Tesla Supercharger Network to Open to Other Makes, Could Generate $25B per Year
Elon Musk announces the Tesla Supercharger network will soon be open to all EVs, a move that could generate serious revenue.
One of the biggest competitive advantages Tesla has over rival automakers – aside from its decade or so of experience making EVs – is the Tesla Supercharger network. With 2,700 stations and 25,000 Superchargers across the globe, Tesla’s proprietary charging network is both vast and a major convenience for owners of Tesla vehicles. However, those that own EVs made by other automakers will soon be able to utilize this network as well, as CEO Elon Musk recently confirmed via Twitter.
This move has been expected for some time now, and will obviously be a huge benefit for anyone driving an EV that isn’t a Tesla. To date, those owners have had to rely on third-party chargers from companies like Electrify America, EVgo, and ChargePoint, to name a few. For Tesla, the move is a smart one financially, because it would receive revenue from both other automakers and a whole new market of EV owners stopping in for a charge.
Tesla has been tight-lipped about how much revenue, exactly, it stands to generate from such an endeavor. However, according to new Goldman Sachs research, it estimates that the Tesla Supercharger network could earn the company a whopping $25 billion or more in annual revenue if it was to simply open up the network to non-Tesla vehicles and charges on a per-use basis. Thus, aside from owning a dominant share of the EV market, Tesla is also poised to dominate the EV charging market as well.
“Goldman Sachs crunched the numbers and estimated that Tesla could make more than $25 billion in annual revenue by opening up its charging network to other electric cars.” 🏣🔋🔌 https://t.co/bDCVtycWcu $TSLA #Tesla #EV pic.twitter.com/SH1WS78IJB
— Tesla New York (@TeslaNY) July 23, 2021
There are a few hurdles to clear before that can happen, however. In the U.S., owners of non-Tesla EVs will need some sort of adapter to use Superchargers, as the automaker utilizes its own unique charging connector at the moment. In Europe, opening up Superchargers to other makes will be a much simpler process, as Tesla vehicles come equipped with a CCS standard connector in that region.
The only perceived downside to this move is the fact that some Supercharger stations, mainly in California, are already stretched to capacity on a regular basis. Opening up these chargers to other makes will only make them busier, and we imagine that Tesla owners won’t be pleased to see that they’re waiting in an even longer line behind non-Tesla vehicles. However, the additional revenue generated from the move will certainly fuel the construction of even more Superchargers, which will hopefully mitigate this potential problem.
Photos: Tesla