Tesla CEO Elon Musk has confirmed that the automaker will unveil its Robotaxi on August 8, sparking discussions about its potential influence and the future of autonomous technology. According to Morgan Stanley, the unveiling event could have far-reaching implications beyond 2030, as the development of a potential Tesla robotaxi business has been a subject of interest since 2015. The delay in the formal launch of Tesla’s highly automated ride-share service, initially expected in 2018, has prompted the automaker to announce that its growth this year will be affected due to the development of the next-generation platform, which includes the Robotaxi and the speculated $25,000 vehicle. Despite these challenges, Tesla’s long-term prospects continue to generate excitement, with many seeing the potential for groundbreaking innovations.
Tesla’s upcoming event is also viewed as a potential recruiting opportunity, as past events have successfully attracted top talent to the company. However, the path to the commercialization of true robotaxis at scale is expected to be long and fraught with various challenges, including legal, regulatory, moral, and ethical considerations. Morgan Stanley remains bullish on the long-term growth of L4/L5 autonomy but anticipates short-term hurdles. The unveiling of the Robotaxi is seen as emblematic of a broader shift in Tesla’s business model towards real-world and hard-tech AI and robotics, which will reduce its reliance on traditional automotive elements and place a greater emphasis on AI and software-based technologies.
Despite concerns about its reliance on NVIDIA, Morgan Stanley maintains an ‘Overweight’ rating and a $310 price target for Tesla stock.