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Tesla’s approach to battery technology keeps it ahead in the EV industry
Tesla’s dominance in the growing electric vehicle (EV) industry is largely attributed to its unique approach to its battery technology. The engineering behind the all-electric car maker’s cylindrical cells speaks for itself in terms of the performance and range achieved, but in a recent interview with a battery technology researcher, a few things detailed about Tesla’s batteries stood out in particular.
Ravindra Kempaiah is a Ph.D. scholar at the University of Illinois Chicago focusing on advanced battery materials for his thesis. In his interview with Tesla owner and host of All Things EV, Sean Mitchell, Kempaiah explained lithium-ion technology in EVs and the primary issues faced in their development. Overall, the biggest challenge is balancing the three main components in battery production: energy density, cost, and cycle life. Increasing one area will significantly impact the other, and the ideal equation is always being sought after. For example, if you increase energy density for higher range and lower cost, the cycle life takes a major hit. If you increase density and life cycle, the battery alone can cost as much as $100k, as described by Kempaiah.
“We always want more range. We always want higher cycle life. We want our batteries to last 15-20 years and the car to go 500 miles, but this is a problem every battery scientist has faced for the last 30 years,” Kempaiah commented in the interview.
Tesla deals with the same balancing act as other battery-electric car makers; however, there are key factors which seem to have kept the company ahead in the industry.
First, Tesla’s choice of cylindrical cells sets it apart from every other electric vehicle on the market. This provides several advantages that drive performance, flexibility, and cost control. Notably, Rivian is also using cylindrical cells, although their vehicles are not yet under production.
Out of the three types of cells available (cylindrical, prismatic, and pouch cells), cylindrical is the most cost-effective to produce. Namely, the cost per kWh is lower in cylindrical cells versus other types. The metallic jacket around the 18650 and 2170 cylindrical cells used in the Tesla Model S/X and Model 3, respectively, acts as scaffolding and provides structural rigidity to the battery. Additionally, in high powered situations, current draw and distribution of power is over the entirety of the battery pack instead of concentrated in a certain section, according to Kempaiah.
Second, Tesla uses a liquid-cooled thermal management system to manage battery temperatures whereas other automakers take a more economical air cooling approach. By adjusting the temperature of the battery pack, Tesla is able to ensure that cells are operating in their most efficient and optimal states, thereby maximizing battery longevity as well as performance. While reducing cost is an important factor in accelerating the growth of the electric vehicle market, Tesla’s investment in thermal management technology provides an upside for owners who may be looking for longevity and long-term affordability of their cars.
Third, Tesla has actively sought to limit the amount of cobalt it uses in its batteries and already uses less of the element than other companies in the Model 3 batteries. The scarcity of cobalt and its mining sources have subjected it to socioeconomic situations that are more than problematic in the United States, i.e., child labor and similar abuses are widespread in its sourcing. With this in mind, Tesla has been working on the question, “Is cobalt really needed?”
Cobalt is used as a cathode in battery technology, and out of all cathode materials available, it has the highest cost both fiscally and politically. Current consensus on battery technology says that without cobalt, the structural integrity and cycle life in batteries is compromised, as described in the interview. However, some recent scientific literature was cited by Kempaiah that indicated higher nickel content limited the impact of cobalt on batteries, possibly removing the need to use it at all. Nickel is more widely available across the globe, which keeps its cost down and mitigates the socioeconomic impacts often associated with resource mining operations. Overall, the discussion between Mitchell and Kempaiah indicated that Tesla can probably go cobalt-free soon, making it less vulnerable to the cobalt industry.
Finally, Tesla takes great care to educate its customers about proper battery maintenance, especially with regard to the negative impact of bad charging habits. Specifically, keeping an electric car battery charged at 100% for long periods degrades the battery very quickly, while keeping charging states within an optimal range will give it a long life. Tesla makes it a point to communicate to customers the importance of battery health on their overall ownership experience and value of their purchase.
When asked for his opinion by Mitchell, Kempaiah attributed the lack of education by other brands as a disconnect between engineering teams and marketing teams. While battery “best practices” are provided to EV customers by all manufacturers, the importance of communicating the true impact of bad charging habits may not be emphasized enough to be included as prominently as it should.
In summary, Tesla is constantly developing the technology in its vehicles, and its particular attention to its batteries looks to have given the company a significant advantage over its competitors. Perhaps other automakers will take a few tips from Tesla in the future, even if it’s as limited as improving communications with customers.
Watch Sean Mitchell’s full interview with Ravindra Kempaiah below:
News
Tesla China sales rise 48% quarter over quarter in August
The automaker sold 57,152 vehicles locally, as per data from the China Passenger Car Association (CPCA).

Tesla China’s retail sales showed a rebound in August, rising 48.1% compared to May, the second month of the previous quarter, and 41% compared to July 2025.
The automaker sold 57,152 vehicles locally, as per data from the China Passenger Car Association (CPCA), while Giga Shanghai sold 83,192 units wholesale during the month.
Tesla’s wholesale deliveries
August 2025 marked Tesla China’s best wholesale month of 2025 so far. Giga Shanghai recorded 83,192 wholesale units in August, up 22.6% from July’s 67,886 units. Of these, 24,304 were Model 3 sedans and 58,888 were Model Ys, with 26,040 vehicles exported.
The Model Y remained Tesla’s standout product in China, accounting for 69% of local sales and ranking as the country’s second best-selling vehicle. The brand itself was ninth among all automakers in August, which is impressive considering the company’s BEV-only lineup.
Balancing growth against year-over-year declines
While August showed strong sequential gains, Tesla’s sales in China remain 10% lower compared to the same month last year. Year-to-date, Tesla is also down 7% against 2024 levels. That being said, over the past three months, sales have grown 12.6% compared to March through May, highlighting improved momentum in the second half of the year, as per industry estimates.
A notable portion of this momentum could very well be attributed to the introduction of the Tesla Model Y L, an extended wheelbase six-seat version of the Model Y, which also happens to be the company’s best-selling vehicle. The Model Y L’s domestic deliveries in China are already starting, so it would be interesting to see where the company’s results are in the final month of the third quarter.
Elon Musk
Elon Musk confirms Tesla has never shown Optimus V3 design yet
Optimus is a cornerstone of the company’s pursuit towards sustainable abundance.

Elon Musk has clarified that the next iteration of Tesla’s humanoid robot, Optimus V3, has yet to be revealed publicly. His comments were posted on social media platform on X as Tesla enthusiasts discussed recent images of Optimus V2 and V2.5.
Musk’s comment followed a recent video shared by Salesforce CEO Marc Benioff, which showed Musk demonstrating an updated Optimus prototype equipped with Grok AI.
Updated Optimus V2
The short video posted by Benioff showed a gold-colored Optimus unit answering questions through Tesla’s Grok AI assistant and taking tentative steps. The addition of Grok suggests Tesla is seeking to integrate conversational AI directly into Optimus, expanding its potential applications beyond mechanical movement to include workplace and consumer interaction.
The Optimus in the video was quite different from the V2 units that have been showcased by the company in the past. Its hands looked more human (though they appeared to be mannequin placeholders) and its body was painted gold. In a follow-up post, the official Tesla Optimus account teased the updated design with functional hands with the caption “I’ve been working on my figure.”
Future versions
It was then no surprise that some in the Tesla community had the impression that the refined version of the prototype featured in the new images was Optimus V3. With its more advanced hands, forearms, and sleek new paint job, after all, the unit could very well be a whole new evolution of the humanoid robot. As per Musk, however, this was not the case.
In a response to an X user who compared the progress of Optimus to Starship’s Raptor V1, V2, and V3 engines, the CEO clarified that Tesla has not shown Optimus V3 yet. He also noted that the new images of the humanoid robot were of Optimus V2.5. “We haven’t shown Optimus V3 yet. It is sublime. The second two images are V2 and V2.5,” Musk wrote in his response.
Optimus plays a huge role in Tesla’s future, with the robot expected to be a high-volume product that is a cornerstone of the company’s pursuit towards sustainable abundance. Elon Musk’s 2025 pay package also directly involves Optimus, with one of his targets being the delivery of 1 million Optimus robots.
Elon Musk
SpaceX to expand Central Texas facility with $8M Bastrop project
Bastrop is already the site of several Elon Musk-led ventures.

SpaceX is set to expand its presence in Central Texas with an $8 million project to enlarge its Bastrop facility, as per state filings.
The 80,000-square-foot addition, which is scheduled to begin construction on September 24 and wrap in early January 2026, was registered with the Texas Department of Licensing and Regulation and initially reported by My San Antonio.
New investment
Bastrop is already the site of several Elon Musk-led ventures. The upcoming expansion will extend SpaceX’s office at 858 FM 1209, near Starlink’s operations and The Boring Company’s facilities. Just down the road, X is housed in the Hyperloop Plaza at 865 FM 1209.
SpaceX’s expansion reflects a steady buildup of resources in Bastrop since the private space firm established its presence in the area. The addition was praised by Tesla Governor Greg Abbott, who wrote on X that the expansion will “bring more jobs, innovations and will strengthen Starlink’s impact worldwide.”
State support
In March, Gov. Greg Abbott announced a $17.3 million state grant to SpaceX for an “expansion of their semiconductor research and development (R&D) and advanced packaging facility in Bastrop.” The project is expected to create more than 400 new jobs and generate over $280 million in capital investment.
Following the grant award, the Texas Governor also noted that SpaceX’s facility would be growing by 1 million square feet across three years to boost its Starlink program. SpaceX’s Starlink division is among the company’s fastest-growing segments, with the satellite internet system connecting over 6 million users and counting worldwide.
Recent reports have also indicated that Starlink has struck a deal with EchoStar to acquire 50 MHz of exclusive S-band spectrum in the United States and global Mobile Satellite Service (MSS) licenses. This should pave the way for Starlink to provide 5G coverage worldwide, even in remote areas.
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