The Cybertruck flopped but Tesla has high hopes for its next big bet, which doesn't just ditch the gas tank—it does away with the steering wheel and pedals, too. The company's Cybercab, its first new vehicle since the Cybertruck, has begun rolling off the line at its Austin factory, with mass production slated for April. Built to be controlled entirely by Tesla's Full Self-Driving software, the car is central to Elon Musk's push to transform Tesla from an automaker into an AI and robotics company, and to power a driverless ride-hailing network, the Wall Street Journal reports. Musk has said the Cybercab could be priced under $30,000.
Sources tell the Journal that Tesla is gearing up to make hundreds of Cybercabs a week. Musk has said production will be "agonizingly slow" at first, but Tesla plans to make 2 million of the vehicles a year. First, however, Tesla has to convince both regulators and customers. Because the Cybercab lacks a wheel, pedals, and even side mirrors, the National Highway Traffic Safety Administration must sign off before it can be sold in the US; Tesla hasn't yet applied for the needed exemption, which is capped at 2,500 vehicles annually.
Unlike other robotaxi pilots, including Tesla's own, there is no manual override and "if the software fails, there is nothing for a passenger to grab," Kurt Knutsson writes at Fox News. "There's no fallback mechanism here," Musk said in January. "This car either drives itself or it does not drive." Analysts expect most early Cybercabs to run in Tesla's Robotaxi service as consumers adjust to the idea. With Tesla's auto sales, which made up 73% of the company's revenue last year, slipping and some traditional models scrapped in favor of this pivot, the stakes are high despite growth in Tesla's energy business, the Journal notes.
When the Cybercab was unveiled in 2024, Musk said, "You can fall asleep and wake up at your destination. It's going to be a glorious future." Analysts say Uber and Lyft appear to be Tesla's main target market. "If the price holds, Tesla could undercut much of the autonomous competition," Knutsson predicts. "However, affordability means little without regulatory approval and proven safety data."
,
uBlock 
,
and
Ghostery 
)
