The Tesla Model 3's production is expected to become a lot smoother now, as Tesla announced that it acquired a factory technology supplier and is now working to make an automated car factory.
On Tuesday, Nov. 7, Tesla revealed that it purchased Perbix, an automaton and machining company, which has been supplying Tesla with parts for its high-tech factories in Fremont, California, and Sparks, Nevada, in the past three years. Ars Technica speculates that the price which Tesla paid for the company amounts to as much as $10.6 million since James S. Dudley, owner of Perbix, received 34,772 shares of Tesla stock. Tesla, however, did not disclose how much the exact amount was.
Earlier last year, a similar purchase was also made by Tesla for Grohmann Engineering, a German engineering firm not unlike the automaton company Perbix. The German firm was then renamed as Tesla Advanced Automation Germany. This could mean that the company is doubling up on its efforts to mass produce the Model 3 for its ever-growing pre-order demands.
Elon Musk, the Chief Executive Officer (CEO) of Tesla previously stated that high-level automation is crucial in sustaining the deliveries for the Model 3. Since Musk is seeking to avoid the same delivery problems his company had experienced with the Model S and the Model X, they have been looking at various solutions. Based on the rapid buy-outs of automation companies, it seems Tesla chose to invest in machines that make machines, minimizing the need for human intervention.
Still, despite the aggressive expansion that Tesla has been doing, its quota for last month for the Model 3 allegedly fell short at only 180 vehicles finished, making the unit count only 440 since the start of production in July. Musk, however, remains hopeful, though careful, as he stated that the production ramp-up would be difficult to predict, but come December, the factories are expected to produce as much as 5,000 vehicles per week.
Production ramp-up delays are still to be expected as Tesla adjusts to its ever-growing customer demand. The company may now be hard at work in alleviating its "production hell" phase.
