Elon Musk 'trying to distract from Tesla's imploding car business' with robotaxi rollout

The Cybercab will begin volume production in April, Mr Musk confirmed earlier this year
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Elon Musk has come under strong scrutiny over his treatment of Tesla as a brand after axing two models from its lineup and a slow rollout of Full Self-Driving technology.
Tesla CEO Elon Musk has announced a raft of changes to Tesla in a recent earnings call, headlined by plans to axe production of the Model S and Model X.
The South African-born businessman said production of the two models would end before the summer, with the Fremont factory in California being transformed to begin producing the brand's Optimus humanoid robot.
He has made lofty promises about the Optimus robot in recent weeks, promising that it will become "the biggest product ever", alongside revolutionising transport with autonomous robotaxis.
The Tesla Cybercab has long been touted by Elon Musk as the next great innovation in the automotive industry, with the self-driving vehicle set to enter volume production later this year.
The two-seater vehicle was first debuted by Mr Musk in 2024 at an event in Los Angeles, with the Tesla CEO showing off the vehicle, which did not feature a steering wheel or any pedals.
Testing of the robotaxi has already started without any safety monitors in the front passenger seat, while the Cybercab has also been spotted driving in Alaska.
A limited service of the robotaxi began in Austin, Texas, last year, which saw multiple Model Y vehicles equipped with Full Self-Driving technology installed.

Protesters have targeted Tesla vehicles in response to Elon Musk's political actions over the last year
| GETTY/REUTERSHowever, the trial was met with criticism over the inclusion of a human safety monitor in the passenger seat, despite Mr Musk claiming that it would rival Waymo's self-driving vehicles, which will hit the road in London later this year.
Speaking to GB News, Dan O'Dowd, founder of The Dawn Project, slammed Mr Musk's recent Tesla earnings call, adding that he was trying and failing to save the manufacturer.
He added: "Tesla's Q4 2025 earnings call was Elon Musk repeating the same tired promises he made and broke years ago about Tesla Full Self-Driving, in a desperate attempt to distract from Tesla's imploding car business.
"Tesla's profits fell 46 per cent in 2025 amid plummeting sales brought about by Musk alienating Tesla's customer base.
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The autonomous Tesla Cybercab robotaxi has been testing in Alaska in recent weeks
| TESLA"Musk has bet the farm on self-driving software that still requires human supervision, at a time when Tesla's competitors are deploying fully autonomous robotaxis around the world."
He has previously ruled out producing an entry-level Tesla for under $25,000 (£18,447), despite promising an affordable model to help more drivers switch to electric vehicles.
Dismissing reports of a "Model 2", Mr Musk said it would be "pointless" and "silly" to produce a vehicle at that price point.
Elon Musk suggested that the Cybercab would have a price tag of less than $30,000 (£22,144), although he noted that the production rate would be "agonisingly slow" in the beginning.
The Tesla Model S and Model X will be phased out of production before the summer | TESLA"Tesla ended production of two of its five vehicle lineup in favour of a robot that can barely walk and requires a human teleoperator for even the most menial tasks," Mr O'Dowd said.
Mr Musk recently merged two of his other companies, SpaceX and xAI, with a valuation of $1.25trillion (£923billion) to create the world's most valuable private company.
The billionaire, who could soon become the world's first trillionaire, added that Tesla would invest $2billion (£1.47billion) into xAI as it moves to use artificial intelligence in the manufacturing process.
Mr Musk said xAI would work as an "orchestra conductor" in factories where autonomous robots will be producing new Tesla electric vehicles.









