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Tesla Cybercab
Pay no attention to this gold Tesla Cybercab. The robotaxi service expected to launch Sunday will be using Model Ys instead (Mustafa Yalcin/Getty Images)

Here’s the lowdown on Tesla’s looming robotaxi launch, including where invites landed

Some of the company’s biggest fans will be able to hail rides starting Sunday, albeit with a chaperone in the front passenger seat. Dan Ives thinks this could be the beginning of a $1 trillion market cap add.

Tesla watchers have been waiting for years for the launch of the company’s long-delayed autonomous robotaxi service. Finally the launch appears imminent, set for Sunday, but in a much more subdued manner than had been promised.

That hasn’t dimmed expectations among Tesla’s biggest bulls, including Wedbush Securities analyst Dan Ives, who wrote this morning:

“...we view this autonomous chapter as one of the most important for Musk and Tesla in its history as a company... as we believe the AI future at Tesla is worth $1 trillion to the valuation alone over the next few years.”

Overnight, a select few were welcomed to use the invite-only robotaxi service gearing up to launch in Austin on June 22. Here’s what we know about the robotaxi launch so far:

Invites are for Tesla friends only. The company unsurprisingly invited its biggest fans, including X users Sawyer Merritt, Whole Mars Catalog, and Kim Java.

Many were also people who paid for Tesla’s original full self-driving beta program back in 2020.

You will not be alone with the machine. A “Tesla Safety Monitor” will be “sitting in the front right passenger seat.” The service will also have teleoperators watching to intervene. “We do have remote support, but it’s not going to be required for safe operation,” CEO Elon Musk said during the latest Tesla earnings call. “Every now and then if a car gets stuck or something, someone will like, unlock it.”

It will have have 10 to 20 cars. The robotaxi service in Austin will launch with 10 to 20 cars, as Musk had said on the company’s latest earnings call. Wedbush’s Ives says the launch will have roughly 20 vehicles, while the Financial Times has pegged that number closer to 10.

Say hello again to the Model Y. The robotaxi vehicles will by Model Ys and not the Cybercabs, which are still scheduled for production next year, according to Tesla.

The service runs from 6 a.m. to midnight every day. Robotaxis too, it seems, need to sleep. Like human drivers, the service also might avoid driving during bad weather.

Like Google’s Waymo, Tesla’s robotaxis will be geofenced. Musk has said the service will avoid difficult areas, though the exact parameters are unknown, other than that it won’t include airports. They’re “not going to take intersections unless we are highly confident [they’re] going to do well with that intersection, or it’ll just take a route around that intersection,” Musk said in a CNBC interview last month.

It’s still possible it might not happen. Musk himself earlier this month said the date was tentative and “could shift.” Meanwhile, a group of Democratic lawmakers in Texas have asked that Tesla delay its launch until September, when a new law goes into effect that will require autonomous vehicle companies to apply for authorization to operate. Currently, autonomous ride-hailing services don’t need any special permits to drive in Texas. It’s not clear if Tesla will respond.

The service is supposed to scale very quickly, but Musk always overpromises. Musk said on the last earnings call that “there will be millions of Teslas operating autonomously in the second half of next year.” Of course, we’re still not on Mars yet, either.

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Dan Ives thinks Tesla will someday merge with SpaceX, too

Wedbush Securities analyst Dan Ives is just like us: he thinks that Elon Musk’s Tesla and SpaceX could someday become one company.

In a note this morning, Ives argued there’s a “growing chance” Tesla will eventually merge in some form with newly merged SpaceX and xAI, as Musk builds what he sees as a single, sprawling AI ecosystem spanning both space and Earth.

Over time, Ives wrote, he thinks Musk will look to “combine forces/technologies,” with the long-term goal of owning and controlling more of the AI stack. Ives thinks Musk could achieve that “holy grail” over the next year and a half.

Earlier today, we pointed out the myriad similarities between Tesla and SpaceX — shared impossible missions, common methods for achieving those goals, and a physics-first, economics-later ethos — as well as Musk’s long-standing penchant for knitting his companies together in the first place.

Over time, Ives wrote, he thinks Musk will look to “combine forces/technologies,” with the long-term goal of owning and controlling more of the AI stack. Ives thinks Musk could achieve that “holy grail” over the next year and a half.

Earlier today, we pointed out the myriad similarities between Tesla and SpaceX — shared impossible missions, common methods for achieving those goals, and a physics-first, economics-later ethos — as well as Musk’s long-standing penchant for knitting his companies together in the first place.

Elon Musk laughing

SpaceX merges with xAI, reportedly will seek an IPO valuation of $1.25 trillion

Elon Musk says his space company has merged with his AI company, with the lofty goal of eventually putting data centers in space.

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Analyst: Investors should brace for Europe’s breakup with US Big Tech

The signs are there: the French government has restricted the use of Zoom for its employees. In Germany, the state of Schleswig-Holstein is ending the use of Microsoft Teams among its workers.

As US-EU tensions rise, Europe is looking to secure its own “digital sovereignty,” reduce its dependence on US-owned technology platforms, and grow its domestic tech industry. It now seems the European breakup with Big Tech is underway.

Tuttle Capital Management CEO Matthew Tuttle thinks that most investors aren’t paying enough attention to this growing problem for the American tech sector’s stocks.

In a note to investors, Tuttle wrote:

“The world is building optionality away from U.S. policy and platform dependence. And once you see it, you can’t unsee it — because it’s showing up in procurement decisions, supply chains, defense budgets, and capital flows.”

Tuttle Capital Management CEO Matthew Tuttle thinks that most investors aren’t paying enough attention to this growing problem for the American tech sector’s stocks.

In a note to investors, Tuttle wrote:

“The world is building optionality away from U.S. policy and platform dependence. And once you see it, you can’t unsee it — because it’s showing up in procurement decisions, supply chains, defense budgets, and capital flows.”

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