Tesla Motors to unveil major new Tesla product line next month
Elon Musk, chief product architect of Tesla Motors tweeted that the company would introduce a major new product line next month. Musk tweeted that the new product line will be revealed at Hawthorne Design Studio on Thursday 8pm, April 30. Shares in the electric car company jumped 3% to $190.97 on the news.
Some reports mentioned that the product might be a home battery based on a technology used in the Tesla vehicles. Musk has spoken about it during a February earnings call.
At that time, he said, "We're going to unveil some of the Tesla home battery or consumer battery that will be for use in people's houses or businesses, fairly soon. We have the design done, and it should start going into production probably in about six months or so".
Musk in the tweet on Monday didn't give details about the product. According to Trip Chowdhry, an analyst at Global Equities Research, Tesla has been testing stationary storage batteries systems for residential customers in as many as 250 households in California for the past two years.
However, it is still unclear how a Tesla battery will work in residential homes. Musk has replaced traditional energy-generating utilities and already holds the position of SolarCity's chairman, which is one of the country's largest rooftop solar system installers.
SolarCity Corp has installed Tesla batteries at 13 Wal-Mart Stores outlets in California and more will probably be added in the coming years. The batteries will help manage peak energy demand. A $5 billion battery plant near Reno, Nevada, is also being built by Tesla.
The plant, known as 'gigafactory', is designed to more than double the world's supply of lithium-ion batteries. This would help to reduce costs and make electric cars more affordable.
It might be possible that Musk is launching these batteries under the Tesla brand instead of SolarCity. He could also introduce something completely different not related to batteries.