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Tesla's research and development expenses from FY 2010 to FY 2018
(in million U.S. dollars)
Tesla - R&D spending 2010-2018
Tesla continues to increase its spending on research and development: R&D spending reached almost 1.5 billion U.S. dollars in 2018, nearly double the 2016 level. This intensity of investment has made Tesla the leading electric vehicle manufacturer in the United States.

Tesla’s strategy

Tesla distinguishes itself from its domestic competitors by focusing on electric vehicles. It is currently one of the leading companies globally for electric vehicle sales and has even tapped into the luxury car market. Tesla's vehicles have some of the best battery ranges as of 2019. To a certain extent, Tesla increased R&D efforts to also enhance battery quality and range for their electric vehicles.

The Musk effect

Startup founders hailed Elon Musk, the CEO and Product Architect of Tesla, as the most inspiring figure in Silicon Valley in 2016. He is also the highest-paid CEO in the United States. Much of the faith in Tesla is likely faith in Mr. Musk himself, and supporters follow his Twitter account religiously to try to understand his business acumen and possible future strategies. However, common stockholders have not yet seen positive returns on their money, suggesting that they see the stock as a long-term investment.
Tesla's research and development expenses from FY 2010 to FY 2018
(in million U.S. dollars)
Costs in million U.S. dollars
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Tesla - R&D spending 2010-2018
Tesla continues to increase its spending on research and development: R&D spending reached almost 1.5 billion U.S. dollars in 2018, nearly double the 2016 level. This intensity of investment has made Tesla the leading electric vehicle manufacturer in the United States.

Tesla’s strategy

Tesla distinguishes itself from its domestic competitors by focusing on electric vehicles. It is currently one of the leading companies globally for electric vehicle sales and has even tapped into the luxury car market. Tesla's vehicles have some of the best battery ranges as of 2019. To a certain extent, Tesla increased R&D efforts to also enhance battery quality and range for their electric vehicles.

The Musk effect

Startup founders hailed Elon Musk, the CEO and Product Architect of Tesla, as the most inspiring figure in Silicon Valley in 2016. He is also the highest-paid CEO in the United States. Much of the faith in Tesla is likely faith in Mr. Musk himself, and supporters follow his Twitter account religiously to try to understand his business acumen and possible future strategies. However, common stockholders have not yet seen positive returns on their money, suggesting that they see the stock as a long-term investment.
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