Topics

Tesla revamps the Megapack in attempt to reverse its declining storage business

Join 10k+ tech and VC leaders for growth and connections at Disrupt 2025

Netflix, Box, a16z, ElevenLabs, Wayve, Sequoia Capital, Elad Gil — just some of the 250+ heavy hitters leading 200+ sessions designed to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch, and a chance to learn from the top voices in tech. Grab your ticket before Sept 26 to save up to $668.

Join 10k+ tech and VC leaders for growth and connections at Disrupt 2025

Netflix, Box, a16z, ElevenLabs, Wayve, Sequoia Capital, Elad Gil — just some of the 250+ heavy hitters leading 200+ sessions designed to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch, and a chance to learn from the top voices in tech. Grab your ticket before Sept 26 to save up to $668.

Most Popular

Musk’s $1T pay package is full of watered-down versions of his own broken promises

Scale AI’s former CTO launches AI agent that could solve big data’s biggest problem

OpenAI announces AI-powered hiring platform to take on LinkedIn

Atlassian to buy Arc developer The Browser Company for $610M

Google brings Material 3 Expressive to Pixel 6 and newer devices, along with other features

Tesla’s 4th ‘Master Plan’ reads like LLM-generated nonsense

BMW, I am so breaking up with you

Latest

Amazon

Apps

Biotech & Health

Climate

Cloud Computing

Commerce

Crypto

Enterprise

EVs

Fintech

Fundraising

Gadgets

Gaming

Google

Government & Policy

Hardware

Instagram

Layoffs

Media & Entertainment

Meta

Microsoft

Privacy

Robotics

Security

Social

Space

Startups

TikTok

Transportation

Venture

Events

Startup Battlefield

StrictlyVC

Newsletters

Podcasts

Videos

Partner Content

TechCrunch Brand Studio

Crunchboard

Tesla revamps the Megapack in attempt to reverse its declining storage business Tim De Chant AM PDT · September 9, 2025 Tesla is updating its utility-scale Megapack batteries as it seeks to stem the decline of its lucrative energy storage business.

The new battery product known as Megapack 3, which Tesla revealed late Monday, are a bid to lure utilities and data center developers that are desperate for power. Megapack 3 stores around 1 megawatt-hour more electricity than Tesla’s largest existing offering and promises a longer lifespan.

Tesla also introduced Megablock, a grouping of four Megapack 3 units that can store 20 megawatt-hours, enough to run around 4,000 homes for four hours, the length of time such batteries are frequently used. The grouping should reduce installation times

Investors will have to wait a while to see any impact on Tesla’s balance sheet, though. Both products will be manufactured in Tesla’s Megafactory near Houston and won’t enter production until the latter half of 2026.

Tesla’s energy storage business could use a shot in the arm after reporting two consecutive quarters of declining numbers this year. The company was the leading supplier of battery energy storage systems in 2024, though its lead was slipping even then, according to Wood Mackenzie.

Meanwhile, the rest of the energy storage industry has been growing swiftly.

Techcrunch event Join 10k+ tech and VC leaders for growth and connections at Disrupt 2025 Netflix, Box, a16z, ElevenLabs, Wayve, Sequoia Capital, Elad Gil — just some of the 250+ heavy hitters leading 200+ sessions designed to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch, and a chance to learn from the top voices in tech. Grab your ticket before Sept 26 to save up to $668. Join 10k+ tech and VC leaders for growth and connections at Disrupt 2025 Netflix, Box, a16z, ElevenLabs, Wayve, Sequoia Capital, Elad Gil — just some of the 250+ heavy hitters leading 200+ sessions designed to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch, and a chance to learn from the top voices in tech. Grab your ticket before Sept 26 to save up to $668. San Francisco | October 27-29, 2025 REGISTER NOW The new Houston factory will be capable of producing up to 50 gigawatt-hours per year of Megapack 3 and Megablock units. Last quarter, Tesla installed 9.6 gigawatt hours of stationary energy storage.

Tesla’s solar and energy storage businesses would seem to have a built-in customer in CEO Elon Musk’s other company, xAI. The AI company has added 168 Megapacks at its data center in South Memphis, Tennessee, though it’s apparently exploring the addition of more dozens more gas turbines. No new battery additions have been reported.

Topics

Tim De Chant Senior

Tim De Chant is a senior climate

De Chant is also a lecturer in MIT’s Graduate Program in Science Writing, and he was awarded a Knight Science Journalism Fellowship at MIT in 2018, during which time he studied climate technologies and explored new business models for journalism. He received his PhD in environmental science, policy, and management from the University of California, Berkeley, and his BA degree in environmental studies, English, and biology from St. Olaf College.

You can contact or verify outreach from Tim

October 27-29, 2025 San Francisco Founders: land your investor and sharpen your pitch. Investors: discover your next breakout startup. Innovators: claim a front-row seat to the future. Join 10,000+ tech leaders at the epicenter of innovation. Register now and save up to $668.Regular Bird rates end September 26

Most Popular Musk’s $1T pay package is full of watered-down versions of his own broken promises Sean O'Kane

Scale AI’s former CTO launches AI agent that could solve big data’s biggest problem Julie Bort

OpenAI announces AI-powered hiring platform to take on LinkedIn Maxwell Zeff

Atlassian to buy Arc developer The Browser Company for $610M Ivan Mehta

Google brings Material 3 Expressive to Pixel 6 and newer devices, along with other features Aisha Malik

Tesla’s 4th ‘Master Plan’ reads like LLM-generated nonsense Sean O'Kane

BMW, I am so breaking up with you Connie Loizos

X LinkedIn Facebook Instagram youTube Mastodon Threads Bluesky TechCrunchStaffContact UsAdvertiseCrunchboard JobsSite Map Terms of ServicePrivacy PolicyRSS Terms of UseCode of Conduct Sam AltmanDeep FissionCognition AIApple EventSpaceXTech LayoffsChatGPT © 2025 TechCrunch Media LLC.