According to CNBC, citing sources, Tesla is currently conducting some battery research at the company’s “skunkworkslab” located at the company’s Kato Road factory. The Kato Road plant is just minutes away from Fremont, where the Model S, Model 3 and Model X are produced. Tesla’s battery research and development team focuses on prototyping advanced lithium-ion batteries, as well as the new equipment and processes needed to achieve mass production of batteries, according to several former and current employees.

　　Tesla producing batteries could bring many advantages. For example, the company can avoid constraints that have plagued it in the past. Having its own battery design also reduces costs, allowing the company to launch a cheaper car than the standard-range Model 3 while boosting the performance and range of the company's vehicle lineup.

　　CNBC's sources did not mention whether Tesla integrated or utilized some of Maxwell's technology in its original battery design and manufacturing plans. However, Musk said at Tesla's annual shareholder meeting that the company will hold a battery and powertrain conference later this year to explain to attendees how it will use Maxwell's innovative technology.

　　Tesla Chief Technology Officer JB Straubel and Vice President of Technology Drew Baglino also talked about the need for Tesla to ensure large-scale battery production. "The situation now makes it clear more than ever that we need a large-scale solution for battery production," Straubel said.

　　In subsequent comments, Baglino added: "We're not going to sit idly by. We're taking whatever steps are necessary to be the masters of our own destiny here, whether it's technological or otherwise. I think by us We will find solutions through the experience we gain together with our partners.”

　　While Tesla's own battery production would make it more independent from Panasonic, the two companies are likely to maintain a partnership for years to come. After all, Panasonic has invested heavily in Gigafactory 1. In the latest Q&A session, Panasonic President Kazuhiro Tsuga dismissed speculation that the company's partnership with Tesla is in jeopardy. Kazuhiro Tsuga said: "We are ensuring that we have a partnership with Tesla, not a supplier relationship. Our relationship with Tesla will continue to be very strong, very strong."

　　There have been reports of tension between Tesla and Panasonic. In January this year, Panasonic and Toyota reached a cooperation agreement to cooperate in the production of automotive batteries through a joint venture controlled by Toyota. In early April, Panasonic said it would temporarily freeze investment in Tesla's Gigafactory. A few days later, Musk accused Panasonic of slowing down Model 3 production, saying that at the Gigafactory they jointly own, Panasonic's production line was operating at only two-thirds of its capacity.

　　Analysts pointed out that research results from market research company IHS Markit show that batteries are the main component of the cost of electric vehicles and their status is very important. Musk acknowledged at the company's annual shareholder meeting in early June that the company had been "battery constrained" in the past. This means battery shortages limit the production and sales of Tesla's electric vehicles and energy storage systems.

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