Elon Musk announces new date for unveiling Tesla robotaxi and emphasizes the importance of autonomy
Elon Musk has confirmed that he will reveal Tesla's purpose-built 'robotaxi' prototype on October 10, after postponing the original unveiling date of August 8. Additionally, Musk mentioned that Tesla will showcase 'a couple of other things,' without providing further details.
During Tesla's second-quarter earnings call, Musk acknowledged the delay reported by Bloomberg, attributing it to his decision to redesign certain aspects of the prototype. Musk disclosed that he requested an 'important design change to the front' earlier this month.
'By pushing back the reveal a few months, we were able to enhance the robotaxi and introduce additional features for the product unveiling,' Musk stated during the call.
The Tesla robotaxi, along with the 'unsupervised' full self-driving software that will operate them according to Musk, plays a pivotal role in the company's future. Musk initiated a significant restructuring earlier this year by laying off over 10% of Tesla's global workforce to focus on developing AI-powered products, including a strong emphasis on autonomy.
However, this AI-focused direction is conflicting with Tesla's primary revenue stream of selling electric vehicles. In the second quarter of 2024, Tesla reported a profit of $1.5 billion, a 45% decrease compared to the same period last year. The profit was partly boosted by a record $890 million in regulatory credit sales, while Tesla reported a $622 million restructuring charge that impacted its earnings. Although total revenues increased by 2% year-over-year, automotive revenues decreased by 7% to $19.9 billion.
This financial performance follows a challenging start to the year for Tesla, which experienced a 55% decrease in profit year-over-year in the first quarter.
Despite potential challenges, Musk reiterated that Tesla's long-term value lies in autonomy alone during the call on Tuesday. He emphasized the significance of autonomy, including the development of the company's humanoid robot project named Optimus. While there have been delays in this area, Musk's focus remains on fulfilling his commitment to self-driving cars.
In anticipation of the October 10 event, Musk attempted to redirect investors' attention. While specific details about the unveiling remain undisclosed, an illustration of a small robotaxi prototype was featured in Walter Isaacson's 2023 biography of Musk.
Musk has discussed plans to offer the vehicle through Tesla's app, similar to how ride-sharing services like Uber and Lyft operate. He has also asserted that Tesla owners will eventually be able to integrate their cars into the shared network once the Full Self-Driving software is capable of fully autonomous driving, a milestone that Tesla has yet to achieve.
Despite facing challenges in delivering on his promises of fully self-driving cars, Musk remains optimistic about the future. He mentioned the possibility of offering the first unsupervised robotaxi ride by the end of this year, although he acknowledged that it could also extend into 2025. Musk humbly described himself as 'overly optimistic' with his projections.
Additional information from Tesla's second-quarter earnings call has been incorporated into this story, with the article originally published at 2:45 p.m. PT.
