![Page 1: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/1.jpg)
Jeff Evanson VP Investor Relations
Tesla Motors Investor Presentation January 2014
![Page 2: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/2.jpg)
Safe Harbor Statement
Certain statements in this presentation, including statements relating to Model S demand,
market share and gross margin; future manufacturing expansion, future store, service center
and Supercharger network opening and expansion plans; and statements regarding future
vehicles such as Model X and Gen III 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: delays in the ramping of production
capacity and delivery of Model S, including the ability of suppliers to supply parts at desired
quality levels and quantities; market acceptance of electric vehicles in general and new Tesla
vehicle models, specifically Model S, Model X and Gen III; Tesla’s ability to control the costs
associated with our business; Tesla’s ability to establish, maintain and strengthen the Tesla
brand; Tesla’s ability to execute on its retail strategy and for new store, service center and
Supercharger openings; potential difficulties in finding suitable Tesla store, service center and
Supercharger sites as well as the risks and uncertainties identified under the section
captioned “Risk Factors” in our quarterly report on Form 10-Q filed with the SEC on
November 8, 2013. Except as required by law, Tesla disclaims any obligation to update
information contained in these forward-looking statements.
![Page 3: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/3.jpg)
Introduction
![Page 4: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/4.jpg)
-Elon Musk | CEO
“Our goal when we created Tesla a decade ago was the same as it
is today: to drive the world’s transition to electric mobility by bringing
a full range of increasingly affordable electric cars to market.”
![Page 5: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/5.jpg)
Corporate Overview
Tesla Assembly
Tilburg, Netherlands Design / Advanced Eng.
Hawthorne, California
Headquarters
Palo Alto, California Tesla Factory
Fremont, California
Founded: 2003
Employees: ≈6,000
Retail Locations: 100+
Tesla Electric Miles Driven: 190 million
![Page 6: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/6.jpg)
Solid Foundation
For Future Success
Brand
Partnerships
IP Leadership
Financial
Management
![Page 7: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/7.jpg)
Comprehensive Capabilities
Direct feedback loop accelerates development
Design Engineering Mfg Stores Service Charging
Value Chain Customers
![Page 8: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/8.jpg)
Tesla Culture
Our Greatest Asset
Constantly Innovate
We are ALL IN
Do the Impossible
Reason from “First Principles”
Think Like Owners
Move Fast
![Page 9: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/9.jpg)
Roadmap
![Page 10: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/10.jpg)
• “The best car we have ever tested”
Consumer Reports
• Developed in ≈2 years
• Cost to market ≈$650 million
• Profitable on low volume
• 25%+ gross margin (LT target)
1. Streamlined Development
3. Superior Economics
Culture Drives Success
Proven by Model S
2. Better vehicles
Market share gains are the evidence
![Page 11: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/11.jpg)
Leading F-Segment Vehicles
US Units Sold YTD thru Q3’13
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
Tesla Model S MB S-Class BMW 7-Series Lexus LS BMW 6-Series Audi A7 PorschePanamera
![Page 12: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/12.jpg)
Invest to Grow
Vehicles, Production, Customer Support
Vehicles
Production
Customer Support
![Page 13: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/13.jpg)
Strong Growth Potential
Tesla 2013 Market Share
2-3% of the U.S. premium auto market
(with minimal penetration)
≈ 1% of the global premium auto market
≈ 0.02% share of the global auto market
T
![Page 14: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/14.jpg)
Expand Production
Supply Chain & Capacity
Suppliers
Production Capacity
![Page 15: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/15.jpg)
Customer Support
Stores & Service
4 in Asia
24 in Europe
55 retail outlets in North America
More stores & service centers coming
![Page 16: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/16.jpg)
Customer Support
Supercharging
Free long distance driving, forever
Today 2015
![Page 17: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/17.jpg)
Vehicles
![Page 18: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/18.jpg)
Time
Un
its
![Page 19: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/19.jpg)
Tesla Product Strategy
Better Driving at a Lower Price
Time
Un
its
1st Generation
$$$$
2nd Generation
$$$
3rd Generation
$$
![Page 20: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/20.jpg)
0 - 60mph: 3.7 seconds • EPA Driving Range: 244 miles • Base Price: $109,000
![Page 21: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/21.jpg)
Model S - Most Awarded Car of 2013
![Page 22: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/22.jpg)
Your Only Car
Most Capable & Convenient
Over 80% of Tesla owners use Model S as their primary vehicle
![Page 23: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/23.jpg)
Functionality, style & performance
Dual motor AWD
Starts production late 2014
Model X
A New Vehicle Category
![Page 24: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/24.jpg)
Gen 3
Next Vehicle Platform Targets
D-segment sedan
Base price $30-35K
Tesla performance & range
Category-leading gross margin
Available in ≈3 years
![Page 25: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/25.jpg)
Corporate Capabilities
![Page 26: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/26.jpg)
Design
Inspired by the endurance athlete
Blend of aerodynamics and beautiful design
Incredible interior utility and cargo space
Details: Door Handles, Charge Port, Key, Panoramic Roof
![Page 27: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/27.jpg)
Vehicle Engineering
Entirely in-house team
All aluminum chassis construction (Extrusions, stampings, and castings)
Lightweight, low center of gravity & high torsional rigidity
5-star NHTSA rating
![Page 28: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/28.jpg)
Integration Value: A system that is greater than the sum of its parts
Small Cells Battery Inverter Motor Gear Box
Powertrain Engineering
![Page 29: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/29.jpg)
Software Engineering
Advanced software
Core focus and Tesla DNA
- Battery Management
- Motor Control
- Diagnostics
- Touchscreen
- Traction and Stability Control
Customizable and upgradable
![Page 30: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/30.jpg)
Powertrain Manufacturing
Highly scalable
Superior cost dynamics
Trade secret methodologies
Vehicle Manufacturing
Efficient
Multi-platform
Superior ECO throughput
![Page 31: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/31.jpg)
Superior customer experience
Streamlined purchase process
Direct relationship
Capture retail mark-up
More efficient
Reinventing Sales
Distribution & Marketing Combined
Santa Monica Store
![Page 32: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/32.jpg)
Reinventing Service
Best Service is No Service
Ranger Remote Service
Valet Loaner Service
No Scheduled Maintenance
![Page 33: Jeff Evanson Tesla Motors Investor Presentation](https://reader031.vdocuments.us/reader031/viewer/2022021500/5868d1681a28ab09568bc5b2/html5/thumbnails/33.jpg)
Questions?