News
Tesla Gigafactory surpasses $1 billion in construction costs: Section D/E addendum filed
New building permits issued by Storey County Community Development reveal that Tesla has surpassed $1 billion in construction costs at the Gigafactory since the project began in 2014. Among the 23 new permits issued between November, 2016 and February is one that represents 40% of the total job valuation: a $404 million addendum to Section D and Section E of the north end of Tesla’s Gigafactory. This is the largest single permit issued to date.
Jack Cookson of BuildZoom notes that a total of 153 building permits have been issued for $1 billion worth of projects taking place at the Gigafactory. Tesla paid Storey County $5.58 million in fees to receive these permits.
Cookson points out that 29 of the permits, with a combined value exceeding a half billion dollars, were labeled as an addendum. It’s not clear why Tesla would be making such a large scale change to original plans, but it could be related to the recent announcement that the company will expand production beyond its high performance 2170 battery cell and into Model 3 motor and drivetrain assemblies.
Tesla announced at the beginning of this year that it had begun mass production of lithium ion cells for the company’s line of energy storage products. A video showing 2170 battery cells exiting equipment “faster than bullets out of a machine gun” is a great precursor to what we might expect to see once production of Model 3 battery packs begins in the second quarter.
Below is a list of some of the more recent Gigafactory building permits issued to Tesla.
| SECTION DIE & D’/E’ – ALL DISCIPLINES – ADDENDUM 4 | $404,000,000.00 |
| GIGAFACTORY – UNIT 2 TOOL ANCHORAGE | $48,000,000.00 |
| GIGAFACTORY – D QUAD – ADDENDUM 5 | $40,000,000.00 |
| SECTION B/C TOOL INSTALL | $15,000,000.00 |
| PANASONIC – TOOL INSTALL SECTION B/C-AGING, CHARGE/DISCHARGE | $15,000,000.00 |
| PANASONIC – SECTION B/C TOOL INSTALL – AGING RACK | $15,000,000.00 |
| GIGAFACTORY – SECTION F – ADDENDUM 6 | $3,500,000.00 |
| GIGAFACTORY – SECTION A – TENANT IMPROVEMENT. ADDENDUM 1 | $1,423,000.00 |
| GIGAFACTORY-CHILLER YARD EXPANSION (CIVIL SITE &MECHANICAL) | $1,000,000.00 |
| GIGAFACTORY . TRESTLE 3 | $1,000,000.00 |
| GIGAFACTORY-AIR SEPARATION PLANT. N2 TANKS (CIVIL &STRUCT) | $900,000.00 |
| GIGAFACTORY- SECTION A TENANT IMPROVEMENT – ADDENDUM 2 | $500,000.00 |
| GIGAFACTORY – SECTION F – ADDENDUM 5 | $500,000.00 |
| GIGAFACTORY- SECTION A TENANT IMPROVEMENT – ADDENDUM 3 | $250,000.00 |
| GIGAFACTORY – CUB BOILER AND ELECTRICAL UPDATES | $225,000.00 |
| GIGAFACTORY – HEAT RECOVERY CHILLER (CIVIL & STRUCTURAL) | $200,000.00 |
| GIGAFACTORY .MICROGRID LAB-ADDENDUM 1 (CIVIL & ELECTRICAL) | $200,000.00 |
| GIGAFACTORY – H & T TOOL INSTALL (ADDENDUM 2) | $196,500.00 |
| GIGAFACTORY – MICROGRID LAB – CIVIL | $160,000.00 |
| GIGAFACTORY – HEAT RECOVERY CHILLER (ELECTRICAL) | $150,000.00 |
| GIGAFACTORY . BUILDING ENVELOPE. ADDENDUM 3 (A02. DRB04) | $100,000.00 |
| Commercial GIGAFACTORY – TC GANTRY CRANE ANCHORAGE | $11,000.00 |
| GIGAFACTORY . D QUAD EXPANSION – ADDENDUM 6 | $0.00 |
Expansion of the Gigafactory on the north and south ends of the main building – as seen through a recent drone flyover video – continues to take place at a rapid pace. Tesla announced through a press release earlier in the year that the Gigafactory was less than 30 percent. “Already, the current structure has a footprint of 1.9 million square feet, which houses 4.9 million square feet of operational space across several floors.” says Tesla. “We are still less than 30 percent done. Once complete, we expect the Gigafactory to be the biggest building in the world.”
https://www.youtube.com/watch?v=A7Gujjjafmc
Energy
Tesla Energy gains UK license to sell electricity to homes and businesses
The license was granted to Tesla Energy Ventures Ltd. by UK energy regulator Ofgem after a seven-month review process.
Tesla Energy has received a license to supply electricity in the United Kingdom, opening the door for the company to serve homes and businesses in the country.
The license was granted to Tesla Energy Ventures Ltd. by UK energy regulator Ofgem after a seven-month review process.
According to Ofgem, the license took effect at 6 p.m. local time on Wednesday and applies to Great Britain.
The approval allows Tesla’s energy business to sell electricity directly to customers in the region, as noted in a Bloomberg News report.
Tesla has already expanded similar services in the United States. In Texas, the company offers electricity plans that allow Tesla owners to charge their vehicles at a lower cost while also feeding excess electricity back into the grid.
Tesla already has a sizable presence in the UK market. According to price comparison website U-switch, there are more than 250,000 Tesla electric vehicles in the country and thousands of Tesla home energy storage systems.
Ofgem also noted that Tesla Motors Ltd., a separate entity incorporated in England and Wales, received an electricity generation license in June 2020.
The new UK license arrives as Tesla continues expanding its global energy business.
Last year, Tesla Energy retained the top position in the global battery energy storage system (BESS) integrator market for the second consecutive year. According to Wood Mackenzie’s latest rankings, Tesla held about 15% of global market share in 2024.
The company also maintained a dominant position in North America, where it captured roughly 39% market share in the region.
At the same time, competition in the energy storage sector is increasing. Chinese companies such as Sungrow have been expanding their presence globally, particularly in Europe.
Elon Musk
Elon Musk shares big Tesla Optimus 3 production update
According to Musk, Tesla is in the final stages of completing Optimus 3, which he described as one of the world’s most advanced humanoid robots.
Tesla CEO Elon Musk has stated that production of Optimus 3 could begin this summer. Musk shared the update in his interview at the Abundance Summit.
According to Musk, Tesla is in the final stages of completing Optimus 3, which he described as one of the world’s most advanced humanoid robots.
“We’re in the final stages of completion of Optimus 3, which is really going to be by far the most advanced robot in the world. Nothing’s even close. In fact, I haven’t even seen demos of robots that are as good as Optimus 3,” Musk said.
He also set expectations on the pace of Optimus 3’s production ramp, stating that the initial volumes of the humanoid robot will likely be very low. Musk did, however, also state that high production rates for Optimus 3 should be possible in 2027.
“I think we’ll start production on Optimus 3 this summer, but very slow at first, like sort of this classic S-curve ramp of manufacturing units versus time. And then, probably reach high volume production around summer next year,” he said.
Interestingly enough, the CEO hinted that Tesla is looking to iterate on the robot quickly, potentially releasing a new Optimus design every year.
“We’ll have Optimus 4 design complete next year. We’ll try to release a new robot design every year,” Musk stated.
Tesla has already outlined broader plans for scaling Optimus production beyond its first manufacturing line. Musk previously stated that Optimus 4 will be built at Gigafactory Texas at significantly higher production volumes.
Initial production lines for the robot are expected to be located at Tesla’s Fremont Factory, where the company plans to establish a line capable of producing up to 1 million robots per year.
A larger production ramp is expected to occur at Gigafactory Texas, where Musk has previously suggested could eventually support production of up to 10 million robots per year.
“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 said previously.
The comments suggest that while Optimus 3 will likely begin production at Fremont, Tesla’s larger-scale manufacturing push could arrive with Optimus 4 at Gigafactory Texas.
Elon Musk
Tesla showcases Optimus humanoid robot at AWE 2026 in Shanghai
Tesla’s humanoid robot was presented as part of the company’s exhibit at the Shanghai electronics show.
Tesla showcased its Optimus humanoid robot at the 2026 Appliance & Electronics World Expo (AWE 2026) in Shanghai. The event opened Thursday and featured several Tesla products, including the company’s humanoid robot and the Cybertruck.
The display was reported by CNEV Post, citing information from local media outlet Cailian and on-site staff at the exhibition.
Tesla’s humanoid robot was presented as part of the company’s exhibit at the Shanghai electronics show. On-site staff reportedly stated that mass production of the robot could begin by the end of 2026.
Tesla previously indicated that it plans to manufacture its humanoid robots at scale once production begins, with its initial production line in the Fremont Factory reaching up to 1 million units annually. An Optimus production line at Gigafactory Texas is expected to produce 10 million units per year.
Tesla China previously shared a teaser image on Weibo showing a pair of highly detailed robotic hands believed to belong to Optimus. The image suggests a design with finger proportions and structures that closely resemble those of a human hand.
Robotic hands are widely considered one of the most difficult engineering challenges in humanoid robotics. For a system like Optimus to perform complex real-world tasks, from factory work to household activities, the robot would require highly advanced dexterity.
Elon Musk has previously stated that Optimus has the capability to eventually become the first real-world example of a Von Neumann machine, a self-replicating system capable of building copies of itself, even on other planets. “Optimus will be the first Von Neumann machine, capable of building civilization by itself on any viable planet,” Musk wrote in a post on X.