Tesla’s value drops $60bn after investors fail to hail self-driving ‘Cybercab’
Tesla’s value drops $60bn after investors fail to hail self-driving ‘Cybercab’
Investors criticised lack of detail about the ‘robotaxi’ showcased by Elon Musk
Analysts criticise lack of detail about the ‘robotaxi’ showcased by CEO Elon Musk
Tesla shares fell nearly 9% on Friday, wiping about $60bn (£45bn) from the company’s value, after the long-awaited unveiling of its so-called robotaxi failed to excite investors.
Shares in the electric carmaker tumbled to $217 at market close following an event in Hollywood, where the chief executive, Elon Musk, revealed a much-hyped driverless vehicle. The stock price is down roughly 12% year-to-date.
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However, analysts said the event was short on detail and also expressed disappointment over a lack of specifics about other Tesla projects. Musk has a history of making grand projections about upcoming products and failing to follow through in the timeframe he has set, or at all.
Musk: "I have concepts of a car."
Even at face value, that's still a massive red flag coming Musk. He gave us a concept of the cybertruck that actually looked pretty badass; then delivered a vehicle straight out the Playstation 1. Any concept he pitches can be assumed to be complete bullshit.
Analysts: "Is this 'car' in the room with us right now?"
It might not be a particularly new insight, but I find it worth repeating anyway: Musk truly is the new Ford. Runs his own company in the ground and has a hard-on for fascists.
With a bit of Edison thrown in for good measure. He's constantly claiming to have invented things or founded companies that he had nothing to do with.
You'll also notice it's gold colored. Direct homage to trumps tastes.
Investors we spoke to at the event thought the event was light of real numbers and timeline
Not like Elon is famous for keeping the timeline. Man on Mars and Tesla semi any day now.
I posted this elsewhere, but I always enjoy the timeline:
Well, he did say he'd put a man on Mars in 10 years... back in 2011.
...And then in 10 years in 2014 (meaning 2024).
...And then in 6 years in 2016 (meaning 2022)
...And then in 6 years again in late 2020 (meaning 2026)
Then we finally end up on his current 2022 estimate of 2029.
Don't worry, Trump and Elon said that if Trump wins 2024, we'll have a man on Mars before Trump's term is over.
Bro. Just one more year bro. I swear bro. Just one more year and we'll have full self driving bro.
Don't lose faith bro. Or I'll sue you and call you a pedo guy.
Narayan added that some investors were hoping for a teaser about a lower-priced vehicle, with pedals and steering wheel, that would launch next year. However, none was forthcoming.
Expectations were low....
They should bring back the roadster before Mazda makes an electric Miata from hell.
They should! They already got the preorders from 2018.
If the “taxi” was their new roadster it would have been at least a +10% jump.
It looks like shit though
It won't be $30k, it won't be full self driving, it won't be ready for production by by 2027, it won't replace all cars on the road by 2075.
It's shocking that people aren't calling him out on the fact that he also promised every Tesla on the road today would be capable of becoming a robotaxi, which was just an outrageous lie at the time and evidently they are no longer working towards making that plan a reality anymore if they're designing dedicated autonomous vehicles. Letting him pitch a new robotaxi idea feels like letting him get away not having to face any consequences for his blatant bullshit.
No Tesla will, correct.
These cars will be available, just not where governments stand on the scale for industries that refuse to modernize or make vehicles that a lot of people actually want instead of another oversized SUV or truck with a grill taller than a tank.
Is he going to sue the investors?
“I hope they stop. Don’t invest. If somebody is going to try to blackmail me with investing, blackmail me with money? go fuck yourself. Go fuck yourself. Is that clear? I hope it is.”
Here’s a list of every time he has promised (lied about) full self driving for literally more than a decade.
How is anyone believing this guy's shit after all this time?
I suspect sometime ago it switched from belief in him to most market players believing that "enough people will believe this guy's shit that the line will go up so best jump in early", essentially a self-made prophecy as long as enough people believe that others believe.
In that sense this result of his presentation pushing the line down A LOT means that even the idea that no matter how much he's lying he will move the market up is finished and his bullshit being a Midas Touch has now reached the natural endlife of becoming a Shit Touch.
That being so, has much more massive implications for Elon's business success and wealth as well as that of companies links to him, than merely the market losses in this one instance, since he is very much a One Trick Pony whose "bullshitter of tech fanboys" trick has stopped working and nobody is going to be betting on Elon pushing the line up anymore, the core of his success in getting wildass ideas funded and his companies in non-Tech industries getting Tech-style market valuations.
The next couple of years for Elon are going to be really "interesting".
I imagine the robotaxi it gonna just be some really short person under the hood running super fast like the Flintstones with a steering wheel
Musk is facing a LOT more practical scrutiny now that the cybertruck is an ongoing fiasco. People are rightfully wary of getting excited about a taxi that only seats two people. Anyone who’s been paying attention will also be suspicious of his claims that the taxi will actually cost under 30k, or that it will truly go into production “before 2027”.
I will admit that the van looks cool as hell. Of course, I still think Musk is a piece of human garbage, but I will give him that.
It's a bus. Elon Musk invented a bus. Now he only needs to invent a time machine, travel back to the 1800s and woo everyone with his new idea.
I love the aesthetic. I fully support Art Deco public transportation.
A bus designed by someone who absolutely hates public transportation is pretty funny though. "I wish these seats faced each other so I could sit knee to knee with a stranger." -Nobody Ever
And there's so little passenger space, they have a "luggage" compartment in the front. So I suppose I'm just supposed to put my bag there, out of my sight, then hope nobody takes it before I get off?
I still can't get over the fact that he called the cybercab "individualized mass transit" lol. Wtf does that even mean. Mass transit... For an individual? So like... A car? Or a bicycle? I guess I'm just not smart enough to understand the world's smartest human being ever.
It's windowless. As someone who gets motion sickness if I can't see out, I would cover the inside of that thing with barf. And the seats are conveniently facing sideways, which is another strong trigger for me, the barf would be aimed directly at the stranger facing me.
The Tesla Robovan (Musk pronounces it ruh-BO-vehn)
🤮
Did he say this particular "car" is 30k?
Oh, the cybercrab.
Looks good for a video game. For real life? Nah
now that the cybertruck is an ongoing fiasco
Is it, though? I personally hate the fucking things, but it's not like Tesla is having any trouble selling them.
I don’t know what the sales figures are. I was referring to the multiple recalls.
A two seater with lambo doors that look like they’ll immediately get sheared off by a passing truck that can’t see them. A laughable delivery timeline. And the “concept” bus looks like a Dustbuster that’ll get stuck in a pothole or on top of a speed bump with its current ground clearance. It’s almost like he’s deliberately trying to tank the stock making all this impractical shit.
Being surrounded by yes men and snorting buckets of cocaine will do that to you.
But, the cybervan can carry 20 people, revolutionary!!!!!
Its a freaking "shitty" bus without a poor person as a driver.
His innovation is that he hates people. Doesn't seem that new for rich people actually.
Edit: comparing it to a regular bus is too generous.
A whole sports team.
Go sports!
I just continue to be amazed that, instead of the old, tried-and-true method of giving people what they want—a solid, reliable car at a good price, and a stellar charging network in the places people want to be—a man of his means keeps trying weird gimmicks.
It's not so surprising when you consider the fact that he's nothing but a charlatan.
Just a colossal idiot with enough money and little enough self awareness that everyone is indulging his every whim and he never stops to consider that maybe he isn't a visionary and a genius.
Musk said the company would start building the fully autonomous “Cybercab” by 2026 at a price of less than $30,000, and showed off a van he claimed was capable of transporting 20 people around town autonomously – which he said would reshape cities by turning car parks into parks.
$30,000 for a fully autonomous bus?
He’s learned that if you put an (R) next to your name there are literally zero consequences for blatantly lying.
Why is he even bothering when we already have Waymo? It already has full-self driving, and it works wonderfully. I use it to get rides to work when I'm too tired to drive. Just hop in, take a nap, and wake up at your destination. I trust it way more than any Uber/Lyft driver.
The price is for yearly subscription
30k is for the robotaxi, 2 seater.
I think he made it reasonably clear that $30k was for the small self driving taxi, and the mini-bus would also become available
one of my old computer science professors said self driving cars “have been 5 years away for the past 20 years”. still rings true to this day
Self driving cars and net positive fusion, same same
Oh nobody's predicting net positive fusion anytime soon. There's huge materials hurdles in both magnetic confinement and inertial confinement while also regenerating tritium. Neutron radiation just does not play nice.
I agree with your professor. It's one of these things that people have a hard time understanding. A lot of folks can easily imagine the end-state, but have no clue what has to be solved to arrive there. A lot of folks think that projects in electronics, software engineering, computing, etc. are just a linear march from beginning to end; failure is a human or resource problem. In reality, there are problems out there that get exponentially harder to pull off with linear inputs, which is much harder to imagine let alone a great way to scare off investors.
In this case, the framing of the problem is all wrong. We're not trying to solve "a car that drives itself" (e.g. autopilot). Instead we are "simulating human sensory organs and cognition in order to pilot a vehicle without catastrophe or injury." The latter is much harder to solve, but IMO, is a much more realistic portrayal of the job.
Oh please let us see Elon lose all his fucking money because he's a gigantic ass hat.
We can dream, now that he's tied his name to Trump it's not as unlikely as previously.
Tesla: "hay guys we invented the bus, but cyber"
that's really Something isn't it
The key risk for this whole bet Tesla is making is the software. I couldn't give two shits about their hardware plans, that will come and it's not the key challenge. Saying "we will have it next year" is just not good enough when you've said it before and ruined your credibility already. This event should not have happened until the software is ready to go, it's worth nothing without that.
Dude invented the city bus.
I just don't get why they still have him as CEO.
The man spends his time mostly on Twitter, driving it into the ground to simp for Trump. He's taken obscene amounts of money from it, while failing to offer the simplest of products from its roadmap a decade ago - an affordable electric car.
If they don't pivot in the next few years, they'll run the risk of Tesla being leapfrogged to market more than it already has, with an inferior product to practically everyone that enters the EV market.
I still fully maintain that Musk will push Tesla towards making a petrol-powered car within the next few years, so IMO the board needs to get rid before that becomes a thing.
Deport Elon to Mars
What problems do autonomous taxies solve that are worth this investment of possibly decades?
Edit: grammar
Really. Give me reliable public transportation instead.
the feds would have to start issueing grants for light rail like they do with roads for that to happen. Otherwise cities will always default to a free road over a paid train system
The dream of being the first to do it and corner the market for more of that sweet growth.
I just wish it went into autonomous trains like France did with Paris Line 14
none. But they would have to be electric so that they don't lose fuel economy as 3x the number of cars on the road will 100% create traffic jams.
And even then the amount of energy wasted on traveling empty from drop offs to pickups would probably be collossal. Not to speak of the infrastructure we don't have to keep these charged
They should outcompete Uber and the others. They should provide very low cost point to point transport
I was making a point that the overall goal is for people to get from point A to point B. There are known solutions for that (trains, busses), investing millions into this just to replace taxis/Uber sounds ridiculous to me. This seems to me just an investment to promote the car centric mentality for solving such problems
Nooo they didn’t like the self-driving robotaxi that isn’t self driving. What about the bus that can’t go over a pothole? No? How about robots that are controlled and voiced by humans? Damn. Tough crowd.
Also there's this whole track record of Elon Musk's demonstrations were there's no clear independent validation that they actually work as we are being said they to or they're merelly announcements or concepts: those things are invariably complete total bollock at best bordering on Fraud.
I reckon that finally he has entirely exhausted both the benefit of the doubt that his demonstrations are in any way honest and representative of real products present or future, and the idea that "he might be bullshitting but he'll pull in enough suckers that early investors will win from going all in even if it's 100% bollocks".
The Midas Touch of Elon's bullshit has finally ran its course and turned into a Shit Touch.
Awe shucks. Tesla should boot out Dork MAGAT and bring back Eberhard and Tarpenning. When Leon leaves, then I will consider a Tesla.
Especially the person in the background starting Elon's first public robotaxi-trip with a remote control didn't really help.
At least the robovan looks like a vehicle from a dystopian cyberpunk movie, and the bad guy cops (that are of course working for a private police firm) are being ready to burst out from it to try to arrest the good guys.
“And all transport will be fully autonomous within 50 years.”
Bro even cold fusion reactors have less estimation than that.
For clarity, this means the stock is back to the price it was in September. I know car-man-bad but I get tired of these sensationalized articles that are only shared because they confirm that someone we like is bad actually
Market Cap of a company is sort of a meaningless number. As in, it's shares in existence times price per share, which is just another way of saying its the share price. If somebody were to sell $100 Billion worth of Tesla shares, the market price would plummet and he'd not get the $100 Billion the shares were originally worth.
Of course, a rule of thumb is that a company is worth 20 times it's annual profit, or its revenue. So, by that valuation, Tesla is worth 28 Billion dollars, or 25.5 Billion dollars if we go by revenue. (I'm surprised that both approaches lead to results so close to each other) Compare with a market cap of 682,47 billion, we can see that Tesla is ridiculously overvalued. So, I guess you should go and buy puts on Tesla. Or sell your shares if you have any.
But you're comparing profit "apples" to (meaningless) market cap "oranges". Almost everything looks overvalued that way.
I'm just getting into stocks. Would this be a good time to invest now that it's low?
Tesla is a so called "meme stock" detached from how a company is actually performing. I'd say avoid it if you're looking for "steady" buy and hold investing instead of (high tax) daytrader style gambling.
Generally yes, buy when it is low. Have a look at some graphs of recent performance to see if this is lower than typical weekly low points
Tesla does have room to expand; the biggest risk is that Musk does something stupid that damages Tesla, he has not done so yet - he seems competent at running (or has given important parts of the job to competent people) Tesla and SpaceX
Safer investment is through exchange traded funds, especially those which track major indexes (also known as index funds). You buy these the same way you buy other stocks - you're buying shares in the fund
Do you actually believe anything he said is true? Follow-up question, are you literate and do you have access to the internet?
Ah, how I love good news on a Monday..
More like after Elon's failed performance at the Trump rally, foreign "investors" pulled their money from Tesla
Tesla and Elon are one of the reasons why I don’t but individual stocks but I rather get indices… It’s just the lack of consistency and the fact a single person can make you lose money…
Elon musk extended family will own the entire Mars facility production and open hell portal?
Finally, some good news!
Tesla is no longer a serious company, Elon's brand has gone from tarnished to trashed. TSLA might be holding on for dear life but ELON is a penny stock now
