While Tesla grapples with a decline in sales and mounting pressure from global protests targeting CEO Elon Musk, the company is quietly scoring a significant technological win. After years of anticipation, Tesla’s 4680 battery is not only in full production but is also breaking cost-efficiency records.
Tesla’s long-teased 4680 battery—first introduced during its Battery Day presentation back in September 2020—has finally come into its own. Despite external turmoil, the EV giant has surpassed the 100 million unit production mark, according to Teslarati. And while sales may be faltering, this innovation is poised to reshape Tesla’s manufacturing strategy and the EV landscape more broadly.
Built to cut production costs, simplify assembly, and boost energy efficiency, the 4680 battery promises to be a game-changer. Not a Tesla App highlighted these advantages, framing the new cell design as a major leap forward in terms of both scalability and vehicle performance.
Tesla’s Michael Guilfoy, Director of Cell Manufacturing Operations, took to LinkedIn in March 2025 to recognize the behind-the-scenes success:
“Been waiting to acknowledge this great achievement by Tesla’s 4680 Cell Manufacturing team since the end of last year … but as Elon announced last night, our Cell Manufacturing team in Texas reached a huge milestone at the end of 2024 with becoming the lowest cost per kWh battery cell producer for Tesla!”
That achievement isn’t just symbolic—it’s potentially transformative. Lower production costs per kilowatt-hour could translate into more affordable Tesla vehicles, which might help the company rebound from its current sales slide. Tesla also claims that the 4680 cell can increase vehicle range by up to 16% and holds five times the energy of the previous-generation 2170 cell.
However, 2025 hasn’t been entirely kind to Tesla. After claiming the title of best-selling EV brand globally in 2024, the company has faced significant headwinds this year. Protests against Elon Musk have disrupted dealerships worldwide, and sales have fallen by 13%, even as the used EV market continues to climb.
Still, Tesla’s battery innovation arrives at a critical moment—not just for the company, but for the auto industry as a whole. With gas-powered vehicles under growing scrutiny for their environmental impact, and EVs offering zero tailpipe emissions and lower maintenance needs, the shift toward electric vehicles is gaining momentum.
