Tesla Inc. (NASDAQ:TSLA) Chief Executive Officer Elon Musk says his company is open to licensing software and supplying powertrains and batteries to competing automakers.
Tesla has previously supplied batteries to Mercedes-Benz and Toyota under separate partnership deals. Battery manufacturing is an area that analysts and industry officials say Tesla has a competitive edge compared with competing automakers.
It was unclear which types of batteries Tesla would supply to other vehicle manufacturers. Tesla currently runs a battery joint venture with Panasonic Corp. and sources batteries from China’s Contemporary Amperex Technology (CATL) and South Korea’s LG Chem. Batteries are the most expensive and important component of electric vehicles.
Tesla is in the process of building a battery manufacturing facility at its Fremont, California plant under a project called "Roadrunner." Musk said in a recent earnings conference call that the real limitation to Tesla’s growth is battery cell production at an affordable price.
