Musk: Tesla's AI Investment Should Be as Fast as Possible, Unafraid of Some Capital Wastage
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Author:小编   

Musk stated that Tesla should increase its investment in the AI sector, even if some funds might be wasted, and urged executives to accelerate the pace of investment without overly pursuing capital use efficiency. In the second quarter of this year, Tesla's capital expenditures surged by 142% year-on-year to $5.8 billion. However, due to lower-than-expected profits, the company experienced a net outflow of $1.1 billion in free cash flow, leading to a pre-market stock price decline. Tesla expects its full-year capital expenditures to exceed $25 billion and is seeking a debt financing facility of up to $30 billion. Over the next two to three years, Tesla's capital expenditures will further increase with the commencement of new solar panel factories, AI computing capacity expansion, and the Terafab semiconductor plant. Currently, Tesla is investing in new production lines and factories for the Cybercab autonomous taxi and the Optimus humanoid robot. Meanwhile, Google's parent company, Alphabet, also saw a net outflow of nearly $6 billion in free cash flow in the second quarter and raised its full-year capital expenditure forecast to up to $205 billion. Musk has previously criticized government spending for its inefficiency but believes Tesla's capital expenditures are highly efficient, potentially representing the fastest industrial expansion in the U.S. since World War II.