Tesla’s secret weapon is something that many investors don’t even think to consider when they think of Tesla. CNN Business reminded us that investors only think about EVs when they think about Tesla. However, Tesla’s secret weapon is fueled by the same thing life on Earth is — our sun. “It’s easy to forget that Tesla sells batteries and solar power products,” says Alex Potter of Piper Sandler. “Clearly, the market is big enough to ‘move the needle’ — and perhaps large enough to surpass the automotive segment.”
In CNBC’s latest video titled, “How Elon Musk Took Tesla To Hell and Back With The Model 3,” CNBC reminds the world that when Tesla acquired SolarCity, many thought it was an incredibly dumb move. (Many also supported it, including the large majority of TSLA shareholders and a similar percentage of CleanTechnica readers.) The video itself seemed to paint a bleak and sensational view on Tesla and Elon Musk, but, in my opinion here, the producers had quite a challenge painting the mostly positive things about Tesla in a negative light.
Despite being called a disaster, failure, or even painted as a top threat to Tesla, Tesla has proven that it can do with the solar industry the same thing it has done with a stagnating automotive industry: reinvent it. It seems as if every day, Tesla is filing a new patent regarding its battery tech, which has a clear edge over the competition in the auto industry, or its energy business. Tesla’s invention of the Solarglass Roof, solar panels made to resemble roofing tiles in a sleek new design, is just beginning to show fruits, but the signs are optimistic. (One of our core team members got a Tesla Solar Roof last year because of its competitiveness, and a new version has since come out that’s significantly better.)
Tesla’s not so secret weapon is its ability to innovate — innovate, innovate, innovate, and innovate. Its secret weapon is applying that to the energy industry. It is starting to harness the power of the sun in new ways while incorporating battery technology to bring highly competitive options to homes, businesses, and utilities.
Regarding the auto segment, everyone seems to now acknowledge that Tesla’s innovation is pushing the industry further than it had ever gone before ad further than most thought possible.
Potter projects that Tesla’s solar and battery business could bring in about $80 billion annually in the 2030s. He also surmises that many of Tesla’s solar customers will also own Tesla vehicles and will want to completely power their cars with clean energy from home rather than utility-generated electricity. He also believes that many Tesla vehicle owners will choose Tesla solar and batteries whether or not the purchase saves them money. Potter says that he just recently installed the Tesla solar panels and battery at his own home in Minnesota to help charge his Model X. “The results have been illuminating so far, and we’re upping our price target accordingly.”
Tesla has been deemed an inevitable failure before by many critics. Some (or many) still believe Tesla will fail. However, Elon Musk has this mentality of never giving up no matter what. This ideology can be seen in Tesla’s life story, as well as SpaceX’s. No matter the challenges, Elon always figures out a solution. It may not be easy. In fact, when people face a hard challenge, they often give up and quit, so those who don’t can reap big rewards. Fortunately, Elon doesn’t listen much to naysayers and has done the “impossible.”