Tesla has unveiled its long-awaited Cybercab robot taxi, but the humanoid robot Optimus could prove more lucrative for the company. At the same time, the electric car maker is dealing with the departure of several senior executives.
Tesla revealed its autonomous robotaxi, Cybercab, at a California event on Thursday. The futuristic two-seater resembles a smaller Cybertruck with gullwing doors. CEO Elon Musk said production will begin in 2026, with prices under $30,000. Tesla displayed 20 vehicles, exceeding expectations of a single prototype.
Musk restated his vision of autonomous transport becoming personalized mass transit due to low costs. He estimates Cybercab's long-term operating expenses at about $0.20 per mile. Tesla also showed a Robovan minibus for up to 20 passengers but gave no release timeline.
The CEO has promised self-driving technology since 2016, with unfulfilled predictions of one million robotaxis by mid-2020. The current plan aims for Full Self-Driving on Model 3 and Model Y in California and Texas next year. Musk acknowledged his optimistic timelines but maintained his vision of Tesla owners profiting through a ride-hailing app.
Optimus as the "the biggest product ever, of any kind"
While Cybercab garnered attention, the Optimus humanoid robot may become Tesla's most profitable product. Musk described Optimus as potentially the "the biggest product ever, of any kind" with projected revenues up to $25 trillion. At the event, five Optimus units danced while others served drinks and interacted with guests, demonstrating various accents and personalities. Musk did not clarify whether the robots were remotely controlled, but the speed and human-like movements of the robots in the crowd could be a sign that they were.
Tesla has lost four senior executives in the past week, including the Chief Information Officer and the Director of Public Policy and Business Development. Former employees cite burnout and frustration with Musk's management style and frequent reorganizations. The company faces pressure to monetize its models and develop viable business strategies amid increased competition in the electric vehicle market, particularly from established automakers and Chinese companies.
