Leading electric vehicle company Tesla Inc (NASDAQ:TSLA) continues to add numerous Supercharger locations across the country. One planned upcoming location could lead to a new business line for the company.
What Happened: Plans from Tesla and CEO Elon Musk to add a restaurant and dine-in theater at a Supercharger location date back to 2018. The plans appear closer to fruition, with Musk saying that an undisclosed location in Hollywood, California will get a “diner and drive-in theater.”
The announcement from Musk comes after a Santa Monica Supercharger location recently opened and was originally slated to have the restaurant and theater. Musk also changed the wording of the restaurant from “retro-looking” to “futuristic.”
Reports indicate that building permits for the restaurant at the Santa Monica Supercharger location hit a roadblock, prompting the move to Hollywood.
Tesla filed trademarks for its brand name under the restaurant services sector in 2021.
“Tesla trademark registration is intended to cover the categories of restaurant services, pop-up restaurant services, self-service restaurant services, take-out restaurant services,” Electrek said at the time.
Why It’s Important: Musk’s plans for food and entertainment options at Supercharger locations have been around for years and signal potential revenue making opportunities for the company.
Charging a vehicle takes time, and that time could be used by vehicle operators at a restaurant or movie.
A photo from Electrek showed a food truck at the Santa Monica Supercharger location, but it is unclear if they paid Tesla to be parked in the lot or took advantage of the grand opening of the location. Some restaurants have in the past offered free delivery to nearby Supercharger locations, a move that doesn’t bring additional revenue to Tesla.
As Benzinga reported in 2021, Tesla could choose to partner with existing restaurant companies to build smaller footprint locations at the Supercharging stations, similar to fast-food restaurants inside gas stations and travel centers. This move could bring royalty revenue to Tesla.
Tesla ended the fourth quarter with 3,476 Supercharger locations. Not every location would be suited for a restaurant or dine-in theater, but some of the larger and most trafficked locations could bring additional revenue to Tesla with these added services.
Tesla is also working on opening up its Supercharger locations to other electric vehicle operators, something that could bring more traffic to charging locations and also potentially increase wait times.
The Hollywood Supercharger location is scheduled to open in the second quarter of 2022 according to a Supercharger location map.
The opening of a restaurant and movie theater at a Tesla Supercharger location could be a massive event and a newsworthy moment for the electric vehicle company. The opening could also move the price of a meme cryptocurrency, with Musk already promising that Dogecoin (CRYPTO: DOGE) will be accepted as payment at the diner and theater.
“And of course, you can pay in Doge,” Musk tweeted.
You can’t pay for your Tesla vehicle in Dogecoin, but merchandise on the company’s website can be bought with the cryptocurrency. By adding diners and theaters to Tesla-related items which accept Dogecoin, the Tesla CEO would be further connected to the well-known cryptocurrency.
Since Tesla has become a cult brand, the planned expansion into the restaurant services sector could attract an audience of people coming just to eat at the diner without even charging their vehicle.
Photo: Courtesy of mbeo on Flickr