Energy
What Tesla and Honda’s early success have in common
“To the more established brands, it is a young upstart company with performance claims that seem unreasonably optimistic. Instead of being rooted in reality, its new sporty two-door appears to be little more than the expressed will of a mercurial leader. There are already rumors of potential bankruptcy. Surely, this is hubris run amok.”
The automaker in question? Honda in the late 1960s. Fifty years later, Tesla and Elon Musk are the objects of great admiration, but also constant targets of criticism. In a recent article in The Globe and Mail, Brendan McAleer tells a fascinating story of a young company with a charismatic leader, which finally found great success by tempering its expansive dreams with a dose of reality.
In the sixties, Honda and its founder, Soichiro Honda, faced attacks very similar to those being launched at Tesla today. Mr. Honda’s pride and joy was the Honda 1300, aka the Coupe 9. It was an innovative, forward-looking little car, with an air-cooled four-cylinder engine, independent suspension, and excellent fuel efficiency.
The problem was Soichiro Honda himself, who apparently couldn’t resist the urge to keep improving his design. At one point, he ordered the assembly line to stop so that new features could be added. “Eventually, his engineers set up a desk in the factory to deal with his constant interfering,” McAleer writes (sound familiar?). “Honda was forced to step back and his engineers worked to combine his passionate ideas with the practical needs of modern mass manufacturing. The next car they produced was the Honda Civic. You could say it did pretty well.”
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Above: The iconic Soichiro Honda celebrates the first H1300 car off the production line (Image: Honda)
Like Mr. Honda, Elon Musk is famous for his interest in every detail of his company’s vehicles. However, it’s safe to say that the extremes of emotion Elon inspire go far beyond anything ever aimed at Mr. Honda, at least in the Western press. Is Musk “a messianic figure or the fraudulent leader of a cultish mob?” McAleer asks.
Noting that the truth surely lies somewhere in the middle, McAleer lists some of Tesla’s strengths and weaknesses. The latter include a consistent failure to deliver a product on time, quality-control issues and “an apparent inability to turn a profit” (which it might be more accurate to call a lack of interest in turning a profit).
McAleer goes on to say that Tesla’s corporate culture appears to discourage internal criticism, and cites Model X’s Falcon Wing doors, which even some at Tesla have characterized as a mistake, as a symptom of a top-down culture. He doesn’t seem to be enamored of some of Model 3’s innovations: “Clean-slate thinking is one thing, but ignoring the lessons learned by others is a mistake.”
Tesla’s greatest strength is the fanatical devotion of its customers, and in today’s brand-centric business world, that may be an insurmountable advantage. As a brand, Tesla is one of the greatest in history, right up there with Harley-Davidson and the Grateful Dead. Legacy automakers are gearing up to offer vehicles to compete with Tesla (as they reportedly have been for several years now), but it’s difficult to imagine any of them ever rivaling Tesla’s brand loyalty.
Elon Musk has set out to electrify the world’s transportation system – a far loftier goal than anything Soichiro Honda thought about doing. But as Honda’s story illustrates, those who would change the world need to ground their dreams in reality. Hopefully, the continuing rollout of Model 3 will demonstrate that innovative ideas combined with a healthy respect for the practical aspects of manufacturing and consumer behavior add up to a winning formula.
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Note: Article originally published on evannex.com, by Charles Morris
Source: The Globe and Mail
Energy
Tesla Powerwall distribution expands in Australia
Inventory is expected to arrive in late February and official sales are expected to start mid-March 2026.
Supply Partners Group has secured a distribution agreement for the Tesla Powerwall in Australia, with inventory expected to arrive in late February and official sales beginning in mid-March 2026.
Under the new agreement, Supply Partners will distribute Tesla Powerwall units and related accessories across its national footprint, as noted in an ecogeneration report. The company said the addition strengthens its position as a distributor focused on premium, established brands.
“We are proud to officially welcome Tesla Powerwall into the Supply Partners portfolio,” Lliam Ricketts, Co-Founder and Director of Innovation at Supply Partners Group, stated.
“Tesla sets a high bar, and we’ve worked hard to earn the opportunity to represent a brand that customers actively ask for. This partnership reflects the strength of our logistics, technical services and customer experience, and it’s a win for installers who want premium options they can trust.”
Supply Partners noted that initial Tesla Powerwall stock will be warehoused locally before full commercial rollout in March. The distributor stated that the timing aligns with renewed growth momentum for the Powerwall, supported by competitive installer pricing, consumer rebates, and continued product and software updates.
“Powerwall is already a category-defining product, and what’s ahead makes it even more compelling,” Ricketts stated. “As pricing sharpens and capability expands, we see a clear runway for installers to confidently spec Powerwall for premium residential installs, backed by Supply Partners’ national distribution footprint and service model.”
Supply Partners noted that a joint go-to-market launch is planned, including Tesla-led training for its sales and technical teams to support installers during the home battery system’s domestic rollout.
Energy
Tesla Megapack Megafactory in Texas advances with major property sale
Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet.
Tesla’s planned Megapack factory in Brookshire, Texas has taken a significant step forward, as two massive industrial buildings fully leased to the company were sold to an institutional investor.
In a press release, Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet. The properties are 100% leased to Tesla under a long-term agreement and were acquired by BGO on behalf of an institutional investor.
The two facilities, located at 100 Empire Boulevard in Brookshire, Texas, will serve as Tesla’s new Megafactory dedicated to manufacturing Megapack battery systems.
According to local filings previously reported, Tesla plans to invest nearly $200 million into the site. The investment includes approximately $44 million in facility upgrades such as electrical, utility, and HVAC improvements, along with roughly $150 million in manufacturing equipment.
Building 9, spanning roughly 1 million square feet, will function as the primary manufacturing floor where Megapacks are assembled. Building 10, covering approximately 600,000 square feet, will be dedicated to warehousing and logistics operations, supporting storage and distribution of completed battery systems.
Waller County Commissioners have approved a 10-year tax abatement agreement with Tesla, offering up to a 60% property-tax reduction if the company meets hiring and investment targets. Tesla has committed to employing at least 375 people by the end of 2026, increasing to 1,500 by the end of 2028, as noted in an Austin County News Online report.
The Brookshire Megafactory will complement Tesla’s Lathrop Megafactory in California and expand U.S. production capacity for the utility-scale energy storage unit. Megapacks are designed to support grid stabilization and renewable-energy integration, a segment that has become one of Tesla’s fastest-growing businesses.
Energy
Tesla meets Giga New York’s Buffalo job target amid political pressures
Giga New York reported more than 3,460 statewide jobs at the end of 2025, meeting the benchmark tied to its dollar-a-year lease.
Tesla has surpassed its job commitments at Giga New York in Buffalo, easing pressure from lawmakers who threatened the company with fines, subsidy clawbacks, and dealership license revocations last year.
The company reported more than 3,460 statewide jobs at the end of 2025, meeting the benchmark tied to its dollar-a-year lease at the state-built facility.
As per an employment report reviewed by local media, Tesla employed 2,399 full-time workers at Gigafactory New York and 1,060 additional employees across the state at the end of 2025. Part-time roles pushed the total headcount of Tesla’s New York staff above the 3,460-job target.
The gains stemmed in part from a new Long Island service center, a Buffalo warehouse, and additional showrooms in White Plains and Staten Island. Tesla also said it has invested $350 million in supercomputing infrastructure at the site and has begun manufacturing solar panels.
Empire State Development CEO Hope Knight said the agency was “very happy” with Giga New York’s progress, as noted in a WXXI report. The current lease runs through 2029, and negotiations over updated terms have included potential adjustments to job requirements and future rent payments.
Some lawmakers remain skeptical, however. Assemblymember Pat Burke questioned whether the reported job figures have been fully verified. State Sen. Patricia Fahy has also continued to sponsor legislation that would revoke Tesla’s company-owned dealership licenses in New York. John Kaehny of Reinvent Albany has argued that the project has not delivered the manufacturing impact originally promised as well.
Knight, for her part, maintained that Empire State Development has been making the best of a difficult situation.
“(Empire State Development) has tried to make the best of a very difficult situation. There hasn’t been another use that has come forward that would replace this one, and so to the extent that we’re in this place, the fact that 2,000 families at (Giga New York) are being supported through the activity of this employer. It’s the best that we can have happen,” the CEO noted.
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