How does Tesla make money?

Question

Zippia Team · Accepted Answer

Tesla makes money from the sale of its products and services. The bulk of Tesla's profits comes from the sales or leasing of their electric cars, as well as the sales of automotive regulatory credits.

The automotive sales portion of Tesla's business model also includes services such as;

Non-warranty after-sales vehicle services
Sales of used vehicles
Retail merchandise
Sales by its acquired subsidiaries to third-party customers
Vehicle insurance revenue

Tesla also makes substantial sales concerning related technology and accessories that their vehicles are either required to have or can benefit from. These include items, like battery cells, and other forms of technology.

Tesla also has a sales division devoted to Energy Generation and Storage. Here the company offers energy storage products and solar energy products. The energy generation and storage divisions include the design, manufacture, installation, sales, and/or renting or leasing of solar energy generation and energy storage products and related services