Tesla throws in the towel on car sales
The Verge • • business
Key Points:
- Tesla is shifting its identity from a traditional car manufacturer to an AI and robotics company, highlighted by discontinuing its flagship Model S and Model X to focus on humanoid robots and autonomous vehicles.
- Elon Musk envisions a future where less than 5% of miles driven are manually controlled, with Tesla producing only autonomous vehicles, positioning the company more as a "transportation as a service" provider.
- Tesla's automotive revenue declined by 10% year-over-year in 2025, losing its global EV sales leadership to BYD, while other revenue streams like energy and services are growing.
- The company is increasingly relying on subscription services, particularly Full Self-Driving (FSD) subscriptions, which grew 38% recently
