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Tesla Motors Inc (TSLA): The Secret of Model S and the Companies Behind It By Andrew Rassweiler

Tesla Motors Inc (NASDAQ:TSLA) is genuinely envied by the automobile industry, because of the valuation that this entrant receives on the Wall Street. Apart from other factors that boil into the valuation hype, its products are also superior to other car manufacturers. Andrew Rassweiler, who is a Senior Director at IHS Technology tore open Model S, to find out the secrets of the electric vehicle. He reported his findings on CNBC.

Tesla Motors Inc (NASDAQ:TSLA)

“[…] One of the big things that we discovered that Tesla is doing differently inside the car would be, for the large touch screen for example, that display and that whole unit is being designed by Tesla Motors Inc (NASDAQ:TSLA). Now that may not seem very different, but that is very common in the world of electronics and silicon valley, you design and somebody else builds it, but in the world of automobiles that’s very uncommon, so most automotives would just go to a third party, turn over the entire design and buy a finished unit from them […],” informed Rassweiler.

Rassweiler also shed light on different companies that are set to benefit from Tesla Motors Inc (NASDAQ:TSLA)’s success, since they are involved in various manufacturing stages of the electric car. After all, according to CNBC, there are nearly 5,300 parts just in the head unit of Model S. These parts include the display units and the chip processors that were found in Model S.

Innolux was the main manufacturer as far as display units are concerned. The leading chip manufacturer seemed to be NVIDIA Corporation (NASDAQ:NVDA), while many chips manufactured by the likes of Freescale Semiconductor Ltd (NYSE:FSL), Texas Instruments Incorporated (NASDAQ:TXN), and STMicroelectronics NV (ADR) (NYSE:STM), were also found.

Tesla Motors Inc (NASDAQ:TSLA) is heading for the skies because it is the future of the automobile industry and Wall Street knows it only too well, which has led to the company’s high valuation. On this journey, Tesla will have several companies, the most prominent of these are mentioned above, in its trail.

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