Southern California Energy Summit

JB Straubel
CTO, co-founder
Oct 10
th
, 2014
Lead-acld Lechnology was sLaLus quo ln 1993
erformance had sLagnaLed
! ShorL llfespan
! very heavy
! ShorL range
LlLhlum lon Made osslble:
! 4 x gravlmeLrlc energy denslLy
! 6 x volumeLrlc energy denslLy
! 3 x cycle llfe
EV Battery History
Industry rst Lithium Ion EV Powertrain
3 -
Controls and Software
Power Electronics
Module
(DC-AC Inverter, Charger)
Proprietary
53 kWh Lithium ion
battery pack
Proprietary 250hp AC
Induction Motor and
Gearbox
A new ldea aL Lhe 1lme (2004):
erformance LlecLrlc Cars
Focus on Energy Storage Packaging and Cost
" Ground-up design as EV-only (Model S)
" Optimal packaging, safety and performance
" High energy density leads to lower cost
85 kWh Battery
Pack
Glass Cockpit Comfort with Software
An Electronics and Software Culture
Core focus and Tesla DNA
Battery voltage management
Motor Control
Diagnostics
Touchscreen
Mobile App
Traction and Stability Control
Complete Over the Air Updates


Model S
Starting at $62,400

Starting at $62,400

Starting at $70,000

erformance
! 0-60 mph : 4.2s (sport), 3.2s (dua| motor sport)
urlvlng range
! 26S m||es (US LA ranng)
Advanced range capablllues
! 20 m|nute DC fast charge capab|||ty (10-60)
Model S Most Awarded car of 2013
Dual Motor Platform Unveiled Oct 9
th

" 3.2 second 0-60mph in Model S P85D (really fast!)
" Improved efciency and torque distribution
Model X Launch in 2015
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Market S|ze ] 1|m|ng
1es|a Mode| S 1es|a Mode| k
Second Generanon |auorm
1es|a koadster
I|rst Generanon
Mode| 3 |auorm
1es|a Mode| 3 Sedan & Crossover
Product Roadmap Growing EV Volume
Tesla Roadster
GM EV1
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600
500
400
300
200
1985 1990 1995 2000 2005
Year
2010 2015 2020
Model S
700
Model 3
Battery Energy Density Trend
800
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Market S|ze ] 1|m|ng
1es|a Mode| S 1es|a Mode| k
Second Generanon |auorm
1es|a koadster
I|rst Generanon
Mode| 3 |auorm
1es|a Mode| 3 Sedan & Crossover
Product Roadmap Growing EV Volume
0
5
10
15
20
25
30
35
40
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Gigafactory
Others
Lishen
BYD
BAK
ATL
Maxell
Sony
Panasonic
LGC
SDI

500,000
Vehicles
Global cell supply
growing, but
almost entirely in
Asia
Planned 2020 Gigafactory Production Exceeds 2013 Global Production
Battery pack cost/kWh reduced >30% for Model 3

35,000
Vehicles

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Tesla Battery Gigafactory
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Pack
Enclosure
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Can &
Cap
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Raw Steel/
Aluminum
L|ectro|yte
Manufactur|ng
Gigafactory Process Flow
CoCO3
Ni metal
NiCoAlOH
(precursor)
NiSO4
H2SO4 NaAlO2
NaOH
NiCoAlO

Calcining
Li2CO3 LiOH
Chemical conversion
LiNiCoAlO2
Pulverizing
Classifying
O2
Calcining
CoSO4
smelLer
Start with Raw Materials Cost
Tesla Supercharger Network
DC connection to vehicle
135 kW power (300-415VDC)
0-50% SOC in 20 minutes

Free unlimited usage by Model S customers
EV Infrastructure Tesla Supercharger

Lnergy cost d|spar|ty grow|ng (between e|ectr|c|ty and petro|eum)
LlecLrlc sha power ls roughly 4x as emclenL as peLroleum
LlecLrlc sha power ls ~$1.00/gallon equlvalenL (vs. $4.00/gallon)
EV Operating Cost
2014 Year-End Plan US & Canada
115 active sites in US
> 200 sites worldwide
Adding a new location every ~18 hours

Superchargers Today (Tesla web Site nd us)
Superchargers around the world
2014 Plan - Europe
Shanghai Supercharger
Tesla Supercharger Usage Metrics
1oLal Lnergy CuLpuL (MWh) 10,897
1oLal CapaclLy (kW) 63,730
1oLal # of SC locauons / sLalls
189/1041
(+11 new slLes ln !une)
1oLal # of Supercharge Sesslons ~300,000
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1. 8auery Cell and Cell MaLerlals Suppllers - huge growLh opporLunlLy
8aw maLerlals (nlckel, CobalL, LlLhlum Pydroxlde, CraphlLe, SeparaLor, LlecLrolyLe)
Cell Assembly equlpmenL (coaung, presslng, wlndlng, assembly)
2. LlecLrlc uullues
8evenue growLh and Load ManagemenL opporLunlLy
ubllc charglng growLh opporLunlLy (fasL uC and slower AC)
CrowLh ln renewable energy generauon wlLh charglng sLorage buer
3. ower LlecLronlcs Suppllers - growLh opporLunlLy
lC81's, charglng, magneucs, uC-uC converslon, Lhermal lnLerface maLerlals
4. AuLomouve and LqulpmenL CLM's - slgnlcanL change, opporLunlLy and rlsk
new Lv producL aurlbuLes can acceleraLe sales, dellghL cusLomers
Lack of lnnovauon or bemng on Lhe wrong Lechnology can cause markeL loss
oorly lmplemenLed Lv Lechnology can wasLe resources and lose cusLomers
3. Cll and Cas Ma[ors - evenLual reducuon ln revenue buL lnsLalled base ls huge and broad
1 bllllon cars on Lhe road, 100M new per year, 0.2 Lv (~200,000/yr)

Industries Affected by Transport Electrication
Product Line Automotive Residential Commercial
Power/Energy 310 kW / 85 kWh 5 kW / 10 kWh 200 kW / 400 kWh+
Listed
Outdoor Rated
Stationary Energy Storage Product Derivatives
29
Behind the Meter Concept w/ Solar Net Metering
Electric Utility
Ownership
Loads (consumption)





Distributed Generation





Distributed Storage





Bidirectional
Energy Flow
30
Behind the Meter Storage Aggregation
10 x 100kWh = 1MWh
Electric Utility
Ownership
Customer
Ownership
31
Behind the Meter Storage Aggregation
Electric Utility
Ownership
Customer
Ownership
10 x 100kWh = 1MWh
Aggreganon
Company
Utility or ISO
32
Behind the Meter Storage Aggregation
Electric Utility
Ownership
Customer
Ownership
60 x 100kWh = 6MWh

10,000 homes x 100kWh = 1,000MWh = 1GWh
Aggreganon
Company
Utility or ISO
Stationary Pack at supercharger station in CA
33
400 kWh bauery pack
Stationary Pack at supercharger station in CA
Peak Demand Reduction at Supercharger Site




MW Scale Stationary Storage
200kW / 400 kWh 200kW / 400 kWh 200kW / 400 kWh 200kW / 400 kWh 200kW / 400 kWh
1MW / 2 MWh
1esla lacLory
lremonL, CA
Scalable
Building
Blocks
400 kWh Scalable System
Utility Scale Storage

Modular
Scalable (10s of MW+)
AC Parallel Connections
High Reliability
Simplified Construction
20MW / 40 MWh
California ISO load curve evolution
2020 California Load and Generation Curves
2020 California Load and Generation Curves
The Ideal Solution?
Q: What area is required to offset 100% of
Passenger car miles driven in the USA?
1

hoLovolLalc
1. 1.658 x 10
12
miles in 2002 (DOT Bureau of Transportation Statistics)
2. cia.gov
The stone age came to an end not for lack of stones
And the oil age will come to an end not for lack of oil
Sheikh Yamani, former Saudi Oil Minister