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Gigafactory Is Having An Economic Impact, But How Much?

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10 years ago

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GigaFactory goals

According to a new report from the Reno Gazette-Journal, when the State of Nevada granted Tesla a package of tax breaks last year, it tied them to regular reports to verify the state was getting the benefits Tesla promised. The package means that Tesla will operate essentially tax free for a decade and then enjoy a substantial tax discount for another 10 years. It includes:

  • $725 million in sales tax abatements over 20 years.
  • $332 million in real and personal property tax abatements over 10 years.
  • $195 million in transferable tax credits.
  • $27 million in payroll tax abatements over 10 years.
  • $8 million in electricity rate discounts over eight years.

State legislators are closely monitoring the situation. “The information I’ve been watching is whether they’ve been making the investments we were promised and whether they are employing Nevadans like they promised,” Sen. Ben Kieckhefer, R-Reno, said. “And we see from the reports from GOED that those thresholds are being met.” Tesla is obligated to employ at least 50% Nevada residents. So far, the average number of workers being hired has averaged 583 per week, of whom 73% are state residents. There are currently 82 full time employees at the site.

State legislators also want to make sure that Storey County is adequately compensated for the extra public service and educational expenses it will incur because of the activity generated by the Gigafactory. Tesla is obligated to pay the county $881,203 annually to cover those expenses. The county is required by state law to file annual reports with the legislature but so far has failed to do so.

Assemblywoman Theresa Benitez-Thompson said the county needs to do a better job filing its reports. “My intuition would be that there’s been progress in the general community and that the community is happy about what’s going on,” she said. “But we really do need these reports to give us more finite detail on what’s happening with these abatements and what revenue we are not collecting.”

Perhaps the members of the legislature should take comfort in these words from GOED chief Hill. He says his agency no longer has to recruit business to the state. His calendar is full of companies reaching out on their own after hearing about the Tesla project. “We met recently with a really large company — a very household name — looking at an opportunity in Northern Nevada,” Hill said. “They said if Tesla hadn’t picked Nevada, they wouldn’t even have considered it. That opened their eyes.”

Home values in the surrounding “bedroom communities” of Sparks and Fernley have jumped 18 percent and 15 percent respectively since the project was announced. The unemployment rates in Storey, Lyon and Washoe counties have also dropped in the past year.

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The state of Nevada has every right to make sure the incentives they offered to attract the Gigafactory to Nevada provide the expected economic benefits, but there seems little danger they won’t materialize. Plunking a $5 billion factory down in the middle of what was a trackless desert is sure to have a strongly positive economic impact. All the necessary reports will have to filed and studied, of course, but in the end the incentives given to Tesla will probably be the best decision Nevada has made since it legalized gambling.

 

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Tesla begins Holiday Update rollout with some surprise features

On Monday, just a few days after Tesla first announced the Holiday Update, people started reporting that it was being deployed to owners.

Published

3 hours ago

on

December 9, 2025

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Credit: Grok

Tesla has started the rollout of the 2025 Holiday Update, as several owners reported it had arrived in their cars via a software update.

Tesla’s Holiday Update is rolling out as Software Version 2025.44.25.1, and includes several new features. We did an extensive breakdown of what was included in another article, but we’ll list the new additions below:

  • Grok with Navigation Commands (Beta) – Grok will now add and edit destinations.
  • Tesla Photobooth – Take pictures inside your car using the cabin-facing camera
  • Dog Mode Live Activity – Check on your four-legged friend on your phone through periodic snapshots taken of the cabin
  • Dashcam Viewer Update – Includes new metrics, like steering wheel angle, speed, and more
  • Santa Mode – New graphics, trees, and a lock chime
  • Light Show Update – Addition of Jingle Rush light show
  • Custom Wraps and License Plates – Colorizer now allows you to customize your vehicle even further, with custom patterns, license plates, and tint
  • Navigation Improvements – Easier layout and setup
  • Supercharger Site Map – Starting at 18 pilot locations, a 3D view of the Supercharger you’re visiting will be available
  • Automatic Carpool Lane Routing – Navigation will utilize carpool lanes if enabled
  • Phone Left Behind Chime – Your car will now tell you if you left a phone inside
  • Charge Limit Per Location – Set a charge limit for each location
  • ISS Docking Simulator –  New game
  • Additional Improvements – Turn off wireless charging pad, Spotify improvements, Rainbow Rave Cave, Lock Sound TRON addition

On Monday, just a few days after Tesla first announced the Holiday Update, people started reporting that it was being deployed to owners.

It seems the release is a bit of an apology to a particular group, as it has only made its way to Hardware 3 vehicles, particularly the ones using the AMD Ryzen chip.

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Tesla has excluded FSD-purchased and subscribed vehicles that are utilizing Hardware 3, so it seems there is a strategy to this limited rollout.

Two Surprise Additions

Tesla has added two additional features with the Holiday Update, which include a new Storage Space for Dashcam feature that shows how much space you have used and remaining on your USB drive.

Additionally, Tesla gamified Supercharging with a new “Charging Passport” feature, which we reported on earlier today.

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Tesla announces major milestone at Gigafactory Shanghai

First deliveries started in December 2019, with the first units being given to employees. By the end of 2020, the plant was building cars at a run rate of around 150,000 vehicles annually.

Published

6 hours ago

on

December 8, 2025

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Credit: Tesla

Tesla has announced a major milestone at its Chinese manufacturing facility, Gigafactory Shanghai, confirming on Monday that it had built its four millionth vehicle.

Tesla Gigafactory Shanghai first started building cars back in October 2019 with Model 3 assembly, just ten months after the company broke ground on the plant’s 86-hectare piece of land.

First deliveries started in December 2019, with the first units being given to employees. By the end of 2020, the plant was building cars at a run rate of around 150,000 vehicles annually. Production continued to ramp up, and by September 2023, less than three years after it started building Tesla’s EVs, it had built its two millionth vehicle.

Fast forward to December 2025, and Tesla has confirmed that four million cars have rolled off of production lines at the plant, a major milestone in the six short years it has been active:

The capacity at Giga Shanghai is exceeding 950,000 vehicles per year, and this year, the company has delivered 675,000 cars through the first three quarters. It is also the only plant to manufacture the Model Y L, a longer wheel-based configuration of the all-electric crossover that is exclusive to the Chinese market.

Gigafactory Shanghai’s four million cars have not all stayed within the domestic market, either. For a considerable period, the factory was exporting a significant portion of its monthly production to Europe, helping Gigafactory Berlin supplement some Model Y volume and all of its Model 3 deliveries. This is due to the Berlin plant’s exclusive production plans for the Model 3.

The site is one of the most crucial in the company’s global plans, and Gigafactory Shanghai’s incredible pace, which has led to four million production units in just about six years. It’s fair to say that it won’t be long until we’re seeing Tesla celebrate the plant’s five millionth vehicle produced, which should happen sometime late next year or in early 2027, based on its current manufacturing pace.

The company also builds the Megapack on the property in an adjacent Megafactory.

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Tesla gamifies Supercharging with new ‘Charging Passport’

It will also include things like badges for special charging spots, among other metrics that will show all of the different places people have traveled to plug in for range.

Published

17 hours ago

on

December 8, 2025

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Credit: MarcoRP | X

Tesla is gamifying its Supercharging experience by offering a new “Charging Passport,” hoping to add a new layer to the ownership experience.

While it is not part of the Holiday Update, it is rolling out around the same time and offers a handful of cool new features.

Tesla’s Charging Passport will be available within the smartphone app and will give a yearly summary of your charging experience, helping encapsulate your travel for that year.

It will also include things like badges for special charging spots, among other metrics that will show all of the different places people have traveled to plug in for range.

Tesla will include the following metrics within the new Charging Passport option within the Tesla app:

  • Charging badges: Iconic charging badges for visiting places like the Tesla Diner, Oasis Supercharger, etc., Explorer Badge, and more
  • Total Unique Superchargers Visited
  • Total Charging Sessions
  • Total Miles Added during Charging Sessions
  • Top Charging Day
  • Longest Trip
  • Favorite Charging Locations

This will give people a unique way to see their travels throughout the year, and although it is not necessarily something that is needed or adds any genuine value, it is something that many owners will like to look back on. After all, things like Spotify Wrapped and Apple Music Replay have been a great way for people to see what music they listened to throughout the year.

This is essentially Tesla’s version of that.

With a handful of unique Superchargers already active, Tesla is also building some new ones, like a UFO-inspired location in New Mexico, near Roswell.

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Tesla is building a new UFO-inspired Supercharger in the heart of Alien country

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