Tesla could save $200M from one car part.

Last week Tesla revealed their Full Self Driving computer to shareholders.

In that speech, they talked about the cost savings vs. their old computer.

They stated that the cost of the new unit would be 80% of the cost of their old unit from NVIDIA.

According to NVIDIA Jetson AGX Xavier Developer Kit the cost of the chip would be $1,279.99.

I am sure Tesla and NVIDIA have a better arrangement than what the would get on Amazon, but for simplicity sake, lets look at what those numbers could be at $250 and $1000 price points.

Telsa is ramping up production and is on pace to make a million of these cars in the next year or couple years depending on the GF China ramp.

If you apply the 80% cost savings of $50 and $200 per vehicle from the $250 and $1000 price points respectively, and you multiply that by a million, you get $50M to $200M savings in just this one car part.

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jsturgis