Electric Car Maker-Tesla Acquires Solarcity for USD2.6 Billion as a Part of Expansion Strategy

United States: The global renowned Tesla motors has acquired Solarcity for USD2.6 billion with each share valuing at USD25.83. Solarcity is market leader in residential share and accounts for 32% of the market share in the first quarter of FY17. The deal would double Tesla’s workforce to 30,000 and would help Tesla to develop a combination of solar, power storage and transportation.

TechSci Research depicts the deal would help Tesla to enter into the power storage market. It would give technical expertise to Tesla to focus on lithium ion battery solution which is a key power storage solution in electric vehicles. The company would expand its operation in developing new and effective storage solutions giving a major boost to the Global lithium ion battery market   

According to a recently released report of TechSci Research, “Global Lithium-ion Battery Market By Type, By End User, By Region, Competition Forecast and Opportunities, 2011 – 2021”, the global lithium-ion battery market is projected to grow at a CAGR of over 17% during 2016 - 2021. On the basis of material used as the cathode, global lithium-ion battery market has been segmented into five categories, Lithium Nickel Manganese Cobalt Oxide, Lithium Iron Phosphate, Lithium Cobalt Oxide, Lithium Titanate Oxide and Others. Among these categories, Lithium Nickel Manganese Cobalt (Li-NMC) dominated the global lithium-ion battery market in 2015.