Toyota Teaming Up With Tesla Motors To Build Electric Cars At The Vacated NUMMI Plant in California

Toyota Motor Corp., the world’s largest automaker, is acquiring a $50 million stake in Tesla Motors Inc. and will develop electric vehicles with the company.

Tesla will buy a closed Toyota joint-venture factory in California to build its Model S and other cars, Governor Arnold Schwarzenegger said in a statement today. The companies will cooperate on developing electric vehicles, parts and production systems and engineering support.

Toyota’s investment comes as Palo Alto, California-based Tesla, which sells the $109,000 Roadster electric sports car, prepares to raise about $100 million in an initial public offering of shares. Tesla, which hasn’t posted a profit in six years, said it may use the proceeds to pay for factories and equipment, which it has estimated will cost as much as $125 million this year, and for acquisitions. The company said it doesn’t have agreements or commitments for specific purchases.


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Agent009 - 5/21/2010 11:11:18 AM

-2 Boost

From what I hear, Akido Toyoda took a Tesla test drive about 6 weeks ago. Evidently he was so impressed he tossed $50 million their way in record time.

Now consider that with both GM and Chrysler having done the same thing and walked away without any agreements. Why?

Toyota is on to something big or at least is serious about changing the marketplace. Either way the have brought serious competition under their wing.

Sometime I really wonder about 2 of the American big 3. I guess you can take that horse to water but you can't make him drink.

bfghemicuda - 5/21/2010 11:46:14 AM

+1 Boost

009.. Chrysler is teamed with A123 Systems for a battery supplier and has an alliance with Nasa to share electric technology and also advanced robotics. Chrysler also has there GEM resources which has been around for quite a while. I believe GM is also involved with Nasa. Chrysler was ahead of the electric car game 15 years ago with all prototypes still on the road today [minivans]. The program was Axed by Diamler.

upwards - 5/21/2010 7:33:04 PM

+2 Boost

Agent telia has no new tech here thier cars are mainly lotus cars sitting on a thousand laptop batteries.

truckman - 5/22/2010 3:19:53 AM

+1 Boost

I would be more exited if Toyota teamed up with PML Flight link, Tesla isn't ground breaking. There go cart is fast though.

uaw_lax - 5/22/2010 3:53:27 AM

+1 Boost

It's just a PR stunt to distract the public from Toyotas many recalls. Tesla's car is not ground breaking at all and if not charged will run out of power and leave the driver stranded and Toyota has it owns problems from millions of millions of recalls and their new perception problem.

Agent63 - 5/23/2010 11:32:13 PM

+1 Boost

Lets hope Toyota's plague doesn't trickle down to Tesla now. That recall virus would devastate the company.