Tesla has began a development program with Daimler to produce a new electric Mercedes-Benz vehicle with a Tesla powertrain, according to a shareholder’s letter sent last Wednesday that contained its fourth quarter and full year earnings. Daimler has already been investing in Tesla and makes use of Tesla battery packs for its electric Smart cars.
There have been plenty of speculations about Daimler’s plans for an electric Mercedes. Tesla said that the electric Mercedes-Benz program will make use of a full powertrain, which includes the motor, gearbox, inverter and software. However, Tesla failed to offer details about its launch date or production volumes.
Tesla said that it will recognize revenue from the program starting in the second quarter. Tesla’s deal with Mercedes-Benz comes after it unveiled its third car, the Model X model, in Los Angeles last week.
Tesla’s earnings are on track to offer its first Model S cars to customers beginning this Summer as its DOE loan and relationship are in good standing. It also said that it is expecting guidance of between $550 million and $600 million for the year ahead.