Tesla Inc TSLA is rumored to have signed a $400 billion deal with South Korea’s Samsung Electro-Mechanics to supply cameras, likely for the highly-anticipated Cybertruck pickup truck launch.
What Happened: The $436 million deal is for a rearview camera for a vehicle that does not have side mirrors and the electric vehicle is equipped with more than eight cameras to enable self-driving, Electrek reported on Monday, citing Korea Economic Daily.
Tesla plans to launch the Cybertruck by the end of 2021. The electric truck was first unveiled in November 2019.
Why It Matters: The Cybertruck is a departure from conventional pickup designs and is key to Tesla’s growth in the category. The electric pickup will be powered by Elon Musk-led company’s in-house 4680 batteries and is expected to contribute about 5% of Tesla’s total sales volume a year from its launch.
Price Action: Tesla shares closed 4.38% higher at $685.70 on Monday.
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Photo: Courtesy of Tesla
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