Tesla, Inc. · NASDAQ:TSLA
Tesla — Investor Day (March 2023)
169 slides from Tesla's investor day presentation, March 2023
Slide 1: Investor Day
Slide 2: Forward-looking statements
Certain statements in this presentation, including, but not limited to, statements relating to the future development, ramp, production capacity and output rates, supply chain, demand and market growth, cost, pricing and profitability, deliveries, deployment, availability and other features and impr
Slide 3: Investor Day
Slide 4: Master Plan 3
Slide 5: Sustainable Energy For All of Earth
Sustainable Energy For All of Earth
Slide 6: Our Energy Economy Is Dirty & Wasteful
Our Energy Economy Is Dirty & Wasteful Primary Energy Consumption Current State SUSTAINABLE FOSSI L F UE LS 165 PWh/yr Over 80% of Global Energy Comes From Fossil Fuels Only 1/3 of Global Energy Delivers Useful Work or Heat
Slide 7: But there's a better way
But there’s a better way
Slide 8: A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
A Sustainable Energy Economy Is Within Reach & We Should Accelerate It Primary Energy Consumption Current State SUSTAINABLE FOSSI L F UE LS 165 PWh/yr Sustainable SUSTAINABLE SOURCES 82 PWh/yr Energy Economy End Use Efficiency
Slide 9: A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
A Sustainable Energy Economy Is Within Reach & We Should Accelerate It HOW THE MASTER PLAN WORKS 240TWh 30TW $10T 1/2 <0.2% 10% ZERO Storage Renewable Manufacturing The Energy Land Area 2022 Insurmountable Power Investment Required Required World GDP Resource Challenges
Slide 10: The Plan To Eliminate Fossil Fuels
The Plan To Eliminate Fossil Fuels Reduction In Fossil Fuel Use 35% 21% 22% 17% 5% ` Renewably Power Switch to Switch to High Temp Heat Sustainably Fuel The Existing Grid Electric Vehicles Heat Pumps Delivery & Hydrogen Planes & Boats Displaced 46 PWh/yr 28 PWh/yr 29 PWh/yr 22 PWh/yr 7 PWh/yr Fossil
Slide 11: 1. Repower the Existing Grid With Renewables
1. Repower the Existing Grid With Renewables 35% Full Sustainability Reduction In Fossil Fuel Use 24TWh 10TW $0.8T Stationary Solar + Wind Manufacturing Storage Investment
Slide 12: 2. Switch to Electric Vehicles
2. Switch to Electric Vehicles 21% Full Sustainability Reduction In Fossil Fuel Use 115TWh 4TW $7.0T Vehicle Batteries Solar + Wind Manufacturing & Stationary Storage Investment Needs
Slide 13: 2. Switch to Electric Vehicles
2. Switch to Electric Vehicles 21% Full Sustainability Reduction In Fossil Fuel Use Global Electric Fleet 40M 380M 20M 300M 700M 115TWh 4TW $7.0T Vehicle Batteries Solar + Wind Manufacturing & Stationary Storage Investment
Slide 14: EVs Use Energy Far More Efficiently
EVs Use Energy Far More Efficiently 21% Full Sustainability Reduction In Fossil Fuel Use Tesla Model 3 4x More Efficient Oil Well to Wheel Toyota Corolla
Slide 15: 3. Switch To Heat Pumps in Homes, Businesses & Industry
3. Switch To Heat Pumps in Homes, Businesses & Industry 22% Full Sustainability Reduction In Fossil Fuel Use 6TWh 5TW $0.3T Stationary Solar + Wind Manufacturing Storage Investment
Slide 16: Heat Pumps Move Heat, They Don't Create It
Heat Pumps Move Heat, They Don’t Create It 22% Full Sustainability Reduction In Fossil Fuel Use 1.4 1.2 Primary Energy / Heat Delivered 1.0 3x 0.8 Reduction 0.6 0.4 0 Gas Furnace Heat Pump
Slide 17: 4. Electrify High Temp Heat Delivery & Hydrogen
4. Electrify High Temp Heat Delivery & Hydrogen 17% Full Sustainability Reduction In Fossil Fuel Use 48TWh 6TW $0.8T Stationary Solar + Wind Manufacturing Storage Investment
Slide 18: 4. Electrify High Temp Heat Delivery & Hydrogen
4. Electrify High Temp Heat Delivery & Hydrogen 17% Full Sustainability Reduction In Fossil Fuel Use 48TWh 6TW $1.0T Stationary Solar + Wind Manufacturing Storage Investment
Slide 19: 5. Sustainably Fuel Planes & Boats
5. Sustainably Fuel Planes & Boats 5% Full Sustainability Reduction In Fossil Fuel Use 44TWh 4TW $0.8T Vehicle Batteries Solar + Wind Manufacturing & Stationary Storage Investment
Slide 20: Stacking Up the Investments in Our Sustainable Future
Stacking Up the Investments in Our Sustainable Future Solar & Wind Farms Vehicle & Stationary Batteries Manufacturing Capex 1.0 30TW 240TWh $10T 0.8 Planes 44 and Ships 4 0.3 7.0 High Temp 48 Thermal 6 Heat Pumps Planes and Planes and Ships Ships 5 6 High Temp 115 High Temp Thermal Thermal 4 Heat Pu
Slide 21: It's Entirely Feasible
It’s Entirely Feasible
Slide 22: If We Grow our Production Capacity as Shown by 2030 We Can Be 100% Sustainable by 2050
If We Grow our Production Capacity as Shown by 2030 We Can Be 100% Sustainable by 2050 Vehicle, Stationary, & Thermal Solar & Wind Deployment (TW/Yr) Electric Vehicle Production Millions/Yr Battery Production TWh/Yr 85 16 1.0 11x 3x 29x .36 8 .54 2022 Deployment Required Deployment 2022 Deployment R
Slide 23: A Sustainable Energy Economy Is 60% Cheaper Than Fossil Fuel Investments
A Sustainable Energy Economy Is 60% The Cost of Continuing Fossil Fuel Investments $16 $14T Dollars of Capital Investment [Trillions] $14 $12 $10T $10 $8 $6 $4 $2 $- 20 Years of Investment 20 Years Investment in In Fossil Fuels at 2022 Rate Sustainable Energy Economy Coal Natural Gas Oil
Slide 24: More Than Enough Renewable Resources Available
More Than Enough Renewable Resources Available Solar Direct Land Area Wind Direct Land Area 0.14% of Land 0.03% of Land
Slide 25: More Than Enough Renewable Resources Available
More Than Enough Renewable Resources Available Solar Direct Land Area Wind Direct Land Area Total Earth Land Area = 32,111,167,147 Acres 0.14% of Land 0.03% of Land 12.5% of Land Use for Agriculture = 4B Acres = 2x Contiguous US
Slide 26: A Sustainable Energy Economy Involves Less Mineral Extraction
A Sustainable Energy Economy Involves Less Mineral Extraction EACH TRUCK IS 1 GIGATON Everything Else Fossil Fuel Extraction
Slide 27: A Sustainable Energy Economy Involves Less Mineral Extraction
A Sustainable Energy Economy Involves Less Mineral Extraction EACH TRUCK IS 1 GIGATON Everything Else Sustainable Economy Materials
Slide 28: The Resources Are There To Support the Transition
The Resources Are There To Support the Transition Cumulative Demand Until 2050, Relative to 2023 USGS Estimated Resources NICKEL LITHIUM ZINC COPPER COBALT IRON MANGANESE ALUMINUM GRAPHITE 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Slide 29: And History Teaches: The More We Look, The More We Find
And History Teaches: The More We Look, The More We Find What People Think Happens What Actually Happens 9 9 Reserves, Normalized To 2000 Reserves 8 8 7 7 Reserves 6 6 5 5 4 4 3 3 2 2 1 1 0 0 ‘02 ‘06 ‘10 ‘14 ‘18 ‘22 ‘02 ‘06 ‘10 ‘14 ‘18 ‘22 Ni Li Co Cu
Slide 30: Recycling Will Further Reduce Mineral Demand
Recycling Will Further Reduce Mineral Demand Mining Recycling Refining Lifetime Usage Cathode Production Cell Production
Slide 31: A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
A Sustainable Energy Economy Is Within Reach & We Should Accelerate It HOW THE MASTER PLAN WORKS 240TWh 30TW $10T 1/2 <0.2% 10% ZERO Storage Renewable Manufacturing The Energy Land Area 2022 Insurmountable Power Investment Required Required World GDP Resource Challenges
Slide 32: Vehicle Design
01 Vehicle Design Franz von Holzhausen, Lars Moravy
Slide 33: The Early Days
The Early Days MODEL S
Slide 34: 2012 Model S
2012 Model S 1 DESIGN 2 ENGINEERING 3 MANUFACTURING
Slide 35: Model 3
Model 3 DESIGN 1 ENGINEERING 2 AUTOMATION MANUFACTURING
Slide 36: Model 3 Production Hell
- 4 | s===Model. 3-Production tlt Se ae | I —— S.A ;
Slide 37: Cybertruck
Cybertruck STEEL EXOSKELETON
Slide 38: Combining the Processes for the Future
Combining the Processes for the Future 1 D E SI G N E N G I N E E R I NG MA N UFACTUR I NG AUTOMATI O N
Slide 39: Current Way of Assembling a Vehicle
Current Way of Assembling a Vehicle Stamp Body Paint Final Assembly
Slide 40: Current Way of Assembling a Vehicle
Current Way of Assembling a Vehicle
Slide 41: Current Way of Assembling a Vehicle
Current Way of Assembling a Vehicle
Slide 42: Structural Pack Sub-Assembly
Structural Pack Sub-Assembly
Slide 43: More People Can Work Simultaneously on Next Generation Vehicle
More People Can Work Simultaneously on Next Generation Vehicle Model 3 Next Gen Vehicle 44% 30% Operator Density Space Time Improvement Efficiency Improvement
Slide 44: Parallel & Serial Assembly
Parallel & Serial Assembly Left Side Right Side Floor Stamp & Paint Vehicle Assembly Casting Front Rear Other
Slide 45: Unboxed Process
Unboxed Process
Slide 46: Unboxed Process
Unboxed Process
Slide 47: Next Generation Vehicle Manufacturing Efficiencies
Next Generation Vehicle Manufacturing Efficiencies LEGACY FOOTPRINT 50% Cost of Goods Sold / Car Reduction in Cost >40% Reduction In Manufacturing Innovation & Footprint Size NEW FOOTPRINT Model 3/Y Next Gen
Slide 48: Powertrain
02 Powertrain Colin Campbell
Slide 49: Faster Than a Porsche, More Efficient Than a Prius
Faster Than a Porsche, More Efficient Than a Prius
Slide 50: Relentless Focus on Efficiency
Relentless Focus on Efficiency Small SUVs (AWD) EPA Range in Miles/kWh 5 4 3 2 1 0 VW Ford Jaguar Audi Model Y 1D.4 Mach-E iPace e-tron Source: OEM Websites & Other Publicly Available Sources
Slide 51: Efficiency Helps Us Scale
Efficiency Helps Us Scale MODEL 3 POWERTRAIN FROM 2017-2022 20% 25% 75% 65% Lighter Less Rare Smaller Powertrain Cheaper Powertrain Drive Unit Earth Materials Factory Factory
Slide 52: The Key: Holistic Thinking
The Key: Holistic Thinking
Slide 53: Custom Designed Microprocessor Packages for High-Power Electronics
Custom Designed Custom Microprocessor Packages & Microprocessors for High-Powerfor Electronics Power Electronics BEFORE AFTER
Slide 54: Powerful In-House Software
Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA
Slide 55: Powerful In-House Software
Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA STATOR ROTOR
Slide 56: Powerful In-House Software
Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA
Slide 57: In-House Manufacturing Line & Automation Design
In-House Manufacturing Line & Automation Design
Slide 58: Our Next Drive Unit Will Be Even More Scalable
Our Next Drive Unit Will Be Even More Scalable 75% ANY 50% ~$1,000 Reduction In Battery Chemistry Reduction In All-In Cost Silicon Carbide Accepted Factory Footprint
Slide 59: Rare Earths Required
Rare Earths Required MODEL Y ~500g ~10g ~10g Rare Earth 1 Rare Earth 2 Rare Earth 3
Slide 60: Next Generation Permanent Magnet Motor: Zero Rare Earths
Rare Earths Required NEXT GENERATION PERMANENT MAGNET MOTOR 0g 0g 0g Rare Earth 1 Rare Earth 2 Rare Earth 3 Lower Cost & Higher Efficiency Drive Units Using Zero Rare Earths
Slide 61: Electronic Architecture
03 Electronic Architecture Pete Bannon
Slide 62: Model S 2012
Model S 2012 COMPLEX LOW VOLTAGE ARCHITECTURE
Slide 63: It's Been Messy
It’s Been Messy
Slide 64: Progress So Far
Progress So Far
Slide 65: From Model S to Model 3
From Model S to Model 3 IMPROVED LOW VOLTAGE ARCHITECTURE MODEL S MODEL 3
Slide 66: Designed Our Own Controllers, With More To Come
Designed Our Own Controllers, With More To Come
Slide 67: Switched From Fuse & Relay to Electronic Fuses
Switched From Fuse & Relay to Electronic Fuses
Slide 68: Replaced Lead Acid With Lithium Ion Batteries
Replaced Lead Acid With Lithium Ion Batteries LEAD-ACID BATTERY LITHIUM ION BATTERY 87% Mass Reduction 4-YEAR REPLACEMENT LIFETIME
Slide 69: Reduced Costs of Model 3/Y Center Display
Reduced Costs of Model 3/Y Center Display
Slide 70: What's Next
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Slide 71: The Future of Low Voltage Architecture
The Future of Low Voltage Architecture CYBERTRUCK, OPTIMUS, & FUTURE VEHICLES ALL 48V
Slide 72: Cybertruck
Cybertruck FURTHER IMPROVING LOW VOLTAGE ARCHITECTURE
Slide 73: Future of Tesla Low Voltage
Future of Tesla Low Voltage 2012 MODEL S CYBERTRUCK NEXT GENERATION VEHICLE Simpler & Cheaper Electronic Architecture, With 100% of Controllers Designed In-House
Slide 74: Software
O04 Software David Lau
Slide 75: Relentless Improvement Via Updates & Data Insights
Relentless Improvement Via Updates & Data Insights
Slide 76: Real World Crash Tests: Fewer Dummies, More Smarts
Real World Crash Tests: Fewer Dummies, More Smarts FRONTAL IMPACTS LEFT HAND IMPACTS RIGHT HAND IMPACTS REAR IMPACTS
Slide 77: Enabling Plaid-Speed Product Development
Enabling Plaid-Speed Product Development 123M MILES DRIVEN PER DAY | 1.9M CHARGE SESSIONS EVERY DAY Total Vehicle Miles, All Platforms 100B 90B 80B 70B 60B 50B 40B 30B 20B 10B 0 2 2 2 6 0 2 6 6 6 2 6 2 0 0 0 0 -0 -0 -0 -0 -0 -0 -0 -0 -0 -0 -0 -1 -1 -1 -1 -1 20 20 14 16 18 12 23 22 14 16 18 19 17 15
Slide 78: Software That Spans the Entire System
Software That Spans the Entire System
Slide 79: Leveraging Vertical Integration
Leveraging Vertical Integration PREDICTIVE AIR SUSPENSION Rougher Road
Slide 80: Vehicle Software as an Integral Part of the Assembly Line
Vehicle Software as an Integral Part of the Assembly Line
Slide 81: Building the Foundations of Autonomous Fleet Management
Building the Foundations of Autonomous Fleet Management TESLA PROFILES | SHARED PHONE KEY | LOGISTICS APP
Slide 82: Software Enables Efficiency, Cost Reduction & Speed
Software Enables Efficiency, Cost Reduction & Speed Enabling Robotaxi Fleet Reducing Service at Mass Scale Empowering Manufacturing
Slide 83: Full Self-Driving
05 Full Self-Driving Ashok Elluswamy
Slide 84: Architecture for a Generalized Vision System
Architecture for a Generalized Vision System
Slide 85: Using State-of-the-Art AI for Modeling
Using State-of-the-Art AI for Modeling Main Left Pillar Backup Navigation Camera Camera Camera Map RegNet RegNet … RegNet FPN FPN FPN Transformer Lanes Lane Instances Autoregressive Video Module Guidance Decoder Module Adjacency Matrix (Dense World VISION COMPONENT MAP COMPONENT Tensor) (Sparse Lane
Slide 86: Also Solve Complex Planning Problems Using AI
Also Solve Complex Planning Problems Using AI 10ms Joint Planning for Each Configuration 50ms Desired Planner Execution Time
Slide 87: Automated Labeling by Multi-Trip Reconstruction
Automated Labeling by Multi-Trip Reconstruction
Slide 88: Automatically Produce Challenging Simulations
Automatically Produce Challenging Simulations
Slide 89: Data Alone Can Improve Corner Cases
Data Alone Can Improve Corner Cases Vehicle Movement Accuracy Evaluation Set Training set 100 95 90 +14K VIDEOS 85 80 Sep Jan Mar Apr Oct
Slide 90: Data Engine
Training Set Tesla Fleet Train Online Train Offline Model Model Deploy Triage Shadow Testing DATA ENGINE Simulation Auto Label Human Label Mine Fleet SIMULATION AUTO LABEL HUMAN LABEL Corrrect Inaccuracy Evaluation Set
Slide 91: Large Networks Need Large Clusters Trained With Large Dataset
Large Networks Need Large Clusters Trained With Large Dataset 14K GPUs 4K For Auto Labeling 10K for Training 30PB DISTRIBUTED VIDEO CACHE 160B Frames 500K Videos Rotating Through Cache/Day 400K Video Instantiations per Second: OCCUPANCY NETWORK RECIPE Pick 1.44B frames Train for 100.000 GPU-hours at
Slide 92: Scalable FSD = AI + Data + Compute
Scalable FSD = AI + Data + Compute Higher Utilization Higher Safety Miles Driven Per 1 Collision Tesla Vehicles 3.2M Using FSD Beta US Average 0.5M
Slide 93: Slide 93
Slide 94: Charging
O06 Charging Rebecca Tinucci
Slide 95: Holistic Charging Experience
Holistic Charging Experience 9 TWh OF CHARGING PROVIDED IN 2022 99% 1.5M 99.9% Roadtrips Weekly Supercharging Site-Level Possible Sessions Uptime
Slide 96: How We Got Here
How We Got Here
Slide 97: Industry's Lowest Deployment Costs
Industry’s Lowest Deployment Costs Supercharger Hardware & Installation Cost Residential AC Retail Hardware Cost $200K $1,200 $180K $160K $1,000 $140K -75% $800 $120K -55% -20% -50% $100K $600 $80K -35% $60K $400 $40K $200 $20K 0 0 Australia California New York North America Europe Competitor Averag
Slide 98: Pre-Built Superchargers Save Weeks of Install Time & Cost
Pre-Built Superchargers Save Weeks of Install Time & Cost
Slide 99: 40% Improvement in Per kWh Costs
40% Improvement in Per kWh Costs Per kWh Supercharger Cost (Not Including Energy Costs)
Slide 100: Trip Planner Powers Efficient Routing
Trip Planner Powers Efficient Routing Wait Time Is Down & Site Utilization Is Up 2.0% 200 150 % Of Customer Waiting Daily kWh per post 1.0% 100 50 0.0% 0 2019 2020 2021 2022
Slide 101: 30% Quicker Charge Times
30% Quicker Charge Times Average Supercharging Time - Transition to V3 - Efficient Routing With Trip Planner - Supercharger Density Increasing (Min) - Vehicle Efficiency - Battery Pre-Heating - Customer Education
Slide 102: Charging the Fully-Electrified Fleet
Charging the Fully-Electrified Fleet
Slide 103: Ready To Serve All Vehicles
Ready To Serve All Vehicles
Slide 104: Maximize Convenient, Renewably-Powered Daytime Charging
Maximize Convenient, Renewably-Powered Daytime Charging Match Vehicle Charging With Renewable Generation 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 Wind + Solar Generation Vehicle Charging 0 Few Vehicles Lots of Vehicles 0 5 10 15 20 Parked During Day Parked During Day Hour of Day
Slide 105: What It Takes To Get There
What It Takes To Get There Scale Capacity Open Up to Non-Teslas More Renewable Charging
Slide 106: Can't Forget To Do Cool S***
Can’t Forget To Do Cool S***
Slide 107: Supply Chain
07 Supply Chain Karn Budhiraj, Roshan Thomas
Slide 108: Tesla Supply Chain
Tesla Supply Chain TIER 1 PARTS TIER 2 PARTS 3.4K 21K 2.1K 19K 2.8K 7K
Slide 109: The Most Powerful In-Vehicle Computer
The Most Powerful In-Vehicle Computer 7K+ 1.4ms 95% Components Between Each Reduction in Labor Component Assembled Into a Car Computer
Slide 110: Inbound Complexity
Inbound Complexity IMG TBD 16M 1B 685 45 Pallets & Racks Electronic Components Global Service Locations Countries Received in 2022 Shipped Each Week
Slide 111: Supply Chain Hell
Supply Chain Hell Supply cha growth, an tion: Why are 3 to get to the in chaos is alr pes id it’s about t eady pitting global Shipping disrup 50 many queum us? 0 get wors, ‘It’s Not Sustainable’: What America’s Port Crisis Looks Like Up Close Global sh P Shortage in ¢ on ‘reac! ics n ra Teaches cris
Slide 112: Scaling Against the Odds
Scaling Against the Odds 1400 1200 THOUSANDS OF VEHICLES TTM 1000 800 600 400 200 0 Q1 ’18 Q1 ’19 Q1 ’20 Q1 ’21 Q1 ’22 Q4 ’22
Slide 113: Semiconductor Industry Can Support Our Growth
Semiconductor Industry Can Support Our Growth Tesla with FSD Hardware Uses More Semiconductors Than an ICE Vehicle 2023 FUTURE VEHICLES 1.8M+ 20M RELATIVE USAGE S I L I C O N WA F E R S U S E D 1 2 ” E Q U I VA L E N T 0.7M 8M G LO B A L WA F E R C A PAC I T Y ~135M 200M TESLA SHARE 0.5% <5%
Slide 114: Before Heat Pump
Before Heat Pump Legacy Model S/X Legacy Model 3
Slide 115: Next Generation Thermal Architecture
Next Generation Thermal Architecture HEAT PUMP 100+ SUBCOMPONENTS Numerous Manufacturing Processes: Forging, Stamping, Injection Molding, Brazing, Heat Treatment, Plastic Welding, Water Jetting, Machining, Ultrasonic Cleaning, Air Flushing, Soldering, Leak Testing, Complex Assembly
Slide 116: Evolution of the Heat Pump Line
Evolution of the Heat Pump Line W H E R E W E S TA R T E D MANUAL S E M I -A U TO M AT E D W H E R E W E A R E N OW S I M U L AT E D A U TO M AT E D
Slide 117: Doing More With Less
Doing More With Less 99% Reduction in labor 99.995% Of heat pumps received at Tesla are of high quality 7 sec Between each heat pump rolling off a supplier line
Slide 118: Efficiency, Automation & Cost
Efficiency, Automation & Cost Fewer Parts, Fewer Components Do More With Less Deep Involvement With Suppliers
Slide 119: Manufacturing
08 Manufacturing Tom Zhu, Drew Baglino
Slide 120: We Build Ultra High Volume Factories
We Build Ultra High Volume Factories 4 65K ~2M Vehicle Manufacturing Total Annual Factories Employees Build Capacity
Slide 121: Completed Gigafactory Shanghai in 9.5 Months
Completed Gigafactory Shanghai in 9.5 Months
Slide 122: Hitting New Milestones in 2023
Hitting New Milestones in 2023 FOR TOTAL VEHICLE PRODUCTION First Million Fourth Million 12 Years 7 Months
Slide 123: What It Takes To Ramp a Gigafactory
What It Takes To Ramp a Gigafactory 90% OVERALL EQUIPMENT EFFECTIVENESS & 45 SECOND CYCLE TIME Shanghai MY Output Fremont MY Output Labor Hours Labor Hours Output Output Fremont MY Labor Hours Shanghai MY Labor Hours 21’ Q3 21’ Q4 22’ Q1 22’ Q2 22’ Q3 22’ Q4 21’ Q3 21’ Q4 22’ Q1 22’ Q2 22’ Q3 22’ Q4
Slide 124: Question Delete Simplify Accelerate Automate
Question Delete Simplify Accelerate Automate
Slide 125: Strengthened Feedback Loop Between Manufacturing & Service
Strengthened Feedback Loop Between Manufacturing & Service (Last 6 Months) 11% 16% 9% Time in Service Early Service Service Appointment Reduction Reduction Wait Time Reduction Remove the minus sign from in front of each number since it says reduction in the unit
Slide 126: Tesla Vehicle Footprint
Tesla Vehicle Footprint & MORE TO COME ;) Austin Berlin Shanghai Fremont
Slide 127: Future Factories, Too
Future There Cell IsFactories, No SpoonToo THERE IS NO SPOON
Slide 128: Future Factories, Too
Future There Cell IsFactories, No SpoonToo THERE IS NO SPOON
Slide 129: Simplicity Up, Investment Down, Scale Up
Simplicity Up, Investment Down, Scale Up Typical 2170 Cylindrical Fremont 4680 GFTX 4680 GFNV Future 4680 Parts 17 16 15 15 Processes 33 23 21 21
Slide 130: And Upstream Materials Where Necessary
And Upstream Materials Where Necessary 50 GWh/Year Corpus Christi Lithium Refinery STARTS COMMISSIONING END OF 2023
Slide 131: Manufacturing is the Cornerstone of a Sustainable Future
Manufacturing is the Cornerstone of a Sustainable Future Build Production Lines Faster Ramp Faster Through Learnings New Waves of Production Lines Incoming
Slide 132: Energy
09 Energy Drew Baglino, Mike Snyder
Slide 133: Building Mission-Aligned Projects Globally for 10 Years
Building Mission-Aligned Projects Globally for 10 Years
Slide 134: Growth Is Accelerating
Growth Is Accelerating 65% CAGR SINCE 2016
Slide 135: How Did We Get Here
How Did We Get Here MANIACAL FOCUS ON ALL ASPECTS OF DELIVERING STATIONARY STORAGE VALUE
Slide 136: Not Just a Big Box of Batteries
Not Just a Big Box of Batteries
Slide 137: 14 Years of In-House Power Electronics Expertise
14 Years of in-House Power Electronics Expertise 1.4+ TW DEPLOYED
Slide 138: Retiring Fossil Fueled Power Plants With Software
Retiring Fossil Fueled Power Plants With Software
Slide 139: How Did We Get Here
How Did We Get Here RELENTLESS FOCUS ON SPEED OF EXECUTION
Slide 140: Build Megafactories Faster
Build Megafactories Faster FIRST MEGAFACTORY BUILT IN LESS THAN ONE YEAR
Slide 141: Install Projects Faster
Install Projects Faster 4X INSTALLATION & COMMISSIONING SPEED SINCE 2019
Slide 142: Tesla Electric Unlocks the Full Value of Distributed Energy & Storage
Tesla Electric Unlocks the Full Value of Distributed Energy & Storage ENABLING OUR CUSTOMERS TO BECOME THEIR OWN UTILITY $142/month Default Utility Service $69/month Add Solar and Powerwall, without Grid Interaction $130 Cost of Providing Electricity to the Tesla Electric Average Retail Value Creati
Slide 143: Tesla Electric Rollout Plan
4:20 Sta irbase charging R >» @ a Energy Impact Settings Go Off-Grid Tesla Electric Rollout Plan 77 Po Tee era E-TECTR IC ~ ae et 3 Tesla ect Tesla Sustainable Members Power w 350 MW Energy Price © Selling $1.20 Seed © Program Detsis Available Today “* For homes with Powerwall in competitive retail
Slide 144: Tesla Electric Rollout Plan
Tesla Electric Rollout Plan ing
Slide 145: This Is Just the Beginning
This Is Just the Beginning Cumulative Tesla Storage Deployed We are here Focus on Building Capacity & Ramping Fast Tesla Is an Electricity Retailer
Slide 146: Impact at Tesla
Impact at Tesla
Slide 147: Impact
01 Impact Laurie Shelby, Brandon Ehrhart
Slide 148: Who We Are
Who We Are
Slide 149: The Team is Growing Rapidly
The Team is Growing Rapidly 1/2 WORK IN MANUFACTURING 129k 120,000 100,000 80,000 60,000 40,000 20,000 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Tesla Global Employee Count
Slide 150: Engineers Want to Work Here
Engineers Want to Work Here Total Applicants US Engineering Students’ Rankings 3,000,000 Employer 2022 Ranking SpaceX 1 2,500,000 Tesla 2 2,000,000 NASA 3 Lockheed Martin 4 1,500,000 Boeing 5 Apple 6 1,000,000 Google 7 500,000 Microsoft 8 Northrop Grumman 9 0 Raytheon Technologies 10 2019 2020 2021
Slide 151: As Employee Engagement Increases, Safety Improves
As Employee Engagement Increases, Safety Improves 2022 7,000 3.1 6,000 2.9 Work Related Injuries Rate 5,000 2.7 Employee Suggestions 4,000 2.5 3,000 2.3 2,000 2.1 1,000 1.9 0 1.7 Q1 Q2 Q3 Q4 Employee Suggestions From GFNV Work related injuries Rate From GFNV
Slide 152: Sustainability & Impact is Everything We Do
Sustainability & Impact is Everything We Do Tesla Cells Tesla Solar Energy Storage Tesla Vehicles Maximizing Utilization Through Software Autobidder FSD
Slide 153: Our Products Generate More Energy Than Our Products & Factories Consume
Our Products Generate More Energy Than Our Products & Factories Consume Tesla Cumulative Net Energy Impact: 2012-2021 Energy Produced Tesla Solar Panels 25.39 (TWh) Energy Consumed Tesla Factories & Other Facilities 25.27 (TWh) Energy Used at Tesla Energy Used to charge Factories & Other Facilities
Slide 154: Our Vehicles Emit Less Emissions Than Gas Vehicles
Our Vehicles Emit Less Emissons Than Gas Vehicles INCLUDING BOTH MANUFACTURING & USE Average Lifecycle Emissions in U.S. 500 400 300 gCO2e/mi 200 100 0 Model 3Y Average Personal Use Premium ICE (US Avg Grid) Manufacturing Phase Use Phase
Slide 155: Financials
02. Financials Zach Kirkhorn
Slide 156: We Continue To Reduce Cost of Our Existing Products
We Continue To Reduce Cost of Our Existing Products Model 3 Cost Per Car - Normalized 30% Reduction 2018 2022 Includes material costs, manufacturing costs, inbound and outbound logistics, warranty Normalized for changes in market rates of lithium, nickel, steel and aluminum
Slide 157: Cost Reductions Come From Everywhere
Cost Reductions Come From Everywhere Overhead Product Volume Growth Productivity Efficiency Improvements Engineering Supplier Localization Changes Scale
Slide 158: New Gen Vehicle Will Enable Step Change in Cost & Volume
New Gen Vehicle Will Enable Step Change in Cost & Volume 50% Target Cost Current Volume Vehicle Battery & Manufacturing & Next Gen Product Powertrain Other Vehicle
Slide 159: Total Cost of Ownership per Mile Over 5 Years
Total Cost of Ownership per Mile Over 5 Years Toyota Corolla Model 3 Base Next Gen
Slide 160: Tight Operating Expense Control To Enable Operating Cash Flow
Tight Operating Expense Control To Enable Operating Cash Flow Operating Expenses as a % of Revenue (Non-GAAP) 20.0% 17.7% 18.0% 16.0% 13.7% 14.0% 12.0% 10.1% 10.0% 9.4% 7.5% 8.0% 6.6% 6.0% 4.0% 2.0% 0.0% 2018 2019 2020 2021 2022 Q4 2022 Excludes digital assets gain/loss, stock-based compensation, ma
Slide 161: Industry Leading SG&A per Car Enabling Improved Affordability
Industry Leading SG&A per Car Enabling Improved Affordability Selling, General & Administrative Expenses per Vehicles 60-70% Lower Than Traditional Traditional Tesla Benchmark: GAAP Operating Expenses, publicly traded OEM SG&A per vehicle + dealer SG&A per vehicle Publicly traded OEM SG&A includes a
Slide 162: Efficiency Improvements
Efficiency Improvements FINANCE CASE STUDY Tesla Operating System Factory Warehousing Service Mobile Customer Finance App Human Data Resources Recruiting Analytics
Slide 163: Continued Improvement in Internal Process Efficiency
Continued Improvement in Internal Process Efficiency Efficiency Improvement Performance & Capabilities 4x Order Modification North American Sales Captive Lease / 4x Loan Servicing Order Operations 5x Captive Insurance Financial Services Real Time Data Visibility 6x Accounts Payable 10Q & 10K Timelin
Slide 164: We Expect our Pace of Investment to Scale With Operating Cash Flow Growth
We Expect our Pace of Investment to Scale With Operating Cash Flow Growth 20M Annual 1 TWh Annual Energy Expand Cell Production, Vehicle Production Storage Production Service and Charging ~$150-175B ~$28B Funded by Operating Estimated Cash Flow Investment to Date Total Investment
Slide 165: Capital Allocation
Capital Allocation 1. Daily Operations Working Capital 2. Growth R&D Captive Financing Capital Expenditures (Market Gaps) (Growth) Downside Protection 3. Opportunistic Capital Expenditures 4. Excess Buyback / Dividend (Elective) Captive Financing (Elective) Acquisitions Debt Reduction
Slide 166: Achieving the Master Plan
Achieving the Master Plan Accelerate the Innovation Driven Improved Reinvest to Achieve World’s Transition to Cost & Efficiency Affordability Unprecedented Scale Sustainable Energy
Slide 167: Gigafactory Mexico
Gigafactory Mexico MANUFACTURING NEXT GEN VEHICLE
Slide 168: Q&A
Q&A
Slide 169: Slide 169