In a statement to Bloomberg News, Tesla confirmed that the electric carmaker is adding $1 billion in capital to build its Gigacom factory.
Tesla is the first automaker to announce such an investment.
The investment is expected to be made at a time when Tesla is also building a $1 trillion battery factory in Nevada.
Tesla’s Gigafoundation is one of the biggest investments ever made by an electric car company.
Tesla has partnered with Panasonic and Panasonic’s battery company Panasonic Energy to build the Gigafarm, which will eventually produce the batteries for Tesla’s electric vehicles.
The Gigafactors battery factory will eventually be capable of producing more than 200,000 cars per year.
Tesla’s Gigacompany is expected be the largest battery factory ever built.
The Gigafam will be located in Reno, Nevada.
The company’s first factory in the U.S. will likely be a key part of its expansion strategy.
Tesla will invest in new batteries for its Model 3 sedan, a car with a range of 300 miles and an estimated price tag of $35,000.