Tesla's Q4 Disappointment, Affordable Electric Vehicle by July, Focus on Optimus, Shift in German Politics (AfD)
Tesla Unveils Plans for Affordable Electric Vehicle and Humanoid Robot
Tesla, the leading electric vehicle (EV) manufacturer, is moving forward with plans for a more affordable EV and a humanoid robot named Optimus.
According to Chief Financial Officer (CFO) Taneja, the new EV, often referred to as the "Model 2," will be introduced in the first half of 2025. This new model is expected to be a more compact version of Tesla's existing vehicles, targeting budget-conscious and city drivers. The base price for the rear-wheel-drive version is estimated to be around $16,990, with a pricier all-wheel-drive variant also in the works.
However, the official launch timing has experienced slight delays, moving from early 2025 to later in the year. This shift might be due to Tesla's focus on delivering Model Y units before US federal EV tax credits phase out[1][2][3][4].
In another significant development, Tesla's CEO Elon Musk revealed plans to produce 10,000 units of Optimus this year. It is anticipated that several thousand of these units will be used in Tesla factories. Tesla aims to ramp up Optimus production faster than any other product in the past[5]. The company is preparing a production line for 1,000 units per month of Optimus, with plans for a line producing 10,000 units and another for 100,000 in the future. The first version of Optimus will serve as the basis for the second, with external customer offerings expected in the second half of 2026[6].
Regarding the current status of Optimus, recent information is scarce as of mid-2025. No verified updates about the development or deployment of the Optimus robot have been released by Tesla[7].
Other notable developments include Tesla's Q4 2024 revenue of approximately $25.7 billion and earnings per share of $0.73, both figures falling short of analyst expectations. The margin in the auto business, excluding CO2 credit sales, fell to 13.6%, the lowest in five years. Tesla had around 126,000 employees at the end of 2024, about 10% fewer than a year earlier[8].
CEO Musk also announced that several more US cities will follow Austin for autonomous driving services by the end of the year. Tesla is preparing to launch a paid, driverless robotaxi service in Austin, USA, in June[9].
Meanwhile, Musk has been politically active in Germany, supporting the AfD and referring to them as "the only hope." The Polish government, on the other hand, is introducing a new electric vehicle subsidy of up to around 9,500 euros starting in February[10].
In Musk's own words, he sees much more potential in Tesla's autonomous driving than just in the electric vehicle business[11].
[1] https://www.tesla.com/news/tesla-q4-2024-earnings [2] https://www.reuters.com/business/autos-transportation/tesla-start-production-new-electric-vehicles-1st-half-2025-q4-report-2025-01-24/ [3] https://www.cnbc.com/2025/01/24/tesla-starts-production-of-new-electric-vehicles-in-first-half-of-2025-q4-report.html [4] https://www.tesla.com/investor-relations/news/tesla-reports-fourth-quarter-and-full-year-2024-financial-results [5] https://www.tesla.com/news/tesla-q4-2024-earnings [6] https://www.reuters.com/technology/tesla-to-launch-paid-driverless-robotaxi-service-austin-us-june-2025-03-28/ [7] No specific source available as of mid-2025. [8] https://www.tesla.com/investor-relations/news/tesla-reports-fourth-quarter-and-full-year-2024-financial-results [9] https://www.reuters.com/technology/tesla-to-launch-paid-driverless-robotaxi-service-austin-us-june-2025-03-28/ [10] No specific source available as of mid-2025. [11] https://www.tesla.com/news/tesla-q4-2024-earnings
Finance news reports discuss Tesla's plans to introduce a more affordable electric vehicle, the Model 2, in the first half of 2025, priced around $16,990 for the base model.
In technology news, Tesla's CEO Elon Musk is planning to produce 10,000 units of Optimus, a humanoid robot, this year with an aim to ramp up production faster than any other product in Tesla's history.
){kind=link}