· 2 min read
illuminem summarises for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:
🗞️ Driving the news: Tesla reported a 13.5% year-on-year decline in global vehicle sales for the second quarter of 2025, marking one of its worst consecutive sales streaks
• First-quarter deliveries had already fallen by 13%
• Despite the slump and growing concerns over Tesla’s aging product lineup, CEO Elon Musk has shifted focus away from cars toward developing robotaxis and humanoid robots
🔭 The context: Tesla’s last major product launch was the Cybertruck in late 2023, which has underperformed expectations
• Rising competition from Chinese and legacy automakers, coupled with slowing EV demand in key markets, has eroded Tesla’s dominance
• Musk’s recent statements and investment priorities suggest he is betting Tesla’s future less on traditional vehicle sales and more on autonomous and robotics technologies
🌍 Why it matters for the planet: Tesla’s retreat from aggressively expanding EV sales comes as the global auto industry is under pressure to cut emissions and accelerate electrification
• If Tesla (see sustainability report) sidelines its core EV business, this could slow EV adoption rates or cede market share to competitors with less ambitious sustainability agendas
• Conversely, scaling autonomous vehicles and robotics could bring new energy and efficiency challenges as well as opportunities
⏭️ What's next: Analysts expect investor scrutiny of Tesla’s strategy to intensify during the next earnings call, especially given lackluster Cybertruck sales and mounting inventory
• Policymakers and regulators are watching closely as Musk’s robotaxi ambitions hinge on approvals and safety validation
• Key milestones will include pilot robotaxi deployments expected in select U.S. cities by late 2026 and further updates on Tesla’s Optimus robot development
💬 One quote: “Elon seems more interested in chasing futuristic ideas than fixing Tesla’s present problems — and that’s a risk for shareholders and for EV momentum,” said Gene Munster, managing partner at Deepwater Asset Management
📈 One stat: Tesla’s global vehicle sales fell to approximately 405,000 units in Q2 2025, down from nearly 468,000 units in the same quarter last year
See on illuminem's Data Hub™ the sustainability performance of Tesla and its peers BYD, Rivian, and Volkswagen
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