During an earnings call last year, Musk had talked about his plans to make a product that would be fitted into consumers’ homes, instead of their cars. He had expressed an interest in the home energy-storage market and predicted enormous demand for battery systems for backup power at both homes and businesses.
Now Solar City and Tesla together is making sense. Solar City does solar panel leasing but one key problem for all solar panel leasing firm is ability to store the excess power and use it when necessary or even trade it while the electricity price is high. If Tesla is able to leverage on its knowledge to build a consumer grade battery, that I believe would be game changing for both industry. The break even for solar leasing company might go drop to a shorter period.