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Tesla Buys German Expertise to Optimize Its Production Capabilities

Tesla's Gigafactory 1 photo
Photo: Facebook screenshot
Tesla's primary focus right now seems to be its production capability. After launching the Model 3 to great success earlier this year, the company's output must increase significantly if it's to meet the self-imposed target of 500,000 units by 2018.
And Tesla would have to build cars at that rate if it wants to make short work of its 400,000 Model 3 reservations. And while the new sedan will become the bulk of the company's entire production, that doesn't mean there won't still be a high demand for its other models as well, particularly the Model X electric SUV.

Elon Musk knows this all too well and is working frantically to solve the problem. With the Gigafactory almost completed and ready to provide the necessary batteries to sustain the grow, the attention switches to the Fremont plant where the actual car assembly takes place.

Musk refers to the factories as "the machines that build the machines" and believes that they deserve more attention from engineers than the products they are used to make. And given how important it is to maximize a profit margin on such a competitive market, it's hard not to agree with his vision.

That's why Tesla is always on the lookout for engineering talent, and it will surprise no one that it came across it in Germany. Today, Tesla announced it has entered into an agreement to acquire Grohmann Engineering, a "world-renowned engineering company. The company located in Prüm, Germany, will be known as Tesla Grohmann Automation from now on.

The firm specializes in highly automated methods of manufacturing, so having their expertise in-house should provide Tesla's efforts with a significant boost in its quest for an optimal production process. The release said that it expects this acquisition to accelerate the growth rate of the Fremont factory, which already stands at an impressive 400 percent over the last four years.

The agreement needs to get the seal of approval from the authorities, including those in Germany, but nobody sees any possible barriers to its completion.
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About the author: Vlad Mitrache
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"Boy meets car, boy loves car, boy gets journalism degree and starts job writing and editing at a car magazine" - 5/5. (Vlad Mitrache if he was a movie)
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