Tesla 4680 cell voyage is near and it needs Panasonic support.

Panasonic, Tesla's battery provider, aims to begin trial production of the groundbreaking 4680 cells in 2022. It will also need to be on top of its game since Panasonic executives confirmed Tesla has placed a large order for the new cells, as the 4680 battery's trip is about to begin.

Tesla CEO Elon Musk stated during the company's fourth-quarter earnings call that the manufacturer is prepared to launch the 4680 cells, as well as the structural battery pack, in the Model Y constructed at the Gigafactory in Texas.

So in Texas, we're constructing Model Ys with the structural battery pack with 4680 cells, and we'll begin deliveries once the car receives final certification, which should occur very soon, Musk stated during the company's Q4 2021 earnings call. "Every day, we [Tesla] create 4680 structural packs that are built into vehicles in Texas," Senior Vice President of Powertrain and Energy Engineering Drew Baglino continued. Yesterday and the day before, I was driving one. And we anticipate delivering our first 4680 automobiles this quarter. "

Tesla is no stranger to huge demand spikes. Last year, the company delivered over 930,000 electric vehicles, exceeding Wall Street projections in all four quarters, including a whopping 13 percent increase in Q4 deliveries alone.

With plans to transfer more of the company's vehicles to new technology, particularly the 4680 battery cell, Tesla will need all the assistance it can get, as it is unlikely to be able to manufacture enough of the new cells in-house. According to recent sources, Panasonic has acquired a sizable order from Tesla for the cells. According to Bloomberg, the Japanese battery maker will prioritise Tesla in its manufacturing efforts.

"Tesla has made an exceptionally strong request for the 4680, and when we are able to provide it, we want to give Tesla first priority," Umeda added. "Once the verifications are complete, we will prioritise supplying Tesla."

It's not surprising that Tesla will be given priority when Panasonic begins mass producing the cells. Tesla not only designed the cells and will unveil them during the company's Battery Day event in September 2020, but Tesla has also made significant contributions to Panasonic's energy sector. According to MarketWatch, Panasonic spokespeople said that Tesla accounted for 60% of revenue in the company's energy segment. Panasonic announced sales of approximately $1.69 billion in Q4 2021, bringing Tesla's contribution to approximately $1 billion.