A company selling thirty-five thousand cars, even one-hundred thousand, would normally be a small deal in annual auto sales, but it does feel like Tesla is starting to move the arrow on electric vehicles a significant distance from EMPTY. Just as hopeful is the giant battery plant that Tesla is creating with Panasonic. The real tell, however, will be when there’s a second, third and fourth competitor for Musk’s machines, when that road begins to crowd. From Charles Fleming at the Los Angeles Times:

“Tesla Motors Inc. Chief Executive Elon Musk promised shareholders a dramatic boost in the production of his company’s electric cars, telling investors that Tesla will produce 35,000 cars this year and up to 100,000 in 2015.

Tesla, which reported earnings Thursday, also confirmed that the company has begun construction in Reno, Nev., on the first of possibly several battery factories. That news came hours after Tesla announced that it had entered into a long-term partnership with Panasonic Corp. to produce the vehicles’ lithium-ion batteries.

The $5-billion cost of multiple ‘gigafactory’ locations would be shared by Panasonic, which would be expected to match Tesla’s 40% commitment, with an additional 20% commitment coming from other investors and contributions from governments where the factories will be built.

Earlier reports had said Panasonic could invest between $200 million and $1 billion in the massive facility.

Tesla had said recently that California — where the Palo Alto company started and builds all of its automobiles and components — was competing with Nevada, Arizona, New Mexico and Texas for the right to host the factory. As many as 6,500 workers could be employed in the battery plant or plants.”