Tesla coined the term Gigafactory when company officials first began talking about a massive plant that would build all their battery packs so as to rely less on outside supply and thus control the costs much better.
Gigafactory remained something that was alluded from time to time, but now it’s been announced (albeit in a preliminary and semi-official) that the site for the first such facility will be Nevada’s other kitsch casino-ridden city, Reno.
It’s going to be a huge deal for the state of Nevada, and as the Reno Gazette-Journal reports, quoting the state’s governor Brian Sandoval, it is “a monumental announcement that will change Nevada forever and set in motion the creation of thousands of new jobs.”
The $1.25 billion tax incentive (spread over a period of 20 years) was not the largest one offered to Tesla (four other states were in the running), but what is clear now is that if the deal goes through, the electric automaker will not be paying any taxes whatsoever for an entire decade.
Tesla’s end of the deal would be a $3.5 billion investment of its own – it would be the main condition for receiving the attractive incentives proposed by the Nevada officials.
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