Friday, May 21, 2010

Tesla Motors, Toyota In Development Deal

Palo Alto-based electric car firm Tesla Motors and Toyota said Thursday evening that Toyota will invest $50M in Tesla, and will cooperate on the development of electric vehicles, parts, and production system and engineering support. The deal was announced in a press conference with Governor Arnold Schwarzenegger, Tesla CEO Elon Musk, and Toyota President Akio Toyoda. Among other terms of the deal, Tesla said it would take over the New United Motor Manufacturing Inc (NUMMI) plant in Fremont to manufacture its Model S. That plant was previously used to produce Toyota's Corolla and Tacoma vehicles.