- Tesla (TSLA) CEO Elon Musk suggests Warren Buffett should invest in the EV giant, sparking a discussion on the future of auto insurance and automated driving.
- Berkshire Hathaway executives express skepticism over Tesla’s self-driving technology and its potential impact on auto insurance.
- Musk emphasizes Tesla’s focus on AI and autonomy during recent earnings call, stating that those who don’t believe in Tesla’s ability to solve autonomy should not invest in the company.
Elon Musk invites Warren Buffett to invest in Tesla amidst discussions on the future of auto insurance and automated driving. Musk also highlights Tesla’s focus on AI and autonomy during a recent earnings call.
Warren Buffett And Elon Musk
Following comments made by Warren Buffett and Berkshire Hathaway Executive Ajit Jain on the potential risk auto insurers could face if Tesla succeeds in automated driving, Elon Musk suggested that Buffett “should take a position in Tesla.” Buffett, a longtime investor in Tesla rival BYD, has yet to invest in Tesla. Despite this, Tesla’s stock gained 2% during market trade on Monday.
Elon Musk And Tesla Focus On AI
During Tesla’s recent earnings call, Musk emphasized the company’s focus on Full Self-Driving (FSD), autonomy, and artificial intelligence. Tesla has recently recast full self-driving from FSD Beta to supervised FSD and reported it would recognize deferred revenue of $281 million by the end of Q1. Musk stated that those who don’t believe Tesla will solve autonomy should not invest in the company.
Tesla Stock Performance
TSLA shares jumped 7.7% last week after soaring 14.4% in the prior week. Since Tesla reported first-quarter earnings and revenue on April 23, TSLA shares have now gained about 25%. Despite hitting 52-week lows of 138.80 on April 22, shares are still down 27.1% in 2024 as of May 3.
Conclusion
As Tesla continues to focus on AI and autonomy, the company’s stock performance shows signs of improvement. However, skepticism from industry leaders like Warren Buffett and Ajit Jain raises questions about the future of auto insurance and automated driving. Only time will tell if Tesla’s ambitious efforts in these areas will pay off.
