Tesla Motors Inc (NASDAQ:TSLA) Discontinues Its 10 kWh Powerwall

505
Tesla Motors Inc (NASDAQ:TSLA)

Tesla Motors Inc (NASDAQ:TSLA) has announced plans to stop selling its 10 kWh Powerwall which was designed to store electricity for use during outages.

When Tesla CEO Elon Musk announced the Powerwall in 2015, it was received with a lot of enthusiasm and sales skyrocketed too when 38,000 orders came in after the announcement. The 10 kWh played a key role towards supporting the company’s cause and ideas but Mr. Musk has announced that the company is terminating the sale of the product.

Tesla plans to replace the 10 Kwh Powerwall with a 7 kWh Powerwall. Tesla claims that it made the decision because the smaller one is more popular. Due to the growing interest of the smaller device, the company has decided to switch to mass production of the 7 kWh wall-mounted battery. The company’s decision has a lot of logic because the smaller model of the device will offer more use to customers.

A larger model is not meant to be used on a daily basis. The company claims that it lasts 500 cycles meaning it is not supposed to be charged and discharged constantly and it was thus good for occasional use. Tesla claims that the 7 kWh model can last up to ten years with constant daily use, thus making it the ideal replacement. Tesla claims that it will even remodel the way the device is installed in homes so that it can also serve as a power backup.

Tesla launched the home batteries last year to help home owners reduce their reliance on the grid by acting as power reserves for when blackouts occur or acting as the sole power source for homes. So far the project has proven to be a huge success for Tesla despite the discontinuation of the early model. Tesla is expected to launch the new Powerwall later on this year perhaps in July or August. Mr. Musk claims that the new model will feature some improvements but he did not go into details. Pricing for the new model is also expected to be revealed later in the year.

An ad to help with our costs