Elon Musk Aims for Energy Empire With SolarCity Bid

Elon Musk Aims for Energy Empire With SolarCity Bid

With a bold bid on Tuesday, Elon Musk’s electric car company, Tesla, attempted to buy the entrepreneur’s solar company, SolarCity.

It’s a move that could lead to a full-fledged energy empire, with Musk taking the throne as ruler of the industry.

Investors have had mixed reactions about Musk’s move, but in the grand scheme of things, it could make sense for the mogul to blend two companies focused on different facets of energy efficiency’s future. From solar panels to home batteries to electric cars, Musk could soon be leading the market in all three of these arenas.

SolarCity has struggled over the past year, with a drop from $60 million last year to $20 million in early 2016. Musk serves as a chairman of SolarCity, which he founded with cousins Lyndon & Peter Rive, who are CEO and CTO, respectively.

With Tesla boasting a stronger success rate, merging with SolarCity could help one company’s downfall while continuing the uptick of another.

RELATED: Elon Musk Launches $1 Billion Robot Gym

Tesla’s Home Battery Roll-Out

The merger is quite logical as a sheer move of vertical integration, especially in considering energy storage batteries.

SolarCity could harness the power of the sun in order to power Tesla home batteries, or even the batteries of the company’s car models, which would further increase revenue for the electrical energy giant.

Do we have an energy empire on our hands? Or will Tesla and SolarCity continue to remain separate entities?

As of now, it’s something for the industry and investors to watch on edge as Musk considers his options. Known to be a major investor in most of his own companies, the final say will likely fall into his hands.

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About The Author

Greg Vellante is a staff writer and multimedia specialist at TecHome Builder, as well as a content coordinator for AE Ventures events. He has over a decade of experience writing for various publications on topics that range from cinema to editorials to home technology. His favorite technologies fall into the A/V and home entertainment realm, and he’s keeping a close eye on the rising trends in robotics and virtual/augmented reality. Greg resides in Boston, holds a degree in Media Studies from Emerson College and pursues screenwriting/filmmaking in his free time.

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