Tesla's stock soared to new heights on news of the massive order.
Rental car giant Hertz announced it was buying 100,000 Tesla electric vehicles that will be available to customers starting next month.
Tesla stock soared on news of the massive order, and its market cap hit the $1 trillion milestone during intraday trading Monday, a feat very few U.S. companies have attained.
The announcement also comes just months after Hertz emerged from bankruptcy, after the COVID-19 pandemic gutted the travel and rental car industry in 2020.
In addition to the initial order of 100,000 Teslas by the end of 2022, Hertz also announced it was adding new electric vehicle charging infrastructure at outposts across its global operations.
Starting in early November, the company said customers will be able to rent a Tesla Model 3 at Hertz airport and neighborhood locations in major U.S. markets and select cities in Europe. It will offer digitized guidance to educate customers about the electric vehicles, and soon hopes to offer an expedited electric vehicle rental booking process through its app.
"Electric vehicles are now mainstream, and we've only just begun to see rising global demand and interest," Hertz interim CEO Mark Fields said in a statement Monday.
"The new Hertz is going to lead the way as a mobility company, starting with the largest EV rental fleet in North America and a commitment to grow our EV fleet and provide the best rental and recharging experience for leisure and business customers around the world," Fields added.
The company said it was the first U.S. car rental company to introduce electric vehicles to its rental fleet in 2011 and that with the current order, electric vehicles will comprise more than 20% of Hertz global fleet.
Hertz is teaming up with seven-time Super Bowl champion Tom Brady on an ad campaign about its new electric vehicle fleet.
"Although the company has been around for over 100 years, their constant evolution, especially now, is something that is amazing to be a part of," Brady said in a statement. "I've been driving an EV for years and knowing Hertz is leading the way with their electric fleet speaks to how the world is changing and the way companies are approaching being environmentally and socially conscious. I've always loved how easy and convenient Hertz makes it for me when I'm traveling to my favorite places like New York, LA and Tampa and can't wait to see what they continue to have in store."
The move comes amid mounting pressure on the private sector and beyond to take action on climate change. The transportation sector generated the largest share of greenhouse gas emissions in 2019, per the U.S. Environmental Protection Agency, primarily from burning fossil fuels for cars, trucks, ships, trains and planes.
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Customers can soon rent a Tesla at Hertz after company orders 100,000 electric vehicles - ABC News
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