From: allin
Tesla recently experienced an 8% stock increase following its earnings report, bringing its five-day gain to 23% [01:05:40]. This rally is attributed in part to Elon Musk’s indication that he would shift his focus back to Tesla after dedicating significant time to Doge (Twitter) [01:05:47].
Elon Musk’s Management Strategy
Elon Musk manages his multiple companies by engaging in “intense bursts” of focus on one specific business [01:06:30]. During these periods, he immerses himself in the company, learning its operations down to the database level, as observed during his initial three months at Twitter HQ [01:06:10]. Once he develops a comprehensive understanding and puts trusted individuals in place, he can transition to a more “maintenance mode,” managing the company for a few days a week [01:06:26]. This approach allows him to divide his time effectively across his five companies [01:06:30].
Full Self-Driving (FSD) and Robo-taxis
Tesla’s Full Self-Driving (FSD) feature was highlighted for its significant improvement, reportedly reaching a 99.5% reliability [01:16:01]. Despite its effectiveness, users are required to hold the steering wheel and maintain visual focus due to a camera monitoring system that penalizes disengagement [01:16:27].
A debate exists regarding Tesla’s camera-only approach for FSD versus the use of lidar technology [01:17:14]. While some online discussions suggest that a lack of lidar could lead to more disengagements, particularly in conditions like direct sunlight affecting cameras [01:17:01], Elon Musk has consistently rejected the use of lidar [01:17:32]. In contrast, Google’s Waymo, which uses lidar, employs fully autonomous units with on-board models that make decisions independently, only syncing with the fleet upon return [01:17:53].
Confidence was expressed in Tesla’s ability to introduce functional robo-taxis within two years [01:16:17].
Challenges and External Pressures
Despite the positive financial performance and technological advancements, Tesla has faced external challenges, including instances of “crazy leftists engaging in terrorism,” such as firebombing Tesla dealerships [01:08:29]. This external opposition contributes to the pressure on Tesla’s operations and stock performance.