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Tesla’s ‘skunkworks lab’ for its custom battery cell pilot production line is growing

(Credit: CNBC)

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Tesla’s Battery Day may still be a couple of months away, but hints about the highly-anticipated event’s details are already abounding. With Elon Musk specifically mentioning that the event will be held in Fremont, and that it will include a tour of the company’s pilot battery cell production line, it appears that previous reports, which point to a “skunkworks lab” in the city, were accurate. What’s more, documents filed by the electric car maker in previous months seem to indicate that its mysterious pilot battery cell facility is growing. 

Initial leaks and reports about Tesla’s mysterious “skunkworks lab” were posted as early as June 2019, with a CNBC article stating that the facility is located at Kato Road, just a few minutes away from the Fremont factory, where the Model S, Model 3, Model X, and Model Y are built. Citing former and current Tesla employees, the news agency stated that Tesla’s R&D teams were focused on prototyping and designing advanced lithium-ion batteries, as well as new equipment and processes that could usher in the mass production of the next-gen cells. 

These batteries are now widely speculated to be the million-mile battery that has been mentioned by the company. The million-mile battery is a significant part of Tesla’s game plan, being the one defining factor that could help electric vehicles achieve price parity with gas powered cars, and allow battery storage devices to last decades when deployed. Amidst the wait for Battery Day, speculations are abounding that Tesla will be conducting a deep dive into its million-mile batteries during the event, similar to how Autonomy Day included an in-depth discussion on the company’s custom Hardware 3.0 computer. 

Tesla’s 2170 battery cells. (Credit: Tesla)

As it turned out, Tesla’s skunkworks lab at Kato Road has been very busy this year. A proposal submitted last March, for example, outlines plans to redevelop the existing site by adding floors to the facility. According to Tesla, the redesigned building will be housing 45 research and development employees and up to 425 manufacturing workers that are spread through several shifts from Monday through Friday. This appears to suggest that the company, as early as March this year, was looking to ramp the battery cell output of its pilot production line. 

Interestingly enough, Tesla has also been posting multiple job listings on its Careers page that were specifically focused on battery cell manufacturing. By May 2020, Tesla had posted job listings for Cell Engineers, Production Process Engineers, and Controls Engineers. A look at these listings would show references to a battery cell manufacturing operations, and as luck would have it, the posts listed Fremont, California as their location. 

Further documents show that Tesla had also requested to increase its power demand by 6 MW, further hinting that activities in the site are poised to ramp soon. This proposal, based on a response from PG&E that was recently shared online, was approved. 

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Based on these filings and job listings, it is evident that Tesla’s pilot battery cell manufacturing line has been ramping, or at least is poised to ramp, its operations. This is particularly impressive, considering that the Kato Road facility, which reportedly hosts the company’s skunkworks lab, is a fairly small site, comprising of two buildings that cover 184,880 sq. ft. combined. This means that even in this relatively small location, Tesla has been able to create a pilot line for a new breed of batteries that can change the EV game. This is quite a significant accomplishment, considering that previous battery lines are known to consume a lot of space. 

Tesla’s Gigafactory Nevada facility is the perfect example of this. Giga Nevada primarily produces battery cells, and it is poised to be one of the largest buildings in the world by footprint once it’s complete. If Tesla’s pilot battery cell production line in Kato Road is indeed fully functional and ramped, then one can only imagine how much more batteries facilities like Gigafactory Nevada can produce with the company’s next-generation technology. 

Tesla’s proposal for an expansion of its Kato Road facility could be accessed below.

Tesla Kato Road Update by Simon Alvarez on Scribd

H/T JPR007

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Cybertruck

Tesla updates Cybertruck owners on timeline of massive feature yet to ship

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Credit: Tesla

Tesla is updating Cybertruck owners on its timeline of a massive feature that has yet to ship: Powershare with Powerwall.

Powershare is a bidirectional charging feature exclusive to Cybertruck, which allows the vehicle’s battery to act as a portable power source for homes, appliances, tools, other EVs, and more. It was announced in late 2023 as part of Tesla’s push into vehicle-to-everything energy sharing, and acting as a giant portable charger is the main advantage, as it can provide backup power during outages.

Cybertruck’s Powershare system supports both vehicle-to-load (V2L) and vehicle-to-home (V2H), making it flexible and well-rounded for a variety of applications.

However, even though the feature was promised with Cybertruck, it has yet to be shipped to vehicles. Tesla communicated with owners through email recently regarding Powershare with Powerwall, which essentially has the pickup act as an extended battery.

Powerwall discharge would be prioritized before tapping into the truck’s larger pack.

However, Tesla is still working on getting the feature out to owners, an email said:

“We’re writing to let you know that the Powershare with Powerwall feature is still in development and is now scheduled for release in mid-2026. 

This new release date gives us additional time to design and test this feature, ensuring its ability to communicate and optimize energy sharing between your vehicle and many configurations and generations of Powerwall. We are also using this time to develop additional Powershare features that will help us continue to accelerate the world’s transition to sustainable energy.”

Owners have expressed some real disappointment in Tesla’s continuous delays in releasing the feature, as it was expected to be released by late 2024, but now has been pushed back several times to mid-2026, according to the email.

Foundation Series Cybertruck buyers paid extra, expecting the feature to be rolled out with their vehicle upon pickup.

Cybertruck’s Lead Engineer, Wes Morrill, even commented on the holdup:

He said that “it turned out to be much harder than anticipated to make powershare work seamlessly with existing Powerwalls through existing wall connectors. Two grid-forming devices need to negotiate who will form and who will follow, depending on the state of charge of each, and they need to do this without a network and through multiple generations of hardware, and test and validate this process through rigorous certifications to ensure grid safety.”

It’s nice to see the transparency, but it is justified for some Cybertruck owners to feel like they’ve been bait-and-switched.

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Tesla’s northernmost Supercharger in North America opens

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Credit: Tesla

Tesla has opened its northernmost Supercharger in Fairbanks, Alaska, with eight V4 stalls located in one of the most frigid cities in the U.S.

Located just 196 miles from the Arctic Circle, Fairbanks’s average temperature for the week was around -12 degrees Fahrenheit. However, there are plenty of Tesla owners in Alaska who have been waiting for more charging options out in public.

There are only 36 total Supercharger stalls in Alaska, despite being the largest state in the U.S.

Eight Superchargers were added to Fairbanks, which will eventually be a 48-stall station. Tesla announced its activation today:

The base price per kWh is $0.43 at the Fairbanks Supercharger. Thanks to its V4 capabilities, it can charge at speeds up to 325 kW.

Despite being the northernmost Supercharger in North America, it is not even in the Top 5 northernmost Superchargers globally, because Alaska is south of Norway. The northernmost Supercharger is in Honningsvåg, Norway. All of the Top 5 are in the Scandanavian country.

Tesla’s Supercharger expansion in 2025 has been impressive, and although it experienced some early-quarter slowdowns due to V3-to-V4 hardware transitions, it has been the company’s strongest year for deployments.

Through the three quarters of 2025, the company has added 7,753 stations and 73,817 stalls across the world, a 16 percent increase in stations and an 18 percent increase in stalls compared to last year.

Tesla is on track to add over 12,000 stalls for the full year, achieving an average of one new stall every hour, an impressive statistic.

Recently, the company wrapped up construction at its Supercharger Oasis in Lost Hills, California, a 168-stall Supercharger that Tesla Solar Panels completely power. It is the largest Supercharger in the world.

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Tesla shocks with latest Robotaxi testing move

Why Tesla has chosen to use a couple of Model S units must have a reason; the company is calculated in its engineering and data collection efforts, so this is definitely more than “we just felt like giving our drivers a change of scenery.”

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Credit: Sawyer Merritt | X

Tesla Model S vehicles were spotted performing validation testing with LiDAR rigs in California today, a pretty big switch-up compared to what we are used to seeing on the roads.

Tesla utilizes the Model Y crossover for its Robotaxi fleet. It is adequately sized, the most popular vehicle in its lineup, and is suitable for a wide variety of applications. It provides enough luxury for a single rider, but enough room for several passengers, if needed.

However, the testing has seemingly expanded to one of Tesla’s premium flagship offerings, as the Model S was spotted with the validation equipment that is seen entirely with Model Y vehicles. We have written several articles on Robotaxi testing mules being spotted across the United States, but this is a first:

Why Tesla has chosen to use a couple of Model S units must have a reason; the company is calculated in its engineering and data collection efforts, so this is definitely more than “we just felt like giving our drivers a change of scenery.”

It seems to hint that Tesla could add a premium, more luxury offering to its Robotaxi platform eventually. Think about it: Uber has Uber Black, Lyft has Lyft Black. These vehicles and services are associated with a more premium cost as they combine luxury models with more catered transportation options.

Tesla could be testing the waters here, and it could be thinking of adding the Model S to its fleet of ride-hailing vehicles.

Reluctant to remove the Model S from its production plans completely despite its low volume contributions to the overall mission of transitioning the world to sustainable energy, the flagship sedan has always meant something. CEO Elon Musk referred to it, along with its sibling Model X, as continuing on production lines due to “sentimental reasons.”

However, its purpose might have been expanded to justify keeping it around, and why not? It is a cozy, premium offering, and it would be great for those who want a little more luxury and are willing to pay a few extra dollars.

Of course, none of this is even close to confirmed. However, it is reasonable to speculate that the Model S could be a potential addition to the Robotaxi fleet. It’s capable of all the same things the Model Y is, but with more luxuriousness, and it could be the perfect addition to the futuristic fleet.

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