Wedbush analyst Dan Ives maintained his optimistic outlook on Tesla (NASDAQ:TSLA) following the company’s recently-held AI Day recruitment event. In a note, Ives mentioned the potential of innovations such as Project Dojo, as well as the company’s focus on Full Self-Driving. He did, however, share some caution about Elon Musk’s “sci-fi” projects such as the Tesla Bot. Despite his reservations, however, Ives still maintained his “Outperform” rating for the company, as well as a $1,000 12-month price target.
Tesla’s AI Day was a recruitment event, and in this light, it was undoubtedly successful. With extremely detailed and technical discussions surrounding how FSD is being developed and trained, the event was a great showcase of the projects that the company is currently working on. It would not be surprising if Tesla received a good number of applications for its AI Team following the event.
Ives, for his part, was particularly impressed by Dojo, which is being created to process vast amounts of camera imaging data much faster than existing computer systems. With the newly-unveiled D1 chip, Tesla could vastly improve its AI performance, allowing the company to gain more control over its hardware and software operations down the road.
“The holy grail for Tesla is all about FSD and differentiating the company’s technology vs. increasing competition in the autonomous and self-driving space. In theory, the AI capabilities that Tesla is working on will enhance and improve its FSD with hopes that Dojo will be operational next year. To this point, with Tesla under major scrutiny for safety issues on FSD and a new US probe now underway, clearly Tesla recognizes there are deficiencies in its current process that must be significantly improved through real-time AI to reach the eventual aspirational goal of true FSD over the coming years,” Ives wrote.
The Wedbush analyst also shared some of his reservations about the Tesla Bot, which Ives describes as a “sci-fi project for Musk.” While the Tesla Bot has potential in the way that it could help perform repetitive and low-level tasks, Ives stated that such a project would likely agitate investors in the near term since the company is currently facing some challenges.
“The robots will use the same chips and sensors that Tesla’s cars use for self-driving features. Unfortunately, as we have seen with robotaxis and other future sci-fi projects for Musk, we view this Tesla Bot as an absolute head-scratcher that will further agitate investors at a time (when) the Street is showing growing concern around rising EV competition and safety issues for Tesla. While we appreciate Musk’s longer term technology vision, a Tesla Bot is not what investors want to see with instead much more focus on chips, FSD, and reaccelerating China EV demand in this key market at a critical juncture.
“In a nutshell, last night showcased the massive AI technology underway at Tesla and speaks to a company which is much more than a traditional auto company. That said, the Street wants Musk to focus on driving near-term battery technology enhancements, capacity buildout (in Berlin and Austin), and fending off rising EV competition from all angles globally and not humanoid robots. We continue to believe Tesla is further building out its technology stronghold on EVs, however focusing on course-correcting the current issues (China demand, safety issues, and chip shortages) is the key task at hand for Musk and the stock,” Ives wrote.
Disclaimer: I am long TSLA.
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SpaceX aces Starship test flight 10 with successful payload deployment
The mission began at 6:30 p.m. local time in Starbase, Texas, when the launch of Starship initiated. After about eight minutes, stage separation was completed, and the Super Heavy Booster headed back down to Earth for a planned splashdown in the Indian Ocean:

SpaceX aced its tenth Starship test flight on Tuesday night after multiple delays pushed the mission back to this evening. Originally scheduled for Sunday night, SpaceX had two delays push the flight back to Tuesday, which ultimately provided ideal conditions for a launch attempt.
The tenth test flight of Starship had several objectives, including a successful splashdown of the booster in the Gulf of America, the deployment of eight Starlink simulation modules from the PEZ dispenser, and a splashdown of the ship in the Indian Ocean.
SpaceX successfully achieved all three of these objectives, making it one of the most successful test flights in the Starship program. There was no attempt to catch the booster this evening, as the company had been transparent about it ahead of the launch.
The mission began at 6:30 p.m. local time in Starbase, Texas, when the launch of Starship initiated. After about eight minutes, stage separation was completed, and the Super Heavy Booster headed back down to Earth for a planned splashdown in the Indian Ocean:
Super Heavy has splashed down in the Gulf pic.twitter.com/LGozUAmLt8
— SpaceX (@SpaceX) August 26, 2025
Starship was then the main focus of the rest of the broadcast as it completed its ascent burn and coasted through space, providing viewers with spectacular views as the mission headed toward new territory, including the deployment of Starlink simulators. This would be the first time SpaceX would attempt a payload deployment.
The deployment works like a PEZ dispenser, as the simulators were stacked on top of one another and would exit through a small slit one at a time.
This occurred roughly 20 minutes into the mission:
Open the pod bay door, HAL
Starship deploying @Starlink simulator sats pic.twitter.com/3CSOyulzcJ
— SpaceX (@SpaceX) August 26, 2025
An hour and six minutes into the flight, Starship reached its final destination, which was the Indian Ocean. A successful splashdown would bring closure to Starship’s tenth test flight, marking the fifth time a test flight in the program’s history did not end with vehicle loss.
It was also the first of four test flights this year that will end with Starship being recovered.
Splashdown confirmed! Congratulations to the entire SpaceX team on an exciting tenth flight test of Starship! pic.twitter.com/5sbSPBRJBP
— SpaceX (@SpaceX) August 27, 2025
SpaceX is expected to launch Starship again in approximately eight weeks, pending the collection of data and other key metrics from this flight.
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WATCH: SpaceX attempts Starship’s tenth test flight after two delays
This evening, SpaceX has already stated that conditions appear to be approximately 45 percent favorable for launch. This is ten percent less than last night, when the mission was eventually scrapped around 7 p.m. local time.

SpaceX is set to launch Starship tonight, provided the weather cooperates and everything with the ship goes smoothly.
This is SpaceX’s third attempt to launch Starship for its tenth test flight, with Sunday’s and Monday’s attempts both being scrapped due to a leak and unfavorable weather conditions on the respective days.
This evening, SpaceX has already stated that conditions appear to be approximately 45 percent favorable for launch. This is ten percent less than last night, when the mission was eventually scrapped around 7 p.m. local time.
Propellant load of the upper stage and Super Heavy booster is already underway, and the launch is expected to occur at 6:30 p.m. in Starbase, Texas.
You can watch the tenth test flight of Starship below via SpaceX:
Watch Starship’s tenth flight test → https://t.co/UIwbeGoo2B https://t.co/BFrpQPQFUw
— SpaceX (@SpaceX) August 26, 2025
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Tesla one-ups Waymo once again with latest Robotaxi expansion in Austin
Tesla’s new Robotaxi geofence measures roughly 171 square miles of Austin’s downtown and suburbs. This is more than double the size of Waymo’s geofence, which measures 90 square miles.

Tesla’s expansion of the Robotaxi geofence on Tuesday morning was a one-up on Waymo once again, as the automaker’s service area growth helps eclipse its rival in an intense back-and-forth.
A lot of conversation has been made about Tesla’s rivalry with Waymo in terms of the capabilities of its driverless ride-sharing service in Austin, Texas.
The two companies have sparred with one another, answering each other’s expansion, and continuing to compete, all to the benefit of consumers in the region.
Tesla expanded the geofence of Robotaxi once again this morning, and it is another growth that catapults it past Waymo’s service area in Austin — this time by a considerable margin.
Comparison of Tesla’s vs Waymo’s Robotaxi geofence map in Austin, Texas.
Today, @Tesla again massively expanded their geofence area, making it significantly bigger than Waymo’s. pic.twitter.com/tHLJ2qabZJ
— Sawyer Merritt (@SawyerMerritt) August 26, 2025
Tesla’s new Robotaxi geofence measures roughly 171 square miles of Austin’s downtown and suburbs. This is more than double the size of Waymo’s geofence, which measures 90 square miles.
On July 14, Tesla officially overtook Waymo in terms of service area in Austin. But just a few days later, Waymo had responded with a bold statement, expanding from 37 square miles to 90 square miles.
Sarfraz Maredia, Global Head of Autonomous Mobility & Delivery at Uber, said the move “unlock[ed] another key milestone in Austin as our operating territory with Waymo expands from 37 to 90 square miles, which means that even more riders can experience Waymo’s fully autonomous vehicles through the Uber app.”
Tesla did not respond immediately, but it took its time with validation vehicle testing in the Austin suburbs, as we reported yesterday:
Tesla looks to expand Robotaxi geofence once again with testing in new area
Today’s expansion is perhaps the biggest step Tesla has taken in its efforts to continue to grow its Robotaxi platform. This is not only because the company has significantly expanded the size of the geofence, but also because it has ventured into suburban areas and even included Gigafactory Texas in its service area.
Waymo could come up with another timely response as it did when Tesla expanded in late July. We’ll wait to see what it comes up with, as this awesome competition between the two companies is accelerating innovation.
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