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At the core of Tesla's strategy for delivering an affordable electric vehicle lies its advanced battery technology, particularly the new 4680 cell. These next-generation batteries promise to be cheaper, more energy-dense, and simpler to manufacture. If Tesla can successfully scale production, these cost savings could translate directly to consumers.
The company's manufacturing approach also plays a significant role. Innovations such as Giga casting, which allows large parts of the vehicle to be produced in one piece, reduce labor and material costs. This, combined with Tesla's commitment to efficiency and automation, has the potential to maintain competitive pricing in a rapidly evolving marketplace.