Tesla became the first electric-vehicle company to reach a $1 trillion market capitalization in October 2021.
Tesla’s valuation passed $1 trillion on October 25, 2021, after its share price rose sharply following news of a major vehicle order from Hertz. The market-cap milestone reflected investor expectations about future growth, not simply the value of cars already sold.
Tesla was founded in 2003 and began production with the Roadster before expanding into the Model S, Model 3, Model X, and Model Y. Its business also includes batteries, charging infrastructure, and energy-storage products.
The milestone is often confused with Tesla becoming the first automaker to reach the mark. The more precise description is that Tesla was the first electric-vehicle-focused company to achieve it; traditional automakers have much older histories and broader product ranges.