Part 8/10:
Recent news about the 4680 battery cell production halting might seem negative at first glance. However, Black views this as a strategic pause to implement new machinery and technology upgrades. This delay, while temporarily disruptive, could lead to higher margins and more efficient production once resumed, benefiting Tesla’s profitability.
He emphasizes that current earnings are strong even without full deployment of 4680 cells, implying the company’s underlying demand remains robust. The technology’s ramp-up is crucial, but its timeline doesn’t threaten Tesla’s long-term growth.