More on this below…

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First off, as usual, the resources should you want to dig deeper yourself (encouraged!):

And now, time for my recap of anything important. The feel: Tesla is all-in on autonomy, robotaxis, and robotics. Energy and cars are a side business to make it work.

In fact, Elon said:

My first thought was "hey Elon, what about Tesla Semi”. But then I realized. These will be fully autonomous. Silly me.

However, there’s something else that gets axed in the process:

Yes, the time has finally come.

Tesla confirmed it will wind down production of the Model S and Model X next quarter.

Elon says: "We are going to convert that production space to an Optimus factory. It's part of our overall shift to an autonomous future."

There has been about 740,000 of the Model S (launched in 2012) and Model X (in 2016) delivered to date. The small delivery numbers in the late quarters likely sealed the fate.

In 2025, the S/X accounted for 2.8% (estimate) of Tesla’s total revenue and only 1.8% of vehicle deliveries

This is to increase factory floor space in Fremont to support the construction of the Optimus production lines.

For buyers, Tesla will continue to support the S and X programs for the foreseeable future.

If the valuation estimates of the xAI Series E are correct at around $200B, this means Tesla now owns about 1% of xAI, pending regulatory approval. And consequently, some of us reading this are now shareholders of xAI as well.

Here’s Tesla’s statement on this (from the shareholder deck, page 12)

Tesla showed which cities it’ll target next for the robotaxi coverage:

The shareholder deck re"We now produce dry-electrode for 4680 cells with both anode and cathode made in Austin. We expect both domestic cathode material in Texas and LFP lines in Nevada to begin production in 2026."

Elon said: We will probably unveil Optimus 3 in a few months. It's going to be quite capable; Because it is a new supply chain, the normal S-curve of the manufacturing ramp will slower. I'm confident we'll get to 1 million units a year at Fremont. Long-term Optimus will have a very significant impact on the U.S. GDP”

On Optimus competitors, Elon said:

"We currently don't see any competitors outside of China. Optimus will be much more capable than any robot under development in China. There's three hard things about robots: Hands; Real-world AI; Scaling production. Those are the hardest problems for robots, and Tesla has all three of those components."

"It's not in usage in our factories in a material way. It's just so it can learn. We don't expect any significant Optimus volume production until the end of this year."

By the way, Tesla started listing its Energy and Robotics business to manufacturing chart:

More on production from the deck: "Preparations continue in North America for the production ramps of Tesla Semi and Cybercab, both commencing 1H26, and production of the next-generation Roadster."

As of the end of 2025, Tesla's Robotaxi fleet has cumulatively driven 650,000 miles since June 2025.

Elon says “We expect to have fully autonomous vehicles in probably 25-50% of the U.S. by the end of the year, pending regulatory approval.""

Elon says there are currently 500 Model Y Robotaxis combined across the Bay Area and Austin giving paid rides.

On Cybercab, Elon says: "It does not have a steering wheel or pedals. It either drives itself or it does not drive."

Tesla currently has ~330,000 people globally paying monthly for FSD (Supervised). : And for the first time, Tesla has revealed how many people are subscribed or have purchased FSD (Supervised) in 2025: 1.1 million.
They also gave us the backlog: 800k in 2024, 600k in 2023, 500k in 2022, 400k in 2021.

The Austin full robotaxis (no safety driver, see last week’s announcement) now have no chaser car as of Tuesday, per Elon! Confirmed so by David Moss, see on robotaxi section below.

Chips: Elon says chip production is the biggest limiting factor for future growth at Tesla.

"I think Tesla needs to build a terafab. Even when we look at the best case output of all our key suppliers, it's not enough. In order to remove the probable constraint in 3-4 years, we'll have to build a very big fab, domestically. I know fabs are hard, but we do a lot of hard things."

The shareholder deck also gave an update:

“Development of our in-house, custom designed AI5 and AI6 inference chips for autonomy progressed during the quarter, with production planned for 2027 and 2028, respectively. We are targeting a 50x improvement in performance for AI5 relative to AI4 thanks to 10x raw compute, 9x memory capacity and 5x hardened block quantization and softmax function (the latter enabling efficient low-precision computing without sacrificing model accuracy)."

And compute: "In the first half of 2026, we plan to more than double the size of onsite compute in Texas (in terms of H100 equivalents). We aim to maximize capital efficiency by scaling training compute judiciously, including when the training backlog gets too long or in anticipation of greater demand from our engineers to support our AI-related offerings."

Elon also touched on solar topics, twice on the call:

“The solar opportunity is underestimated; We are going to work toward 100GW/year of cell production, integrating across the entire supply chain."
and
"We're going to be a big manufacturer of solar cells."

I had this written in one of our other sections, but I’ll bring it here:

Elon recently said, at the World Economic Forum: "The SpaceX and Tesla teams are both separately working to build to 100GW of manufactured solar power in the U.S. That will probably take us about 3 years."

(The WEF full interview is here)

It also seems Elon is thinking of domestic production of solar cells: "Importation of solar cells is very expensive due to tariffs, but production domestically can and will be done".

I've been saying this for a long while now that Elon's next business will be building solar at scale… looks like we’re getting closer.

Tesla reported $24.9 billion in total revenue for Q4 2025 (a 3% YoY decrease).
GAAP Net Income was $0.8 billion, Non-GAAP $1.8 billion for Q4
Operating cash flow was $3.8B, with Free Cash Flow at $1.4B for Q4
Automotive Revenue was $69.5B, down 10% YoY

Tesla saw increased demand in smaller markets, while there was a demand pull-back in the United States due to the end of the Federal EV Tax Credit

Energy Revenue was $12.8B, up 27% YoY
Tesla’s bitcoin holdings were marked down 23% in Q4
Automotive gross margins of 18% (excluding credits) and Energy margins of ~30%.

Tesla Energy's total gross profit rose, both sequentially and year-over-year, to a record $1.1 billion, marking the fifth consecutive record quarter.

Tesla’s cumulative cash flow (so all the negative+positive cashflow since inception) has reached $21.7B:

Tesla now has a record $44.1 billion of cash on hand, up from $41.6B in Q3 2025.

We’ve got two new angles for the Tesla Cybercab (or rather the running prototypes) that nobody has really seen before:

There’s a hidden Supercharging port in the rear bumper, found by Josh West:

And here a peek of what is under the hood of the Cybercab in a video

Keep in mind, this isn't likely the mass production version yet. Seems likely we won't see a frunk, however.

They also need a large windshield washer tank, given that all the cameras need (and will be) cleaned often. We already saw Tesla install rear and side camera washers for the newer Model Y robotaxis in Austin.

I know there are many among us here, so I’ll keep you updated on this particular situation with HW3 and FSD access.

Elon confirms with "yeah" the words again he said about HW3 upgrade in Q3 2024 earnings call, where he said Tesla will upgrade the HW3 FSD owners for free once they've launched unsupervised with HW4. Here are his exact words from back then:

Tesla has added 40 new Model Ys to its Robotaxi/ride-hailing fleet in the last 9 days, with 23 of those vehicles being added in Austin within the last 4 days.

As we talked about last week, Tesla removed safety drivers from some of the robotaxis in Austin — but there were still ‘chaser cars’ spotted. Now, it seems they’ve already been removed.

15 Cybercabs have been spotted on the roads so far. On Cybercab production, Elon says:

"With the important caveat that initial production is always very slow and follows an S-curve. The speed of the production ramp is inversely proportional to how many new parts and steps there are. For Cybercab and Optimus, almost everything is new, so the early production rate will be agonizingly slow, but eventually end up being insanely fast."

Tesla also removed Autopilot from options completely (which people mostly consider as a bad move).

Tesla owners who previously purchased Enhanced Autopilot can now subscribe to FSD (Supervised) for $49/month, reduced from the previous $99/month.

Elon says the FSD prices will increase: "I should also mention that the $99/month for supervised FSD will rise as FSD’s capabilities improve. The massive value jump is when you can be on your phone or sleeping for the entire ride (unsupervised FSD)."

This comes as Tesla said you can only buy FSD outright until Feb 14th a few weeks ago.

Pilot J and Tesla announced they'll build charging sites for heavy-duty electric trucks together. These will be located at Pilot J's premium truck stops initially across five states, feature 1.2MW per stall, and four to eight stalls per site.

Construction of Tesla's Semi Chargers will begin in the first half of 2026 at select Pilot travel centers planned across California, Georgia, Nevada, New Mexico and Texas.

Another third-party Tesla Supercharging deal launches - with Wawa.

Wawa has so far been the largest partner for Supercharging deployments in the US (223 sites, 2,115 stalls), and now wanted to launch its own sites with Tesla.

A bit of backstory here from Max:'

And the Tesla 3rd-party Superchargers that we wrote about that were put up by this bakery in Idaho, called the Pie Safe Supercharger?

Turns out they’ve got some cool tree decals on them:

Tesla shared some statistics that the Tesla Diner is the highest usage Supercharger in the world, delivering 43k sessions or 1.5 GWh each month.

That's about 18 sessions per stall per day, which I think is roughly 1.5x of Tesla's average in the US per previous numbers they've share.

Also, you can rent out the Tesla Diner Skypad for your own parties now. Who’s up for a Tesla Space meetup?