Elon Musk Declares Affordable Human-Driven Tesla 'Pointless'

In October, Tesla CEO Elon Musk indicated that producing a $25,000 human-driven Tesla is no longer in the company's plans, during a recent earnings call.

Musk referred to such an endeavor as 'pointless' unless the vehicle operates fully autonomously.

Originally, Tesla promised an affordable electric vehicle to expand its market, while targeting a production goal of 20 million vehicles annually by 2030.

However, that goal was quietly dropped in May, reflecting a shift in strategy.

Tesla is instead focusing on 'robotaxis,' prioritizing the fully autonomous Cybercab, a two-door, two-seat vehicle, scheduled for production in 2026.

The Cybercab was unveiled on October 10 during an event in Los Angeles.

This marks a significant pivot from earlier plans to produce an affordable EV, signaling Tesla's recalibration towards autonomy over driver-based affordability.

Despite Musk's initial rebuttal to April's Reuters report about abandoning the Model 2 plans, which led to a temporary dip in Tesla's stocks, Musk's latest statements suggest the company prefers leveraging existing platforms to produce more cost-effective models than developing a new one.

As Tesla deals with the technological and regulatory challenges of autonomy, questions remain about the feasibility and market fit of its upcoming autonomous offerings.