Panasonic To Invest In Tesla Motors Giga Factory One Step At A Time
According to ValueWalk, Panasonic is committed to Tesla Motors, but Panasonic’s level of commitment depends solely on battery cell demand.
ValueWalk reported last week:
“Japanese giant Panasonic Corporation executives sought to ally investor concerns about the firm taking part in the electric vehicle maker’s $5 billion plant, clarifying that any investment decision will be made one step at a time, in line with market demand. In today’s investor relations event, analysts questioned how Panasonic will ensure a return on its investment and whether it has any backup plan if demand for Tesla cars doesn’t live to initial expectations.”
Panasonic’s Executive Officer Shinji Sakamoto went on record stating:
“We have no intention of taking on a big adventure all at once.”
Panasonic’s current agreement with Tesla Motors calls for 2 billion cells to be delivered to Tesla through the end of 2017. Beyond that, there’s official on-the-record agreement for Panasonic to supply Tesla. It’s widely believed that Panasonic will join forces with Tesla Motors on the battery giga factory, but Panasonic’s stance is that it will evaluate demand and invest only step by step in tune with dmeand.
Panasonic senior managing executive officer Yoshio Ito commented on the giga factory, saying that Panasonic will weigh “division of responsibilities and share of ownership in the factory” before making any official decision.