Speaker 1: So we've had a very exciting quarter be we're able
Speaker 1: to successfully launch a rover taxis so providing out both
Speaker 1: riders with no one in the drive to see with
Speaker 1: paying customers in Austin. And then so some of they've
Speaker 1: known we've already expanded our service area at Austin. It's
Speaker 1: bigger and longer, and it's it's going to get even
Speaker 1: bigger and longer the we we're expecting to really greatly
Speaker 1: increase the mortion service area too, well in excess of
Speaker 1: what com Feder's doing. And that's hopefully in a week
Speaker 1: or so. Two weeks, yeah, a couple of weeks, a
Speaker 1: couple of weeks or so, and we're getting the regulatory
Speaker 1: permission to launch in the area about Arizona and the
Speaker 1: number of at Florida, a number of other places. So
Speaker 1: as we get the approvals and reprove out safety, then
Speaker 1: we'll be launching the autonomous right here in Wislim country.
Speaker 1: And I think we're oubly have autonomous right handling in
Speaker 1: the half of the population of the US by the
Speaker 1: end of the year. That's that's least a goal. Subject
Speaker 1: to regulatory proofs, I think will technically be able to
Speaker 1: it so it's being weird regulatory rubles. It's probably interesting
Speaker 1: half the population of the US at the end of
Speaker 1: the year. But we are very very cautious. We don't
Speaker 1: want to take any chances, and so we're working out, yeah,
Speaker 1: they'll go cautiously, but that's the service areas and the
Speaker 1: number of vehicles and in operation will decrease a hyberate
Speaker 1: natural rate. So you add some other notable things word
Speaker 1: away and dream. We jam the best selling car in Turkey, Netherlands,
Speaker 1: Switzerland and Austria. It is I believe the best selling
Speaker 1: car already fived in the world still and the top
Speaker 1: of it. Autonomy is a is a big factor there,
Speaker 1: so give about even absent and people about supervised even
Speaker 1: even if it's just supervised, so self driving it's it's
Speaker 1: a huge selling point. And it's worth noting that we
Speaker 1: do not actually yet have approval or supervised FSD in Europe,
Speaker 1: where so our sales in Europe we think will improve
Speaker 1: significantly once we are able to give customers the same
Speaker 1: experience that they have in the US. This is why
Speaker 1: this is I think a very important point to convey
Speaker 1: and we've been working with the Big Country regulator which
Speaker 1: is the Netherlands, and I think we're close to getting
Speaker 1: approval with Netherlands. Then instead of go to the EU.
Speaker 1: It's quite a cockca esque, but to copa no idea
Speaker 1: that's looking at the EU coulds just beyond concas challenges
Speaker 1: with eurocracy, but it will. We will get the approvals
Speaker 1: and I think we'll get you know, some people in
Speaker 1: Europe will have an experience and out of the US
Speaker 1: in most of Europe this year, hopefully at least partially
Speaker 1: in this quarter. And then we also have some regulator
Speaker 1: regulatory challenges in China which we're hopefully to unblocked shortly
Speaker 1: where we because we also cannot find super vice qusty
Speaker 1: in China currently, but we got to unblock that suit.
Speaker 1: And that's a student that's another major. It's really is
Speaker 1: the single biggest demand drive. And then within the US,
Speaker 1: as we get confident about safety in different geographic areas,
Speaker 1: the we will loosen up on how much somebody has
Speaker 1: to be layer of focused to have the eyes layer
Speaker 1: of focus on the road, you know, because that's that's
Speaker 1: been a common complaint. In fact, it does create an odd,
Speaker 1: odd safety issue where people will senders disengage or a pilot,
Speaker 1: then then do something change the radio or AMU look
Speaker 1: at the bone drivers their knee and then re engage
Speaker 1: water pilot, which obviously is not is less safe than
Speaker 1: simply keeping autopol on. So anywhere, get that that that
Speaker 1: experience will will improve in the next several weeks. The
Speaker 1: because when I focus on Awestem with Dewain driver's seat,
Speaker 1: the production release of water Pilot is actually several months
Speaker 1: behind what people experience on a road tax and most
Speaker 1: so not Now we have the road tax that was
Speaker 1: launched will be provided adding back those elements so that
Speaker 1: they will be a step change improvements and the water
Speaker 1: Pilot experience or people outside of Worsting. This is really
Speaker 1: as you can tell, this is very much sort of
Speaker 1: an autonomy. Is the story like we need the We
Speaker 1: need the physical product with that which you can dipatonomy.
Speaker 1: But once you have a physical product, you need the
Speaker 1: autonomy is what amplifies the value to stratospheric levels. You
Speaker 1: also launched the Tesla dina, which has been a huge hit.
Speaker 1: Actually got world wide attention, which is unusual for a
Speaker 1: dina that is don't typically get headline news around Earth.
Speaker 1: But this is a pretty special dynas and if you're
Speaker 1: in the LA area, it's worth visitting. It's sort of
Speaker 1: a shiny beacon of hope and otherwise sort of leap
Speaker 1: up and landscape rightly. So it's really quite quite a
Speaker 1: lovely experience where don't played. There's little team there up
Speaker 1: on the pulls up garbage front. Continue to work about that.
Speaker 1: We have. We're continuing to make significant improvements just with
Speaker 1: the software. So the we're expecting to increase the parameter account. Actually,
Speaker 1: at this point, I think we think we can probably
Speaker 1: ten x that almost tax the Pepper prim Yeah, roughly
Speaker 1: roughly ten x the prim account. So this is actually
Speaker 1: a very tricky thing to do because if you as
Speaker 1: you increase criameter account, you get you get to choke
Speaker 1: on every bad wind. But we currently think we can
Speaker 1: tenext the parameter count from what people are currently experiencing.
Speaker 1: That's that's not just support x, actually ten x increasing
Speaker 1: in primary account. And yeah, so that's still a lot
Speaker 1: of improvement on the existing artware. To happen. Energy is
Speaker 1: growing really well despite edwards from tariffs and spirit suppliettery
Speaker 1: jodges the very package bagistic quickly and how we have
Speaker 1: ouprates the bagapact that will make it even better. And
Speaker 1: we had red board our powerful to plates and dat
Speaker 1: H two. So where I think bat batteries are just
Speaker 1: going to be a massive thing, that that the scale
Speaker 1: of batteries battery deman is, I think not that many
Speaker 1: people appreciate just how gigantic the scale of battery man is.
Speaker 1: The way you think about it is that the US
Speaker 1: sustained power output of the U S grid is on
Speaker 1: one terrat wet, but average usage is less than half
Speaker 1: at tarot wet. If you add batteries to the mix,
Speaker 1: you can run the power plants twenty four to seven
Speaker 1: ex soul capacity. That's double a more than doubling the
Speaker 1: energy output per year of the United States just with batteries.
Speaker 1: But that's again big deal. It's a really big deal.
Speaker 2: Optimist to what we're revolving the optimist design to really
Speaker 2: get an optimist at the point where it is a
Speaker 2: phenomenal design to pur an optimist Version two right now
Speaker 2: sort of two and a half.
Speaker 1: Optimus three is if there is an exquisitive design, in
Speaker 1: my opinion, there will be an credit. As I've said
Speaker 1: many times before, I predicted it will be the biggest
Speaker 1: product ever. It's a very hard problem to solve. You
Speaker 1: have to design every part of its from physics first principles.
Speaker 1: There's nothing that's both the shelf that actually works, so
Speaker 1: you're going to design every motor, gear box, par electronics, control, electronics, sensors,
Speaker 1: the mechanical elements also got to train optimists to use
Speaker 1: its eleven sented sensors with a neural net, but will
Speaker 1: be applying the same techniques that we're applied. Or a
Speaker 1: car which is essentially a four wheel robot, and optimist
Speaker 1: is a robot which arms and legs, so that the
Speaker 1: same principles that apply to optimize eight AI inferns are
Speaker 1: the car applied to optuments because they are both really
Speaker 1: robots in different forms. And Tesla, it is wortant to
Speaker 1: know the Tesla is my father best in the world
Speaker 1: at real world AI. Like a clear proof point that
Speaker 1: would be if you're compared to Tesla to way more
Speaker 1: where it's got. You know the car is best doing
Speaker 1: with god knows how many sensors, and yet doesn't Google
Speaker 1: goodn't AI, Yes, but they're not good at real best
Speaker 1: part the Tesla is actually much better than Google by
Speaker 1: far and any much anyone at real world and and
Speaker 1: I and by far, Chesla has the best infernce efficiency.
Speaker 1: Like I think a key for AI is what is
Speaker 1: the intelligence per gigabytes? People know about parameters blah blah blah,
Speaker 1: but I think, but about toil about gigabytes because with
Speaker 1: the parameters can have four bit parameters, eight bit parameters,
Speaker 1: sixteen bit parameters. But the actual constraints in the hardware
Speaker 1: are how many gig bytes run and how many gigabytes
Speaker 1: per second he transfer from. Therefore, it is not the
Speaker 1: parameters straight, there's it isn't there's a byte straight And
Speaker 1: Tesla has the highest intelligence density of any ANI by far,
Speaker 1: and I have a lot of insight this with with
Speaker 1: x Ai. Xai is grock is the smartest of the
Speaker 1: I over but it's a BROP four is a giant
Speaker 1: beast there with the terrorbyte levels. And that's kind of
Speaker 1: an important to know. It telles that has the best
Speaker 1: collegian students intelligents density will be a very big deal
Speaker 1: of the future. It is no so with Optimus three,
Speaker 1: which is really the right design, it's like it doesn't
Speaker 1: happen at this point, there's no there's a SIGNI think
Speaker 1: claws would be Octimist three design, but we are going
Speaker 1: to retool a bunch of things, so it's it'll probably
Speaker 1: be prototypes of Optimist three end this year and then
Speaker 1: scale production next year. We're going to try to scale
Speaker 1: Optimist production as fast as it's seemingly possible to do. So,
Speaker 1: try to get two million units a year as quickly
Speaker 1: as possible. We think they give them less than five years.
Speaker 1: That's I guess that that's a reasonable aspiration. Is the
Speaker 1: million units a year five years? It seems like an
Speaker 1: indieval tarry A conclusion. So four twenty White has been
Speaker 1: breaks a year. A lot of major monstudents made clear
Speaker 1: launch progress in autonomy that a lot of Masaya said
Speaker 1: we would not achieve. It's worth noting that the we
Speaker 1: have done what we said we're going to do, and
Speaker 1: they were always on time. But we get it done
Speaker 1: and there sitting there with egg on their face. So great, great,
Speaker 1: great progress by it tells the team, Yeah, I do
Speaker 1: think it tells continues to execute well with big autonomy
Speaker 1: and and the humor or what autonomy, it will be
Speaker 1: the most valuable helping in the world. There's a lot
Speaker 1: of execution between year and there. It doesn't just happen,
Speaker 1: it's about it excute very well. I think Tessant hasn't
Speaker 1: shown it being most company in the world obviously, I'm
Speaker 1: stremely optimistic about future of company. Best way to break
Speaker 1: the futurist and make it happen maging. It happened here
Speaker 1: with those team. So I'd just like to say thanks
Speaker 1: to one of our supporters, and I think we're get
Speaker 1: to tell you incredibly exciting future. I think it's it'll
Speaker 1: be available for vice personal use by the end of
Speaker 1: this year and certain geographies. We're just being very careful
Speaker 1: about it and we're just being extremely partner. But I
Speaker 1: would be a copy of that by the others year
Speaker 1: within a number of cities in the US. We will,
Speaker 1: we will, It'll be available to edge users like the Optimist.
Speaker 1: Optimist three design, as I mentioned earlier, is I think
Speaker 1: finally the right design. They'll wait for the optimizations, but
Speaker 1: they're will. I think they're fundantal changes too that are needed.
Speaker 1: Over the Optimist three design. It has all the degrees
Speaker 1: breedom that you really want or need, so it's you.
Speaker 1: I'll have bonotypes of that and three three months and
Speaker 1: means suctually in production postimply start production on that next
Speaker 1: year the production round. Simple stories conflict the s cove
Speaker 1: up your production around. Something is got an entire when
Speaker 1: everything is new, because the rate of production will move
Speaker 1: this fast is the least lucky and least confident elements
Speaker 1: of the entire supply chain, as well as internal processes.
Speaker 1: So the more new STU that is a in a product,
Speaker 1: the slower than the rank could be because of unexpected
Speaker 1: supply chain interruptions or mistakes internally. Especially using it to
Speaker 1: predict through the end of the of the escove or
Speaker 1: or late in the S curve. In the beginning of
Speaker 1: the ESCO and the beginning of the ESCO of the
Speaker 1: production round is a case not really materials for revenue purposes.
Speaker 1: The beginning of the ESCO, you're usually yours negative course, Morgan,
Speaker 1: you're debuting amount of issues. So that's why it's it's
Speaker 1: I feel like fairly confident predicting things. Well, please medium
Speaker 1: confident in predicting where we are five years, but it's
Speaker 1: hard ricked where we are in a year or two years.
Speaker 1: So that's why I think five year us I think
Speaker 1: it could be at the living with our be surprised
Speaker 1: at the end of five years, sixty months from now
Speaker 1: get three online roughly making one hundred thousand Optimus robots
Speaker 1: in month in sixty months, I would be shocked, I think, obviously. Yeah,
Speaker 1: we're a publicly treaded company. Sure Holders are welcome to
Speaker 1: put forward any shareholder proposals that they'd like. I recently
Speaker 1: encouraged that, and then have shareholders vote and we'll act
Speaker 1: in accordance with the shareholder wishes. Great. Yeah, there's a
Speaker 1: lot of exciting things happening in the science studio. It's
Speaker 1: like static and really what's going to happen over the
Speaker 1: next to several years is a fundamental transformation of the
Speaker 1: company from the pre asolomy world to a post autonomy
Speaker 1: and I'm working on a near master plan to articulately
Speaker 1: that tells the team and you know there will there
Speaker 1: will be there are some teething pains as you as
Speaker 1: you transition from pre pre aufineries vote autonomy world, but
Speaker 1: I think that the future tells it is incredibly exciting
Speaker 1: and will profoundly change the world in a good way.
Speaker 1: Please sound like fiable whatever, but I think we'll let's
Speaker 1: just say if we execute on that plan effectively, which
Speaker 1: is you have to actually do that because it will
Speaker 1: be the most vaguable company in the world by far.
Speaker 1: Are two. We expect to have Dojo to operating scale
Speaker 1: SubTime next year, with scale being somewhere around one hundred
Speaker 1: k a twelve hundred equivalents. And AI five, which is
Speaker 1: really it's spectacular use those words likely spectacular to the
Speaker 1: A five Childen being hope hopefully be buying production around
Speaker 1: the end of next year, but that has a lot
Speaker 1: of potential. I think, you know, thinking about DOJOH three
Speaker 1: and the AI six birdst chip, it seems like, intuitively
Speaker 1: we want to try to find conbudgets there where it's
Speaker 1: basically the same chip that is used what were you used,
Speaker 1: say two of them in a car or an optimist
Speaker 1: and maybe a large a number on board account of
Speaker 1: by twelve and AB or something like that. If you
Speaker 1: want highbands communication between the chips out of course serving
Speaker 1: they're drink it bird serving. That sort of seems like
Speaker 1: intuitively the sansful way to go.
Speaker 3: Yeah, well, the the cybercap is which is really optimized
Speaker 3: for autonomy that that I think has got probably somebody's
Speaker 3: sent per mile potential over time by betweenty five.
Speaker 1: You know, it's really like if you design a car
Speaker 1: from scratched to be a cost optimized robotic taxi like
Speaker 1: Cybercap like for example, we're not trying to make it,
Speaker 1: you know, corner like a look incredibly well like a
Speaker 1: Model three would, or modeless or even mall way like
Speaker 1: it's got moddel all about all about. Cars that are
Speaker 1: driven by people are super fun drive. They've got incredible acceleration,
Speaker 1: you know, the incredible cornering capability. But not ben We're
Speaker 1: confident that very few people and a cybercap want to
Speaker 1: be totaling around. So you know, so we were we
Speaker 1: produce the top end speed, which means we can use
Speaker 1: more efficient tires, we don't use as much acceleration, we
Speaker 1: don't use as much you know, big big brake system.
Speaker 1: We won't want stopping distance, but we're not expecting it
Speaker 1: to be heavily used. If it's it's a gentle right.
Speaker 1: Essentially you designed for a ride and then you you
Speaker 1: have am that much optimized optimized asign point. So that
Speaker 1: that's why it timpts probably achieve that, especially optim optimuses,
Speaker 1: you know, so asserving you cleaning up the car and
Speaker 1: make doing maintenance and stuff. It's during automatic charging, so
Speaker 1: I think it's gonna actual cost for a mile of
Speaker 1: cyber cab will be very low. The cost for a
Speaker 1: while our existing I fee will be higher but still
Speaker 1: very competing. So breviously number of fifty sets and discussing, Yeah,
Speaker 1: this really fills road taxically. It will build from tiny
Speaker 1: to gigantic in terms of operations in pretty short period
Speaker 1: of time. Like my guess is there. It has material
Speaker 1: impact on our financials around the end of next year.
Speaker 1: Yeah that that that is a major CONSERVETI as I
Speaker 1: mentioned in the past, and I hope that is addressed
Speaker 1: to the upcoming shareholders meeting. But yeah, this is a
Speaker 1: big deal. Like you know, I want to find that
Speaker 1: I've bet like so a little control that I can
Speaker 1: usually be ousted by active as shareholders after having bolts
Speaker 1: you know these all if you're going robots. I think
Speaker 1: that as I mentioned before, I think my control of
Speaker 1: Hotaila should be enough to ensure that it goes in
Speaker 1: a good direction, but not so much control that I
Speaker 1: can't be thrown out if I go crazy. Yes, it's
Speaker 1: a bit of a tough thing because like when we
Speaker 1: do an aid. We find that some was literally done
Speaker 1: it pray by bray examination of our slightes everything we say,
Speaker 1: and they're coveyos. So you know of say like, well,
Speaker 1: what's the traidal. It does help with's recruiting, but then
Speaker 1: competitors look break clessly in coveyots. I mean that said
Speaker 1: we should probably I mean, I guess we could consider
Speaker 1: the shareholder beginning to be sort of an A can
Speaker 1: do if we can maybe go to depth, some solid
Speaker 1: amount of depth at the ill share Older meeting with
Speaker 1: respect to Optimus and a AI and that sort of
Speaker 1: our chip chip stuff. Perhaps, Yeah, the test also really
Speaker 1: underrated in terms of a chip design as well as
Speaker 1: AI software. So like there's a whole lot that chip
Speaker 1: that we were that that exists that we will prefer
Speaker 1: to bringing our car, that is, ANYI chip that then
Speaker 1: we would prefer to putting the car over our own.
Speaker 1: And even though it's been now out for several years
Speaker 1: and recognan that the air bike chip will be for
Speaker 1: a Vale game tream, in fact, it's it's so powerfully
Speaker 1: we'll have to interurb it or sun grief or pockets
Speaker 1: outside of the rings because it flows weary past the
Speaker 1: export restrictions. So let'sten export restrictions change. We actually will
Speaker 1: have to know if our ai bib ship is look
Speaker 1: kind of where hopefully list hopefully we keep raising the
Speaker 1: bar and the other way the kids bit silly. We'll
Speaker 1: have a bunch of Optimist robots on stage at the
Speaker 1: shareholder meeting. The Optimist lab is cool to see. It
Speaker 1: looks like it basically looks like the state of Westwold
Speaker 1: get robots in various stages, some of them, you know,
Speaker 1: in various stages of prepared, like I don't know. It's
Speaker 1: some combination of like the tattooing Chukyard and the and
Speaker 1: West Wolds. It's pretty cool. An octopus is walking around
Speaker 1: the office here in polls there are twenty four seven
Speaker 1: is just walking around like it's small, I think. And
Speaker 1: we're so optimistic, you know the t A diners that
Speaker 1: we're bub born. Yeah, so it's we'll go for a
Speaker 1: world where robots are rare to where they're so common
Speaker 1: that you don't even look up. Okay, we haven't really
Speaker 1: thought hard about that. We need to make sure it
Speaker 1: works when the bagels are pull the under our control
Speaker 1: and it's kind of one step at a time. Here
Speaker 1: we don't want to jump the gun. As I said,
Speaker 1: we're doing parallered about safety. So so it's just like
Speaker 1: but I guess, I guess like next year, I'd say
Speaker 1: competently next year. I'm not sure when next year, but
Speaker 1: competently next year. People who will be able to add
Speaker 1: to subtract their part to the Testla fleet. I'm just
Speaker 1: like at their bab or ing prossible well as seem
Speaker 1: as there is a clear cash blow stream associated with
Speaker 1: any any product that you can get finance it. Most
Speaker 1: people still done there the master yard. People don't know
Speaker 1: it exists, and it's still like half of Tesla owners
Speaker 1: who could use it, I haven't tried it even once
Speaker 1: this They don't actually rely as this is something we
Speaker 1: want to educate them on. So we've got to. When
Speaker 1: they come in for service, we'll reach out to them,
Speaker 1: send them like videos of how to make the work
Speaker 1: and most much it's it's such a shocking thing. They
Speaker 1: don't think a car is capable of this. So you
Speaker 1: have Jack, you have just show them and get them comfortable.
Speaker 1: Alternally don't know if it's so trivial, but it's it's
Speaker 1: like saying you've got a Canada sing a dance, but
Speaker 1: it just looked like an old cat. They're like, you know,
Speaker 1: until you see the cat sing a dance and talk
Speaker 1: like your series just a cat, that's that's tes I see.
Speaker 1: Our car is intelligence. Well, we're in this like weird
Speaker 1: transition period where we will lose a lot of intatus
Speaker 1: in the US. Incentives actually ready other parts of the world,
Speaker 1: but roll is them in the US, and it will
Speaker 1: still have at the relative early stages of autonomy. On
Speaker 1: the other autonomy is most advanced and most available from
Speaker 1: a regulatory standpoint in the US. So I mean, does
Speaker 1: that mean like we could have a few rough quarters. Yeah,
Speaker 1: we probably could have a few rough quarters. And I'm
Speaker 1: not saying the world, but we could Q you know,
Speaker 1: Q four, Q one, maybe Q two. But once you
Speaker 1: get to autonomy at scale in the second hand of
Speaker 1: half of next year, certainly by the end of next year,
Speaker 1: I think the I'm surprised to the economics, I'm not
Speaker 1: very simpellent because it's just a model. Why they look
Speaker 1: the cat out of the back there dancing cut that
Speaker 1: consilingly bess, But it can be. It can talk and think.
Speaker 1: But that's the cool part yeah, I mean the fundamentally,
Speaker 1: the biggest obstacle remains that people just don't happen. Some
Speaker 1: of the people don't know that. The desire to buy
Speaker 1: the car is very high. Just people don't have enough
Speaker 1: money in their bad account to buy it. Literally, that
Speaker 1: is the issue, not a lack of desire, but lack body.
Speaker 1: So the more affordable we can make the car, the
Speaker 1: better I think it's gonna be. It will be a
Speaker 1: very big deal when people can release their car to
Speaker 1: the fleet and have it earned money for them, which,
Speaker 1: like I said, i'm big. I feel confident saying that
Speaker 1: will happen next year in the US at least, and
Speaker 1: in the US where we're legally allowed, you appropriate displayers
Speaker 1: and they'll make the affordability dramatically greater, just like you know,
Speaker 1: if you have Airbnb and you ran out your home
Speaker 1: when you're not there, or ran out of a guest
Speaker 1: room or guest house or something like that, you're the
Speaker 1: affordabilit if your home is much greater. Well, they are
Speaker 1: doing different things here, so you know, the Xai is
Speaker 1: doing like you know, terabyte scale models and the multi
Speaker 1: terrabyt scale models. Tesla's one hundred times smaller models. So
Speaker 1: once real walth AI and once kind of I guess
Speaker 1: art official superintelligence tech thing. The I mean really kind
Speaker 1: of the genesis for XAI was that there were there
Speaker 1: were certain people who some people would not join Tesla
Speaker 1: AI engineers because they wanted to look at ASI. They
Speaker 1: would join Tesla, and I was like, well, maybe they'll
Speaker 1: join a new company. And now I think the Tesli
Speaker 1: bomb is extremely important, but not everyone agrees with me
Speaker 1: on that. And so rather than have them join and
Speaker 1: you know, open a eye or people or or some
Speaker 1: other company, it's like, as well have them create a
Speaker 1: company in that regard, which like say, I so that's
Speaker 1: you know, and you know, pilin make it. Make a
Speaker 1: decision do they want to work on It's like super
Speaker 1: intelligence data center or real wealthy idens good. They're both
Speaker 1: compelling problems, but some people work want to open one
Speaker 1: and some one of them the other