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Tesla's battery acquisitions are paying off in spades, and giving rivals a lot of pain

(Credit: Tesla)

Published

6 years ago

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There was a time, not too long ago, when Tesla skeptics questioned the company’s focus in designing and producing its own batteries with a dedicated partner like Panasonic and a facility like Gigafactory 1 in Nevada. Batteries, after all, are available off-the-shelf from companies like LG Chem, and it seemed pretty futile for Tesla to insist that it needs its own battery supply for its future business. 

Fast forward to 2020, and Tesla’s extreme focus on battery development is paying off in spades. Over the years, Tesla has acquired multiple companies that have, in some way, enabled the company to accelerate or improve its products’ batteries. Included among these are Grohmann Automation, whose machines are the bread and butter in Gigafactory 1, Maxwell Technologies, and more recently, HIBAR systems. 

At this point, Tesla’s batteries have pretty much become the gold standard for EVs, and the company appears to be well on its way towards releasing vehicles that have a range of 400 miles or more. The Plaid Model S and X will likely be the first of these, as well as the next-gen Roadster, which will have 620 miles of range. Even the reasonably-priced Cybertruck tops out at over 500 miles of range per charge. Massive battery developments are needed to achieve these, and Tesla seems to have done it, or at least is well on its way. 

This does not appear to be true for other OEMs attempting to enter the electric vehicle market. As veteran companies unveiled their EVs, and as none have really managed to hold a candle to Tesla’s flagship Model S in terms of range, it is becoming evident that the electric car maker’s investments in batteries may have actually been the right strategy all along. Daimler, for one, seems to be feeling this inconvenient truth, with works council chief Michael Brecht explaining during a recent interview with Manager Magazin that Tesla’s battery-related acquisitions are actually having an effect on Germany’s EV efforts. 

Daimler launched its first EV, the Mercedes-Benz EQC, in 2018, and it has not really lived up to the hype. Despite being dubbed at some point as a potential “Tesla Killer” due to its pedigree and excellent German build quality, the all-electric SUV has faced battery shortages and low sales. Registrations in Germany for the vehicle only show about 55 units sold to date despite all the ad campaigns dedicated to the SUV. Battery supply shortages have also forced Daimler to cut the annual production target of the EQC by 50% from 60,000 to just 30,000.

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Quite interestingly, Brecht partly blames Tesla for some of the challenges facing the EQC today. Explaining his points to the publication, he argued that one of the reasons Daimler is struggling with battery demand is because Tesla bought Grohmann Engineering, which has valuable technology that could be used for battery-related developments and activities. Brecht also mentioned that Grohmann was actually hired by Mercedes-Benz to build up its own battery manufacturing capacity. 

Brecht’s statements are notable since it is quite rare to see a veteran car manufacturer actually point the finger at Tesla to explain the dire condition of its own EV program. One can only hope that perhaps, the EQC would be a lesson that Daimler could learn from. After all, Daimler, among German automakers, would likely have no issues tapping into Tesla’s established technologies, batteries and powertrains alike, as the two companies have already worked together in the past. Elon Musk has stated that eventually, Tesla may be open to selling its batteries and powertrains with other OEMs. If this were to happen, it would be wise for Daimler to wait right in front of the line to avoid another EQC-sized flop.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla adjusts one key detail of Robotaxi operations in Austin

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3 hours ago

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September 13, 2025

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Tesla is adjusting one key detail of Robotaxi operations in Austin: service hours.

Tesla’s Robotaxi platform in Austin has been active since late June and has been running smoothly since then. It has its limits, as Tesla has set hours that Robotaxis can operate, as well as a distinct Service Area, also known as a geofence, which has expanded three times already.

While the geofence is currently approximately 170 square miles in size, Tesla has recently enabled freeway drives, which also necessitated an adjustment to the company’s strategy with its “Safety Monitors.”

Tesla explains why Robotaxis now have safety monitors in the driver’s seat

Traditionally, they sit in the passenger’s seat. During highway driving, they move to the driver’s seat.

These are just a few adjustments that have been made over the past two and a half months. Now, Tesla is adjusting the service hours of Robotaxi operation in Austin, but only slightly.

Tesla will now operate its Robotaxi ride-hailing service from 6 a.m. to 2 a.m., extending the hours by two hours. It previously shut down at midnight.

Tesla has implemented a variety of safeguards to ensure riders and drivers are safe during Robotaxi rides, and they have made it a point to adjust things when they feel confident that it will not cause any issues.

Many people have been critical of Robotaxi, especially because a person sits in the front of the car.

However, an accident or some type of mistake could do more damage to the autonomous travel sector than anything else. This would not just impact Tesla, but any company operating an autonomous ride-hailing service in the country.

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Tesla Model Y ownership two weeks in: what I love and what I don’t

With any new car, I don’t really find things I dislike within the first few months; the novelty of a shiny new vehicle usually wears off eventually.

Published

6 hours ago

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September 13, 2025

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Credit: Tesla

I am officially two weeks into Tesla ownership, having picked up my Model Y Long Range All-Wheel-Drive on Saturday, August 30. I have many things I really love, and I’ll do my best to come up with a few things I don’t, although I find that to be very difficult currently.

With any new car, I don’t really find things I dislike within the first few months; the novelty of a shiny new vehicle usually wears off eventually. In the past, I’ve had a car I only kept for nine months, but I loved it for the first two months. I am sure down the road, some things about the Tesla will bother me, but right now, I don’t have too much to complain about.

As for the things I love, I’ll try to keep it to just five, and as I continue to write about my ownership experience in the coming months, I’ll see if these things change.

A Quick Rundown

In the two weeks I have had my new Model Y, I have driven 783 miles. I have driven it manually, used Full Self-Driving, navigated tight city streets in Baltimore, and driven spiritedly on the winding back roads of Pennsylvania.

I traded my ICE vehicle for a Tesla Model Y: here’s how it went

I have had the opportunity to put it to the test in a variety of ways, and I feel like I have a great idea of this car and how it handles and drives just two weeks in.

What I Love About My Tesla Model Y

I am only going to pick a handful of things, but do not take this list as a complete one. I truly have so many things I love about this car, but I want to mention the ones that are not necessarily “novelties.” I love the A/C seats, but it’s not something I feel deserves a mention here, because it would not likely sway someone to consider the car.

Instead, I want to highlight what I feel are things that truly set the Model Y apart from cars I’ve had in the past.

Tesla Full Self-Driving

Available on all Teslas, Full Self-Driving is something I use every day. It is not only a convenience thing, but it is also truly a fun feature to track improvements, and it’s been fun to show a lot of my friends who are not familiar with its capabilities just how safe and impressive it is.

My Fiancè and I have watched Full Self-Driving make slight changes in performance in the two weeks we’ve been using it. I tracked one instance on a Pennsylvania back road when the car stopped at an “Except Right Turn” Stop Sign. Initially, the car stopped, holding up traffic behind it. Just days later, FSD proceeded through that same Stop Sign cautiously, but without coming to a complete stop, which is the proper way to navigate through it.

This quick adjustment was very impressive, and it even caught the attention of my better half. I will say it has been very fun to watch her fall in love with this car after being very reluctant to watch me get rid of our Bronco Sport.

The Handling

Tesla refined the suspension with the new Model Y, and you can surely feel it. Coming from a larger SUV, I did miss being able to really push the limits of my car on a beautiful, sunny, and warm day, and the winding roads of Pennsylvania are calling me for a drive.

The way this car hugs turns and genuinely puts a smile on my face when I’m pushing it. Dare I say I like driving it more than I like it driving me?

Interior Storage

One of my biggest complaints about my Bronco Sport was that, despite being an SUV, it felt smaller than it was supposed to be. I had trouble fitting golf bags and luggage in the back without having other storage options. It led me to install a roof rack and get a cargo container. I would have to put longer clubs in the back seat so the bags could lie without clubs getting bent.

I don’t seem to have a significant problem with this in the Model Y. Plus, the frunk and the additional cargo under the floor of the trunk are great for bags and other things. It offers 10 cubic feet more of space with the seats down than the Bronco Sport does.

The Entertainment

Not only is the sound system in this car absolutely unbelievable, but I also really enjoy the Tesla Theater, which is really something that has revolutionized how we spend our time in the car.

Charging at the Superchargers has become a new way for us to spend time together. Even if it’s just 30 minutes, my Fiancé’s busy work schedule at the hospital means we don’t get to spend as much time together as we would like. The charging lets us go grab a snack, watch a movie or show in the car, and just be with each other.

It’s honestly my favorite thing about the car so far, that we’ve both truly enjoyed what it has done for us. It put a smile on my face to hear her say, “It’s just so much fun to be in this car” last night when we met friends for dinner.

What I Don’t Love

I’m just going to get nitpicky here, because I don’t have much to complain about.

The Paint

I love the Diamond Black, and it gets so many compliments. However, it sure does get dirty fast. I feel like I’m going to have to invest in a car wash membership or set aside time each week to clean it. This is not a Tesla-specific problem, of course.

Climate Control

Another “first-world problem,” but sometimes I do have trouble getting the A/C to go right where I need it. I feel like, to feel the air, I have to put the fan speed to 7 or higher.

Swing Mode has been a real savior in this sense, but my Fiancè sometimes complains that my cold air will hit her when she’s already freezing. I think this is just something I need to get used to, as the vents are significantly different than any other car. It’s really not that bad, but it is worth mentioning that we’ve both said we are still adjusting to it early on.

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Cybertruck

Tesla brings closure to head-scratching Cybertruck trim

Published

8 hours ago

on

September 13, 2025

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(Credit: Tesla)

Tesla has ended the production and sale of a Cybertruck trim level that had many people scratching their heads. The move comes after slow sales on the trim, as many Cybertruck buyers opted for other configurations that seemed to be a better value for the money.

On Friday, Tesla officially brought closure to the Long Range Rear-Wheel-Drive configuration of the Cybertruck, a build that was introduced earlier this year at a lower price point than its All-Wheel-Drive counterparts, but missed many of the key features that made the Cybertruck, the Cybertruck.

Tesla Cybertruck RWD production in full swing at Giga Texas

Rolling the variant out at a price of $69,990, only $10,000 less than that of the All-Wheel-Drive configuration. However, it was also void of many other things:

  • Single Motor
  • Textile Seats instead of Leather
  • 7-Speaker Audio System instead of 15-Speakers
  • No Rear Touchscreen
  • No Powered Tonneau Cover for Truck Bed
  • No 120v/240v outlets

For $79,990, just $10,000 more, owners could receive all of these premium features, plus a more capable All-Wheel-Drive powertrain, which truly made this Rear-Wheel-Drive build of the Cybertruck a sitting duck for criticism.

It was simply not enough meat for the price, and demand was evidently low. From those I spoke to, orders were few and far between; people simply found more value in the All-Wheel-Drive configuration based solely on the additional motor. Adding all the premium interior and functionality features made it a no-brainer.

In a way, it seems Tesla was overly optimistic about the Rear-Wheel-Drive configuration of the Cybertruck, but even after it was launched, plenty of loyal fans were confused by it:

The Cybertruck is a great vehicle, and it is among the best vehicles in the company’s lineup. However, it really missed a price point for the Rear-Wheel-Drive configuration that was effective enough to drive people toward it. Many said they would have considered it if Tesla could have brought the price down into the high $40,000 or low $50,000 range.

I took a Tesla Cybertruck weekend Demo Drive – Here’s what I learned

It seems it just did not have the appeal to keep up. Now, Tesla has the All-Wheel-Drive and Cyberbeast for $72,490 and $114,990, respectively.

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