Why Elon Musk thinks Tesla will be worth as much as Apple in a decade

Gigaom

Thanks to a killer 2014, this week Apple became the first U.S. company to be worth over $700 billion. Could a company that makes electric cars ever be worth that much? Well, yes, according to comments made by Tesla CEO Elon Musk during the company’s earnings call Wednesday night.

Musk said that Tesla is investing a “staggering” amount of money into its capital expenditures ($1.5 billion in 2015), including manufacturing, expanding its own branded stores, installing charging stations, designing the Model 3, finishing engineering and tooling of the Model X, and building the massive battery factory. But that amount of capex spending could turn Tesla into a company worth $700 billion in a decade, said Musk, noting that his comments were his personal opinion and not company predictions.

Inside Tesla Motors Inc.'s Flagship Showroom

So here’s his, admittedly back of the envelope math: take Tesla’s annual revenue of 2015, which he says will be $6…

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