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Drudge Retort: The Other Side of the News
Wednesday, December 31, 2025

A major link in Tesla's 4680 battery supply chain has just snapped. South Korean battery material supplier L&F Co. announced today that the value of its massive supply deal with Tesla has been slashed by over 99%, signaling a catastrophic drop in demand for the automaker's in-house battery cells.

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For years, we've been told that the 4680 cell was the "holy grail" that would allow Tesla to produce a $25,000 electric car. But five years after Battery Day, the cells are still reportedly difficult to manufacture at scale due to the dry electrode process, and their only application is a low-volume pickup truck that has become a commercial failure.

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More from the cited article ...

... Right now, Tesla's Cybertruck is the only vehicle using the automaker's own 4680 cells.

In a regulatory filing today, L&F revealed that the contract's value has been written down to just $7,386.

No, that is not a typo. $2.9 billion to roughly $7,400. ...


#1 | Posted by LampLighter at 2025-12-31 02:04 PM | Reply

Related ...

Tesla Broadcasts Downbeat Sales Estimates in Unusual Move
finance.yahoo.com

... Tesla Inc. took the unusual step of publishing a series of sales estimates indicating the outlook for its vehicle deliveries may be lower than many investors were expecting.

The carmaker posted estimates to its website showing analysts on average expect the company to deliver 422,850 cars in the fourth quarter, down 15% from a year earlier. That compares with a Bloomberg-compiled average of 440,907 vehicles, an 11% drop. ...


#2 | Posted by LampLighter at 2025-12-31 03:34 PM | Reply

No, that is not a typo. $2.9 billion to roughly $7,400. ...

#1 | Posted by LampLighter at 2025-12-31 02:04 PM | Reply | Flag:

Somewhere, a loan officer is being talked out of jumping.

#3 | Posted by sitzkrieg at 2025-12-31 04:51 PM | Reply

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