#1FFEET ENVES TOR AQUACALU DAY#2Certain statements in this presentation, including, but not limited to, statements relating to the future development, ramp, production capacity and output rates, supply chain, demand and market growth, cost, pricing and profitability, deliveries, deployment, availability and other features and improvements and timing of existing and future Tesla products and technologies such as Model 3, Model Y, Model X, Model S, Cybertruck, Tesla Semi, Robotaxi, our next generation vehicle platform, our Autopilot, Full Self-Driving and other vehicle software and our energy storage and solar products; statements regarding operating margin, operating profits, spending and liquidity; and statements regarding expansion, improvements and/or ramp and related timing at existing or new factories are "forward-looking statements" that are subject to risks and uncertainties. These forward-looking statements are based on management's current expectations, and as a result of certain risks and uncertainties, actual results may differ materially from those projected. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: uncertainties in future macroeconomic and regulatory conditions arising from the current global pandemic; the risk of delays in launching and manufacturing our products and features cost-effectively; our ability to grow our sales, delivery, installation, servicing and charging capabilities and effectively manage this growth; consumers' demand for electric vehicles generally and our vehicles specifically; the ability of suppliers to deliver components according to schedules, prices, quality and volumes acceptable to us, and our ability to manage such components effectively; any issues with lithium-ion cells or other components manufactured at Gigafactory Nevada and Gigafactory Shanghai; our ability to ramp Gigafactory Shanghai, Gigafactory Berlin-Brandenburg, Gigafactory Texas and new factories in accordance with our plans; our ability to procure supply of battery cells, including through our own manufacturing; risks relating to international expansion; any failures by Tesla products to perform as expected or if product recalls occur; the risk of product liability claims; competition in the automotive and energy product markets; our ability to maintain public credibility and confidence in our long-term business prospects; our ability to manage risks relating to our various product financing programs; the status of government and economic incentives for electric vehicles and energy products; our ability to attract, hire and retain key employees and qualified personnel and ramp our installation teams; our ability to maintain the security of our information and production and product systems; our compliance with various regulations and laws applicable to our operations and products, which may evolve from time to time; risks relating to our indebtedness and financing strategies; and adverse foreign exchange movements. More information on potential factors that could affect our financial results is included from time to time in our Securities and Exchange Commission filings and reports, including the risks identified under the section captioned "Risk Factors" in our annual report on Form 10-K filed with the SEC on January 31, 2023. Tesla disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events or otherwise. TSLA LIVE#3Current State Our Energy Economy Is Dirty & Wasteful SUSTAINABLE FOSSIL FUELS Over 80% of Global Energy Comes From Fossil Fuels Only 1/3 of Global Energy Delivers Useful Work or Heat Primary Energy Consumption 165 PWh/yr TSLA LIVE#4A Sustainable Energy Economy Is Within Reach & We Should Accelerate It Current State Sustainable Energy Economy SUSTAINABLE LOT SUSTAINABLE SOURCES FOSSIL FUELS End Use Efficiency Primary Energy Consumption 165 PWh/yr 82 PWh/yr TSLA LIV#5A Sustainable Energy Economy Is Within Reach & We Should Accelerate It HOW THE MASTER PLAN WORKS 240TWh Storage 30TW $10T Renewable Manufacturing Power Investment 1/2 The Energy Required <0.2% Land Area Required 10% 2022 World GDP ZERO Insurmountable Resource Challenges TSLA LI#6Reduction In Fossil Fuel Use Displaced Fossil Fuels 35% Renewably Power The Existing Grid 46 PWh/yr The Plan To Eliminate Fossil Fuels 21% Switch to Electric Vehicles 28 PWh/yr 22% Switch to Heat Pumps 29 PWh/yr 17% High Temp Heat Delivery & Hydrogen 22 PWh/yr 5% Sustainably Fuel Planes & Boats 7 PWh/yr TSLA LIVE#735% Reduction In Fossil Fuel Use 1. Repower the Existing Grid With Renewables 24TWh Stationary Storage 10TW Solar + Wind $0.8T Manufacturing Investment Ⓒ TSLA Full Sustainability LIVE#821% Reduction In Fossil Fuel Use TESLA 2. Switch to Electric Vehicles TESLA 115TWh Vehicle Batteries & Stationary Storage TESLA 4TW Solar + Wind TESLA $7.0T Manufacturing Investment Needs TESLA Full Sustainability TSLA LIVE#921% Reduction In Fossil Fuel Use 40M 380M 2. Switch to Electric Vehicles Global Electric Fleet 115TWh Vehicle Batteries & Stationary Storage 20M 4TW Solar + Wind $7.0T Manufacturing Investment 300M Full Sustainability 700M TSLA LIVE#1021% Reduction In Fossil Fuel Use Tesla Model 3 Toyota Corolla EVS Use Energy Far More Efficiently Full Sustainability 4x More Efficient Oil Well to Wheel TSLA LIVE#1122% Reduction In Fossil Fuel Use 3. Switch To Heat Pumps in Homes, Businesses & Industry <<-SHOL 6TWh Stationary Storage 5TW =CHS=>> Solar + Wind 1SHO= CHS $0.3T Manufacturing Investment CHR- AA Full Sustainability TSLA LIVE#1222% Reduction In Fossil Fuel Use Heat Pumps Move Heat, They Don't Create It Primary Energy / Heat Delivered 1.4 1.2 1.0 0.8 0.6 0.4 O Gas Furnace 3x Reduction Heat Pump TS Full Sustainability LIVE#1317% Reduction In Fossil Fuel Use 4. Electrify High Temp Heat Delivery & Hydrogen 48TWh Stationary Storage 6TW Solar + Wind $0.8T Manufacturing Investment Full Sustainability TSLA LIVE#1417% Reduction In Fossil Fuel Use 4. Electrify High Temp Heat Delivery & Hydrogen 48TWh Stationary Storage 6TW Solar + Wind $1.0T Manufacturing Investment Ⓒ Full Sustainability TSLA LIVE#155% Reduction In Fossil Fuel Use 5. Sustainably Fuel Planes & Boats 44TWh Vehicle Batteries & Stationary Storage 4TW Solar + Wind ‒‒‒‒ $0.8T Manufacturing Investment Full Sustainability TSLA LIVE#162 Today 10 Solar & Wind Farms 30TW Renewable Energy Grid Stacking Up the Investments in Our Sustainable Future Switch to EVS 5 Heat Pumps High Temp Thermal Planes and Ships 1 Today Vehicle & Stationary Batteries 240TWh 24 Renewable Energy Grid 115 Switch to EVS 6 Heat Pumps 48 High Temp Thermal 44 Planes and Ships 0.8 Renewable Energy Grid Manufacturing Capex $10T 7.0 Switch to EVS 0.3 0.8 High Temp Heat Pumps Thermal TS 1.0 Planes and Ships LIVE#17It's Entirely Feasible TSLA LIVE#18If We Grow our Production Capacity as Shown by 2030 We Can Be 100% Sustainable by 2050 Solar & Wind Deployment (TW/Yr) .36 3x 1.0 2022 Deployment Required Deployment Per Year Vehicle, Stationary, & Thermal Battery Production TWh/Yr .54 29x 16 2022 Deployment Required Deployment Per Year Electric Vehicle Production Millions/Yr 8 11x 85 2022 Deployment Required Deployment Per Year TSLA LIVE#19Dollars of Capital Investment [Trillions] A Sustainable Energy Economy Is 60% The Cost of Continuing Fossil Fuel Investments $16 $14 $12 $10 $8 $6 $4 $2 A $14T 20 Years of Investment In Fossil Fuels at 2022 Rate Coal $10T 20 Years Investment in Sustainable Energy Economy Natural Gas Oil TSLA LIVE#20More Than Enough Renewable Resources Available F Solar Direct Land Area 0.14% of Land Wind Direct Land Area 0.03% of Land Total Earth Land Area = 32,111,167,147 Acres 12.5% of Land Use for Agriculture = 4B Acres = 2x Contiguous US TSLA LIVE#21A Sustainable Energy Economy Involves Less Mineral Extraction EACH TRUCK IS 1 GIGATON అంటే పై చే . Everything Else Fossil Fuel Extraction వా TSLA LIVE#22A Sustainable Energy Economy Involves Less Mineral Extraction EACH TRUCK IS 1 GIGATON glege gege gege ge eee eee goe H ge google gae gue ge geee eee ge భావ భావం google Everything Else Sustainable Economy Materials TSLA LIVE#23NICKEL LITHIUM ZINC COPPER COBALT IRON MANGANESE ALUMINUM GRAPHITE 0% The Resources Are There To Support the Transition 10% 20% Cumulative Demand Until 2050, Relative to 2023 USGS Estimated Resources 30% 40% 50% 60% 70% 80% 90% 100% TSLA LIVE#24And History Teaches: The More We Look, The More We Find Reserves 9 8 7 6 5 4 3 2 1 O '02 What People Think Happens '06 '10 '14 $18 $22 Reserves, Normalized To 2000 Reserves 8 7 6 5 M 2 O '02 | What Actually Happens '06 Ni | '10 Li '14 | Co $18 $22 Cu TSLA LIVE#25Recycling Will Further Reduce Mineral Demand Mining Recycling Lifetime Usage Cell Production Refining Cathode Production TS LIVE#26A Sustainable Energy Economy Is Within Reach & We Should Accelerate It HOW THE MASTER PLAN WORKS 240TWh Storage 30TW $10T Renewable Manufacturing Power Investment 1/2 The Energy Required <0.2% Land Area Required 10% 2022 World GDP ZERO Insurmountable Resource Challenges TSLA LI#2701 Vehicle Design Franz von Holzhausen, Lars Moravy TSLA LIVE#28The Early Days MODEL S TS LR LIVE#291 DESIGN 2 2012 Model S ENGINEERING 3 MANUFACTURING TSLA LIVE#301 DESIGN ENGINEERING MANUFACTURING Model 3 2 AUTOMATION TSLA LIVE#31SANAY WALIOU Model 3 Production Hell#32Cybertruck STEEL EXOSKELETON TSLA LIVE#33Combining the Processes for the Future 1 DESIGN ENGINEERING MANUFACTURING AUTOMATION TS LA LIVE#34Stamp Current Way of Assembling a Vehicle Body Paint Final Assembly TSLA LIVE#35Current Way of Assembling a Vehicle TSLA LIVE#36Structural Pack Sub-Assembly IKNIGHT TSLA LIVE#37More People Can Work Simultaneously on Next Generation Vehicle Model 3 44% Operator Density Improvement 30% Space Time Efficiency Improvement Next Gen Vehicle TSLA LIVE#38Stamp & Paint Casting Parallel & Serial Assembly Left Side Right Side Floor Front Vehicle Assembly Rea Other TS LIVE#39Unboxed Process TS LA LIVE#40>40% Reduction In Manufacturing Footprint Next Generation Vehicle Manufacturing Efficiencies LEGACY FOOTPRINT NEW FOOTPRINT Cost of Goods Sold / Car Model 3/Y Innovation & Size 50% Reduction in Cost Next Gen TSLA LIVE#41TA 02 Powertrain Colin Campbell TSLA LIVE#42Faster Than a Porsche, More Efficient Than a Prius TSLA LIVE#43329228 Relentless Focus on Efficiency 5 3 2 1 Model Y Small SUVs (AWD) EPA Range in Miles/kWh VW 1D.4 Ford Mach-E H Audi e-tron Jaguar iPace Source: OEM Websites & Other Publicly Available Sources TSLA LIVE#4420% Lighter Drive Unit Efficiency Helps Us Scale MODEL 3 POWERTRAIN FROM 2017-2022 25% Less Rare Earth Materials 75% Smaller Powertrain Factory 65% Cheaper Powertrain Factory TSLA LIVE#45othing to Custom Designed Packages & Microprocessors for Power Electronics To BEFORE F109 TP373 O. OTP311 OTP318 OTP313 TP315 TP276 65010 C3479 AFTER PO Sann U1219 00 TSLA TP124 P126 139 U1239 R2639 TP123 LIVE#46Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA TSLA LIVE#47Powerful In-House Software KEY SIMULATION TOOLS DEVELOPED BY TESLA Comitu O CHUR TS ៤ ក LIVE#48LIVE AB 414 inches 15941515600 1001333333333333-3 stungen Material Servic Tupp enginees Services matériaux Servicios mate together. In-House Manufacturing Line & Automation Design thyssenk#49Our Next Drive Unit Will Be Even More Scalable 75% Reduction In Silicon Carbide ANY Battery Chemistry Accepted 50% Reduction In Factory Footprint ~$1,000 All-In Cost TSLA LIVE#50Rare Earths Required -500g Rare Earth 1 MODEL Y -10g Rare Earth 2 -10g Rare Earth 3 TSLA LIVE#5103 Electronic Architecture Pete Bannon TSLA LIVE#52Model S 2012 COMPLEX LOW VOLTAGE ARCHITECTURE 2 TS ៤. ក LIVE#53S O It's Been Messy 44 9 ВС 77 78 79 80 TBD TSLA TBD TB LIVE#54Progress So Far TS LIVE#55MODEL S From Model S to Model 3 IMPROVED LOW VOLTAGE ARCHITECTURE SVE MODEL 3 TS ៤ ក LIVE#56% OF TESLA-DESIGNED CONTROLLERS 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 20% Designed Our Own Controllers, With More To Come Model S 40% Model X 56% Model 3 61% Model Y 85% Cybertruck 100% Next Gen Vehicle TSLA LIVE#57METRIC Switched From Fuse & Relay to Electronic Fuses FAULT REACTION TIME MOVING PARTS CONTROL & DIAGNOSTICS FIRMWARE RESETTABLE FUSE+RELAY SECONDS YES (RELAYS) COARSE NO E-FUSE < 1 MILLISECOND NO (SOLID STATE FETs) GRANULAR YES FUSE + RELAYS 5 100 9) ELECTRONIC FUSES TSLA LIVE#58Replaced Lead Acid With Lithium Ion Batteries LEAD-ACID BATTERY 4-YEAR REPLACEMENT 87% Mass Reduction LITHIUM ION BATTERY LIFETIME TSLA LIVE#59REF 10 20 30 2017 COST DOWN % 11% 2019 Reduced Costs of Model 3/Y Center Display 24% 2021 2023 1.75 1.50 1.25 1.70kg 2017 WEIGHT kg 1.68kg 2019 1.50kg 2021 12% 2023 30 20 10 27W 2017 POWER W 24W 2019 18W 2021 TSLA 33% 2023 LIVE#60What's Next TSLA LIVE#61CURRENT AMPS 250 200 150 100 50 1900 1910 1920 The Future of Low Voltage Architecture CYBERTRUCK, OPTIMUS, & FUTURE VEHICLES ALL 48V 1930 1940 Last Transition From 6V to 12V ılı 1950 1960 1970 1980 1990 2000 2010 48V 2023 TSLA LIVE#62Cybertruck FURTHER IMPROVING LOW VOLTAGE ARCHITECTURE TS LA LIVE#63Cybertruck FURTHER IMPROVING LOW VOLTAGE ARCHITECTURE TS LA LIVE#642012 MODEL S Future of Tesla Low Voltage CYBERTRUCK NEXT GENERATION VEHICLE Simpler & Cheaper Electronic Architecture, With 100% of Controllers Designed In-House TSLA LIVE#65A 04 Software David Lau TSLA LIVE#66Relentless Improvement Via Updates & Data Insights TS LA LIVE#67Relentless Improvement Via Updates & Data Insights TS LA LIVE#68LEFT HAND IMPACTS Real World Crash Tests: Fewer Dummies, More Smarts FRONTAL IMPACTS Industry standard crash tests REAR IMPACTS RIGHT HAND IMPACTS TSLA LIVE#69LEFT HAND IMPACTS Real World Crash Tests: Fewer Dummies, More Smarts FRONTAL IMPACTS Real world crashes REAR IMPACTS RIGHT HAND IMPACTS TSLA LIVE#70100B 90B 80B 70B 60B 50B 40B 30B 20B 10B O 2012-10 2013-06 2014-02 Enabling Plaid-Speed Product Development 123M MILES DRIVEN PER DAY | 1.9M CHARGE SESSIONS EVERY DAY 2014-10 2015-06 2016-02 Total Vehicle Miles, All Platforms 2016-10 2017-06 2018-02 2018-10 2019-06 2020-02 2020-10 2021-06 2022-02 2023-02 TSLA LIVE#71Software That Spans the Entire System TSLA LIVE#72BIN Rougher Road Leveraging Vertical Integration PREDICTIVE AIR SUSPENSION G TSLA LIVE#73A Vehicle Software as an Integral part of the Assembly Line 760 allics me vjude LA IV#74Building the Foundations of Autonomous Fleet Management Driver Profile Settings TESLA PROFILES | SHARED PHONE KEY | LOGISTICS APP Driver Profile Save Positions to Your Profile Adut the seat, steering yoke, and mirrors to your desired potions Tap the SAVE button above when you are finished. Steering Yoke TSLA LIVE#75Software Enables Efficiency, Cost Reduction & Speed ୦୦୦୦ DC Enabling Robotaxi Fleet ୧୭୦୦୦ Empowering Manufacturing t_ Reducing Service at Mass Scale#7605 Full Self-Driving Ashok Elluswamy SLA LIVE#77Architecture for a Generalized Vision System UMAUL UHAUL TS LR LIVE#78Main Camera RegNet FPN Left Pillar Camera RegNet FPN Transformer Video Module : VISION COMPONENT Using State-of-the-Art Al for Modeling Backup Camera RegNet FPN Navigation Map Lane Guidance Module MAP COMPONENT (Dense World Tensor) Autoregressive Decoder LANGUAGE COMPONENT ING (Sparse Lane Outputs) TSLA E Lanes Instances Adjacency Matrix LIVE#79Also Solve Complex Planning Problems Using Al 10ms Joint Planning for Each Configuration 50ms Desired Planner Execution Time TS LIVE#80Automated Labeling by Multi-Trip Reconstruction TSLF LIVE#81Automatically Produce Challenging Simulations Ound Stat VE#82Vala **** STOP Data Alone Can Improve Corner Cases +14K VIDEOS 100 95 90 85 80 Vehicle Movement Accuracy Training set Sep Jan Evaluation Set 5 Mar Apr Oct TSLA LIVE#83Tesla Fleet Triage Shadow Testing Deploy DATA ENGINE Corrrect Inaccuracy Mine Fleet ARTIGOT Train Online Model Evaluation Set Training Set Train Offline Model Simulation Auto Label Human Label SIMULATION AUTO LABEL HUMAN LABEL TSLA LIVE#84Large Networks Need Large Clusters 14K GPUs 4K For Auto Labeling 10K for Training 30PB DISTRIBUTED VIDEO CACHE 160B Frames 500K Videos Rotating Through Cache/Day 400K Video Instantiations per Second: OCCUPANCY NETWORK RECIPE Pick 1.44B frames Train for 100.000 GPU-hours at 90 °C CHIL#85U Scalable FSD = AI + Data + Compute Higher Utilization De Tesla Vehicles Using FSD Beta US Average Higher Safety Miles Driven Per 1 Collision 0.5M TSLA 3.2M LIVE#86A 2 SL#87TSLA LIVE#88O K 06 Charging Rebecca Tinucci TSLA LIVE#89Holistic Charging Experience 9 TWh OF CHARGING PROVIDED IN 2022 99% Roadtrips Weekly Supercharging Possible Sessions 1.5M 99.9% Site-Level Uptime C TSLA LIVE#90CL How We Got Here TSLA LIVE#91$200K $180K $160K $140K $120K $100K $80K $60K $40K $20K O Supercharger Hardware & Installation Cost Industry's Lowest Deployment Costs -35% il Australia -55% California Competitor Average -75% New York Tesla $1,200 $1,000 $800 $600 $400 $200 O Residential AC Retail Hardware Cost -20% North America Competitor Average -50% Europe Tesla TSLA LIVE#92Pre-Built Superchargers Save Weeks of Install Time & Cost TSLR LIVE#9340% Improvement in Per kWh Costs $0.22 $0.20 $0.18 $0.16 $0.14 $0.12 $0.10 $0.19 Per kWh Supercharger Cost (Not Including Energy Costs) Q1'21 Q2'21 Q3'21 Q4'21 $0.12 Q1'22 Q2'22 Q3'22 Q4'22 TSLA LIVE#94SAN FRANCISCO 27 17 33 Trip Planner Powers Efficient Routing LOS ANGELES % Of Customer Waiting 2.0% 1.0% 0.0% Wait Time Is Down & Site Utilization Is Up 2019 TH 2020 2021 2022 TS 85 200 150 100 50 Daily kWh per post LIVE#95Transition to V3 Efficient Routing With Trip Planner - Supercharger Density Increasing Vehicle Efficiency Battery Pre-Heating - Customer Education (Min) 40.5 37.5 35.0 32.5 30.0 27.5 25.0 22.5 20.0 30% Quicker Charge Times 2018 2019 Average Supercharging Time 2020 2021 2022 TSLA 2023 LIVE#96Charging the Fully-Electrified Fleet TSLA LIVE#972:51 Explore Charge your Non-Tesla Access the largest global fast charging network Ready To Serve All Vehicles Model 3 Designed for performance with du mot quick acceleration, long range and four charging TSLA LIVE#981.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 Maximize Convenient, Renewably-Powered Daytime Charging Match Vehicle Charging With Renewable Generation 5 10 Hour of Day Wind + Solar Generation Vehicle Charging 15 20 GOLDEN GATE PARK PRESID Few Vehicles Parked During Day San Francisco Lots of Vehicles Parked During Day TSLA PORT OF SAN ANCISCO LIVE#99Scale Capacity What It Takes To Get There Open Up to Non-Teslas More Renewable Charging T SLA LIVE#100Can't Forget To Do Cool S*** TESLA JO TSLA LIVE#101LEICA 07 Supply Chain Karn Budhiraj, Roshan Thomas TSLA LIVE#102Tesla Supply Chain TIER 1 PARTS 3.4K 2.1K 2.8K TIER 2 PARTS 21K 19K 7K TSLA LIVE#103The Most Powerful In-Vehicle Computer goll 7K+ Components 1.4ms Between Each Component Assembled Into a Car Computer 000000 95% ba Reduction in Labor 00000 PIEN TSLA LIVE#10416M Pallets & Racks Received in 2022 Inbound Complexity 1B Electronic Components Shipped Each Week 685 Global Service Locations 45 Countries JU TSLA LIVE#105Shipping disruption: Why are so many queuing to get to the US? Global shortage in computer chips 'reaches crisis point' Car sales dampened by chip shortage, COVID measures Supply Chain Hell BUSINESS AUTOS & TRANSPORTATION AUTOS INDUSTRY Global Chip Shortage Set to Worsen for Car Makers 'It's Not Sustainable': What America's Port Crisis Looks Like Up Close Why the Chip Shortage Is So Hard to Overcome The Global Fight Over Chips Is About to Get Even Worse Supply chain chaos is already hitting global growth. And it's about to get worse The supply chain crisis and US ports: 'Disruption on top of disruption' No End In Sight For The COVID-Led Global Supply Chain Disruption TSLA LIVE#106THOUSANDS OF VEHICLES TTM 1400 1200 1000 800 600 400 200 O Q1 '18 ||| Q1 '19 Scaling Against the Odds Q1 '20 Q1'21 Q1 '22 TSLA Q4 '22 LIVE#107RELATIVE USAGE Semiconductor Industry Can Support Our Growth Tesla with FSD Hardware Uses More Semiconductors Than an ICE Vehicle ICE Vehicle Tesla VEHICLES SILICON WAFERS USED 12" EQUIVALENT GLOBAL WAFER CAPACITY TESLA SHARE 2023 1.8M+ 0.7M -135M 0.5% FUTURE 20M 8M 200M <5% Source ASML.com for Global Wafer Capacity TSLA LIVE#108Legacy Model S/X 23 Before Heat Pump Legacy Model 3 TSLR LIVE#109Next Generation Thermal Architecture HEAT PUMP 8.8 100+ SUBCOMPONENTS Numerous Manufacturing Processes: Forging, Stamping, Injection Molding, Brazing, Heat Treatment, Plastic Welding, Water Jetting, Machining, Ultrasonic Cleaning, Air Flushing, Soldering, Leak Testing, Complex Assembly TS LIVE#110WHERE WE STARTED WHERE WE ARE NOW Evolution of the Heat Pump Line MANUAL SIMULATED SEMI-AUTOMATED 10 AUTOMATED LIVE#111PARTS PER OPERATOR PER WEEK 1200 1000 800 600 400 200 O Manual Doing More With Less Semi-automated Automated 99% Reduction in labor 99.995% Of heat pumps received at Tesla are of high quality 7 sec Between each heat pump rolling off a supplier line TSLA LIVE#112No Liting pogl Efficiency, Automation & Cost Fewer Parts, Fewer Components No Lifting Do More With Less No Lifting No Li Deep Involvement With Suppliers TSLA LIVE#11308 Manufacturing Tom Zhu, Drew Baglino TSLA LIVE#114We Build Ultra High Volume Factories 4 Vehicle Factories 65K Manufacturing Employees ~2M Total Annual Build Capacity TSLA LIVE#115Completed Gigafactory Shanghai in 9.5 Months JAN 2019 SEP 2019 TSLA LIVE#116First Million 12 Years Hitting New Milestones in 2023 FOR TOTAL VEHICLE PRODUCTION 4,000,000 Fourth Million 7 Months TSLA LIVE#117Output 21' Q3 What It Takes To Ramp a Gigafactory 90% OVERALL EQUIPMENT EFFECTIVENESS & 45 SECOND CYCLE TIME Shanghai MY Output Shanghai MY Labor Hours 21' Q4 22' Q1 22' Q2 22' Q3 22' Q4 Labor Hours Output 21' Q3 21' Q4 Fremont MY Output Fremont MY Labor Hours 22' Q1 22' Q2 22' Q3 22' Q4 TSLA Labor Hours LIVE#118Question Delete Simplify Accelerate Automate TSLA LIVE#119Strengthened Feedback Loop Between Manufacturing & Service AYNU 11% Time in Service Reduction (Last 6 Months) 16% Early Service Reduction 9% Service Appointment Wait Time Reduction TSLA LIVE#120Austin Tesla Vehicle Footprint & MORE TO COME ;) TESLA Berlin wome www.m www.FEFFER iste TESLA زن نزند Shanghai Fremont TSLALI#121Future Cell Factories, Too THERE IS NO SPOON TS LIVE#122Future Cell Factories, Too THERE IS NO SPOON TS LIVE#123Parts Processes Simplicity Up, Investment Down, Scale Up Typical 2170 Cylindrical 17 33 Fremont 4680 16 23 GFTX 4680 15 21 GFNV Future 4680 15 21 TSLA LIVE#124And Upstream Materials Where Necessary 50 GWh/Year Corpus Christi Lithium Refinery STARTS COMMISSIONING END OF 2023 TSLA LIVE#125O 09 Energy Drew Baglino, Mike Snyder TSLA LIVE#126Building Mission-Aligned Projects Globally for 10 Years ********** TSLA LIVE#127GWh (Cummulative) 35 30 25 20 15 10 5 сл O Powerpack Powerwall Superpack / Standalone Resi 2015 Powerwall 2 Powerpack 2 2016 2017 Growth Is Accelerating 65% CAGR SINCE 2016 2018 Megapack 2019 Powerwall + 2020 +16 GWh Megapack 2 Megapack 2XL 2021 2022 Upcoming Products in 2023 2023 TSLA LIVE#128S How Did We Get Here MANIACAL FOCUS ON ALL ASPECTS OF DELIVERING STATIONARY STORAGE VALUE * SLA LIVE#129Not Just a Big Box of Batteries#130Not Just a Big Box of Batteries TESLA#131000 ..... Not Just a Big Box of Batteries 15 IV#132Roadster Power Electronics 2008 2009 14 Years of in-House Power Electronics Expertise 2010 2011 V1 SC Cabinet - Model S Drive Unit 2012 2013 1.4+ TW DEPLOYED Powerwall Powerstage Powerpack 2014 2015 2016 Model 3/Y Drive Unit Model 3 Charger 2017 2018 Megapack & Supercharger DCDC PW1 2019 Plaid S/X Drive Unit Megapack GTC 2020 2021 1.4+TW 2022 TSLA LIVE#133World 1st: Tesla Batteries Providing Inertia Services At Scale Let's start with the ABCs what are inertie services on an electricity grid Even before that what is inertia in a grid setting? Most of us should remember hertu from our younger years in primary school inertia is an ojects a incrution to just keep moving i Retiring Fossil Fueled Power Plants With Software Tesla has a new product called 'Virtual Machine Mode' coming to its 'Big Battery' Fred Lamb Jul 27 2022-9:12 am PT 0 Comments TESLA FILT Energy Storage ARCHIVE NEWS 'Undeniable success': South Australia's 129MWh Tesla battery By Andy Colthorpe December 6, 2018 904 404 44 13.11.40 Grid Scale Of God Market Witch Connected Tech 10.18.45 Bloomberg Tesla Is Plugging a Secret Mega-Battery Into the Texas Grid The utility-scale battery located outside of Houston will connect to the same grid that fatered in February's 300 PST 12PM nghe True pour market, with p of a sha Mode [00 10/ Congratulations to Contego ESS-34MW/68MWh! The Harmony Energy-FRV project, operated by Tesla's Autobidder software pocketed £158k/MW/a in 2021. Contego utilised its 2-hour duration to capitalise on those high day-ahead spreads in addition to providing symmetric DC! Red Scar (14 2nd Gresham Contego The Modo Leaderboard Holes Bay 10k FRY Energy TSLA LIVE#134How Did We Get Here RELENTLESS FOCUS ON SPEED OF EXECUTION TSLA LIVE#135PRRE Build Megafactories Faster FIRST MEGAFACTORY BUILT IN LESS THAN ONE YEAR E SEPTEMBER 2021 Construction Begins TSLA LIVE#136Build Megafactories Faster FIRST MEGAFACTORY BUILT IN LESS THAN ONE YEAR SEPTEMBER 2021 Construction Begins ESLA 700 SEPTEMBER 2022 Construction Finishes T S LIVE#137Install Projects Faster 4X INSTALLATION & COMMISSIONING SPEED SINCE 2019 TSLA LI#138Tesla Electric Unlocks the Full Value of Distributed Energy & Storage ENABLING OUR CUSTOMERS TO BECOME THEIR OWN UTILITY Cost of Providing Electricity to the Average Retail Customer Based on 5,000 Australia Customers in 2022 $142/month Default Utility Service $69/month Add Solar and Powerwall, without Grid Interaction $130 Tesla Electric Value Creation $61/month Tesla Electric Real-Time Dispatch of Solar and Powerwall to Benefit the Grid TSLA LIVE#1394:20 Starbase Charging D Ö 2.8 kW-70% POWERWALL 4.0 kW SOLAR Tesla Electric The electric plan designed for Powerwall Energy 34.9 kWh Generated Today Impact 45% Self-Powered Today Settings Go Off-Grid 1.2 kW HOME 0 kW GAID Join 7:57 TESLA ELECTRIC Tesla Electric Members 78.7 MW 10 kW Starbase Energy Price Selling $1.20 per kWh Program Details Tesla Electric Rollout Plan Tesla Sustainable Power 35.0 MW ĦA 113.7 MW Grid started 20 min ago Available Today For homes with Powerwall in competitive retail electricity markets in Texas TSLA LIVE#140Tesla Electric Rollout Plan Coming in July to Texas Unlimited overnight home charging $30/month TSLA SL LIVE#141This Is Just the Beginning Cumulative Tesla Storage Deployed We are here Focus on Building Capacity & Ramping Fast Tesla Is an Electricity Retailer TSLA LIVE#14201 Impact Laurie Shelby, Brandon Ehrhart TSLA LIVE#143Who We Are TSLE LIVE#144120,000 100,000 80,000 60,000 40,000 20,000 2010 2011 2012 The Team is Growing Rapidly 1/2 WORK IN MANUFACTURING 2013 2014 2015 2016 2017 Tesla Global Employee Count I 2018 2019 2020 2021 TSLA 129k 2022 LIVE#1453,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 2019 Total Applicants 2020 Engineers Want to Work Here 2021 Employer SpaceX Tesla NASA Lockheed Martin Boeing Apple Google Microsoft US Engineering Students' Rankings Northrop Grumman Raytheon Technologies 2022 Ranking TSLA 1 2 3 4 5 6 7 8 9 10 LIVE#146Employee Suggestions 7,000 6,000 5,000 4,000 3,000 2,000 1,000 As Employee Engagement Increases, Safety Improves Q1 Q2 2022 Employee Suggestions From GFNV Q3 Q4 Work related injuries Rate From GFNV TSLA 3.1 2.9 2.7 2.5 2.3 2.1 1.9 1.7 Work Related Injuries Rate LIVE#147Sustainability & Impact is Everything We Do Tesla Solar TESLA Energy Storage ↑ Autobidder || Tesla Cells Maximizing Utilization Through Software Tesla Vehicles FSD TSLA LIVE#148Our Products Generate More Energy Than Our Products & Factories Consume Tesla Cumulative Net Energy Impact: 2012-2021 Energy Produced Tesla Solar Panels Energy Consumed Tesla Factories & Other Facilities Energy Used at Tesla Factories & Other Facilities Energy Used to charge all Tesla vehicles 25.39 (TWh) 25.27 (TWh) TSLA LIVE#149gCO2e/mi 500 400 300 200 100 O Our Vehicles Emit Less Emissons Than Gas Vehicles INCLUDING BOTH MANUFACTURING & USE Average Lifecycle Emissions in U.S. Model 3Y Personal Use (US Avg Grid) Manufacturing Phase Average Premium ICE Use Phase TSLA LIVE#150gCO2e/mi 500 400 300 200 100 O Our Vehicles Emit Less Emissons Than Gas Vehicles INCLUDING BOTH MANUFACTURING & USE Average Lifecycle Emissions in U.S. Model 3Y Personal Use (US Avg Grid) Manufacturing Phase Average Premium ICE Use Phase TSLA LIVE#151COME O 02 Financials Zach Kirkhorn TSLA LIVE#152We Continue To Reduce Cost of Our Existing Products Model 3 Cost Per Car - Normalized li 2018 2022 30% Reduction Includes material costs, manufacturing costs, inbound and outbound logistics, warranty Normalized for changes in market rates of lithium, nickel, steel and aluminum TSLA LIVE#153Cost Reductions Come From Everywhere Volume Growth Productivity Engineering Changes Localization Overhead Efficiency Product Improvements Supplier Scale TSLA LIVE#154New Gen Vehicle Will Enable Step Change in Cost & Volume Cost Current Volume Product Vehicle Battery & Powertrain Manufacturing & Other 50% Target Next Gen Vehicle TSLA LIVE#155Toyota Corolla Model 3 Base Next Gen Total Cost of Ownership per Mile Over 5 Years TSLA LIVE#156Tight Operating Expense Control To Enable Operating Cash Flow 20.0% 18.0% 16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% 17.7% 2018 Operating Expenses as a % of Revenue (Non-GAAP) 13.7% 2019 10.1% 2020 9.4% 2021 7.5% 2022 Excludes digital assets gain/loss, stock-based compensation, material one-time items 2021 figure excludes $340M payroll tax on CEO award option exercise 6.6% Q4 2022 TSLA LIVE#157Industry Leading SG&A per Car Enabling Improved Affordability Selling, General & Administrative Expenses per Vehicles Traditional Tesla 60-70% Lower Than Traditional Benchmark: GAAP Operating Expenses, publicly traded OEM SG&A per vehicle + dealer SG&A per vehicle Publicly traded OEM SG&A includes average of GM, Ford, BMW, Toyota, Volkswagen, Mercedes Benz Dealer SG&A per car includes average of Autonation, Lithia, Group 1 Automotive, Sonic Automotive, Asbury Automotive TSLA LIVE#158Efficiency Improvements Factory Customer Human Resources FINANCE CASE STUDY Tesla Operating System Warehousing Mobile App Recruiting Service Finance Data Analytics TSLA LIVE#159Continued Improvement in Internal Process Efficiency Efficiency Improvement 4x North American Sales 4x Order Operations 5x Financial Services 6x Accounts Payable 7x Document Generation Performance & Capabilities Order Modification Captive Lease/ Loan Servicing Captive Insurance Real Time Data Visibility 10Q & 10K Timeline TSLA LIVE#160We Expect our Pace of Investment to Scale With Operating Cash Flow Growth 20M Annual Vehicle Production -$150-175B Estimated Total Investment 1 TWh Annual Energy Storage Production ↓ -$28B Investment to Date Expand Cell Production, Service and Charging Funded by Operating Cash Flow TSLA LIVE#1611. Daily Operations 3. Opportunistic Capital Allocation Working Capital Captive Financing (Market Gaps) Downside Protection Capital Expenditures (Elective) Captive Financing (Elective) Acquisitions Debt Reduction 2. Growth 4. Excess R&D Capital Expenditures (Growth) Buyback/ Dividend TSLA LIVE#162Innovation Driven Cost & Efficiency Achieving the Master Plan Improved Affordability Reinvest to Achieve Unprecedented Scale Accelerate the World's Transition to Sustainable Energy TSLA LIVE#1635 Minute Intermission Q&A Next TSLA LIVE