Investment firm Gerber Kawasaki's co-founder Ross Gerber has questioned Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk's decision to push for the development of the Optimus robots amid poor sales.
Tesla's Elephant In The Room
Taking to the social media platform X on Wednesday, Gerber shared his thoughts on Tesla's Robotics push. "If they won't buy his cars. Why would they buy a huge robot for their home from him? Or take his cab?" Gerber said in the post.
Gerber also noted that there were better alternatives available in the market for customers compared to Tesla. "Someone needs to address the elephant in the room at Tesla," Gerber said.
Musk's Robotics Push, xAI's $40 Billion Investment
Gerber's comments coincide with Musk's AI push, with the billionaire also predicting that Tesla's Optimus line of humanoid robots would make up over 80% of the company's value in the future.
Tesla's Master Plan IV, which is a roadmap for the company's future goals and endeavors, also shifts the EV giant's focus towards robotics and AI. The plan also had little mention of Tesla's EV plans.
Meanwhile, Musk's artificial intelligence company xAI has reportedly invested over $40 billion in the company's data center in Memphis, which hosts the Colossus 1 supercomputer and is responsible for training xAI's artificial intelligence model Grok.
Tesla Sales Decline As BYD Gains Ground
Tesla sales have also been on a downward trajectory for quite some time, with the company's July sales in Europe declining over 40.2% as rival BYD Co. Ltd. (OTC:BYDDY) (OTC:BYDDF) surged over 225%.
Grappling with lackluster sales, Tesla announced a price cut for its Long Range variant of the Model 3 sedan in China and introduced $0 down leases for its used Model 3 and Model Y units in the U.S.
Tesla also recorded a lower-than-expected demand in India, where the company recently expanded its presence. The EV giant reported over 600 orders for the Model Y, which is the solitary Tesla vehicle available in the country.
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