Teslas Robotaxi Gamble: Profitability Challenges Loom Large

Elon Musk believes autonomous vehicles, particularly an autonomous taxi fleet, will significantly increase Tesla`s value. However, analysts are skeptical about the profitability and timeline of this venture, citing competition from companies like Waymo and the high operational costs associated with autonomous taxi fleets. These costs include fleet ownership, maintenance, insurance, charging, and cleaning, making them more expensive than traditional car ownership and ride-sharing services. While companies like Waymo and Zoox are navigating these challenges, their financial data reveals the difficulty of achieving profitability in this market.