This signals a massive leap forward for Tesla.
The wildly fascinating life of billionaire businessman Elon Musk stands to get even more interesting as his car company seems poised to evolve into its most sophisticated lineage yet, that of a mainstream automaker. Following a note and a conference call to investors, the latter of which comes to us via Autocar, production of the Model 3 sedan is set to begin this July after an official unveiling takes place. The Model 3's previous reveal only showed off the car and mentioned a few obscure facts.
This time we can expect to see the interior and become better oriented with the trim levels come July when limited production will begin. By September of this year, full scale production will commence with up to 5,000 units being churned out of Tesla's factory each week by the end of the year. At an undisclosed point in 2018, that number will double to 10,000 units being pushed out weekly. The holdup is that Musk wants to raise more capital in order to keep the momentum going. "According to our financial plan, no capital needs to be raised for the Model 3, but we get very close to the edge," said Musk during the conference call. "We're considering a number of options but I think it probably makes sense to raise capital to reduce risk."
This would help Tesla reach its goal of delivering 500,000 Model 3 sedans in 2018 and put it on track to attaining its target of building a million Model 3s by 2020, around the same time that the Gigafactory is slated to reach full production capacity. Speaking of that, the investor memo sent out by Tesla also detailed interesting plans to expand its general production capabilities (which include batteries and solar panels) by building up to three more Gigafactories. Tesla already considers its solar plant in New York to be a Gigafactory, meaning these subsequent facilities would be Gagafactories 3, 4, and 5. Tesla expects to finalize locations on which to break ground for the new factories soon.
Given European demand for the company's products, Musk could be considering a facility in the UK, according to The Telegraph, in order to help infiltrate the global market with the next generation of electric cars. With the China expected to be ripe for Tesla sales given the Chinese government's push towards electric cars, we could likely expect both a Gigafactory and a Model 3 production facility to be built within the bounds of the Great Wall to quell demand and get around the country's strict import regulations. Power on, Musk.