Tesla’s rapid pace of innovation will not be slowed down due to a lack of infrastructure as the automaker announced this morning a massive investment over the next two years.
Currently Tesla has three Gigafactories under construction on three different continents, and Model Y production has been ramping up in the US and set to begin soon in China. With all that going on, and the ongoing growth of the its Energy division, Tesla spends a lot of money on capital expenditures.
Based on information in a new 10-Q form filed with the United States Securities and Exchange Commission (SEC), the automaker has big plans over the next two years.
According to the filing, Tesla plans to spend up to $3.5 billion in capital expenditures during 2020. This number falls at the high end of their earlier projections for the year.
While that number is high, the filing also says Tesla will spend up to $6 billion in each of the next two years.
“Owing and subject to the foregoing as well as the pipeline of announced projects under development and all other continuing infrastructure growth, we currently expect our capital expenditures to be at the high end of our range of $2.5 to $3.5 billion in 2020 and increase to $4.5 to $6.0 billion in each of the next two fiscal years.”
To put those numbers in perspective, Tesla will reportedly spent approximately $2 billion in the construction of Giga Shanghai.
With such a large amount planned for capital expenditures, the natural question that comes to mind is what exactly that money will be spent on. A large portion for 2021 will likely go towards the ongoing construction of Giga Texas and Giga Berlin, both of which are scheduled to open next year.
Then there’s also the introduction of new product lines like the Cybertruck and Semi, both set to be released in 2021.
That leaves a lot of money left over for 2022 – could Tesla be planning to build another Gigafactory?