Tesla’s leadership role in automobile production has been questioned by recent news. CEO Elon Musk’s latest statements and Tesla’s new “Master Plan IV” report indicate that the company’s focus is shifting from car production to artificial intelligence and robotics technologies. The report’s complete absence of any mention of a new electric vehicle stands out as the most concrete sign of this shift.

Is Tesla reaching the end of the road?

Tesla remains America’s best-selling electric vehicle manufacturer, with the vast majority of its revenue coming from car sales. However, Musk sees the company’s future in robotaxis and autonomous technologies.

According to Musk, this area has the potential to make Tesla a “ten trillion-dollar company.” Master Plan IV supports this vision. The report states that humanoid robots will usher in an era of “sustainable abundance,” taking over daily tasks and freeing up time for humanity. The only mention of automobiles is battery technologies and autonomous robotaxis.

Musk’s first two roadmaps (Master Plan I and II) previously announced outlined Tesla’s future through the lens of automobile production. The first plan focused on a strategy to transition from luxury vehicles to more affordable models, while the second hinted at vehicles like the Model Y and Cybertruck. However, the latest plan now sees cars as far from the center of attention.

Musk’s new direction is also a major move for investors. The Tesla board of directors has prepared a compensation package for Musk that could reach up to $1 trillion if he deploys millions of robots and robotaxis within the next 10 years. This further clarifies the company’s new vision.

However, achieving these goals is proving difficult. Tesla’s promise of fully autonomous driving has been delayed for years. Its robotaxi business is still active in limited areas in only a few US cities. Competitor Waymo operates in five cities and is expanding rapidly. Tesla’s humanoid robot project, Optimus, is still in the prototype phase and is experiencing frequent delays.

This strategy also carries the risk of weakening Tesla’s position in the automotive market. The company is shifting its resources toward autonomy rather than developing affordable new models. With the exception of the Cybertruck, Tesla hasn’t launched a new model in five years. While the number of competitors is growing, Tesla is grappling with the challenges of an aging product lineup.