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Tesla’s Elon Musk hailed as ‘Disruptor of the Year’ in Detroit, but Model 3 misses awards
Tesla might not be a participant in the North American International Auto Show on Monday, but Elon Musk’s presence could still be felt in the event. During the CNET Roadshow Shift Awards, Musk was named as “Disruptor of the Year,” beating out the CEOs of other companies such as McLaren Automotive and Bird, an electric scooter-share startup.
Chris Paukert, executive editor of the auto publication, noted that the Disruptor of the Year award is based on the person who caused the most ripples in the auto industry during the past year. In this sense, there is very little doubt that Musk was the definite choice, considering his well-publicized challenges and successes with the Model 3 ramp, as well as his daring, out-of-the-box strategies that ultimately brought Tesla into the green in Q3.
“This award is all about pushing the industry forward and leaving a lasting impact on the future of the automotive industry. Elon Musk fits that bill to a T. After smoothing out its production process, Tesla once again proved profitable. The Model 3 quickly launched itself to prominence in an already busy segment, and buyers themselves could feel the effects of those launches thanks to its wild Performance variant. Hell, he even made tunnels interesting,” CNET‘s Tim Stevens wrote.
While the auto publication granted Elon Musk an award, though, Tesla’s latest and most disruptive vehicle to date — the Model 3 — was strangely absent from the auto publication’s rankings. CNET Roadshow, for one, awarded the Genesis G70, a car that has received acclaim from critics and consumers alike, as Vehicle of the Year. Finalists for the award were the Jaguar I-Pace and Volvo S60/V60. The award for Cabin Tech of the Year was also granted to Audi’s MMI touch response system, with the finalists being Mercedes-Benz’ MBUX infotainment system and Ram’s Uconnect 12 technology.
That said, Tesla’s technology did make an appearance in the Roadshow Shift Awards’ other categories. Roadshow‘s Driveline Tech of the Year award, for one, was given to Nissan and Infiniti’s variable compression turbo, though finalists included Hyundai’s Kona electric powertrain and Tesla’s all-wheel-drive performance powertrain. Together with GM’s advance trailering system with apps, Tesla’s Navigate on Autopilot update was listed as a finalist in Safest Tech of the Year award as well. Audi’s drive-assistance package, though, ultimately bagged the award for Safety Tech of the Year.
The absence of the Model 3 in the CNET Roadshow Shift Awards is quite notable, considering that the electric sedan has received wide acclaim from professional reviewers, auto veterans like Sandy Munro, and owners alike. Tesla’s UI for its vehicles, which the company develops in-house, is also among the best in the market, with the system at times being compared to Apple’s iOS. As such, it is quite interesting to see Tesla be beaten by legacy auto in areas where it otherwise excels, such as cabin tech.
That said, it’s not like the Tesla Model 3 is being ignored by legacy auto either. Late last month, for example, 30-year auto news veteran and longtime car enthusiast Henry Payne dubbed the Tesla Model 3 as The Detroit News‘ 2018 Car of the Year. This was despite Payne only experiencing the capabilities of a Long Range RWD Model 3, a tamer version of the electric car compared to the range-topping, track-optimized Model 3 Performance. Following the Tesla Model 3 were the Ford Ranger and the Chevy Corvette ZR1, which were listed as the 2nd and 1st runner up for The Detroit News‘ 2018 Car of the Year award.
The past year has been notably impressive for the Model 3. Over 2018, 145,846 Model 3 were sold, despite Tesla being challenged with the electric sedan’s production during Q1 and Q2. With these sales figures, the Model 3 became the United States’ best-selling luxury vehicle, far overtaking its closest rival — the Lexus RX, which sold 111,641 in 2018. Tesla is not done, either, as the company intends to continue the electric sedan’s ramp all the way to 10,000 units per week.
It should be noted that the Model 3 has been showing these impressive numbers despite the vehicle only being available in the United States and Canada. This year, Tesla intends to bring the car to the international stage, starting with Europe and China, both of which represent a potentially lucrative market for the electric sedan. Tesla for one, is reportedly shipping 3,000 Model 3 per week to the European region starting in February. In China, Model 3 reservation holders who have configured their vehicles are expecting deliveries on March or April. By the end of the year, Tesla is set to roll out more affordable versions of the electric sedan to the local Chinese market, thanks to the vehicle production capabilities of Gigafactory 3.
Tesla stock (NASDAQ: TSLA) closed at an all-time high on Tuesday, jumping over 3 percent during the day and finishing at $489.88.
The price beats the previous record close, which was $479.86.
Shares have had a crazy year, dipping more than 40 percent from the start of the year. The stock then started to recover once again around late April, when its price started to climb back up from the low $200 level.
This week, Tesla started to climb toward its highest levels ever, as it was revealed on Sunday that the company was testing driverless Robotaxis in Austin. The spike in value pushed the company’s valuation to $1.63 trillion.
Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing
It is the seventh-most valuable company on the market currently, trailing Nvidia, Apple, Alphabet (Google), Microsoft, Amazon, and Meta.
Shares closed up $14.57 today, up over 3 percent.
The stock has gone through a lot this year, as previously mentioned. Shares tumbled in Q1 due to CEO Elon Musk’s involvement with the Department of Government Efficiency (DOGE), which pulled his attention away from his companies and left a major overhang on their valuations.
However, things started to rebound halfway through the year, and as the government started to phase out the $7,500 tax credit, demand spiked as consumers tried to take advantage of it.
Q3 deliveries were the highest in company history, and Tesla responded to the loss of the tax credit with the launch of the Model 3 and Model Y Standard.
Additionally, analysts have announced high expectations this week for the company on Wall Street as Robotaxi continues to be the focus. With autonomy within Tesla’s sights, things are moving in the direction of Robotaxi being a major catalyst for growth on the Street in the coming year.
Elon Musk
Tesla needs to come through on this one Robotaxi metric, analyst says
“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”
Tesla needs to come through on this one Robotaxi metric, Mark Delaney of Goldman Sachs says.
Tesla is in the process of rolling out its Robotaxi platform to areas outside of Austin and the California Bay Area. It has plans to launch in five additional cities, including Houston, Dallas, Miami, Las Vegas, and Phoenix.
However, the company’s expansion is not what the focus needs to be, according to Delaney. It’s the speed of deployment.
The analyst said:
“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”
Profitability will come as the Robotaxi fleet expands. Making that money will be dependent on when Tesla can initiate rides in more areas, giving more customers access to the program.
There are some additional things that the company needs to make happen ahead of the major Robotaxi expansion, one of those things is launching driverless rides in Austin, the first city in which it launched the program.
This week, Tesla started testing driverless Robotaxi rides in Austin, as two different Model Y units were spotted with no occupants, a huge step in the company’s plans for the ride-sharing platform.
Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing
CEO Elon Musk has been hoping to remove Safety Monitors from Robotaxis in Austin for several months, first mentioning the plan to have them out by the end of 2025 in September. He confirmed on Sunday that Tesla had officially removed vehicle occupants and started testing truly unsupervised rides.
Although Safety Monitors in Austin have been sitting in the passenger’s seat, they have still had the ability to override things in case of an emergency. After all, the ultimate goal was safety and avoiding any accidents or injuries.
Goldman Sachs reiterated its ‘Neutral’ rating and its $400 price target. Delaney said, “Tesla is making progress with its autonomous technology,” and recent developments make it evident that this is true.
Investor's Corner
Tesla gets bold Robotaxi prediction from Wall Street firm
Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.
Tesla (NASDAQ: TSLA) received a bold Robotaxi prediction from Morgan Stanley, which anticipates a dramatic increase in the size of the company’s autonomous ride-hailing suite in the coming years.
Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.
Percoco dug into the Robotaxi fleet and its expansion in the coming years in his latest note, released on Tuesday. The firm expects Tesla to increase the Robotaxi fleet size to 1,000 vehicles in 2026. However, that’s small-scale compared to what they expect from Tesla in a decade.
Tesla expands Robotaxi app access once again, this time on a global scale
By 2035, Morgan Stanley believes there will be one million Robotaxis on the road across multiple cities, a major jump and a considerable fleet size. We assume this means the fleet of vehicles Tesla will operate internally, and not including passenger-owned vehicles that could be added through software updates.
He also listed three specific catalysts that investors should pay attention to, as these will represent the company being on track to achieve its Robotaxi dreams:
- Opening Robotaxi to the public without a Safety Monitor. Timing is unclear, but it appears that Tesla is getting closer by the day.
- Improvement in safety metrics without the Safety Monitor. Tesla’s ability to improve its safety metrics as it scales miles driven without the Safety Monitor is imperative as it looks to scale in new states and cities in 2026.
- Cybercab start of production, targeted for April 2026. Tesla’s Cybercab is a purpose-built vehicle (no steering wheel or pedals, only two seats) that is expected to be produced through its state-of-the-art unboxed manufacturing process, offering further cost reductions and thus accelerating adoption over time.
Robotaxi stands to be one of Tesla’s most significant revenue contributors, especially as the company plans to continue expanding its ride-hailing service across the world in the coming years.
Its current deployment strategy is controlled and conservative to avoid any drastic and potentially program-ruining incidents.
So far, the program, which is active in Austin and the California Bay Area, has been widely successful.
Tesla stock closes at all-time high on heels of Robotaxi progress
Tesla needs to come through on this one Robotaxi metric, analyst says
