The long game for Tesla’s gigafactory

California state senator Ted Gaines put out a statement late Friday that made it sound like the Golden State was on the verge of a deal to land Tesla’s proposed gigafactory for battery production. The five states are all working feverishly to land a deal. Gaines is the politician who made a big show of going to Tesla’s Palo Alto headquarters with a symbolic golden shovel. Now he sounds a bit snippy.

“California has already kicked in hundreds of millions of dollars to help get Tesla off the ground and that alone should tilt the field in our favor for the gigafactory,” said Gaines. “With hours left in the Legislative session, I’m disappointed we haven’t sealed the deal. California’s effort is not to blame. When Tesla is ready to come to the table, we are ready to listen and will do all we can to bring the battery factory to our state.”

But Gaines is not the one negotiating with Tesla: it’s Mike Rossi, a senior advisor to Gov. Jerry Brown. And though the legislative session is coming to a close and the spot bill that Gaines co-authored  has stalled, a deal could still be cut without it.

“The Administration continues to engage in productive conversations with Tesla and remains optimistic that we can reach an agreement that meets our common goal of adding jobs in California,” said Rossi in a statement Friday.

In other words: it’s a long game.

Rendering of Tesla’s proposed Gigafactory.


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  • Ulrich Stauber

    Tesla is not going to Texas , Arizona or New Mexico to build the Megafactory cause is too far from the Fremont factory.
    Nevada is so far the winner because of the lower tax and incentives.
    And sadly California is rejecting the factory because all this opposers that are too stupid to see the benefits of the amount of jobs that Elon musk is creating.
    Maybe this is why lots of companies are leaving the “Golden State” that is only “Golden” on books.
    The risk is that other companies would follow ,like Apple, Google,Genentech ,Oracle and more.