Tesla Faces Intense Scrutiny Over Shift in Strategy from Model 2 to Robotaxis

Amid declining demand and stock value, Tesla's focus on robotaxis over the more affordable Model 2 raises concerns among analysts and investors.

Tesla's stock has plummeted over 30% year-to-date, with significant challenges in demand and competition, particularly from China.
Analysts criticize Tesla's decision to prioritize robotaxis, which are not expected to be fully autonomous until 2030, over the development of a mass-market Model 2 EV.
Elon Musk's recent announcements about the upcoming Robotaxi have been met with skepticism due to regulatory hurdles and previous unmet promises.
The shift away from the Model 2, which was expected to significantly contribute to Tesla's earnings growth, has led to warnings of potential dark days ahead for the company.
Investors and analysts are urging Tesla to provide a clear strategic vision, emphasizing the importance of the Model 2 in Tesla's future growth.