Tesla’s high valuation is due to its status as a pioneer in the electric vehicle industry.

Its technology and brand have made it the go-to choice for consumers looking for a luxurious and environmentally friendly option in the EV space.

This kind of success has spurred other automakers to invest heavily in their own electric vehicle programs, demonstrating the company’s influence in the industry.

While Tesla does not have the same production volume as some of its competitors, its cutting-edge technology and strong brand identity have made it one of the most valuable companies in the world.

However, is this the only reason why Tesla is one of the most valuable companies in the world? In this article, we are going to be taking a deeper look at how Elon Musk’s company (the richest man in the world) can be worth so much.

With its headquarters in Austin, Texas, Tesla, Inc. is a transnational American automotive and clean energy corporation.

 Since its founding in 2003, Tesla has designed and produced electric vehicles (including automobiles and trucks), battery energy storage systems for use at home and on the grid, solar roof tiles, panels, and other related products and services.

In July 2003, Marc Tarpenning and Martin Eberhard founded Tesla Motors. The company name pays homage to the electrical engineer and inventor Nikola Tesla.

Elon Musk became the company’s largest stakeholder with a $6.5 million investment made in February 2004. In 2008, he started serving as CEO.

According to Musk, Tesla’s mission is to accelerate the transition to sustainable energy and transportation, including solar energy and electric vehicles.

So, the first thing to look at is, that although Tesla is famous for its electric vehicles, its portfolio is not just limited to this.

Tesla Powerwall is a lithium-ion battery-powered home energy storage system that serves as a backup power source and a solar energy storage system.

Similar to the Powerwall but designed for commercial use is the Tesla Powerpack.

Utility firms can use the Tesla Megapack, a sizable lithium-ion rechargeable battery for grid energy storage.

A completely integrated solar system for homes and businesses, the Tesla Solar Roof.

Now that we understood that part of Tesla, it is very important to look out for some aspect that is not so talked about, but for the keen eye, it may be the greatest reason why Tesla is so worth it: the way it uses data.

Tesla has always placed a high priority on gathering and using all available data analytics from its customers.

 In reality, since 2018, Tesla has accumulated nearly 3 billion miles of actual driving data, far more than its nearest rival’s 20 million.

Every time a person interacts with a Tesla, whether by turning the wheel or applying the brakes, a data point is generated.

 This data point is processed, utilized to construct new algorithms, and then transmitted back to the car via over-the-air updates.

 Tesla owners use their vehicles for more than just commuting to work or running errands. The Tesla AI/ML (artificial intelligence, machine learning) engines are now being trained in real-time.

As a result, Tesla has developed one of the industry’s most successful crowd-sourced AI/ML training programs.

If a company is worth as much as Tesla, but you do not know the reasons, it is a good idea to study it, because you can learn a lot.

As we could see, not only Tesla is in the vanguard of the electric vehicle trend, which will become more popular in the years to come, but also their revolutionary approach to data gathering.