Electric car giant Tesla is adding to its Austin operations in a huge way.
The company on Wednesday announced it had selected Austin as the home to its forthcoming gigafactory where it will manufacture its new Cybertruck, its Semi and Model Y vehicles. The factory will be near the airport in East Austin.
Tesla CEO Elon Musk said in call with investors that construction on the site is already underway, having started this past weekend. He also said it will be next to the Colorado River and will be connected to a boardwalk and hiking trails.
Asked about how many vehicles can be produced at the new facility, Musk mostly dodged the question: "Right now, zero. But long term, a lot."
Tesla's move to Austin has been months in the works. It appeared to start with a tweet Musk sent in February asking his followers a simple question: "Giga Texas?" The response was an overwhelming "Hell yeah" in his Twitter poll.
Now, after a series of tax incentives granted by Del Valley school district and Travis County that are worth millions to the company, Tesla has picked Austin over other contenders, including Tulsa. The $1.1 billion project is expected to bring around 5,000 jobs to the city with an average salary of $47,147. That includes unskilled labor -- roughly 65% -- and more tech-oriented jobs.
Austin Mayor Steve Adler said the move gives Austin several things it needs, including jobs that don't require a four-year degree and an economic boost for East Austin.
"This new opportunity will help our city be more fair for everyone who lives here. I look forward to working on and resolving the issues leading to final city approval," he tweeted.
The Austin Chamber of Commerce applauded the development.
“Our community has the strong desire to ensure everyone in our region has opportunities to grow, opportunities to achieve success, and opportunities to provide a better future for their children,” Opportunity Austin Chair Gary Farmer said in a statement. “Tesla’s decision to locate its newest Gigafactory in Austin will expand and enhance our innovative culture while also providing new and exciting career opportunities for all segments of our Central Texas workforce. The company’s pioneering spirit and advanced manufacturing technologies will be instrumental in our region’s economic recovery and our sustainable growth for the longer term.”
Gov. Greg Abbott said Tesla is one of the most innovative companies in the world.
“Texas has the best workforce in the nation and we’ve built an economic environment that allows companies like Tesla to innovate and succeed," he said in an statement. "Tesla’s Gigafactory Texas will keep the Texas economy the strongest in the nation and will create thousands of jobs for hard-working Texans."
Meanwhile, Bored Elon Musk, a parody Twitter account with 1.7 million followers, suggested Tesla get started on a very Austin idea: "Electric breakfast taco trucks."
This is a breaking story. We'll update when we learn more.
