Weak sales push Tesla toward ending Cybertruck production and refocusing on Cybercab manufacturing

A factory shift toward Cybercab

Musk said Tesla would begin winding down Cybertruck production at Gigafactory Texas around the middle of next year. The company plans to use the capacity for increased Cybercab production.

The Cybercab, a steering-wheel-free robotaxi, debuted in 2024 and is scheduled for a production ramp-up in Texas next year. Tesla has offered limited rides in parts of Austin since early September; the rollout prompted a federal investigation into whether the vehicle meets safety standards.

Tesla pitched the Cybercab as a vehicle owners could buy for under $30,000. The article describes its rides as limited and notes the safety review remains a concern.

Sales and capacity gap

Tesla reports Cybertruck sales within an “Other models” category rather than as a separate line. Experts estimate sales have fallen well below the company’s manufacturing capacity and Musk’s goals.

The article estimates Tesla built capacity for 125,000 Cybertrucks annually at the Texas factory, while some experts predict sales reached only about 10% of Musk’s goals. It says unsold inventory has accumulated at Tesla lots.

SpaceX, another company owned by Musk, bought $131 million worth of Cybertrucks last year. The article does not give a precise total for consumer sales.

A troubled vehicle history

Tesla unveiled the electric pickup in 2019, but deliveries did not begin until 2023 after multiple delays. Its starting price reached $60,990, compared with the $40,000 target cited at the debut.

The Cybertruck faced reliability problems and multiple recalls, according to the article. It also describes safety concerns and reports that the vehicle could injure owners’ fingers. The article connects the model’s struggles with its high price and niche appeal, as well as Musk’s growing involvement in US politics and policy.

Tesla’s changing lineup

The Cybertruck is set to join the Model S and Model X among vehicles being phased out. Tesla discontinued the electric sedan and SUV in January to make room for Optimus humanoid robot production at its Fremont, California, factory.

That would leave the Model 3 and Model Y in Tesla’s consumer lineup until the Roadster’s planned arrival, which the article says is expected in 2028. Tesla has increasingly focused on AI, robotics and autonomy, according to the article. The company’s plans point to a shift away from several existing vehicle models.