Tesla Plots $20 Billion Splurge to Reshuffle Factories

By Bloomberg Technology

Categories: Startup, VC, AI

Summary

Tesla plans to invest $20 billion in 2023, a massive spending spree to scale its Robotaxi ambitions. By 2029, ARK Invest projects Tesla's stock could surge 2,688% as Robotaxis account for over 90% of the company's enterprise value.

Key Takeaways

1. Tesla plans to double its Robotaxi fleet every month, potentially surpassing Waymo's 3,000 car fleet within 3 months.
2. Tesla has a 50% cost advantage over Waymo on next-gen Robotaxi vehicles like the Cybertruck, enabling more profitable pricing.
3. Tesla's 17 million miles of FSD data per day gives them a significant data advantage over competitors for training Robotaxi AI.
4. Robotaxi adoption will be driven by reducing the cost per mile from over $2 today to a profitable $0.25 at scale.
5. Tesla's vertical integration allows them to avoid the supply chain challenges and partnerships required by other Robotaxi players.
6. ARK Invest projects Robotaxis could account for over 90% of Tesla's enterprise value in the next 5 years, leading to a 2,688% stock surge by 2029.

Topics

• Tesla Robotaxi
• Autonomous Vehicles
• EV Supply Chain
• AI-Powered Mobility
• Tesla Valuation

Transcript Excerpt

The kind of big headline for me was the capital expenditures commitment, $20 billion this year, as you know full well, it's way beyond what they might do in a typical year. So let's start with that. You know, it's clearly a signal that these things that Elon Musk has kept you guys looking to the horizon for some time now, it's on paper. It's time to act. Yes. Well, you know, I think the capital expenditures are not too surprising to us. We had fairly aggressive investment estimations in our publ...