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Tesla and Panasonic end solar joint venture at Giga New York ahead of April “company talk” event

Tesla's Gigafactory 2 in Buffalo, NY. [Credit: Derek Gee/The Buffalo News]

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Tesla and Panasonic are ending their manufacturing agreement to produce solar cells at Gigafactory New York as early as May and with a planned full exit by September this year.

While the two companies scrap their solar joint venture, Tesla and Panasonic will continue its collaboration on automotive batteries, Nikkei Asian Review reported on Tuesday. The partnership was first announced in 2016 and started production of core components for solar panels in 2017.

The solar cells produced by Panasonic at the Gigafactory in Buffalo were also to be utilized for Tesla’s Solarglass tiles, which are solar roof panels designed to look like regular roof tiles, but the solar cells produced by the Japanese electronics company reportedly failed to achieve such look. There were earlier reports that the latest version of the Solar Roof uses solar cells from China with Panasonic ending up distributing its Giga New York-produced solar cells to other clients and Japanese homebuilders.

The termination of the solar joint venture of Tesla and Panasonic comes a few weeks after the announced its battery partnership with China’s Contemporary Amperex Technology Co Ltd (CATL).

The Empire State Development (ESD) that’s responsible for encouraging business investment and job creation in the state of New York confirmed the fallout between Tesla and Panasonic.

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“We understand that Panasonic has made a corporate decision to move away from global solar products, but this action has no bearing on Tesla’s current operations nor its commitment to Buffalo and New York State, according to Tesla,” said ESD Chairman Howard Zemsky

Tesla will be absorbing most of the 400 workers of Panasonic in its facility in New York. Giga New York currently employs around 1,100 workers aims to up that number to around 1,500 workers by April.

Tesla has been setting the stage to ramp Solarglass Roof installation as 2020 kicked off with a hiring spree to boost its solar energy team.

“The demand is very strong and we are working also not just through Tesla Solar Roof, but also through new homebuilders and through just the roofing industry in general, whether is in North America on the order of 4 million new roofs per year,” Tesla CEO Elon Musk said during the company’s 2019 Q4 earnings call.

The Giga New York facility has also ramped production to meet the goal of Tesla’s energy business as evidenced by a big jump to 54MW deployment in the Q4 of last year from Q3’s 43MW.

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While the ending of the Panasonic deal could be seen as a temporary setback, Elon Musk and Tesla will host a “company talk” in April at Giga New York. The Tesla chief executive said that it will present a compelling story during the talk that coincides with the date he mentioned for Battery Day. It will also not be surprising if Tesla announces new plans about its solar energy business on the said day.

Elon Musk has been optimistic about Tesla’s energy business.

“…the really crazy growth for as far into the future as I can imagine. … It would be difficult to overstate the degree to which Tesla Energy is going to be a major part of Tesla’s activity in the future,” Musk said during a call with analysts.

 

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A curious soul who keeps wondering how Elon Musk, Tesla, electric cars, and clean energy technologies will shape the future, or do we really need to escape to Mars.

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Tesla AI5 chip nears completion, Elon Musk teases 9-month development cadence

The Tesla CEO shared his recent insights in a post on social media platform X.

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Credit: Tesla

Tesla’s next-generation AI5 chip is nearly complete, and work on its successor is already underway, as per a recent update from Elon Musk. 

The Tesla CEO shared his recent insights in a post on social media platform X.

Musk details AI chip roadmap

In his post, Elon Musk stated that Tesla’s AI5 chip design is “almost done,” while AI6 has already entered early development. Musk added that Tesla plans to continue iterating rapidly, with AI7, AI8, AI9, and future generations targeting a nine-month design cycle. 

He also noted that Tesla’s in-house chips could become the highest-volume AI processors in the world. Musk framed his update as a recruiting message, encouraging engineers to join Tesla’s AI and chip development teams.

Tesla community member Herbert Ong highlighted the strategic importance of the timeline, noting that faster chip cycles enable quicker learning, faster iteration, and a compounding advantage in AI and autonomy that becomes increasingly difficult for competitors to close.

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AI5 manufacturing takes shape

Musk’s comments align with earlier reporting on AI5’s production plans. In December, it was reported that Samsung is preparing to manufacture Tesla’s AI5 chip, accelerating hiring for experienced engineers to support U.S. production and address complex foundry challenges.

Samsung is one of two suppliers selected for AI5, alongside TSMC. The companies are expected to produce different versions of the AI5 chip, with TSMC reportedly using a 3nm process and Samsung using a 2nm process.

Musk has previously stated that while different foundries translate chip designs into physical silicon in different ways, the goal is for both versions of the Tesla AI5 chip to operate identically. AI5 will succeed Tesla’s current AI4 hardware, formerly known as Hardware 4, and is expected to support the company’s Full Self-Driving system as well as other AI-driven efforts, including Optimus.

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Tesla Model Y and Model 3 named safest vehicles tested by ANCAP in 2025

According to ANCAP in a press release, the Tesla Model Y achieved the highest overall weighted score of any vehicle assessed in 2025.

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Credit: ANCAP

The Tesla Model Y recorded the highest overall safety score of any vehicle tested by ANCAP in 2025. The Tesla Model 3 also delivered strong results, reinforcing the automaker’s safety leadership in Australia and New Zealand.

According to ANCAP in a press release, the Tesla Model Y achieved the highest overall weighted score of any vehicle assessed in 2025. ANCAP’s 2025 tests evaluated vehicles across four key pillars: Adult Occupant Protection, Child Occupant Protection, Vulnerable Road User Protection, and Safety Assist technologies.

The Model Y posted consistently strong results in all four categories, distinguishing itself through a system-based safety approach that combines structural crash protection with advanced driver-assistance features such as autonomous emergency braking, lane support, and driver monitoring. 

This marked the second time the Model Y has topped ANCAP’s annual safety rankings. The Model Y’s previous version was also ANCAP’s top performer in 2022.

The Tesla Model 3 also delivered a strong performance in ANCAP’s 2025 tests, contributing to Tesla’s broader safety presence across segments. Similar to the Model Y, the Model 3 also earned impressive scores across the ANCAP’s four pillars. This made the vehicle the top performer in the Medium Car category.  

ANCAP Chief Executive Officer Carla Hoorweg stated that the results highlight a growing industry shift toward integrated safety design, with improvements in technologies such as autonomous emergency braking and lane support translating into meaningful real-world protection.

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“ANCAP’s testing continues to reinforce a clear message: the safest vehicles are those designed with safety as a system, not a checklist. The top performers this year delivered consistent results across physical crash protection, crash avoidance and vulnerable road user safety, rather than relying on strength in a single area.

“We are also seeing increasing alignment between ANCAP’s test requirements and the safety technologies that genuinely matter on Australian and New Zealand roads. Improvements in autonomous emergency braking, lane support, and driver monitoring systems are translating into more robust protection,” Hoorweg said.

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Tesla Sweden uses Megapack battery to bypass unions’ Supercharger blockade

Just before Christmas, Tesla went live with a new charging station in Arlandastad, outside Stockholm, by powering it with a Tesla Megapack battery.

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Credit: Tesla Charging/X

Tesla Sweden has successfully launched a new Supercharger station despite an ongoing blockade by Swedish unions, using on-site Megapack batteries instead of traditional grid connections. The workaround has allowed the Supercharger to operate without direct access to Sweden’s electricity network, which has been effectively frozen by labor action.

Tesla has experienced notable challenges connecting its new charging stations to Sweden’s power grid due to industrial action led by Seko, a major Swedish trade union, which has blocked all new electrical connections for new Superchargers. On paper, this made the opening of new Supercharger sites almost impossible.

Despite the blockade, Tesla has continued to bring stations online. In Malmö and Södertälje, new Supercharger locations opened after grid operators E.ON and Telge Nät activated the sites. The operators later stated that the connections had been made in error. 

More recently, however, Tesla adopted a different strategy altogether. Just before Christmas, Tesla went live with a new charging station in Arlandastad, outside Stockholm, by powering it with a Tesla Megapack battery, as noted in a Dagens Arbete (DA) report. 

Because the Supercharger station does not rely on a permanent grid connection, Tesla was able to bypass the blocked application process, as noted by Swedish car journalist and YouTuber Peter Esse. He noted that the Arlandastad Supercharger is likely dependent on nearby companies to recharge the batteries, likely through private arrangements.

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Eight new charging stalls have been launched in the Arlandastad site so far, which is a fraction of the originally planned 40 chargers for the location. Still, the fact that Tesla Sweden was able to work around the unions’ efforts once more is impressive, especially since Superchargers are used even by non-Tesla EVs.

Esse noted that Tesla’s Megapack workaround is not as easily replicated in other locations. Arlandastad is unique because neighboring operators already have access to grid power, making it possible for Tesla to source electricity indirectly. Still, Esse noted that the unions’ blockades have not affected sales as much.

“Many want Tesla to lose sales due to the union blockades. But you have to remember that sales are falling from 2024, when Tesla sold a record number of cars in Sweden. That year, the unions also had blockades against Tesla. So for Tesla as a charging operator, it is devastating. But for Tesla as a car company, it does not matter in terms of sales volumes. People charge their cars where there is an opportunity, usually at home,” Esse noted. 

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