Elon Musk says he’ll showcase Tesla’s purpose-built “robotaxi” prototype throughout an occasion October 10, after scrapping a earlier plan to disclose it August 8. Musk mentioned Tesla may also showcase “a few different issues,” however didn’t clarify what that meant.
The feedback, made on Tesla’s second-quarter earnings name Tuesday, largely confirms Bloomberg’s unique report in regards to the delay, together with that it was pushed by Musk’s need to revamp sure components of the prototype. Musk confirmed earlier this month that he requested an “essential design change to the entrance.”
“Transferring it again just a few months allowed us to enhance the robotaxi, in addition to add in a pair different issues for the product unveil,” Musk mentioned throughout the name.
The Tesla robotaxi — and the “unsupervised” full self-driving software program that Musk says will run them — is on the middle of the corporate’s future. Earlier this yr, he laid off greater than 10% of Tesla’s world workers in a bid to reorganize the corporate towards creating synthetic intelligence-powered merchandise, together with a “balls to the wall” push towards creating autonomy.
That AI-focused future is bumping up in opposition to the corporate’s main revenue middle of promoting EVs, although. Tesla reported Tuesday that it made $1.5 billion in revenue for the second quarter of 2024, down 45% from the identical interval final yr. That revenue was padded by a file $890 million in regulatory credit score gross sales, too, although Tesla reported a $622 million restructuring cost that dragged down its earnings. And whereas complete revenues had been up 2% year-over-year, automotive revenues dropped 7% to $19.9 billion.
This efficiency follows what was already a tough begin to the yr for Tesla, the place it noticed a 55% year-over-year drop in revenue within the first quarter.
The corporate is now an actual chance of promoting fewer EVs in 2024 than it did in 2023, which might signify a surprising reversal of its prior progress trajectory. Tesla has massaged this by telling traders that it’s between “two main progress waves,” pinning hopes of extra gross sales on the brand new (however polarizing and costly) Cybertruck, and mysterious future fashions that could possibly be bought at a decrease MSRP.
That’s all “within the noise,” although, in line with Musk. Tesla’s long-term worth lies in autonomy and autonomy alone, he confused on Tuesday’s name. That features the corporate’s humanoid robotic effort, dubbed Optimus, which obtained a sneaky delay this week. However it principally facilities round Musk’s longest operating promise that he has but to ship on: self-driving vehicles.
With that in thoughts, Musk tried to focus traders’ consideration to the October 10 occasion. Not a lot is publicly identified about what Tesla will showcase, although there was an illustration of a small robotaxi prototype within the biography of Musk written by Walter Isaacson in 2023.
Musk has spoken about making the car obtainable to folks by means of Tesla’s app, just like how Uber and Lyft function. He’s additionally claimed Tesla house owners will have the ability to put their very own vehicles on the shared community as soon as the corporate makes its Full Self-Driving software program superior sufficient to deal with all driving — one thing it’s nonetheless removed from undertaking, regardless of the title.
Regardless of years of guarantees, Musk has struggled to execute on the thought of absolutely self-driving vehicles, and because of this Tesla is being sued by house owners and investigated by quite a few authorities companies.
Requested on the decision when Tesla would have the ability to supply its first unsupervised robotaxi experience, Musk mentioned he believes it could possibly be potential by the tip of this yr. However he added that it additionally might occur in 2025, and that he’s “overly optimistic” along with his predictions.
This story has been up to date with extra particulars from Tesla’s second-quarter earnings name. The article initially printed at 2:45 p.m. PT.
