Tesla Capex Hits $25 Billion

CEO Elon Musk confirmed that Tesla is investing heavily in the production of humanoid robots and autonomous 'Robotaxis,' which he expects to deploy in several states by year-end.

Despite beating quarterly profit estimates, shares slipped as investors factored in the substantial costs of building a new 'Terafab' using Intel's latest chipmaking technology.

Musk also admitted that older Tesla models with Hardware 3 will require physical upgrades to achieve full unsupervised autonomy, a reversal of previous software-only promises.

The company's strategy reflects a high-stakes bet that AI-driven services will eventually eclipse its traditional automotive revenue.