Everyone Wanted a Cheaper Tesla. Elon Had Other Plans.

So the question that I think a lot of people have been asking over the past few years is, what's happened to Tesla? Before Tesla was touting this 10 million vehicle goal per year, and then also 20 million vehicle per year goal.

And then at some point, it seemed like Tesla seemed to have shifted their goals or actually stopped talking about 10 to 20 million vehicles per year.

and started talking more about Robotaxis and FSD.

And so people assume that maybe Tesla has shifted or has pivoted where they're not gonna go high volume vehicle growth anymore, but they're gonna go all in with Robotaxi or ride sharing.

The problem with this, though, is that there is a lack of revenue growth because Tesla has relied on vehicles to largely drive the revenue growth.

And without revenue growth, you don't have the operating profits, operating margins, and the operating profits as well.

And so Tesla to this point has been dependent on revenue growth from volume growth, meaning they're needing to sell more vehicles.

If they don't sell more vehicles, then we're talking about needing to sell more services.

But then Robotaxi Network growth has been quite slow, especially after its first release last year in Austin.

I mean, alternatively, you could see maybe Tesla Energy could have a huge ramp, but still, that's going to take a while to equal or surpass the vehicle side.

Now, as a result, a lot of people were expecting a more affordable vehicle based upon a next generation platform.

And there were rumors that Tesla was working on a more affordable next gen vehicle.

And a couple of years ago, there's also rumors that it got axed, that Elon had decided to cancel the program.

Now, this was confusing to a lot of people because Tesla and Elon had denied that they had actually canceled this more affordable, let's say next gen vehicle.

And then Tesla kind of shifted to saying that, hey, yeah, we're going to release a more affordable model or a different model.

you know, Tesla was leading people on doing earnings call, eventually they showed the model, the standard version Model Y, right? And I think personally, that was, you know, that's kind of disappointing because I think, you know, for me and for many other people, we were expecting a different vehicle, right? A new model that was more affordable, that could be shipped out in higher volume and that could grow Tesla's revenue and margins going forward.

And then we got also the Model YL, which is a great vehicle and I'm planning to get one hopefully in the next, I don't know, few to several months.

But again, that was kind of like a new model, but sure, it's kind of like an extension of an existing model.

Anyways, it was a lot of confusion going on because with Tesla kind of delaying or kind of avoiding this topic of the next generation high volume, more affordable vehicle, people started to assume that maybe Tesla is not serious about a high volume, more affordable vehicle, and that rather Tesla is going to go all in with this new cyber cab and ride hailing and taxi, robot taxi network.

Some people actually took it to, I think, an extreme.

And some people started to claim that Tesla, A, going to get out of selling cars to consumers eventually, right? They're going to go completely in with this commercial ride-hailing service, autonomous driving, etc.

It'll be so much in demand that they won't have time or ability or capacity to sell to consumers, and it won't even make sense to sell to consumers.

However, I think a lot of this and a lot of these conclusions are misguided, and I think In my opinion, I think Tesla is going for high volume, that they will release more affordable consumer vehicles.

But I think the path is very different than what most people are thinking.

So in this video, I'm going to try to clear up a few things, actually a lot of things regarding Tesla's roadmap.