Can the Model 3 Do for Tesla What the Model T Did for Ford?
Tesla Model 3
So far in the series, we have covered the importance of mass-market electric vehicles and how the Tesla (TSLA) Model 3’s specifications set it apart from the competition. Until a few years ago, buying an electric vehicle (or EV) was considered a headache. This was primarily due to the lack of access to the infrastructure required to charge the battery of the EV.
However, with its supercharger and destination charger network, Tesla has changed the perceptions of EV buyers. In this final article of the series, we’ll look at Tesla’s plans to expand its supercharger, destination charger, and store network, and how this is crucial to enhancing the reach of the Model 3.
Plans to expand supercharger network
Currently, Tesla Motors has a network of 3,608 superchargers and 3,689 destination chargers worldwide. During the Model 3 unveiling event, the company announced its plans to aggressively increase the numbers of superchargers and destination chargers to 7,200 and 15,000, respectively, by the end of 2017.
Note that superchargers are free connectors that Tesla has placed near strategic locations such as restaurants, shopping centers, and Wi-Fi hotspots as part of its destination charging program. For destination chargers, the company partners with frequently visited places such as restaurants, resorts, and shopping malls to let Tesla car owners charge their EVs at these properties.
Plans to increase store and service locations
Unlike legacy automakers (VCR) such as General Motors (GM), Ford Motor Company (F), and Toyota (TM), Tesla does not have a dealer network. Instead, the company relies on its 215 company-owned stores in North America, Europe, and Asia-Pacific to sell its vehicles. These stores also provide servicing to Tesla vehicles. By the end of 2017, the company plans to more than double this number to 441 stores.
For Tesla’s Model 3 to successfully market to the masses, the company’s supercharger, destination charger, and store network will be crucial. This network should ensure the easy maintenance of Tesla electric vehicles by their customers.
Annual capacity
CEO Elon Musk said that the company is confident that it will be able to produce half a million vehicles annually in the near future. In addition, Tesla’s Gigafactory will help to produce the batteries for these vehicles. Musk added that the Gigafactory is going to become the world’s largest lithium-ion battery producer.
The scale of this production can be understood by Musk’s claim that the Gigafactory will produce more lithium-ion batteries than all the world’s other factories combined.