Tesla investor Day 2023 Keynote presentation

    Tesla investor Day 2023 Keynote presentation

    F6 months ago 355
    Tesla investor Day 2023 Keynote presentation  - Page 1
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    Certain statements in this presentation, including, but not limited to, statements relating to the future development, ramp, production capacity and output rates, supply chain, demand and market growth, 
cost, pricing and profitability, deliveries, deployment, availability and other features and improvements and timing of existing and future Tesla products and technologies such as Model 3, Model Y, Model X, 
Model S, Cybertruck, Tesla Semi, Robotaxi, our next generation vehicle platform, our Autopilot, Full Self-Driving and other vehicle software and our energy storage and solar products; statements regarding 
operating margin, operating profits, spending and liquidity; and statements regarding expansion, improvements and/or ramp and related timing at existing or new factories are “forward-looking 
statements” that are subject to risks and uncertainties. These forward-looking statements are based on management’s current expectations, and as a result of certain risks and uncertainties, actual results 
may differ materially from those projected. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: uncertainties in 
future macroeconomic and regulatory conditions arising from the current global pandemic; the risk of delays in launching and manufacturing our products and features cost-effectively; our ability to grow 
our sales, delivery, installation, servicing and charging capabilities and effectively manage this growth; consumers’ demand for electric vehicles generally and our vehicles specifically; the ability of suppliers 
to deliver components according to schedules, prices, quality and volumes acceptable to us, and our ability to manage such components effectively; any issues with lithium-ion cells or other components 
manufactured at Gigafactory Nevada and Gigafactory Shanghai; our ability to ramp Gigafactory Shanghai, Gigafactory Berlin-Brandenburg, Gigafactory Texas and new factories in accordance with our 
plans; our ability to procure supply of battery cells, including through our own manufacturing; risks relating to international expansion; any failures by Tesla products to perform as expected or if product 
recalls occur; the risk of product liability claims; competition in the automotive and energy product markets; our ability to maintain public credibility and confidence in our long-term business prospects; our 
ability to manage risks relating to our various product financing programs; the status of government and economic incentives for electric vehicles and energy products; our ability to attract, hire and retain 
key employees and qualified personnel and ramp our installation teams; our ability to maintain the security of our information and production and product systems; our compliance with various regulations 
and laws applicable to our operations and products, which may evolve from time to time; risks relating to our indebtedness and financing strategies; and adverse foreign exchange movements. More 
information on potential factors that could affect our financial results is included from time to time in our Securities and Exchange Commission filings and reports, including the risks identified under the 
section captioned “Risk Factors” in our annual report on Form 10-K filed with the SEC on January 31, 2023. Tesla disclaims any obligation to update information contained in these forward-looking 
statements whether as a result of new information, future events or otherwise.
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    Tesla investor Day 2023 Keynote presentation  - Page 3
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    Tesla investor Day 2023 Keynote presentation  - Page 4
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    Sustainable Energy For All of Earth
    5/169
    Our Energy Economy Is Dirty & Wasteful 
Current State SUSTAINABLE FOSSIL FUELS 165 PWh/yr
Primary Energy
Consumption
Over 80% of Global Energy Comes From Fossil Fuels
Only 1/3 of Global Energy Delivers Useful Work or Heat
    6/169
    But there’s a better way
    7/169
    A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
Current State FOSSIL FUELS
SUSTAINABLE SOURCES 82 PWh/yr Sustainable 
Energy Economy
SUSTAINABLE
Primary Energy
Consumption
165 PWh/yr
End Use Efficiency
    8/169
    A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
$10T
Manufacturing
Investment
30TW
Renewable
Power
240TWh
Storage
<0.2%
Land Area
Required
ZERO
Insurmountable
Resource Challenges
10%
2022
World GDP
1/2
The Energy
Required
HOW THE MASTER PLAN WORKS
    9/169
    The Plan To Eliminate Fossil Fuels
Renewably Power 
 The Existing Grid
46 PWh/yr
35%
28 PWh/yr
21%
29 PWh/yr
22%
22 PWh/yr
17%
7 PWh/yr
5%
`
Switch to
Electric Vehicles
Switch to 
Heat Pumps
High Temp Heat 
Delivery & Hydrogen
Sustainably Fuel
Planes & Boats
Reduction In 
Fossil Fuel Use
Displaced 
Fossil Fuels
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    1. Repower the Existing Grid With Renewables
Full 
Sustainability
$0.8T
Manufacturing
Investment
24TWh
Stationary 
Storage
10TW
Solar + Wind
35%
Reduction In 
Fossil Fuel Use
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    2. Switch to Electric Vehicles
Full 
Sustainability
21%
$7.0T
Manufacturing
Investment Needs
115TWh
Vehicle Batteries
& Stationary Storage
4TW
Solar + Wind
Reduction In 
Fossil Fuel Use
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    2. Switch to Electric Vehicles
Full 
Sustainability
21%
$7.0T
Manufacturing
Investment
115TWh
Vehicle Batteries
& Stationary Storage
4TW
Solar + Wind
40M 380M 20M 300M 700M
Reduction In 
Fossil Fuel Use
Global Electric Fleet
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    EVs Use Energy Far More Efficiently
Full 
Sustainability
21%
4x
More Efficient
Oil Well to Wheel
Tesla Model 3
Toyota Corolla
Reduction In 
Fossil Fuel Use
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    3. Switch To Heat Pumps in Homes, Businesses & Industry
Full 
Sustainability
22%
$0.3T
Manufacturing
Investment
6TWh
Stationary 
Storage
5TW
Solar + Wind
Reduction In 
Fossil Fuel Use
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    Heat Pumps Move Heat, They Don’t Create It
0
Primary Energy / Heat Delivered
0.4
0.6
0.8
1.0
Gas Furnace Heat Pump
1.2
1.4
3x 
Reduction
Full 
Sustainability
22%
Reduction In 
Fossil Fuel Use
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    Full 
Sustainability
17%
$0.8T
Manufacturing
Investment
48TWh
Stationary 
Storage
6TW
Solar + Wind
Reduction In 
Fossil Fuel Use
4. Electrify High Temp Heat Delivery & Hydrogen
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    4. Electrify High Temp Heat Delivery & Hydrogen
Full 
Sustainability
17%
$1.0T
Manufacturing
Investment
48TWh
Stationary 
Storage
6TW
Solar + Wind
Reduction In 
Fossil Fuel Use
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    5. Sustainably Fuel Planes & Boats
Full 
Sustainability
5%
$0.8T
Manufacturing
Investment
44TWh
Vehicle Batteries 
& Stationary Storage
4TW
Solar + Wind
Reduction In 
Fossil Fuel Use
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    Stacking Up the Investments in Our Sustainable Future
2
10
4
5
6
Solar & Wind Farms
Today
Renewable
Energy Grid 
Switch to
EVs
Heat Pumps
High Temp
Thermal
1
115
48
24
6
Today Renewable
Energy Grid 
Switch to
EVs
Heat Pumps
High Temp
Thermal
Vehicle & Stationary Batteries
7.0
0.8
0.8
0.3
Renewable
Energy Grid 
Switch to
EVs
Heat Pumps
High Temp
Thermal
Manufacturing Capex
4
Planes and 
Ships
44
Planes and 
Ships
1.0
Planes 
and Ships
30TW 240TWh $10T
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    It’s Entirely Feasible
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    If We Grow our Production Capacity as Shown by 2030
We Can Be 100% Sustainable by 2050
2022 Deployment Required Deployment
Per Year
Solar & Wind Deployment (TW/Yr) Vehicle, Stationary, & Thermal 
Battery Production TWh/Yr Electric Vehicle Production Millions/Yr
.36
1.0
2022 Deployment Required Deployment
Per Year
.54
2022 Deployment Required Deployment
Per Year
8
85
16
11x 29x 3x
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    A Sustainable Energy Economy Is 60% 
 The Cost of Continuing Fossil Fuel Investments
$-
Dollars of Capital Investment [Trillions]
$2
$4
$6
$8
$10
$12
$14
$16
20 Years of Investment
 In Fossil Fuels at 2022 Rate
20 Years Investment in 
Sustainable Energy Economy
Coal Natural Gas Oil
$10T
$14T
    23/169
    More Than Enough Renewable Resources Available 
Solar Direct Land Area
0.14% of Land
Wind Direct Land Area
0.03% of Land
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    More Than Enough Renewable Resources Available 
Solar Direct Land Area
0.14% of Land
Wind Direct Land Area
0.03% of Land
Total Earth Land Area = 32,111,167,147 Acres
12.5% of Land Use for Agriculture = 4B Acres 
= 2x Contiguous US
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    A Sustainable Energy Economy Involves Less Mineral Extraction
EACH TRUCK IS 1 GIGATON
Everything Else Fossil Fuel Extraction
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    EACH TRUCK IS 1 GIGATON
A Sustainable Energy Economy Involves Less Mineral Extraction
Everything Else Sustainable Economy Materials
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    The Resources Are There To Support the Transition
GRAPHITE
ALUMINUM
MANGANESE
IRON
COBALT
COPPER
ZINC
LITHIUM
NICKEL
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Cumulative Demand Until 2050, 
Relative to 2023 USGS Estimated Resources
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    And History Teaches: The More We Look, The More We Find
0
What People Think Happens
1
2
3
4
5
6
7
8
9
Reserves, Normalized To 2000 Reserves
What Actually Happens
‘02 ‘06 ‘10 ‘14 ‘18 ‘22 ‘02 ‘06 ‘10 ‘14 ‘18 ‘22
0
1
2
3
4
5
6
7
8
9
Ni Li Co
Reserves
Cu
    29/169
    Recycling Will Further Reduce Mineral Demand
Recycling
Refining
Cathode Production
Cell Production
Lifetime Usage
Mining
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    A Sustainable Energy Economy Is Within Reach & We Should Accelerate It
$10T
Manufacturing
Investment
30TW
Renewable
Power
240TWh
Storage
<0.2%
Land Area
Required
ZERO
Insurmountable
Resource Challenges
10%
2022
World GDP
1/2
The Energy
Required
HOW THE MASTER PLAN WORKS
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    01 Vehicle Design
Franz von Holzhausen, Lars Moravy
    32/169
    The Early Days
MODEL S
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    2012 Model S
DESIGN ENGINEERING MANUFACTURING
1 2 3
    34/169
    Model 3
DESIGN
ENGINEERING
MANUFACTURING 
1 2 AUTOMATION
    35/169
    Model 3 Production Hell
    36/169
    Cybertruck
STEEL EXOSKELETON
    37/169
    Combining the Processes for the Future
DESIGN
ENGINEERING
MANUFACTURING
1
AUTOMATION
    38/169
    Current Way of Assembling a Vehicle
Stamp Body Paint Final Assembly
    39/169
    Current Way of Assembling a Vehicle
    40/169
    Current Way of Assembling a Vehicle
    41/169
    Structural Pack Sub-Assembly
    42/169
    More People Can Work Simultaneously on Next Generation Vehicle
44%
Operator Density
Improvement
30%
Space Time
Efficiency
Improvement
Model 3 Next Gen Vehicle
    43/169
    Parallel & Serial Assembly
Stamp & Paint
Casting
Vehicle Assembly
Left Side Right Side Floor
Front Rear Other
    44/169
    Unboxed Process
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    Unboxed Process
    46/169
    Next Generation Vehicle Manufacturing Efficiencies
>40%
Reduction In
Manufacturing 
Footprint
LEGACY FOOTPRINT
NEW FOOTPRINT
Cost of Goods Sold / Car
Model 3/Y Next Gen
50% 
Reduction in Cost
Innovation &
Size
    47/169
    02 Powertrain
Colin Campbell
    48/169
    Faster Than a Porsche, More Efficient Than a Prius
    49/169
    Small SUVs (AWD)
EPA Range in Miles/kWh
5
4
3
2
1
0
Model Y VW
1D.4
Ford
Mach-E
Jaguar
iPace
Relentless Focus on Efficiency 
Source: OEM Websites & Other Publicly Available Sources
Audi
e-tron
    50/169
    Efficiency Helps Us Scale
MODEL 3 POWERTRAIN FROM 2017-2022
20%
Lighter
Drive Unit
25%
Less Rare
Earth Materials
75%
Smaller Powertrain
Factory
65%
Cheaper Powertrain
Factory
    51/169
    The Key: Holistic Thinking
    52/169
    Custom Designed Packages & Microprocessors for Power Electronics Custom Microprocessor for High-Power Electronics
BEFORE AFTER
    53/169
    Powerful In-House Software
KEY SIMULATION TOOLS DEVELOPED BY TESLA
    54/169
    Powerful In-House Software
STATOR
ROTOR
KEY SIMULATION TOOLS DEVELOPED BY TESLA
    55/169
    Powerful In-House Software
KEY SIMULATION TOOLS DEVELOPED BY TESLA
    56/169
    In-House Manufacturing Line & Automation Design
    57/169
    Our Next Drive Unit Will Be Even More Scalable
75%
Reduction In 
Silicon Carbide
ANY
Battery Chemistry
Accepted
~$1,000
All-In Cost
50%
Reduction In 
Factory Footprint
    58/169
    Rare Earths Required
~500g
Rare Earth 1
~10g
Rare Earth 2
~10g
Rare Earth 3
MODEL Y
    59/169
    Rare Earths Required
0g
Rare Earth 1
0g
Rare Earth 2
0g
Rare Earth 3
NEXT GENERATION PERMANENT MAGNET MOTOR
Lower Cost & Higher Efficiency Drive Units Using Zero Rare Earths
    60/169
    03 Electronic Architecture
Pete Bannon
    61/169
    Model S 2012
COMPLEX LOW VOLTAGE ARCHITECTURE
    62/169
    It’s Been Messy
    63/169
    Progress So Far
    64/169
    From Model S to Model 3 
IMPROVED LOW VOLTAGE ARCHITECTURE
MODEL S MODEL 3
    65/169
    Designed Our Own Controllers, With More To Come
    66/169
    Switched From Fuse & Relay to Electronic Fuses
    67/169
    Replaced Lead Acid With Lithium Ion Batteries
LEAD-ACID BATTERY LITHIUM ION BATTERY
87%
Mass Reduction
4-YEAR REPLACEMENT LIFETIME
    68/169
    Reduced Costs of Model 3/Y Center Display
    69/169
    What’s Next
    70/169
     The Future of Low Voltage Architecture
CYBERTRUCK, OPTIMUS, & FUTURE VEHICLES ALL 48V
    71/169
    Cybertruck
FURTHER IMPROVING LOW VOLTAGE ARCHITECTURE
    72/169
    Future of Tesla Low Voltage
2012 MODEL S CYBERTRUCK NEXT GENERATION VEHICLE
Simpler & Cheaper Electronic Architecture, With 100% of Controllers Designed In-House
    73/169
    04 Software
David Lau
    74/169
    Relentless Improvement Via Updates & Data Insights
    75/169
    Real World Crash Tests: Fewer Dummies, More Smarts
FRONTAL IMPACTS
LEFT HAND IMPACTS RIGHT HAND IMPACTS
REAR IMPACTS
    76/169
    Enabling Plaid-Speed Product Development
0
2012-10
90B
100B
80B
70B
60B
50B
40B
30B
20B
10B
2013-06
2014-02
2014-10
2015-06
2016-02
2016-10
2017-06
2018-02
2018-10
2019-06
2020-02
2020-10
2021-06
2022-02
2023-02
Total Vehicle Miles, All Platforms
123M MILES DRIVEN PER DAY | 1.9M CHARGE SESSIONS EVERY DAY
    77/169
    Software That Spans the Entire System
    78/169
    Leveraging Vertical Integration
PREDICTIVE AIR SUSPENSION
Rougher Road
    79/169
    Vehicle Software as an Integral Part of the Assembly Line
    80/169
    Building the Foundations of Autonomous Fleet Management
TESLA PROFILES | SHARED PHONE KEY | LOGISTICS APP
    81/169
    Software Enables Efficiency, Cost Reduction & Speed
Enabling Robotaxi Fleet Reducing Service at Mass Scale Empowering Manufacturing
    82/169
    05 Full Self-Driving
Ashok Elluswamy
    83/169
    Architecture for a Generalized Vision System
    84/169
    RegNet
FPN
Main 
Camera
…
Transformer
Video Module
RegNet
FPN
Left Pillar 
Camera
RegNet
FPN
Backup 
Camera
Navigation 
Map
MAP COMPONENT
Lanes 
Instances Autoregressive
Decoder Adjacency 
Matrix
(Dense World 
Tensor) (Sparse Lane 
Outputs)
Lane 
Guidance 
Module
LANGUAGE COMPONENT
VISION COMPONENT
Using State-of-the-Art AI for Modeling
    85/169
    Also Solve Complex Planning Problems Using AI
10ms
Joint Planning for Each Configuration
50ms
Desired Planner Execution Time
    86/169
    Automated Labeling by Multi-Trip Reconstruction
    87/169
    Automatically Produce Challenging Simulations
    88/169
    Data Alone Can Improve Corner Cases
80
85
90
95
100
Sep Jan Mar Apr Oct
Vehicle Movement Accuracy Evaluation Set
Training set
+14K VIDEOS
    89/169
    Triage Shadow
Testing
Mine Fleet
Evaluation Set
Simulation Auto Label 
Human Label
Training Set
Train Online
Model
Train Offline
Model
Corrrect 
Inaccuracy 
DATA ENGINE
SIMULATION AUTO 
LABEL HUMAN LABEL
Tesla Fleet
Deploy
    90/169
    Trained With Large Dataset
14K GPUs
30PB DISTRIBUTED VIDEO CACHE
4K For Auto Labeling
10K for Training
160B Frames
500K Videos Rotating Through Cache/Day
400K Video Instantiations per Second:
OCCUPANCY NETWORK RECIPE
Pick 1.44B frames
Train for 100.000 GPU-hours at 90 C
Large Networks Need Large Clusters
    91/169
    Scalable FSD = AI + Data + Compute
Tesla Vehicles 
Using FSD Beta
US Average
3.2M
0.5M
Higher Utilization Higher Safety
Miles Driven Per 1 Collision
    92/169
    Tesla investor Day 2023 Keynote presentation  - Page 93
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    06 Charging
Rebecca Tinucci
    94/169
    Holistic Charging Experience
1.5M
Weekly Supercharging
Sessions
99%
Roadtrips
Possible
99.9%
Site-Level 
Uptime
9 TWh OF CHARGING PROVIDED IN 2022
    95/169
    How We Got Here
    96/169
    Industry’s Lowest Deployment Costs
0
Supercharger Hardware & Installation Cost
$20K
$40K
$60K
Australia California
-35% $80K
$100K
$120K
$140K
$160K
$180K
$200K
New York
-55%
-75%
Competitor Average Tesla
0
$200
North America Europe
-20% -50%
Competitor Average Tesla
Residential AC Retail Hardware Cost
$400
$600
$800
$1,000
$1,200
    97/169
    Pre-Built Superchargers Save Weeks of Install Time & Cost
    98/169
    40% Improvement in Per kWh Costs
Per kWh Supercharger Cost
(Not Including Energy Costs)
    99/169
    Trip Planner Powers Efficient Routing
0.0%
2019
Wait Time Is Down & Site Utilization Is Up 
1.0%
2.0%
2020 2021 2022
0
100
200
150
50
% Of Customer Waiting
Daily kWh per post
    100/169
    30% Quicker Charge Times 
Average Supercharging Time
- Transition to V3
- Efficient Routing With Trip Planner
- Supercharger Density Increasing
- Vehicle Efficiency 
- Battery Pre-Heating
- Customer Education
(Min)
    101/169
    Tesla investor Day 2023 Keynote presentation  - Page 102
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    Ready To Serve All Vehicles
    103/169
    Maximize Convenient, Renewably-Powered Daytime Charging 
Lots of Vehicles 
Parked During Day
0
0
Match Vehicle Charging With Renewable Generation
5 10 15 20
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
Hour of Day
Vehicle Charging
Few Vehicles 
Parked During Day
Wind + Solar Generation
    104/169
    What It Takes To Get There
Scale Capacity Open Up to Non-Teslas More Renewable Charging
    105/169
    Can’t Forget To Do Cool S***
    106/169
    07 Supply Chain
Karn Budhiraj, Roshan Thomas
    107/169
    Tesla Supply Chain
TIER 1 PARTS TIER 2 PARTS
3.4K
2.1K
2.8K 7K
19K
21K
    108/169
    The Most Powerful In-Vehicle Computer
7K+
Components
1.4ms
Between Each 
Component Assembled 
Into a Car Computer
95%
Reduction in Labor
    109/169
    Inbound Complexity
IMG TBD
16M
Pallets & Racks 
Received in 2022
1B
Electronic Components 
Shipped Each Week
45
Countries
685
Global Service Locations
    110/169
    Supply Chain Hell
    111/169
    Scaling Against the Odds
0
200
Q1 ’18
400
600
800
1000
1200
1400
Q1 ’19 Q1 ’20 Q1 ’21 Q1 ’22 Q4 ’22
THOUSANDS OF VEHICLES TTM
    112/169
    Semiconductor Industry Can Support Our Growth
VEHICLES
SILICON WAFERS USED 12” EQUIVALENT
GLOBAL WAFER CAPACITY
TESLA SHARE
2023 FUTURE
1.8M+
0.7M
~135M
0.5% <5%
20M
8M
200M
Tesla with FSD Hardware Uses More 
Semiconductors Than an ICE Vehicle
RELATIVE USAGE
    113/169
    Before Heat Pump
Legacy Model S/X Legacy Model 3
    114/169
    Next Generation Thermal Architecture
SUBCOMPONENTS
100+
Numerous Manufacturing Processes:
Forging, Stamping, Injection Molding, 
Brazing, Heat Treatment, Plastic Welding, 
Water Jetting, Machining, Ultrasonic 
Cleaning, Air Flushing, Soldering, Leak 
Testing, Complex Assembly
HEAT PUMP
    115/169
    Evolution of the Heat Pump Line
MANUAL
SIMULATED
SEMI-AUTOMATED
AUTOMATED
WHERE WE STARTED
WHERE WE ARE NOW
    116/169
    Doing More With Less
99%
99.995%
7 sec
Reduction in labor
Of heat pumps received at 
Tesla are of high quality
Between each heat pump 
rolling off a supplier line
    117/169
    Efficiency, Automation & Cost
Fewer Parts, Fewer Components Do More With Less Deep Involvement With Suppliers
    118/169
    08 Manufacturing
Tom Zhu, Drew Baglino
    119/169
    65K
Manufacturing
Employees
4
Vehicle
Factories
We Build Ultra High Volume Factories
~2M
Total Annual
Build Capacity
    120/169
    Completed Gigafactory Shanghai in 9.5 Months
    121/169
    First Million
12 Years
Hitting New Milestones in 2023
FOR TOTAL VEHICLE PRODUCTION
Fourth Million
7 Months
    122/169
    What It Takes To Ramp a Gigafactory
21’ Q3 21’ Q4 22’ Q3 22’ Q4
Output
Output
22’ Q1 22’ Q2 21’ Q3 21’ Q4 22’ Q1 22’ Q2 22’ Q3 22’ Q4
Shanghai MY Output
Shanghai MY Labor Hours
Fremont MY Output
Fremont MY Labor Hours
Labor HoursLabor Hours
90% OVERALL EQUIPMENT EFFECTIVENESS & 45 SECOND CYCLE TIME
    123/169
    Question Delete Simplify Accelerate Automate
    124/169
    Remove the minus sign from in front of each number since it says reduction in the unit
16%
Early Service
Reduction
Strengthened Feedback Loop Between Manufacturing & Service
9%
Service Appointment
Wait Time Reduction
11%
Time in Service
Reduction
(Last 6 Months)
    125/169
    Tesla Vehicle Footprint
& MORE TO COME ;)
Austin Berlin Shanghai Fremont
    126/169
    Future Cell Factories, Too There Is No Spoon
THERE IS NO SPOON
    127/169
    There Is No Spoon
THERE IS NO SPOON
Future Cell Factories, Too
    128/169
    Simplicity Up, Investment Down, Scale Up
Typical 2170 Cylindrical Fremont 4680 GFTX 4680 GFNV Future 4680
Parts 
Processes
17 16 15
33 23 21
15
21
    129/169
    And Upstream Materials Where Necessary
50 GWh/Year Corpus Christi Lithium Refinery
STARTS COMMISSIONING END OF 2023
    130/169
    Manufacturing is the Cornerstone of a Sustainable Future
Build Production Lines Faster Ramp Faster Through Learnings New Waves of Production Lines Incoming
    131/169
    09 Energy
Drew Baglino, Mike Snyder
    132/169
    Building Mission-Aligned Projects Globally for 10 Years
    133/169
    Growth Is Accelerating 
65% CAGR SINCE 2016
    134/169
    How Did We Get Here
MANIACAL FOCUS ON ALL ASPECTS OF DELIVERING STATIONARY STORAGE VALUE
    135/169
    Not Just a Big Box of Batteries
    136/169
    14 Years of in-House Power Electronics Expertise
1.4+ TW DEPLOYED
    137/169
    Retiring Fossil Fueled Power Plants With Software
    138/169
    How Did We Get Here
RELENTLESS FOCUS ON SPEED OF EXECUTION
    139/169
    Build Megafactories Faster
FIRST MEGAFACTORY BUILT IN LESS THAN ONE YEAR
    140/169
    Install Projects Faster
4X INSTALLATION & COMMISSIONING SPEED SINCE 2019
    141/169
    Tesla Electric Unlocks the Full Value of Distributed Energy & Storage
Tesla Electric
Value Creation
$61/month
Based on 5,000 Australia 
Customers in 2022
Add Solar and 
Powerwall, without
Grid Interaction
Default Utility Service
$142/month
$69/month
Tesla Electric Real-Time 
Dispatch of Solar and 
Powerwall to Benefit the Grid
Cost of Providing 
Electricity to the 
Average Retail 
Customer
$130 
ENABLING OUR CUSTOMERS TO BECOME THEIR OWN UTILITY
    142/169
    Tesla Electric Rollout Plan
    143/169
    Tesla Electric Rollout Plan
ing
    144/169
    This Is Just the Beginning
We are here
Cumulative Tesla Storage Deployed
Focus on Building Capacity & Ramping Fast Tesla Is an Electricity Retailer
    145/169
    Impact at Tesla
    146/169
    01 Impact
Laurie Shelby, Brandon Ehrhart
    147/169
    Who We Are
    148/169
    The Team is Growing Rapidly
0
20,000
2010
40,000
60,000
80,000
100,000
Tesla Global Employee Count
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
129k
1/2 WORK IN MANUFACTURING
120,000
    149/169
    Engineers Want to Work Here
Total Applicants US Engineering Students’ Rankings
0
500,000
2019
1,000,000
1,500,000
2,000,000
2,500,000
2020 2021
3,000,000 Employer 2022 Ranking
SpaceX
Tesla
NASA
Lockheed Martin
Boeing
Apple
Google
Microsoft
Northrop Grumman
Raytheon Technologies
1
2
3
4
5
6
7
8
9
10
    150/169
    As Employee Engagement Increases, Safety Improves
Employee Suggestions From GFNV
Work Related Injuries Rate
Employee Suggestions
Q1 Q2 Q3 Q4
0
2,000
3,000
4,000
5,000
6,000
7,000
1,000
1.7
2.1
2.3
2.5
2.7
2.9
3.1
1.9
Work related injuries Rate From GFNV
2022
    151/169
    Tesla Solar Energy Storage
Autobidder
Tesla Cells
Tesla Vehicles
FSD
Maximizing Utilization
Through Software
Sustainability & Impact is Everything We Do
    152/169
    Our Products Generate More Energy Than Our Products & Factories Consume
Tesla Cumulative Net Energy Impact: 2012-2021
Energy Produced
Tesla Solar Panels
Energy Consumed
Tesla Factories & Other Facilities
25.39
25.27
Energy Used at Tesla
Factories & Other Facilities
Energy Used to charge
all Tesla vehicles
(TWh)
(TWh)
    153/169
    Our Vehicles Emit Less Emissons Than Gas Vehicles 
0
100
Model 3Y
Personal Use
(US Avg Grid)
200
300
400
500
Average
Premium ICE
Average Lifecycle Emissions in U.S.
gCO2e/mi
Manufacturing Phase Use Phase
INCLUDING BOTH MANUFACTURING & USE
    154/169
    02 Financials
Zach Kirkhorn
    155/169
    We Continue To Reduce Cost of Our Existing Products
2018 2022
Includes material costs, manufacturing costs, inbound and outbound logistics, warranty Normalized for changes in market rates of lithium, nickel, steel and aluminum 
Model 3 Cost Per Car - Normalized
30%
Reduction
    156/169
    Cost Reductions Come From Everywhere
Volume Growth Productivity Overhead
Efficiency
Product
Improvements
Localization Engineering
Changes
Supplier
Scale
    157/169
    New Gen Vehicle Will Enable Step Change in Cost & Volume
Current Volume
Product
Vehicle Battery & 
Powertrain
Manufacturing &
Other
Next Gen 
Vehicle
Cost
50%
Target
    158/169
    Total Cost of Ownership per Mile Over 5 Years
Next Gen
Model 3 Base
Toyota Corolla
    159/169
    Tight Operating Expense Control To Enable Operating Cash Flow
Operating Expenses as a % of Revenue (Non-GAAP)
2018 2019 2020 2021 2022 Q4 2022
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
17.7%
13.7%
6.6%
7.5%
9.4%
10.1%
Excludes digital assets gain/loss, stock-based compensation, material one-time items 
2021 figure excludes $340M payroll tax on CEO award option exercise
    160/169
    Industry Leading SG&A per Car Enabling Improved Affordability
Traditional Tesla
Selling, General & Administrative Expenses per Vehicles
60-70%
Lower Than
Traditional
Benchmark: GAAP Operating Expenses, publicly traded OEM SG&A per vehicle + dealer SG&A per vehicle
Publicly traded OEM SG&A includes average of GM, Ford, BMW, Toyota, Volkswagen, Mercedes Benz
Dealer SG&A per car includes average of Autonation, Lithia, Group 1 Automotive, Sonic Automotive, Asbury Automotive
    161/169
    Efficiency Improvements
FINANCE CASE STUDY
Factory Warehousing Service
Customer Mobile 
App
Finance
Human
Resources Recruiting
Data 
Analytics
Tesla Operating System
    162/169
    Continued Improvement in Internal Process Efficiency 
Efficiency Improvement Performance & Capabilities 
Order Modification
Captive Lease /
Loan Servicing
Captive Insurance
Real Time Data Visibility
10Q & 10K Timeline
North American Sales
4x
Order Operations
4x
Financial Services
5x
Accounts Payable
6x
Document Generation
7x
    163/169
    We Expect our Pace of Investment to Scale With Operating Cash Flow Growth 
1 TWh Annual Energy 
Storage Production
Estimated 
Total Investment Investment to Date 
Funded by Operating 
Cash Flow 
~$150-175B ~$28B
20M Annual 
Vehicle Production
Expand Cell Production, 
Service and Charging
    164/169
    Capital Allocation
1. Daily Operations 2. Growth
3. Opportunistic 4. Excess
Working Capital
Captive Financing 
(Market Gaps)
Downside Protection
R&D
Capital Expenditures 
(Growth)
Capital Expenditures 
(Elective)
Captive Financing 
(Elective)
Acquisitions
Debt Reduction
Buyback / Dividend
    165/169
    Accelerate the 
World’s Transition to 
Sustainable Energy
Reinvest to Achieve 
Unprecedented Scale
Improved 
Affordability
Innovation Driven 
Cost & Efficiency
Achieving the Master Plan
    166/169
    Gigafactory Mexico
MANUFACTURING NEXT GEN VEHICLE
    167/169
    Q&A
    168/169
    Tesla investor Day 2023 Keynote presentation  - Page 169
    169/169

    Tesla investor Day 2023 Keynote presentation

    • 2. Certain statements in this presentation, including, but not limited to, statements relating to the future development, ramp, production capacity and output rates, supply chain, demand and market growth, cost, pricing and profitability, deliveries, deployment, availability and other features and improvements and timing of existing and future Tesla products and technologies such as Model 3, Model Y, Model X, Model S, Cybertruck, Tesla Semi, Robotaxi, our next generation vehicle platform, our Autopilot, Full Self-Driving and other vehicle software and our energy storage and solar products; statements regarding operating margin, operating profits, spending and liquidity; and statements regarding expansion, improvements and/or ramp and related timing at existing or new factories are “forward-looking statements” that are subject to risks and uncertainties. These forward-looking statements are based on management’s current expectations, and as a result of certain risks and uncertainties, actual results may differ materially from those projected. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: uncertainties in future macroeconomic and regulatory conditions arising from the current global pandemic; the risk of delays in launching and manufacturing our products and features cost-effectively; our ability to grow our sales, delivery, installation, servicing and charging capabilities and effectively manage this growth; consumers’ demand for electric vehicles generally and our vehicles specifically; the ability of suppliers to deliver components according to schedules, prices, quality and volumes acceptable to us, and our ability to manage such components effectively; any issues with lithium-ion cells or other components manufactured at Gigafactory Nevada and Gigafactory Shanghai; our ability to ramp Gigafactory Shanghai, Gigafactory Berlin-Brandenburg, Gigafactory Texas and new factories in accordance with our plans; our ability to procure supply of battery cells, including through our own manufacturing; risks relating to international expansion; any failures by Tesla products to perform as expected or if product recalls occur; the risk of product liability claims; competition in the automotive and energy product markets; our ability to maintain public credibility and confidence in our long-term business prospects; our ability to manage risks relating to our various product financing programs; the status of government and economic incentives for electric vehicles and energy products; our ability to attract, hire and retain key employees and qualified personnel and ramp our installation teams; our ability to maintain the security of our information and production and product systems; our compliance with various regulations and laws applicable to our operations and products, which may evolve from time to time; risks relating to our indebtedness and financing strategies; and adverse foreign exchange movements. More information on potential factors that could affect our financial results is included from time to time in our Securities and Exchange Commission filings and reports, including the risks identified under the section captioned “Risk Factors” in our annual report on Form 10-K filed with the SEC on January 31, 2023. Tesla disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events or otherwise.
    • 5. Sustainable Energy For All of Earth
    • 6. Our Energy Economy Is Dirty & Wasteful Current State SUSTAINABLE FOSSIL FUELS 165 PWh/yr Primary Energy Consumption Over 80% of Global Energy Comes From Fossil Fuels Only 1/3 of Global Energy Delivers Useful Work or Heat
    • 7. But there’s a better way
    • 8. A Sustainable Energy Economy Is Within Reach & We Should Accelerate It Current State FOSSIL FUELS SUSTAINABLE SOURCES 82 PWh/yr Sustainable Energy Economy SUSTAINABLE Primary Energy Consumption 165 PWh/yr End Use Efficiency
    • 9. A Sustainable Energy Economy Is Within Reach & We Should Accelerate It $10T Manufacturing Investment 30TW Renewable Power 240TWh Storage <0.2% Land Area Required ZERO Insurmountable Resource Challenges 10% 2022 World GDP 1/2 The Energy Required HOW THE MASTER PLAN WORKS
    • 10. The Plan To Eliminate Fossil Fuels Renewably Power The Existing Grid 46 PWh/yr 35% 28 PWh/yr 21% 29 PWh/yr 22% 22 PWh/yr 17% 7 PWh/yr 5% ` Switch to Electric Vehicles Switch to Heat Pumps High Temp Heat Delivery & Hydrogen Sustainably Fuel Planes & Boats Reduction In Fossil Fuel Use Displaced Fossil Fuels
    • 11. 1. Repower the Existing Grid With Renewables Full Sustainability $0.8T Manufacturing Investment 24TWh Stationary Storage 10TW Solar + Wind 35% Reduction In Fossil Fuel Use
    • 12. 2. Switch to Electric Vehicles Full Sustainability 21% $7.0T Manufacturing Investment Needs 115TWh Vehicle Batteries & Stationary Storage 4TW Solar + Wind Reduction In Fossil Fuel Use
    • 13. 2. Switch to Electric Vehicles Full Sustainability 21% $7.0T Manufacturing Investment 115TWh Vehicle Batteries & Stationary Storage 4TW Solar + Wind 40M 380M 20M 300M 700M Reduction In Fossil Fuel Use Global Electric Fleet
    • 14. EVs Use Energy Far More Efficiently Full Sustainability 21% 4x More Efficient Oil Well to Wheel Tesla Model 3 Toyota Corolla Reduction In Fossil Fuel Use
    • 15. 3. Switch To Heat Pumps in Homes, Businesses & Industry Full Sustainability 22% $0.3T Manufacturing Investment 6TWh Stationary Storage 5TW Solar + Wind Reduction In Fossil Fuel Use
    • 16. Heat Pumps Move Heat, They Don’t Create It 0 Primary Energy / Heat Delivered 0.4 0.6 0.8 1.0 Gas Furnace Heat Pump 1.2 1.4 3x Reduction Full Sustainability 22% Reduction In Fossil Fuel Use
    • 17. Full Sustainability 17% $0.8T Manufacturing Investment 48TWh Stationary Storage 6TW Solar + Wind Reduction In Fossil Fuel Use 4. Electrify High Temp Heat Delivery & Hydrogen
    • 18. 4. Electrify High Temp Heat Delivery & Hydrogen Full Sustainability 17% $1.0T Manufacturing Investment 48TWh Stationary Storage 6TW Solar + Wind Reduction In Fossil Fuel Use
    • 19. 5. Sustainably Fuel Planes & Boats Full Sustainability 5% $0.8T Manufacturing Investment 44TWh Vehicle Batteries & Stationary Storage 4TW Solar + Wind Reduction In Fossil Fuel Use
    • 20. Stacking Up the Investments in Our Sustainable Future 2 10 4 5 6 Solar & Wind Farms Today Renewable Energy Grid Switch to EVs Heat Pumps High Temp Thermal 1 115 48 24 6 Today Renewable Energy Grid Switch to EVs Heat Pumps High Temp Thermal Vehicle & Stationary Batteries 7.0 0.8 0.8 0.3 Renewable Energy Grid Switch to EVs Heat Pumps High Temp Thermal Manufacturing Capex 4 Planes and Ships 44 Planes and Ships 1.0 Planes and Ships 30TW 240TWh $10T
    • 21. It’s Entirely Feasible
    • 22. If We Grow our Production Capacity as Shown by 2030 We Can Be 100% Sustainable by 2050 2022 Deployment Required Deployment Per Year Solar & Wind Deployment (TW/Yr) Vehicle, Stationary, & Thermal Battery Production TWh/Yr Electric Vehicle Production Millions/Yr .36 1.0 2022 Deployment Required Deployment Per Year .54 2022 Deployment Required Deployment Per Year 8 85 16 11x 29x 3x
    • 23. A Sustainable Energy Economy Is 60% The Cost of Continuing Fossil Fuel Investments $- Dollars of Capital Investment [Trillions] $2 $4 $6 $8 $10 $12 $14 $16 20 Years of Investment In Fossil Fuels at 2022 Rate 20 Years Investment in Sustainable Energy Economy Coal Natural Gas Oil $10T $14T
    • 24. More Than Enough Renewable Resources Available Solar Direct Land Area 0.14% of Land Wind Direct Land Area 0.03% of Land
    • 25. More Than Enough Renewable Resources Available Solar Direct Land Area 0.14% of Land Wind Direct Land Area 0.03% of Land Total Earth Land Area = 32,111,167,147 Acres 12.5% of Land Use for Agriculture = 4B Acres = 2x Contiguous US
    • 26. A Sustainable Energy Economy Involves Less Mineral Extraction EACH TRUCK IS 1 GIGATON Everything Else Fossil Fuel Extraction
    • 27. EACH TRUCK IS 1 GIGATON A Sustainable Energy Economy Involves Less Mineral Extraction Everything Else Sustainable Economy Materials
    • 28. The Resources Are There To Support the Transition GRAPHITE ALUMINUM MANGANESE IRON COBALT COPPER ZINC LITHIUM NICKEL 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Cumulative Demand Until 2050, Relative to 2023 USGS Estimated Resources
    • 29. And History Teaches: The More We Look, The More We Find 0 What People Think Happens 1 2 3 4 5 6 7 8 9 Reserves, Normalized To 2000 Reserves What Actually Happens ‘02 ‘06 ‘10 ‘14 ‘18 ‘22 ‘02 ‘06 ‘10 ‘14 ‘18 ‘22 0 1 2 3 4 5 6 7 8 9 Ni Li Co Reserves Cu
    • 30. Recycling Will Further Reduce Mineral Demand Recycling Refining Cathode Production Cell Production Lifetime Usage Mining
    • 31. A Sustainable Energy Economy Is Within Reach & We Should Accelerate It $10T Manufacturing Investment 30TW Renewable Power 240TWh Storage <0.2% Land Area Required ZERO Insurmountable Resource Challenges 10% 2022 World GDP 1/2 The Energy Required HOW THE MASTER PLAN WORKS
    • 32. 01 Vehicle Design Franz von Holzhausen, Lars Moravy
    • 33. The Early Days MODEL S
    • 34. 2012 Model S DESIGN ENGINEERING MANUFACTURING 1 2 3
    • 35. Model 3 DESIGN ENGINEERING MANUFACTURING 1 2 AUTOMATION
    • 36. Model 3 Production Hell
    • 37. Cybertruck STEEL EXOSKELETON
    • 38. Combining the Processes for the Future DESIGN ENGINEERING MANUFACTURING 1 AUTOMATION
    • 39. Current Way of Assembling a Vehicle Stamp Body Paint Final Assembly
    • 40. Current Way of Assembling a Vehicle
    • 41. Current Way of Assembling a Vehicle
    • 42. Structural Pack Sub-Assembly
    • 43. More People Can Work Simultaneously on Next Generation Vehicle 44% Operator Density Improvement 30% Space Time Efficiency Improvement Model 3 Next Gen Vehicle
    • 44. Parallel & Serial Assembly Stamp & Paint Casting Vehicle Assembly Left Side Right Side Floor Front Rear Other
    • 45. Unboxed Process
    • 46. Unboxed Process
    • 47. Next Generation Vehicle Manufacturing Efficiencies >40% Reduction In Manufacturing Footprint LEGACY FOOTPRINT NEW FOOTPRINT Cost of Goods Sold / Car Model 3/Y Next Gen 50% Reduction in Cost Innovation & Size
    • 48. 02 Powertrain Colin Campbell
    • 49. Faster Than a Porsche, More Efficient Than a Prius
    • 50. Small SUVs (AWD) EPA Range in Miles/kWh 5 4 3 2 1 0 Model Y VW 1D.4 Ford Mach-E Jaguar iPace Relentless Focus on Efficiency Source: OEM Websites & Other Publicly Available Sources Audi e-tron
    • 51. Efficiency Helps Us Scale MODEL 3 POWERTRAIN FROM 2017-2022 20% Lighter Drive Unit 25% Less Rare Earth Materials 75% Smaller Powertrain Factory 65% Cheaper Powertrain Factory
    • 52. The Key: Holistic Thinking
    • 53. Custom Designed Packages & Microprocessors for Power Electronics Custom Microprocessor for High-Power Electronics BEFORE AFTER
    • 54. Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA
    • 55. Powerful In-House Software STATOR ROTOR KEY SIMULATION TOOLS DEVELOPED BY TESLA
    • 56. Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA
    • 57. In-House Manufacturing Line & Automation Design
    • 58. Our Next Drive Unit Will Be Even More Scalable 75% Reduction In Silicon Carbide ANY Battery Chemistry Accepted ~$1,000 All-In Cost 50% Reduction In Factory Footprint
    • 59. Rare Earths Required ~500g Rare Earth 1 ~10g Rare Earth 2 ~10g Rare Earth 3 MODEL Y
    • 60. Rare Earths Required 0g Rare Earth 1 0g Rare Earth 2 0g Rare Earth 3 NEXT GENERATION PERMANENT MAGNET MOTOR Lower Cost & Higher Efficiency Drive Units Using Zero Rare Earths
    • 61. 03 Electronic Architecture Pete Bannon
    • 62. Model S 2012 COMPLEX LOW VOLTAGE ARCHITECTURE
    • 63. It’s Been Messy
    • 64. Progress So Far
    • 65. From Model S to Model 3 IMPROVED LOW VOLTAGE ARCHITECTURE MODEL S MODEL 3
    • 66. Designed Our Own Controllers, With More To Come
    • 67. Switched From Fuse & Relay to Electronic Fuses
    • 68. Replaced Lead Acid With Lithium Ion Batteries LEAD-ACID BATTERY LITHIUM ION BATTERY 87% Mass Reduction 4-YEAR REPLACEMENT LIFETIME
    • 69. Reduced Costs of Model 3/Y Center Display
    • 70. What’s Next
    • 71. The Future of Low Voltage Architecture CYBERTRUCK, OPTIMUS, & FUTURE VEHICLES ALL 48V
    • 72. Cybertruck FURTHER IMPROVING LOW VOLTAGE ARCHITECTURE
    • 73. Future of Tesla Low Voltage 2012 MODEL S CYBERTRUCK NEXT GENERATION VEHICLE Simpler & Cheaper Electronic Architecture, With 100% of Controllers Designed In-House
    • 74. 04 Software David Lau
    • 75. Relentless Improvement Via Updates & Data Insights
    • 76. Real World Crash Tests: Fewer Dummies, More Smarts FRONTAL IMPACTS LEFT HAND IMPACTS RIGHT HAND IMPACTS REAR IMPACTS
    • 77. Enabling Plaid-Speed Product Development 0 2012-10 90B 100B 80B 70B 60B 50B 40B 30B 20B 10B 2013-06 2014-02 2014-10 2015-06 2016-02 2016-10 2017-06 2018-02 2018-10 2019-06 2020-02 2020-10 2021-06 2022-02 2023-02 Total Vehicle Miles, All Platforms 123M MILES DRIVEN PER DAY | 1.9M CHARGE SESSIONS EVERY DAY
    • 78. Software That Spans the Entire System
    • 79. Leveraging Vertical Integration PREDICTIVE AIR SUSPENSION Rougher Road
    • 80. Vehicle Software as an Integral Part of the Assembly Line
    • 81. Building the Foundations of Autonomous Fleet Management TESLA PROFILES | SHARED PHONE KEY | LOGISTICS APP
    • 82. Software Enables Efficiency, Cost Reduction & Speed Enabling Robotaxi Fleet Reducing Service at Mass Scale Empowering Manufacturing
    • 83. 05 Full Self-Driving Ashok Elluswamy
    • 84. Architecture for a Generalized Vision System
    • 85. RegNet FPN Main Camera … Transformer Video Module RegNet FPN Left Pillar Camera RegNet FPN Backup Camera Navigation Map MAP COMPONENT Lanes Instances Autoregressive Decoder Adjacency Matrix (Dense World Tensor) (Sparse Lane Outputs) Lane Guidance Module LANGUAGE COMPONENT VISION COMPONENT Using State-of-the-Art AI for Modeling
    • 86. Also Solve Complex Planning Problems Using AI 10ms Joint Planning for Each Configuration 50ms Desired Planner Execution Time
    • 87. Automated Labeling by Multi-Trip Reconstruction
    • 88. Automatically Produce Challenging Simulations
    • 89. Data Alone Can Improve Corner Cases 80 85 90 95 100 Sep Jan Mar Apr Oct Vehicle Movement Accuracy Evaluation Set Training set +14K VIDEOS
    • 90. Triage Shadow Testing Mine Fleet Evaluation Set Simulation Auto Label Human Label Training Set Train Online Model Train Offline Model Corrrect Inaccuracy DATA ENGINE SIMULATION AUTO LABEL HUMAN LABEL Tesla Fleet Deploy
    • 91. Trained With Large Dataset 14K GPUs 30PB DISTRIBUTED VIDEO CACHE 4K For Auto Labeling 10K for Training 160B Frames 500K Videos Rotating Through Cache/Day 400K Video Instantiations per Second: OCCUPANCY NETWORK RECIPE Pick 1.44B frames Train for 100.000 GPU-hours at 90 C Large Networks Need Large Clusters
    • 92. Scalable FSD = AI + Data + Compute Tesla Vehicles Using FSD Beta US Average 3.2M 0.5M Higher Utilization Higher Safety Miles Driven Per 1 Collision
    • 94. 06 Charging Rebecca Tinucci
    • 95. Holistic Charging Experience 1.5M Weekly Supercharging Sessions 99% Roadtrips Possible 99.9% Site-Level Uptime 9 TWh OF CHARGING PROVIDED IN 2022
    • 96. How We Got Here
    • 97. Industry’s Lowest Deployment Costs 0 Supercharger Hardware & Installation Cost $20K $40K $60K Australia California -35% $80K $100K $120K $140K $160K $180K $200K New York -55% -75% Competitor Average Tesla 0 $200 North America Europe -20% -50% Competitor Average Tesla Residential AC Retail Hardware Cost $400 $600 $800 $1,000 $1,200
    • 98. Pre-Built Superchargers Save Weeks of Install Time & Cost
    • 99. 40% Improvement in Per kWh Costs Per kWh Supercharger Cost (Not Including Energy Costs)
    • 100. Trip Planner Powers Efficient Routing 0.0% 2019 Wait Time Is Down & Site Utilization Is Up 1.0% 2.0% 2020 2021 2022 0 100 200 150 50 % Of Customer Waiting Daily kWh per post
    • 101. 30% Quicker Charge Times Average Supercharging Time - Transition to V3 - Efficient Routing With Trip Planner - Supercharger Density Increasing - Vehicle Efficiency - Battery Pre-Heating - Customer Education (Min)
    • 103. Ready To Serve All Vehicles
    • 104. Maximize Convenient, Renewably-Powered Daytime Charging Lots of Vehicles Parked During Day 0 0 Match Vehicle Charging With Renewable Generation 5 10 15 20 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8 Hour of Day Vehicle Charging Few Vehicles Parked During Day Wind + Solar Generation
    • 105. What It Takes To Get There Scale Capacity Open Up to Non-Teslas More Renewable Charging
    • 106. Can’t Forget To Do Cool S***
    • 107. 07 Supply Chain Karn Budhiraj, Roshan Thomas
    • 108. Tesla Supply Chain TIER 1 PARTS TIER 2 PARTS 3.4K 2.1K 2.8K 7K 19K 21K
    • 109. The Most Powerful In-Vehicle Computer 7K+ Components 1.4ms Between Each Component Assembled Into a Car Computer 95% Reduction in Labor
    • 110. Inbound Complexity IMG TBD 16M Pallets & Racks Received in 2022 1B Electronic Components Shipped Each Week 45 Countries 685 Global Service Locations
    • 111. Supply Chain Hell
    • 112. Scaling Against the Odds 0 200 Q1 ’18 400 600 800 1000 1200 1400 Q1 ’19 Q1 ’20 Q1 ’21 Q1 ’22 Q4 ’22 THOUSANDS OF VEHICLES TTM
    • 113. Semiconductor Industry Can Support Our Growth VEHICLES SILICON WAFERS USED 12” EQUIVALENT GLOBAL WAFER CAPACITY TESLA SHARE 2023 FUTURE 1.8M+ 0.7M ~135M 0.5% <5% 20M 8M 200M Tesla with FSD Hardware Uses More Semiconductors Than an ICE Vehicle RELATIVE USAGE
    • 114. Before Heat Pump Legacy Model S/X Legacy Model 3
    • 115. Next Generation Thermal Architecture SUBCOMPONENTS 100+ Numerous Manufacturing Processes: Forging, Stamping, Injection Molding, Brazing, Heat Treatment, Plastic Welding, Water Jetting, Machining, Ultrasonic Cleaning, Air Flushing, Soldering, Leak Testing, Complex Assembly HEAT PUMP
    • 116. Evolution of the Heat Pump Line MANUAL SIMULATED SEMI-AUTOMATED AUTOMATED WHERE WE STARTED WHERE WE ARE NOW
    • 117. Doing More With Less 99% 99.995% 7 sec Reduction in labor Of heat pumps received at Tesla are of high quality Between each heat pump rolling off a supplier line
    • 118. Efficiency, Automation & Cost Fewer Parts, Fewer Components Do More With Less Deep Involvement With Suppliers
    • 119. 08 Manufacturing Tom Zhu, Drew Baglino
    • 120. 65K Manufacturing Employees 4 Vehicle Factories We Build Ultra High Volume Factories ~2M Total Annual Build Capacity
    • 121. Completed Gigafactory Shanghai in 9.5 Months
    • 122. First Million 12 Years Hitting New Milestones in 2023 FOR TOTAL VEHICLE PRODUCTION Fourth Million 7 Months
    • 123. What It Takes To Ramp a Gigafactory 21’ Q3 21’ Q4 22’ Q3 22’ Q4 Output Output 22’ Q1 22’ Q2 21’ Q3 21’ Q4 22’ Q1 22’ Q2 22’ Q3 22’ Q4 Shanghai MY Output Shanghai MY Labor Hours Fremont MY Output Fremont MY Labor Hours Labor HoursLabor Hours 90% OVERALL EQUIPMENT EFFECTIVENESS & 45 SECOND CYCLE TIME
    • 124. Question Delete Simplify Accelerate Automate
    • 125. Remove the minus sign from in front of each number since it says reduction in the unit 16% Early Service Reduction Strengthened Feedback Loop Between Manufacturing & Service 9% Service Appointment Wait Time Reduction 11% Time in Service Reduction (Last 6 Months)
    • 126. Tesla Vehicle Footprint & MORE TO COME ;) Austin Berlin Shanghai Fremont
    • 127. Future Cell Factories, Too There Is No Spoon THERE IS NO SPOON
    • 128. There Is No Spoon THERE IS NO SPOON Future Cell Factories, Too
    • 129. Simplicity Up, Investment Down, Scale Up Typical 2170 Cylindrical Fremont 4680 GFTX 4680 GFNV Future 4680 Parts Processes 17 16 15 33 23 21 15 21
    • 130. And Upstream Materials Where Necessary 50 GWh/Year Corpus Christi Lithium Refinery STARTS COMMISSIONING END OF 2023
    • 131. Manufacturing is the Cornerstone of a Sustainable Future Build Production Lines Faster Ramp Faster Through Learnings New Waves of Production Lines Incoming
    • 132. 09 Energy Drew Baglino, Mike Snyder
    • 133. Building Mission-Aligned Projects Globally for 10 Years
    • 134. Growth Is Accelerating 65% CAGR SINCE 2016
    • 135. How Did We Get Here MANIACAL FOCUS ON ALL ASPECTS OF DELIVERING STATIONARY STORAGE VALUE
    • 136. Not Just a Big Box of Batteries
    • 137. 14 Years of in-House Power Electronics Expertise 1.4+ TW DEPLOYED
    • 138. Retiring Fossil Fueled Power Plants With Software
    • 139. How Did We Get Here RELENTLESS FOCUS ON SPEED OF EXECUTION
    • 140. Build Megafactories Faster FIRST MEGAFACTORY BUILT IN LESS THAN ONE YEAR
    • 141. Install Projects Faster 4X INSTALLATION & COMMISSIONING SPEED SINCE 2019
    • 142. Tesla Electric Unlocks the Full Value of Distributed Energy & Storage Tesla Electric Value Creation $61/month Based on 5,000 Australia Customers in 2022 Add Solar and Powerwall, without Grid Interaction Default Utility Service $142/month $69/month Tesla Electric Real-Time Dispatch of Solar and Powerwall to Benefit the Grid Cost of Providing Electricity to the Average Retail Customer $130 ENABLING OUR CUSTOMERS TO BECOME THEIR OWN UTILITY
    • 143. Tesla Electric Rollout Plan
    • 144. Tesla Electric Rollout Plan ing
    • 145. This Is Just the Beginning We are here Cumulative Tesla Storage Deployed Focus on Building Capacity & Ramping Fast Tesla Is an Electricity Retailer
    • 146. Impact at Tesla
    • 147. 01 Impact Laurie Shelby, Brandon Ehrhart
    • 148. Who We Are
    • 149. The Team is Growing Rapidly 0 20,000 2010 40,000 60,000 80,000 100,000 Tesla Global Employee Count 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 129k 1/2 WORK IN MANUFACTURING 120,000
    • 150. Engineers Want to Work Here Total Applicants US Engineering Students’ Rankings 0 500,000 2019 1,000,000 1,500,000 2,000,000 2,500,000 2020 2021 3,000,000 Employer 2022 Ranking SpaceX Tesla NASA Lockheed Martin Boeing Apple Google Microsoft Northrop Grumman Raytheon Technologies 1 2 3 4 5 6 7 8 9 10
    • 151. As Employee Engagement Increases, Safety Improves Employee Suggestions From GFNV Work Related Injuries Rate Employee Suggestions Q1 Q2 Q3 Q4 0 2,000 3,000 4,000 5,000 6,000 7,000 1,000 1.7 2.1 2.3 2.5 2.7 2.9 3.1 1.9 Work related injuries Rate From GFNV 2022
    • 152. Tesla Solar Energy Storage Autobidder Tesla Cells Tesla Vehicles FSD Maximizing Utilization Through Software Sustainability & Impact is Everything We Do
    • 153. Our Products Generate More Energy Than Our Products & Factories Consume Tesla Cumulative Net Energy Impact: 2012-2021 Energy Produced Tesla Solar Panels Energy Consumed Tesla Factories & Other Facilities 25.39 25.27 Energy Used at Tesla Factories & Other Facilities Energy Used to charge all Tesla vehicles (TWh) (TWh)
    • 154. Our Vehicles Emit Less Emissons Than Gas Vehicles 0 100 Model 3Y Personal Use (US Avg Grid) 200 300 400 500 Average Premium ICE Average Lifecycle Emissions in U.S. gCO2e/mi Manufacturing Phase Use Phase INCLUDING BOTH MANUFACTURING & USE
    • 155. 02 Financials Zach Kirkhorn
    • 156. We Continue To Reduce Cost of Our Existing Products 2018 2022 Includes material costs, manufacturing costs, inbound and outbound logistics, warranty Normalized for changes in market rates of lithium, nickel, steel and aluminum Model 3 Cost Per Car - Normalized 30% Reduction
    • 157. Cost Reductions Come From Everywhere Volume Growth Productivity Overhead Efficiency Product Improvements Localization Engineering Changes Supplier Scale
    • 158. New Gen Vehicle Will Enable Step Change in Cost & Volume Current Volume Product Vehicle Battery & Powertrain Manufacturing & Other Next Gen Vehicle Cost 50% Target
    • 159. Total Cost of Ownership per Mile Over 5 Years Next Gen Model 3 Base Toyota Corolla
    • 160. Tight Operating Expense Control To Enable Operating Cash Flow Operating Expenses as a % of Revenue (Non-GAAP) 2018 2019 2020 2021 2022 Q4 2022 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 20.0% 17.7% 13.7% 6.6% 7.5% 9.4% 10.1% Excludes digital assets gain/loss, stock-based compensation, material one-time items 2021 figure excludes $340M payroll tax on CEO award option exercise
    • 161. Industry Leading SG&A per Car Enabling Improved Affordability Traditional Tesla Selling, General & Administrative Expenses per Vehicles 60-70% Lower Than Traditional Benchmark: GAAP Operating Expenses, publicly traded OEM SG&A per vehicle + dealer SG&A per vehicle Publicly traded OEM SG&A includes average of GM, Ford, BMW, Toyota, Volkswagen, Mercedes Benz Dealer SG&A per car includes average of Autonation, Lithia, Group 1 Automotive, Sonic Automotive, Asbury Automotive
    • 162. Efficiency Improvements FINANCE CASE STUDY Factory Warehousing Service Customer Mobile App Finance Human Resources Recruiting Data Analytics Tesla Operating System
    • 163. Continued Improvement in Internal Process Efficiency Efficiency Improvement Performance & Capabilities Order Modification Captive Lease / Loan Servicing Captive Insurance Real Time Data Visibility 10Q & 10K Timeline North American Sales 4x Order Operations 4x Financial Services 5x Accounts Payable 6x Document Generation 7x
    • 164. We Expect our Pace of Investment to Scale With Operating Cash Flow Growth 1 TWh Annual Energy Storage Production Estimated Total Investment Investment to Date Funded by Operating Cash Flow ~$150-175B ~$28B 20M Annual Vehicle Production Expand Cell Production, Service and Charging
    • 165. Capital Allocation 1. Daily Operations 2. Growth 3. Opportunistic 4. Excess Working Capital Captive Financing (Market Gaps) Downside Protection R&D Capital Expenditures (Growth) Capital Expenditures (Elective) Captive Financing (Elective) Acquisitions Debt Reduction Buyback / Dividend
    • 166. Accelerate the World’s Transition to Sustainable Energy Reinvest to Achieve Unprecedented Scale Improved Affordability Innovation Driven Cost & Efficiency Achieving the Master Plan
    • 167. Gigafactory Mexico MANUFACTURING NEXT GEN VEHICLE
    • 168. Q&A


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