Tesla Confirms Opening Supercharger Network To Other EVs: What's The Revenue Potential?

After announcing that Tesla would open its Superchargers to non-Tesla owners, CEO Elon Musk has clarified how the process will work.

What Happened: Known for its Superchargers that are exclusive to Tesla Inc (NASDAQ: TSLA) owners, the electric vehicle company could add a new revenue stream with plans to offer charging connectors to other company’s vehicles.

Musk said on Twitter Inc (NYSE: TWTR) recently the company would offer its charging network to other vehicles.

“We’re making our Supercharger network open to other EVs later this year,” Musk tweeted.

During Tesla's second-quarter earnings conference call, Musk confirmed the opening of the charging network and shared some initial details.

“You plug in your car, even if it’s not a Tesla, and you just access the app to tell [it to] turn on the stall that I’m in for how much electricity,” Musk said, noting the Superchargers should work with any manufacturer’s electric vehicle.

Electrek previously reported that Tesla was opening up its mobile app to non-Tesla owners who can create an account and add a credit card for future charging payments. 

Adapters will be made available to use with other vehicles.

Related Link: Tesla Q2 Earnings Recap: 98% Revenue Growth To $11.96B, Semi Shifts To 2022, No Bitcoin Transactions 

Why It’s Important: The announcement from Musk and the company has been controversial to Tesla owners who think it may impact traffic and wait times at Supercharger stations.

Goldman Sachs recently ran the numbers on what opening up Superchargers to other electric vehicles could mean for Tesla’s revenue.

“Tesla opening up its network could represent a sizable opportunity over time as the EV fleet grows, especially if Tesla charges more for non-Tesla owners,” the research report said.

Annual revenue from charging stations now totals less than $1 billion for Tesla. The analyst estimates annual revenue could hit $25 billion annually over the long-term based on 500,000 Supercharger connectors and depending on average use and price.

Tesla ended the second quarter with 2,966 Superchargers and 26,900 connectors.

TSLA Price Action: TSLA shares were down 1.95% at $644.78 at the close Tuesday.

Photo: courtesy of Tesla.