Tesla is in the business of making electric cars which means it needs batteries, lots of them. The company has set up a giant factory for producing batteries but it also sources them from other companies. A new report out of Korea suggests that Tesla might source batteries from Samsung SDI, the battery division of the Korean conglomerate best known for smartphones and home appliances.
Reports suggest that Tesla is considering to source batteries from Samsung SDI. Apparently it’s looking at the competitive price and high efficiency of Samsung SDI’s batteries and becoming convinced that it will be good for business to have it on as a supplier.
Samsung and Tesla are said to be in negotiations and it’s believed that the supply contract will be finalized in the near future. Samsung has never provided batteries to Tesla before, who has sourced it from the likes of Panasonic and even LG Chem.
Tesla will certainly need as many batteries as it can get its hands on as it looks to significantly increase output in the coming years. It only makes sense to diversify the supply chain and ensure that there are multiple suppliers for one of the most crucial components of an electric car: batteries.
Filed in . Read more about Samsung and Tesla. Source: businesskorea.co.kr