Critics argue that Tesla's autonomous driving technology still requires human oversight and may not achieve full autonomy until late 2025 or 2026.

Tesla CEO Elon Musk is set to unveil the highly anticipated Cybercab, a robotaxi product, at Warner Bros Hollywood studio today.

Originally scheduled for an August debut, the Cybercab's launch was delayed due to last-minute design changes.

Designed to operate autonomously on a Tesla ride-hailing platform, the Cybercab allows owners to earn income by putting their vehicles on the network.

Investors are eager to see a prototype of the Cybercab and are concerned about regulatory hurdles and the safety of Tesla's Full Self-Driving (FSD) technology.

Despite high expectations, analysts caution that the event may focus more on Tesla's broader vision rather than immediate revenue-generating developments.

The robotaxi operations face significant challenges, including high fixed costs related to maintenance and data storage.

Attention will be on whether Tesla can demonstrate advancements that give it a competitive edge over rivals like Waymo, especially in a hybrid marketplace.

Tesla's stock has surged nearly 50% since Musk's announcement of the shift to robotaxis in April 2024, despite ongoing competition concerns.

Ives estimates that Tesla's AI and FSD technology could represent a staggering $1 trillion in value over the coming years.

The company's future growth is bolstered by its gigafactories in Shanghai and Berlin, which are expected to reduce costs and tariffs on exports.

Musk aims to shift Tesla's focus from traditional carmaking to autonomous driving and AI technologies amidst increasing competition and slumping EV prices.