Battery-electric vehicles (BEVs) could become cheaper to produce than gas cars within the next few years, in part due to Tesla Gigacasting techniques, as one research firm suggests.
In a press release shared on Thursday, research firm Gartner said it believes the upcoming generation of BEVs will be cheaper to produce on average than vehicles with internal combustion engines (ICEs) by 2027. The news comes as many automakers are working to produce higher-volume, lower-cost BEVs in the coming years, with technology like Tesla’s Gigacasting techniques paving the way for cheaper production efforts.
“New OEM incumbents want to heavily redefine the status quo in automotive,” said Pedro Pacheco, Gartner’s VP of Research. “They brought new innovations that simplify production costs such as centralized vehicle architecture or the introduction of Gigacastings that help reduce manufacturing cost and assembly time, which legacy automakers had no choice to adopt to survive.”
The firm also expects production costs to drop more quickly than battery costs, ultimately resulting in BEVs reaching price parity more quickly than expected.
“This means BEVs will reach ICE cost parity much faster than initially expected, but at the same time, it will make some repairs of BEVs considerably costlier,” Pacheco added.
Tesla VP of Public Policy and Business Development Rohan Patel responded to the note on Saturday, noting how cheap the sticker prices on Tesla’s vehicles have become—especially when leasing.
“Today (not 2027), you can lease a Tesla Model 3 for $329/month and a Model Y for $379/month,” Patel wrote on X.
Today (not 2027) you can lease a @Tesla Model 3 for $329/month and a Model Y for $379/month.
The Tesla lineup has never been more affordable and that is a credit to the astounding level of efficiency and innovation from the design, engineering, supply chain, logistics and… https://t.co/SxmtJ23lgl
— Rohan Patel (@rohanspatel) March 9, 2024
Because of the soon-widespread use of new technology in production, Gartner predicts that the average cost of EV battery and serious accident repairs will increase by around 30 percent in the same timeframe. The firm adds that this could have other effects, such as more total write-offs following collisions and potentially even higher insurance premiums or refusal of coverage for certain kinds of vehicles.
The firm also predicts that as many as 15 percent of the electric vehicle (EV) makers founded in the last decade will either go bankrupt or be bought out by 2027, as market competition continues to increase with more options for consumers.
“This does not mean the EV sector is crumbling,” Pacheco said. “It is simply entering a new phase where companies with the best products and services will win over the remaining.”
Gartner expects EV shipments to reach 18.4 million units this year, increasing to 20.6 million units in 2025. However, it also says the market is shifting from the “gold rush” era of EVs to “survival of the fittest,” as governed by automakers’ abilities to meet early EV adopters’ needs.
EVs to increase almost tenfold by 2030 under current policies: IEA
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
Tesla Cybertruck was chosen by a Middle Eastern government agency because of its capability, safety, and other advantages that it offers over traditional pickups.
In a striking display of futuristic security technology, Kazakhstan’s State Guard Service has integrated Tesla Cybertrucks as mobile command-and-control vehicles for the Informal Summit of the Organization of Turkic States, held today in Turkistan.
🚨 Kazakhstan’s State Guard Service is deploying Tesla Cybertrucks as mobile command-and-control vehicles for the Informal Summit of the Organization of Turkic States in Turkistan on May 15, 2026. pic.twitter.com/m4gHCyy5uS
— TESLARATI (@Teslarati) May 14, 2026
The deployment, announced by Teslarati on May 14, marks one of the first known instances worldwide of the electric pickup truck being used in official state security operations.
The Cybertrucks are supporting a range of real-world tasks, including rapid response, field coordination, communications, and command functions.
Officials highlighted the vehicles’ suitability for the challenging mountainous terrain around Almaty, where superior off-road mobility allows them to navigate rugged landscapes that might challenge conventional vehicles. Their quiet electric operation enables discreet deployment, while the high onboard power output provides sustained energy for communications equipment and external devices—critical during a high-profile international gathering.
The Cybertrucks will support real operational security tasks, including rapid response, field coordination, communications, and command functions — particularly in the challenging mountainous terrain around Almaty.
Key advantages cited by Government Officials were superior… pic.twitter.com/zRznabs389
— TESLARATI (@Teslarati) May 14, 2026
The summit brings together leaders from Turkic-speaking nations to discuss cooperation in politics, economy, and culture. Against this backdrop, the Cybertrucks stand out not only for their angular, stainless-steel exoskeleton and imposing presence but also for their practical advantages in modern security protocols.
This move underscores Kazakhstan’s push toward innovative and sustainable solutions in public safety. The Cybertruck, Tesla’s rugged all-electric pickup, was designed from the ground up for versatility, boasting impressive range, durability, and power capabilities that align well with governmental needs.
By choosing the vehicle, Kazakh authorities signal confidence in electric mobility even for demanding operational roles—potentially setting a precedent for other nations exploring green alternatives to traditional fleet vehicles.
Tesla Cybertruck too safe for even Musk’s biggest critics to ignore
As the summit unfolds on May 15, the presence of Cybertrucks symbolizes a broader shift: electric vehicles transitioning from consumer roads to critical infrastructure.
For Tesla, the development offers valuable real-world validation of the Cybertruck’s capabilities beyond civilian use. For Kazakhstan, it blends cutting-edge American engineering with national security priorities, creating a memorable visual and functional statement at this landmark regional event.
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Tesla grabs massive Las Vegas warehouse for interesting Cybercab project
Tesla quietly filed plans to build the Cybercab car wash, and on May 12, the company submitted a permit to begin renovating the “Tesla Center Cybercab Phase 2 Car Wash,” documents show.
Tesla is beginning to construct what will be an incredibly unique project, as it is now building a 36,000-square-foot car wash just for the Cybercab in Clark County, Nevada, near Las Vegas.
Tesla quietly filed plans to build the Cybercab car wash, and on May 12, the company submitted a permit to begin renovating the “Tesla Center Cybercab Phase 2 Car Wash,” documents show.
This is not just some ordinary car wash. Instead, it’s a dedicated, high-tech maintenance hub built specifically for Tesla’s ride-hailing vehicle and the many units that will be in the fleet.
According to the permit documents, which were first spotted by MarcoRP, a Supercharger observer on X, the work involves upgrading and updating the interior and exterior of an existing 36,000-square-foot facility. Crews will construct a full car-wash enclosure, relocate tire-service equipment, and install new power raceways.
Tesla has reportedly submitted plans for a carwash dedicated for Robotaxis in Las Vegas. The permit, filed with Clark County on May 12th, describes “Tesla Center Cybercab Phase 2 Car Wash.”
According to the project description, the work involves interior and exterior… pic.twitter.com/BayBYP7kSv
— Sawyer Merritt (@SawyerMerritt) May 14, 2026
Every camera on a Tesla Cybercab must stay clean, and without a human driver to perform manual maintenance on the vehicle, this Cybercab-specific car wash will be crucial in keeping the fleet operational, safe, and effective.
Tesla has spent years perfecting unsupervised FSD, and the Cybercab – unveiled last year as a driverless, two-seater purpose-built for ride-hailing – is the physical embodiment of that vision. Industry skeptics have long questioned how a massive Robotaxi network could scale without drivers handling basic upkeep.
Tesla just answered them with a permit filing. Sources close to the project suggest this could be the first of several such hubs, with whispers of similar plans already surfacing in Texas.
A purpose-built Robotaxi wash station means fleets can cycle vehicles through cleaning, charging, and minor servicing at lightning speed with almost no human intervention. Optimus robots could eventually handle the physical work, turning the entire operation into a lights-out, 24/7 machine.
Las Vegas, with its endless tourist traffic and wide-open roads, is the perfect proving ground. Imagine stepping out of a gleaming Cybercab after a night on the Strip, knowing the same vehicle will be sparkling clean and ready for the next rider within minutes.
California hits Tesla Cybercab and Robotaxi driverless cars with new law
Critics who claimed Robotaxis would get filthy and unreliable now look shortsighted. However, it will be interesting to see how many of these types of facilities the company establishes, especially as it plans for the Robotaxi fleet to be available everywhere.
If the permit moves forward as expected, Las Vegas could witness the first large-scale, fully autonomous taxi operation complete with its own cleaning infrastructure. As soon as Tesla solves wireless charging, we’re looking at a very capable and potentially fully autonomous ride-sharing business from A to Z.
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Tesla puts Giga Berlin in Plaid Mode with new massive investment
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
Tesla is pushing forward with significant upgrades at its Gigafactory Berlin-Brandenburg in GrĂĽnheide, Germany, signaling renewed confidence in its European operations despite past market challenges.
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
In April, plant manager André Thierig announced a 20 percent increase in Model Y production starting in July, following a record Q1 output of more than 61,000 vehicles. To support the ramp-up, Tesla plans to hire approximately 1,000 new employees beginning in May and convert 500 temporary workers to permanent positions.
The move is expected to lift weekly production significantly, addressing rebounding demand in Europe after a challenging 2025.
Today, we announced a $ 250m investment for our Giga Berlin Cell factory. This will enable 18GWh of annual 4680 cell production and create more than 1500 new jobs. Good news during challenging times for the German industry. pic.twitter.com/ou4SWMfWh9
— André Thierig (@AndrThie) May 12, 2026
The expansion builds on earlier progress. In 2025, Tesla secured partial approvals to add roughly 2 million square feet of factory space, raising potential annual vehicle capacity from around 500,000 toward 800,000 units, with longer-term ambitions approaching one million vehicles per year. Logistical improvements, new infrastructure, and battery-related facilities are already underway on company-owned land.
Battery production is the latest major focus. On May 12, Thierig revealed an additional $250 million investment in the on-site cell factory. This more than doubles the planned 4680 battery cell capacity to 18 gigawatt-hours annually—up from the 8 GWh target set in December 2025—while creating over 1,500 new battery-related jobs.
Total cell investments at the site now exceed previous figures, bringing the factory closer to full vertical integration: cells, packs, and vehicles produced under one roof. Tesla describes this as unique in Europe and a step toward stronger supply chain resilience.
The plans come amid regulatory and community hurdles. Earlier expansion proposals faced protests over environmental concerns and water usage, leading to phased approvals beginning in 2024. Tesla has navigated these by emphasizing sustainable practices and economic benefits, including thousands of local jobs in Brandenburg.
With nearly 12,000 employees already on site and production steadily climbing, Gigafactory Berlin is poised for growth. The combined vehicle and battery expansions position the plant as a key hub for Tesla’s European ambitions, potentially making it one of the continent’s largest manufacturing complexes if local support continues.
As EV demand recovers, these investments underscore Tesla’s commitment to scaling efficiently in Germany while addressing regional supply chain needs.
Tesla Cybertruck chosen by Kazakhstan’s elite security force: here’s why
Tesla grabs massive Las Vegas warehouse for interesting Cybercab project
