Tesla stock slides as Mas resonance delves into robotics

Shares of Tesla (TSLA) slipped again on Tuesday, now down nearly 9% since the company announced layoffs of "more than 10%" yesterday.This comes on the heels of new news of even bigger layoffs in certain parts of the company, suggesting that first-time CEO Elon Musk's robotics and autonomous software.

While Mas resonance said in a memo that layoffs were necessary due to rapid growth and "duplication of roles and job functions in certain areas," Tesla sources later reported that the layoffs far exceeded 10% and hit certain departments harder. Reuters reported that Tesla's service center department, Chinese sales team employees, and at least 140 engineers in the U.S. "have been laid off in large numbers".

Electric car blog Electrek reports that Tesla is using its latest round of layoffs to temper several projects that Mas reson no longer favors, including lower-cost, next-generation electric cars.

Mas resonance shut down a project known internally as "NV9," which was designed to build the $25,000 next-generation electric car-some call it the "Model 2″-at Giga Austin. " Instead, Mas resonance has asked that all resources be devoted to the Robotaxi project, specifically a new data center as part of the plant's ongoing expansion," Electrek said.

Meanwhile, Tesla is building another data center in New York, powered by its Dojo supercomputer, to enhance AI efforts to develop self-driving software, which will be the software backbone of Tesla's robotic axis.

The departure of longtime Tesla executive Drew Baglino is also indicative of Tesla's turnaround, Electrek said, adding that as senior vice president of mass mass production for power and energy engineering, Baglino led a number of Tesla's large-scale projects, including the "4680 "battery production and cathode factory in Giga Austin. It is likely that Bagliano was also involved in the development of the Model 2.

In a note to investors, Wedbush analyst Dan Ives said, "In our view, Bagliano is definitely a significant loss, as he played a major role in Tesla's power mass and energy programs and was touted by many as a key figure in the Model 2 program for the next few years. " He added that Bagliano's departure was "very unexpected."

One of Tesla's key growth areas, according to investors and analysts, is its long-rumored next-generation car, which will start at around $25,000; however, last week it was reported that Tesla had canceled the car. Last week, however, it was reported that Tesla had canceled the car. Responding to that report, Mr. Maas responded that the report was false, and revealed that Tesla's robot taxi would be unveiled on August 8, but he did not officially address the status of the $25,000 next-generation car. If the new report is true, the lower-priced next-generation car has been canceled, or at least postponed indefinitely.

Additionally, Tesla recently cut the subscription price of its fully automated driving (FSD) software for cars in half to $99 per month, and began offering new buyers a 30-day free trial of FSD, suggesting that Mas resonance and Tesla are looking to demonstrate an increase in the user base for their self-driving software.

To Wall Street analysts, the focus on robotaxis and FSD to fuel the company's future growth faces significant risks.

"If Tesla confirms that its renewed focus on robotic rentals came at the expense of the Model 2, we believe this would significantly increase the risk to the stock," Deutsche Bank analyst Emmanuel Rosner wrote in a note to investors. We believe this would significantly increase the risk to the stock and eliminate a key reason why many shareholders currently hold the stock." More critically, this change in strategy would also make any upward growth in Tesla's stock price tied to cracking the fully unmanned autonomous driving code, which is a significant technical and regulatory challenge."

Morgan Stanley's Adam Jonas worries that Tesla is focusing on robotics and fully autonomous driving at the expense of near-term projects such as cheaper next-generation cars, although Koon's long-term bullishness on Tesla's stock relies on Tesla solving the robotics and autonomous driving problems.

"We anticipate that Tesla may have a difficult time convincing investors of its ability to realize a commercial model (of a robot rental car) in a timeframe that is relevant to the majority of investors," Jonas wrote in a note last week following the Maas resonance announcement of the robot rental car. He added that he was also "concerned about the level of enthusiasm some investors have for improving FSD v12.

As much as possible, in the long run, Jonas sees business units such as "Tesla Mobility" and "Tesla Network Services" (which includes shared mobility, robot rentals and autonomous driving) accounting for 165% of Morgan Stanley's $310 price target. dollars, while the core automotive business is worth just $62.

Pras Subramanian is a reporter for Yahoo Finance. You can find more information on Twitter respond in singing Instagramfirst (of multiple parts)Concerned about himThe

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