Tesla’s Powerwall battery beats expectations, likely to outpace e-cars
“There’s no way that we can possibly satisfy the demand this year,” Musk told Wall Street analysts Thursday during a conference at which he reviewed Tesla’s first-quarter earnings.
“We’re basically sold out through the middle of next year — in a week! We can’t even respond to them. We have to triage our response to those who want to be a distributor. It’s crazy off the hook. It seems to have gone super viral.”
Tesla’s first quarter revenue rose 51 percent to $939 million, while the company’s net loss widened to $154 million as a result of new investments and the effect of the strong dollar. The loss was estimated at $45 million, better than analysts’ expectations.
A series of two battery backup products for home and industrial use was presented on May 1. The lithium-ion battery modules can accumulate electricity from solar panels, charging up during non-peak hours of energy use, and then provide energy to a home or facility for up to 3-5 hours. The newly developed systems come under a product line called Tesla Energy.
Homeowners will be able to get a Powerwall battery in 7 and 10 kilowatt-hour modules for $3,000 and $3,500 respectively. Tesla will also offer 100-kilowatt-hour modules for industrial applications at $25,000 each.
The company has made a substantial contribution in changing the car business, forcing other major car producers to develop their own e-vehicles. Tesla's Powerwall battery could trigger a similar trend in the home-charging business.
Tesla hopes to reveal a prototype of its next vehicle, the Model 3 sedan, in March 2016. It will cost about half the price of a Model S and is expected to go on sale at the end of 2017.