Tesla is committing automotive suicide
8 days ago
- #Tesla
- #Autonomous Vehicles
- #Corporate Strategy
- Tesla announced it is discontinuing the Model S and Model X and pivoting entirely to 'transportation as a service.'
- Tesla's VP of Vehicle Engineering stated the company is moving away from selling cars to focus on autonomous vehicles and services.
- Elon Musk predicted that in the future, less than 5% of miles driven will be by human drivers, possibly as low as 1%.
- Tesla's Fremont production line will be converted to manufacture Optimus robots instead of vehicles.
- Tesla's current vehicle lineup is shrinking, with only the Model 3 and Model Y remaining successful but in decline.
- The Cybertruck is a commercial failure, and the Tesla Semi is still not in volume production.
- Tesla is abandoning plans for a $25,000 affordable EV and new models to compete with rivals like Hyundai and Rivian.
- Tesla's automotive revenue declined by 10% in 2025, and it lost its position as the world's largest EV maker to BYD.
- The company is investing heavily in robotaxis and humanoid robots, despite these ventures currently generating minimal revenue.
- Tesla's decision to shift focus from EVs to autonomous services is seen as a risky move that could lead to the decline of its automotive business.