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Tesla Insiders Are Calling Its AI Future A Dead End
Musk’s hype is rapidly fading.
Tesla sales have continued their downward trend despite the launch of the new Model Y. As such, Tesla is almost certainly unprofitable, just as it was back in the first quarter of 2025. However, Musk isn’t trying to revive Tesla’s EV business — quite the opposite, in fact. He appears to be completely abandoning it and betting the entire company’s future on AI. At Musk’s behest, Tesla has effectively dropped all its development projects to focus entirely on the self-driving Cybercab and AI robot Optimus, making these ventures the only viable route to growth. Unfortunately, there is a problem with this plan: not only is it moronic on its face, but even Tesla insiders who played pivotal roles in designing and creating the Cybercab and Optimus say it simply won’t work. In effect, this is Tesla itself acknowledging that Musk has forced the company down a dead end.
I have already covered the findings of Rohan Patel, Tesla’s former head of business development and policy internal analysis for the Cybercab, so if you want more details, read the article here. However, in short, he discovered that even if Tesla could get its FSD (Full Self-Driving) system and Cybercab to work, it wouldn’t be a moneymaker. Why? Two reasons: sales and operations.
