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Tesla generated $44.4 million of economic activity for CA every day in 2021: IHS Markit
A recent post from Tesla has outlined a number of key insights about the electric vehicle maker’s footprint in California. While Tesla currently lists Gigafactory Texas as its headquarters, the Golden State will always be the place where the company grew and hit its momentum. And based on a report, Tesla has provided substantial economic activity for California over the past few years, generating $44.4 million of economic activity every day in 2021.
Tesla was founded in San Carlos, California, 20 years ago, and since then, the company has grown into the world’s undeniable leader in electric vehicles and the state’s largest manufacturing employer. As noted by Tesla in its recent post, its California footprint today is comprised of “Megapack production and vehicle castings in Lathrop, hardware and software engineering in Palo Alto, vehicle and battery manufacturing in Fremont, battery development and testing in San Diego and vehicle design in Hawthorne.”

These facilities have had a large impact on California’s employment, wages, gross state product, and taxes. This became particularly notable over the past decade, with Tesla-supported jobs in the state increasing by 40% from 2018 to 2021. Tesla’s 2021 wages also exceeded the state average by 50%, a notable number considering the narrative painted against the company due to its non-unionized workforce.
As per a report from IHS Markit, Tesla’s contributions to the California economy can be summarized in the following section:
Supported an average of 59,440 jobs from 2018 to 2020, rising to 80,484 jobs in 2021
- In 2021, this represented 0.5% of California employment or 1 out of every 208 jobs
- For every 100 direct Tesla jobs, 50 more were supported in the supply chain and 68 by follow-on consumer activity
Stimulated economic activity (sales) of $16.6 billion in 2021 was 40% higher than the 2018 to 2020 average of $11.9 billion
- This was equivalent to generating $44.4 million of economic activity every day in 2021
- Tesla’s direct sales rose from $5.7 billion in 2018 to $7.4 billion in 2021
- Tesla directly spent over $1.6 billion with California suppliers in 2021, which triggered another $900 million in supply chain sales activity
Contributed $10.4 billion or 0.3% of California’s gross state product (GSP) in 2021
- This was 42% higher than Tesla’s 2018 to 2020 average GSP contribution of $7.2 billion.
On average, $1.0 million of Tesla’s revenue in California converts to $1.5 million in GSP
Stimulated an average annual wage of $128.6K in California during 2021
- This was 50% higher than the CA average annual wage of $85.7K
Approximately 30% of the economic contributions were stimulated by the local consumer spending of Tesla and its suppliers’ employees
Generated a total of $1.5 billion in California state & local taxes plus federal $2.5 billion in federal taxes from 2018 through 2021
Last year, Tesla’s economic contributions to California were still impressive, with the company growing its headcount to 47,000 employees in the state. That’s still a significant number, considering that California is no longer the state that hosts the electric vehicle maker’s headquarters. That being said, Tesla executives have noted in the past that despite Tesla’s expansion, the company would continue to grow in California, just as revealed in IHS Markit’s report.
IHS Markit’s report on Tesla’s impact on California’s economy from 2018 to 2021 can be viewed below.
Tesla California Economic Impact Final Report October 2022 by Simon Alvarez on Scribd
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Tesla to open source Model S and Model X designs and software
In a move echoing its earlier commitment to open innovation, Tesla CEO Elon Musk announced recently that the company plans to make the design and software of its Model S and Model X fully open source.
This follows the same approach Tesla took with its original Roadster, releasing all available design, engineering, and diagnostic materials in November 2023 so that “whatever we have, you now have.”
Just as Tesla made the original Roadster design & software open source, we plan to do the same with Model S & X
— Elon Musk (@elonmusk) July 24, 2026
The Model S, introduced in 2012, was Tesla’s first mass-produced vehicle and a groundbreaking luxury electric sedan. It offered impressive range, rapid acceleration, and over-the-air software updates that redefined expectations for electric cars.
The Model X, launched in 2015, built on that foundation as a high-performance electric SUV notable for its distinctive falcon-wing doors, spacious interior, and advanced safety features. Both models served as flagships that helped establish Tesla as a leader in the EV industry and popularized long-range battery-electric vehicles.
Production of the Model S and Model X was wound down earlier in 2026, with manufacturing ending in the second quarter. Tesla redirected the Fremont factory space previously used for these vehicles toward higher-priority projects, including Optimus humanoid robots and the Cybercab autonomous vehicle.
By the time of Musk’s open-source announcement, custom orders had closed and only remaining inventory was available.
Open-sourcing the designs and software offers several clear advantages. Owners of these aging but still capable vehicles gain better access to technical documentation, diagnostic tools, and software resources, making independent repairs and modifications easier and more affordable.
Independent repair shops and third-party specialists can support the large existing fleet without relying solely on Tesla’s service network. Enthusiasts and engineers can study real-world implementations of Tesla’s battery, powertrain, and software systems, potentially accelerating broader industry progress in electric mobility.
The step aligns with Tesla’s 2014 patent pledge and its overall mission to advance sustainable transport by sharing hard-won knowledge rather than locking it behind proprietary walls.
By releasing these materials now that the models have left production, Tesla ensures continued support for its early adopters while freeing internal resources for future technologies. The open-source release of the original Roadster already enabled simulations, community projects, and deeper technical understanding.
Extending that practice to the Model S and Model X should deliver similar benefits on a larger scale, helping keep these influential vehicles relevant and repairable for years to come
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Tesla flexes incredible Robotaxi metric that skeptics will hate
Tesla flexed one incredible Robotaxi metric during the Q2 Earnings Call that skeptics have to hate to hear. The company’s platform has already driven more than 380,000 miles of unsupervised ride-hailing across several states with no notable incidents.
During the company’s Q2 Earnings Call on Wednesday, Vice President of AI, Ashok Elluswamy, said:
“First of all, I’d like to state that the Robotaxi program has been operating extremely well. Especially in terms of safety, the program has had an impeccable safety record. We have driven more than 380,000 miles of unsupervised Robotaxi, now across six cities in two different states. We have had zero notable incidents. Any reports have been of other actors impacting us when we were stationary. I like to emphasize how safe the operation has been so far. Zero notable incidents over 380,000 miles.”
Elluswamy’s claim over Robotaxi miles is a significant milestone for Tesla in the grand scheme, especially considering this is a sizeable number of miles without any incident.
0 notable incidents across over 380,000 miles traveled by Robotaxi
— Tesla (@Tesla) July 22, 2026
Tesla’s self-driving approach is much different than that of other companies. Tesla has maintained that vision is the only thing needed to have a solid and effective self-driving suite. Many self-driving companies utilize things like LiDAR, sensors, and other elements to improve performance, but Elluswamy sent a jab at those who believe it’s needed.
“Historically, the so-called experts have always claimed that you need LiDARs, radars, HD maps, and the entire kitchen sink to drive safely. Here we show that such is not true. You can have safe, comfortable, and affordable autonomy with just cameras. This record should be a huge validation of Tesla’s entire AI approach.”
The feat of accumulating this many miles without any driver behind the wheel is impressive. The thing is, Tesla is also doing this across several different locations, with varying traffic rules, pedestrian levels, weather patterns, and other important factors.
While Tesla is not ready to roll out an unsupervised platform completely, it is a slow but steady indication that the company is well on its way to figuring things out.
The company’s attitude toward expansion is slow, safe, and controlled, and despite this huge milestone, it will still be some time until we see Tesla truly unleash unsupervised rides more aggressively.
Elon Musk
SpaceX Starship just nailed something it’s never done before
SpaceX’s Starship flew successfully Friday, landing both stages and deploying its first Starlink V3 satellites.
Starship’s thirteenth test flight delivered exactly what SpaceX needed with a clean liftoff, two successful stage recoveries, and the first real payload the vehicle has ever carried to space. Booster 20 and Ship 40 lifted off at 5:51 p.m. CT from Starbase, and by the time the mission wrapped roughly an hour later, both halves of the rocket had done exactly what they were supposed to do.
Booster 20 separated from Ship 40 a few minutes into the flight and stuck a controlled splashdown in the Gulf of Mexico about six minutes after liftoff. That is a meaningful turnaround from Flight 12 in May, when the booster lost several engines during its boostback burn before a hard water landing attempt.
Starship as seen from Starlink satellites pic.twitter.com/e2hvfmnewh
— Elon Musk (@elonmusk) July 25, 2026
Starship 40’s performance was arguably the bigger win. The vehicle deployed the first 20 operational Starlink V3 satellites Starship has ever carried, then flew a suborbital arc to a landing in the Indian Ocean that SpaceX commentator Dan Huot called the company’s softest splashdown yet. “This is a dream scenario for this team that’s trying to get this heat shield data,” Huot said on the live broadcast, according to Space.com’s live coverage. “I’m a little over the moon right now. Wow. Lucky number 13.”
Unlike the mass simulators SpaceX flew on Flight 12, these were production Starlink V3 satellites, meant to extend solar arrays and antennas and attempt to link with the broader constellation before reentering minutes later. Getting real hardware through a full deploy sequence on only the second flight of the V3 generation keeps Starship on schedule for the payload work NASA is counting on for future Artemis lunar landings.
What an awesome launch, really seems like everything went super well and it was all incredibly smooth.
SpaceX is awesome. Very interested to see how the market will respond on Monday pic.twitter.com/KSHmyBfV55
— TESLARATI (@Teslarati) July 25, 2026
— TESLARATI (@Teslarati) July 25, 2026
The flight also arrives at a moment when SpaceX needed a win. SPCX has traded below its $135 IPO price since mid-July, as Teslarati reported when the mission slipped to Friday, and short interest has climbed to roughly a third of the tradable float. A clean flight will not fix a balance sheet, but it does answer the one question SpaceX absolutely needed answered this week: whether the fixes made after the July 16 abort would hold up under real flight conditions. They did, on both stages, on the first try after the redesign.
SpaceX has not set a target date for Flight 14, though the company has said it wants to push toward an orbital attempt on the next mission. After Friday, that goal looks a lot more within reach.