News
Tesla’s Elon Musk shuts the door on Gigafactory Texas talk, but for how long?
George Strait once said that all of his exes live in Texas, and maybe Elon Musk doesn’t want his new electric vehicle facility to be infiltrated by the country music legend’s past lovers.
Just kidding.
While we all patiently wait for Tesla’s CEO to announce the location of its next vehicle production plant, I was pretty sure that Texas had been confirmed as the spot. After seeing some reports, I dug a little deeper and found that the State of Texas had some records, including purchase price agreements, on a plot of land just outside of Austin.
However, when I reported the news, Elon responded and told us at Teslarati that the company had the option to buy the land, but they had not secured a purchase agreement and exercised its right to purchase the property.
I have to admit, I was pretty shocked. I have been following the situation closely for months, and it is pretty evident that Texas certainly has the most advantages. Not to mention, Elon definitely seems to be leaning toward it. He’s been talking about Texas since January, and we’ve already talked about the distinct advantages the state holds over any other location.
However, Musk wasn’t done there. He then added that Tesla was looking at several locations. I’m assuming Tulsa, Oklahoma, is also in the mix considering that has been a location that is very open to taking its oil roots and trading them in for a new electrified infrastructure that will create a string of sustainable transportation production lines in the state.
However, it is really evident that Tesla might be having some second thoughts on the Lone Star State…or are they?
First, let’s consider the details of the land plot in question in Texas. It’s 2,100 acres, its $5.2 million bucks, and its really perfect for what Tesla has wanted. We know that the new factory is set to be the biggest one yet because both Zachary Kirkhorn and Elon said they are going to start calling the factories “Tera” instead of “Giga.”
To put the size of the land into perspective, Fremont sits on 370 acres, Giga Shanghai on 210 acres, and Giga Berlin on 740 acres. This means the prospective Texas land plot is nearly three times as big as Giga Berlin, which is the factory that will produce Tesla cars for all of Europe, and it is all going to be used to create the Cybertruck and the Model Y.
We know the demand for the Cybertruck is enormous. The pre-order number is not officially public knowledge. Still, there is some indication that Tesla is getting near three-quarters of a million reservations for the truck and its tough, robust exterior.
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We know that Tesla wants to build the plant in the middle of the country. That could mean anything, from North Dakota to Texas literally, and it could go slightly West to Colorado, and slightly East to Missouri. That’s what is confusing.
Now that there are apparently “several locations” in the mix, the real question is: Why is the Texas deal taking so long? Is Tesla looking to negotiate an even lower price? I decided to dig a little more.
According to Texas A&M University’s “Texas Rural Land Prices” page, where the college has the price of land from Q4 1971 up until Q1 2020, the most recent cost of an acre of property in the state is $2,986. The prospective plot of land where Tesla could build its next factory is 2,100 acres. So the value of the property, according to these statistics, is $6,270,600. According to the application that Tesla and the State of Texas have, the land price that was agreed upon is $5,298,275, giving the company a nearly $1 million discount. It is about a 16% discount according to my handy, dandy calculator.
Texas has also announced its intentions to give the automaker a sweet incentive package to the tune of $68 million, according to reports. That’s a lot of scratch, and it could certainly help with the purchase price, the labor costs of constructing the building, and more.
It is just tough to say why the deal is taking a while. The Cybertruck’s Dual and Tri-Motor variants are going to be produced at the tail-end of 2021, and with Tesla’s track record with the Model Y in the US and the Model 3 in China, they’ll be built well before then. That would give Tesla, if the company started construction in July, 18 months to complete the Cybertruck portion of the factory. Fremont could handle Model Y production until the new factory’s Phase 2 is completed.
I am personally excited to see where the factory ends up, and I really, genuinely think that Texas is where the factory will end up.
Where do you think the factory will be when its all said and done? And why do you think Tesla is kind of dragging its feet through the purchase process?
News
Tesla puts Giga Berlin in Plaid Mode with new massive investment
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
Tesla is pushing forward with significant upgrades at its Gigafactory Berlin-Brandenburg in Grünheide, Germany, signaling renewed confidence in its European operations despite past market challenges.
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
In April, plant manager André Thierig announced a 20 percent increase in Model Y production starting in July, following a record Q1 output of more than 61,000 vehicles. To support the ramp-up, Tesla plans to hire approximately 1,000 new employees beginning in May and convert 500 temporary workers to permanent positions.
The move is expected to lift weekly production significantly, addressing rebounding demand in Europe after a challenging 2025.
Today, we announced a $ 250m investment for our Giga Berlin Cell factory. This will enable 18GWh of annual 4680 cell production and create more than 1500 new jobs. Good news during challenging times for the German industry. pic.twitter.com/ou4SWMfWh9
— André Thierig (@AndrThie) May 12, 2026
The expansion builds on earlier progress. In 2025, Tesla secured partial approvals to add roughly 2 million square feet of factory space, raising potential annual vehicle capacity from around 500,000 toward 800,000 units, with longer-term ambitions approaching one million vehicles per year. Logistical improvements, new infrastructure, and battery-related facilities are already underway on company-owned land.
Battery production is the latest major focus. On May 12, Thierig revealed an additional $250 million investment in the on-site cell factory. This more than doubles the planned 4680 battery cell capacity to 18 gigawatt-hours annually—up from the 8 GWh target set in December 2025—while creating over 1,500 new battery-related jobs.
Total cell investments at the site now exceed previous figures, bringing the factory closer to full vertical integration: cells, packs, and vehicles produced under one roof. Tesla describes this as unique in Europe and a step toward stronger supply chain resilience.
The plans come amid regulatory and community hurdles. Earlier expansion proposals faced protests over environmental concerns and water usage, leading to phased approvals beginning in 2024. Tesla has navigated these by emphasizing sustainable practices and economic benefits, including thousands of local jobs in Brandenburg.
With nearly 12,000 employees already on site and production steadily climbing, Gigafactory Berlin is poised for growth. The combined vehicle and battery expansions position the plant as a key hub for Tesla’s European ambitions, potentially making it one of the continent’s largest manufacturing complexes if local support continues.
As EV demand recovers, these investments underscore Tesla’s commitment to scaling efficiently in Germany while addressing regional supply chain needs.
News
Honda gives up on all-EV future: ‘Not realistic’
Mibe believes the demand for its gas vehicles is certainly strong enough and has changed “beyond expectations.” As many drivers went for EVs a few years back, hybrids are becoming more popular for consumers as they offer the best of both worlds.
Honda has given up on a previous plan to completely changeover to EVs by 2040, a new report states. The company’s CEO, Toshihiro Mibe, said that the idea is “not realistic.”
Mibe believes the demand for its gas vehicles is certainly strong enough and has changed “beyond expectations.” As many drivers went for EVs a few years back, hybrids are becoming more popular for consumers as they offer the best of both worlds.
Mibe said (via Motor1):
“Because of the uncertainty in the business environment and also the customer demand, is changing beyond our expectation and, therefore, we have judged that it’ll be difficult to achieve. That ratio [100-percent electric in 2040] is not realistic as of now. We have withdrawn this target.”
Instead of going all-electric, Honda still wants to oblige by its hopes to be net carbon neutral by 2050. It will do this by focusing on those popular hybrid powertrains, planning to launch 15 of them by March 2030.
Honda will invest 4.4 trillion yen, or almost $28 billion, to build hybrid powertrains built around four and six-cylinder gas engines.
There are so many companies abandoning their all-electric ambitions or even slowing their roll on building them so quickly. Ford, General Motors, Mercedes, and Nissan have all retreated from aggressive EV targets by either cancelling, delaying, or pausing the development of electric models.
Hyundai’s 2030 targets rely on mixed offerings of electric, hybrid & hydrogen vehicles
Early-decade pledges from multiple brands proved overly ambitious as infrastructure lags, battery costs remain high in some markets, and many buyers prefer hybrids for their convenience and range. Toyota has long championed hybrids, while others have quietly extended internal-combustion timelines.
For Honda—historically known for reliable gasoline engines—this shift leverages its core strengths while buying time to refine electric technology. Whether the hybrid-heavy strategy will protect market share in an increasingly competitive landscape remains to be seen, but one thing is clear: the gas engine is far from dead at Honda, unfortunately.
Elon Musk
Delta Airlines rejects Starlink, and the reason will probably shock you
In a pointed exchange on X, Elon Musk defended SpaceX’s uncompromising approach to Starlink’s in-flight internet service, explaining why Delta Air Lines walked away from a deal.
SpaceX frontman Elon Musk explained on Wednesday why commercial airline Delta got cold feet over offering Starlink for stable internet on its flights — and the reason will probably shock you.
In a pointed exchange on X, Elon Musk defended SpaceX’s uncompromising approach to Starlink’s in-flight internet service, explaining why Delta Air Lines walked away from a deal.
Delta rejected Starlink because it insisted on routing all connectivity through its branded “Delta Sync” portal rather than allowing a simple Starlink experience.
Instead, the airline partnered with Amazon’s Project Kuiper—rebranded as Amazon Leo—for high-speed Wi-Fi on up to 500 aircraft, with rollout targeted for 2028. At the time of the announcement, Kuiper had roughly 300 satellites in orbit, while Starlink operated more than 10,400.
The use of the “Delta Sync” portal would not work for SpaceX, as Musk went on to say that:
“SpaceX requires that there be no annoying ‘portal’ to use Starlink. Starlink WiFi must just work effortlessly every time, as though you were at home. Delta wanted to make it painful, difficult and expensive for their customers. Hard to see how that is a winning strategy.”
Musk doubled down in a follow-up post:
“Yes, SpaceX deliberately accepted lower revenue deals with airlines in exchange for making Starlink super easy to use and available to all passengers.”
Not exactly. SpaceX requires that there be no annoying “portal” to use Starlink.
Starlink WiFi must just work effortlessly every time, as though you were at home.
Delta wanted to make it painful, difficult and expensive for their customers. Hard to see how that is a winning…
— Elon Musk (@elonmusk) May 13, 2026
SpaceX has structured its airline agreements to prioritize zero-friction access—no captive portals, no SkyMiles logins, no paywalls or ads blocking basic connectivity.
While this means forgoing higher-margin deals that would let carriers monetize the service more aggressively, it ensures Starlink feels like home broadband at 35,000 feet. Passengers on partner airlines such as United, Qatar Airways, and Air France have already praised the service for enabling seamless video calls, streaming, and work mid-flight without interruptions.
Delta’s choice reflects a different philosophy. By keeping Wi-Fi behind its Delta Sync ecosystem, the airline aims to drive loyalty program engagement and control the digital passenger journey. Yet, critics argue this short-term control comes at the expense of immediate competitiveness.
Airlines already installing Starlink are pulling ahead in customer satisfaction surveys, while Delta passengers face years of reliance on slower, legacy systems until Leo launches.
SpaceX’s decision to trade revenue for simplicity will pay off in the longer term, as Starlink is already positioning itself as the default high-speed option for carriers that value passenger satisfaction over incremental fees.
Musk’s focus on creating not only a great service but also a reasonable user experience highlights SpaceX’s prowess with Starlink as it continues to expand across new partners and regions.
Tesla puts Giga Berlin in Plaid Mode with new massive investment
Honda gives up on all-EV future: ‘Not realistic’
