to Redmi Note 8? We discussed this on Orbital, our weekly technology podcast, which you can subscribe to via Apple Podcasts, Google Podcasts, or RSS, download the episode, or just hit the play button below.

Affiliate links may be automatically generated - see our ethics statement for details.
 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. Smartphones Launched in India (April 2026): Top Handsets Launched in April
  1. James Webb Space Telescope Little Red Dots May Reveal Birth of Black Holes
  2. Falcon Heavy Roars Back to Life with Powerful Broadband Satellite Launch
  3. Jolly O Gymkhana Now Available Online: Where to Watch This Tamil Reality Show
  4. Mustafa Mustafa OTT Release: Where to Watch the Tamil Friendship Comedy Online
  5. Batchmates (2026) Now Streaming Online: What You Need to Know
  6. Amazon Now Expands to More Indian Cities With New Micro Warehouses
  7. Amazon Prime Day 2026 India Sale Set for July: Here’s What to Expect
  8. Bakkt Acquires DTR to Build Stablecoin Settlement Layer
  9. Samsung India Mobile Chief Raju Antony Pullan Steps Down; Aditya Babbar to Reportedly Lead MX Operations
  10. Oppo Reno 16, Reno 16 Pro Set to Launch Later This Month; Pre-Reservations Begin
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.