The Tesla Motors company is not giving up on its plans and uses every possible opportunity to improve the quality of its cars. The company is ready to invest millions of dollars to improve its batteries this time around. Compared to the estimate made a year ago by the British agency, the amount of planned investments in electric vehicles has more than doubled since the previous estimate.
The amount planned has exceeded the estimates given by the British agency only a year ago. A Reuters report on the investment compares the said amount with the market capitalization of Alphabeta, the parent company of Google and Vaimoa, which goes up to 1.3 billion dollars, in order to get an understanding of the size of the investment.
The analysis notes that car makers plan to produce 54 million battery-powered cars by 2030, which is more than half of total electric car production. Benchmark Mineral Intelligence and manufacturers estimate that battery production capacity will reach 5.8 terawatt-hours by 2030 to support such a large number of electric vehicles.
Tesla's chief executive officer Elon Musk wants to build 20 million electric cars by 2030, which will require three terawatt-hours of batteries. Tesla is already working on a platform that will let it make smaller cars that cost half as much as Model 3s and Model Ys.
According to a Reuters analysis of the company's financial data, such exponential growth -- a 13-fold jump over its estimated 1.5 million cars this year -- will cost hundreds of billions of dollars. The projected global demand for electric vehicles and batteries.
Although Volkswagen lags behind Tesla, it has ambitious plans to invest more than 100 billion dollars to build a global electric vehicle portfolio, build new battery gigafactories and secure raw materials supplies by the end of the decade.
Toyota Motor Corporation plans to invest $70 billion in electrifying vehicles and making more batteries and hopes to sell more than 3.5 million battery electric vehicles (BEVs) by 2030. In that period, Lexus plans to switch to electric batteries for at least 30 different models.
Additionally, Ford Motor Company is spending $50 billion on new EVs, and plans to build at least 240 gigawatt-hours of battery capacity with its partners by the end of this decade. That's half of what it's planning to produce.