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Tesla Battery Day vs. Volkswagen Power Day: How Wall Street reacted

(Credit: Herbert Diess/LinkedIn)

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Tesla’s Battery Day and Volkswagen’s Power Day were two similar events that showed how the two automakers plan to combat electric vehicle prices within the next few years. Despite the similarities in the events, Wall Street reacted quite differently to both, with Tesla (NASDAQ: TSLA) seeing a minimal effect on its stock in the days following. However, Volkswagen’s stock (OTCMKTS: VWAGY) is soaring over 12% on the day after the event.

Tesla Battery Day

Tesla’s Battery Day was a marquee event for the electric automaker. While the previous year’s focus was Autonomy, 2020 saw battery cells as Tesla’s main concentration. During the event, CEO Elon Musk revealed how Tesla would combat battery prices by continuing to source cells from third-party suppliers, but also by developing its own 4680 cells that are produced by the company in-house. Additionally, new structural battery packs are being used to house the cells and also provide a more robust crash response in the event of an accident. The rigidity of the new structural battery intends to take Tesla’s safety ratings through the roof, where they already reside.

Tesla also revealed plans for a $25,000 car, a blueprint to manufacture 20 million cars per year, and a roadmap to massive cuts in battery cell production costs.

LIVE BLOG: Tesla Battery Day and Annual Shareholder Meeting 2020 updates

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Despite the developments, Tesla didn’t receive a big boost on Wall Street. Interestingly, despite the massive developments and plans that Tesla had revealed during the Battery Day event on September 22nd, 2020, the stock closed at $424.23. The day following saw an 11% drop in the stock, as it closed at $380.36.

Many didn’t understand the reason for the drop. Tesla bull and investor Jim Cramer, who was at one time bearish on the automaker’s stock, stated that the stock fell simply because Tesla didn’t announce what some were expecting. “They’re just bummed the things they hyped didn’t happen,” Cramer said. “Tesla rolls out a plan to create an electric car for the masses and greeted with a yawn because Musk didn’t roll out a magic battery. This is what happens when you let expectations get out of control.”

Volkswagen Power Day

Volkswagen’s Power Day was, in effect, the German automaker’s version of Tesla’s Battery Day. The company held an event outlining their plans for cell cost reductions, along with plans for six total production plants across Europe. VW also has established several partnerships with European energy companies to roll out an expansive charging infrastructure, among many other developments.

“We aim to reduce the cost and complexity of the battery and at the same time increase its range and performance,” Volkswagen Group Board Member for Technology Thomas Schmall said. “We will use our economies of scale to the benefit of our customers when it comes to the battery too. On average, we will drive down the cost of battery systems to significantly below €100 per kilowatt-hour. This will finally make e-mobility affordable and the dominant drive technology.”

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Volkswagen’s Power Day: Six new cell plants, new unified battery cell, charging network partnerships

Volkswagen stock began Monday’s trading session at $28.38. After the developments that VW announced, the stock shot up $1.38, a boost of 4.86%. However, the German company’s stock is enjoying massive gains today, just one day after the big event. After closing at $29.76 yesterday, VW stock has increased another 3.48% at the time of writing, for a total gain of 11.69% as of 2:30 PM EST.

The differences in the presentations and how Wall Street has responded to them are unknown. However, the sheer size of Volkswagen’s production figures could be the main reason for the increased investor response. While Tesla’s rollout of 500,000 vehicles in 2020 was a company best, Volkswagen delivered 9.3 million vehicles last year. For context, VW has also been around since 1937, while Tesla has only produced a mass-market vehicle since 2017.

Tesla is undoubtedly the leader in electric vehicles. Volkswagen, while still working out software kinks, could be considered second-place by some because of the successful adaptation of the ID. family of vehicles in Europe so far. However, it is still admittedly ironing out some software issues with its MEB platform, and it seems somewhat odd that VW’s stock received such a healthy boost in the day following its Power Day event.

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What do you think? What is the reasoning for the substantial difference in Wall Street’s reaction? Let us know in the comments below, or Tweet me directly.

Disclosure: Joey Klender is a TSLA Shareholder.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla Cybercab spotted with interesting charging solution, stimulating discussion

The port is located in the rear of the vehicle and features a manual door and latch for plug-in, and the video shows an employee connecting to a Tesla Supercharger.

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Credit: What's Inside | X

Tesla Cybercab units are being tested publicly on roads throughout various areas of the United States, and a recent sighting of the vehicle’s charging port has certainly stimulated some discussions throughout the community.

The Cybercab is geared toward being a fully-autonomous vehicle, void of a steering wheel or pedals, only operating with the use of the Full Self-Driving suite. Everything from the driving itself to the charging to the cleaning is intended to be operated autonomously.

But a recent sighting of the vehicle has incited some speculation as to whether the vehicle might have some manual features, which would make sense, but let’s take a look:

The port is located in the rear of the vehicle and features a manual door and latch for plug-in, and the video shows an employee connecting to a Tesla Supercharger.

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Now, it is important to remember these are prototype vehicles, and not the final product. Additionally, Tesla has said it plans to introduce wireless induction charging in the future, but it is not currently available, so these units need to have some ability to charge.

However, there are some arguments for a charging system like this, especially as the operation of the Cybercab begins after production starts, which is scheduled for April.

Wireless for Operation, Wired for Downtime

It seems ideal to use induction charging when the Cybercab is in operation. As it is for most Tesla owners taking roadtrips, Supercharging stops are only a few minutes long for the most part.

The Cybercab would benefit from more frequent Supercharging stops in between rides while it is operating a ride-sharing program.

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Tesla wireless charging patent revealed ahead of Robotaxi unveiling event

However, when the vehicle rolls back to its hub for cleaning and maintenance, standard charging, where it is plugged into a charger of some kind, seems more ideal.

In the 45-minutes that the car is being cleaned and is having maintenance, it could be fully charged and ready for another full shift of rides, grabbing a few miles of range with induction charging when it’s out and about.

Induction Charging Challenges

Induction charging is still something that presents many challenges for companies that use it for anything, including things as trivial as charging cell phones.

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While it is convenient, a lot of the charge is lost during heat transfer, which is something that is common with wireless charging solutions. Even in Teslas, the wireless charging mat present in its vehicles has been a common complaint among owners, so much so that the company recently included a feature to turn them off.

Production Timing and Potential Challenges

With Tesla planning to begin Cybercab production in April, the real challenge with the induction charging is whether the company can develop an effective wireless apparatus in that short time frame.

It has been in development for several years, but solving the issue with heat and energy loss is something that is not an easy task.

In the short-term, Tesla could utilize this port for normal Supercharging operation on the Cybercab. Eventually, it could be phased out as induction charging proves to be a more effective and convenient option.

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Tesla confirms that it finally solved its 4680 battery’s dry cathode process

The suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.

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tesla 4680
Image used with permission for Teslarati. (Credit: Tom Cross)

Tesla has confirmed that it is now producing both the anode and cathode of its 4680 battery cells using a dry-electrode process, marking a key breakthrough in a technology the company has been working to industrialize for years. 

The update, disclosed in Tesla’s Q4 and FY 2025 update letter, suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.

Dry cathode 4680 cells

In its Q4 and FY 2025 update letter, Tesla stated that it is now producing 4680 cells whose anode and cathode were produced during the dry electrode process. The confirmation addresses long-standing questions around whether Tesla could bring its dry cathode process into sustained production.

The disclosure was highlighted on X by Bonne Eggleston, Tesla’s Vice President of 4680 batteries, who wrote that “both electrodes use our dry process.”

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Tesla first introduced the dry-electrode concept during its Battery Day presentation in 2020, pitching it as a way to simplify production, reduce factory footprint, lower costs, and improve energy density. While Tesla has been producing 4680 cells for some time, the company had previously relied on more conventional approaches for parts of the process, leading to questions about whether a full dry-electrode process could even be achieved.

4680 packs for Model Y

Tesla also revealed in its Q4 and FY 2025 Update Letter that it has begun producing battery packs for certain Model Y vehicles using its in-house 4680 cells. As per Tesla: 

“We have begun to produce battery packs for certain Model Ys with our 4680 cells, unlocking an additional vector of supply to help navigate increasingly complex supply chain challenges caused by trade barriers and tariff risks.”

The timing is notable. With Tesla preparing to wind down Model S and Model X production, the Model Y and Model 3 are expected to account for an even larger share of the company’s vehicle output. Ensuring that the Model Y can be equipped with domestically produced 4680 battery packs gives Tesla greater flexibility to maintain production volumes in the United States, even as global battery supply chains face increasing complexity.

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Tesla Giga Texas to feature massive Optimus V4 production line

This suggests that while the first Optimus line will be set up in the Fremont Factory, the real ramp of Optimus’ production will happen in Giga Texas.

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Credit: Tesla/YouTube

Tesla will build Optimus 4 in Giga Texas, and its production line will be massive. This was, at least, as per recent comments by CEO Elon Musk on social media platform X.  

Optimus 4 production

In response to a post on X which expressed surprise that Optimus will be produced in California, Musk stated that “Optimus 4 will be built in Texas at much higher volume.” This suggests that while the first Optimus line will be set up in the Fremont Factory, and while the line itself will be capable of producing 1 million humanoid robots per year, the real ramp of Optimus’ production will happen in Giga Texas. 

This was not the first time that Elon Musk shared his plans for Optimus’ production at Gigafactory Texas. During the 2025 Annual Shareholder Meeting, he stated that Giga Texas’ Optimus line will produce 10 million units of the humanoid robot per year. He did not, however, state at the time that Giga Texas would produce Optimus V4. 

“So we’re going to launch on the fastest production ramp of any product of any large complex manufactured product ever, starting with building a one-million-unit production line in Fremont. And that’s Line one. And then a ten million unit per year production line here,” Musk stated. 

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How big Optimus could become

During Tesla’s Q4 and FY 2025 earnings call, Musk offered additional context on the potential of Optimus. While he stated that the ramp of Optimus’ production will be deliberate at first, the humanoid robot itself will have the potential to change the world. 

“Optimus really will be a general-purpose robot that can learn by observing human behavior. You can demonstrate a task or verbally describe a task or show it a task. Even show it a video, it will be able to do that task. It’s going to be a very capable robot. I think long-term Optimus will have a very significant impact on the US GDP. 

“It will actually move the needle on US GDP significantly. In conclusion, there are still many who doubt our ambitions for creating amazing abundance. We are confident it can be done, and we are making the right moves technologically to ensure that it does. Tesla, Inc. has never been a company to shy away from solving the hardest problems,” Musk stated. 

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