Tesla Motors launched late Thursday its Tesla Energy brand with a line of batteries designed for homes, businesses and utilities.
"The obvious problem with solar power is that the sun doesn't shine at night," the company founder and CEO Elon Musk said in a press conference in California. "We need to store the energy to use at night."
But he added "the issue with existing batteries is they suck."
Musk launched the Powerwall home battery, a rechargeable 7-10 kwh lithium-ion battery, priced at $3,000-$3,500 for installers, with deliveries slated in three to four months. It's available in a selection of colors.
The size is 130 cm (51.2 inches) high, 86 cm (34 inches) wide and 18 cm (7.1 inches) deep.
"You don't need a battery room …A normal household can mount this on their garage or the outside wall of their house and it doesn't take up any room. It's flat against the wall," Musk said. "It's designed to work with solar system out of the box."
Tesla will need to open more "Gigafactories," in addition to the one planned as well as offering open sourcing of the technology, Musk said. Tesla plans to build the battery packs at its $5 billion Gigafactory just outside of Reno, Nevada. The massive plant will employ 6,500 workers and has the potential to crank out a half-million lithium-ion batteries by 2020.
Read More Economical challenges for Tesla: Analyst
Musk estimated that transitioning all global transportation,electricity generation and heating to renewable energy, primarily solar, would requirearound 2 billion of his Powerpack batteries, the model designed forbusiness-level usage.
That compares with around 2 billion cars and trucks on the road globally, while another 100 million vehicles are made yearly, Musk noted.
"We have done things like this before. It's not impossible," Musk said.