Elon Musk, the CEO of Tesla, has a history of setting trends in the electric vehicle business and isn’t one to back down from big investments. It seems like the Tesla executives are regaining control and pressuring Musk to adopt a more sensible strategy.
Elon Musk desired to introduce a Robotaxi capable of totally autonomous travel.
Elon Musk’s original concept for the Robotaxi was a futuristic-looking vehicle without a steering wheel or pedals that shouts “future.” Musk had high hopes for a Robotaxi, which he thought might one day turn Tesla into a “ten-trillion company.” However, not everyone on the Tesla team agreed with the concept. Franz von Holzhausen, the head designer, and others argued in favor of a Plan B: a less expensive electric vehicle built on the same technological foundation.
The worries were valid. The executives contended that Full Self-Driving (FSD) technology might not be ready or encounter regulatory obstacles abroad. Additionally, they highlighted a sizable market for inexpensive electric vehicles, which is consistent with Tesla’s long-term objective of greatly increasing manufacturing. As a result, Tesla is currently working on both the Robotaxi and a reasonably priced electric vehicle. Both vehicles’ designs, which were shown to Musk in February 2023, have the cool, futuristic Cybertruck look that Musk enjoys.
But queries remain. Is Tesla overstretching itself by pursuing two conflicting ideas at once? The original plans for a new gigafactory in Mexico have also been abandoned. Due to the resistance of senior engineers to move to Mexico, Tesla decided to move the headquarters of its next-generation EV operations to Austin, Texas.
In conclusion, it appears like Tesla is hedging its chances by developing two revolutionary vehicles. This might provide a safety net, but it also runs the risk of scattering attention and resources. Only time will tell whether this dual-path strategy will be successful or if it is an unduly optimistic gamble. But there is little doubt about one thing: when these vehicles are released, they will appear to be “something from the future,” as Musk joyfully said. Making the future, but with a safety net, may be the aim.