Comment on Questions about the safety of Tesla's 'Full Self-Driving' system are growing

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Aceticon@lemmy.world ⁨2⁩ ⁨months⁩ ago

All that stuff is what justifies Tesla being treated as a Tech Stock rather than an Automotive Stock and hence having Stock Prices which are 10x or 20x what an auto-maker with similar Revenue and Margins would have.

Dropping the techno-bollocks that underpins their “we’re disrupting the Auto industry with our Technology and will become the Google of cars” story and just focusing on being good at making electric cars would mean loosing the huge “we’re a Tech Stock” premium that keeps Tech companies’ stock prices high even when they’re loosing money (the valuations are justified by the expectation that they will one day dominate entire markets, like Google or Apple), and hence accepting their stock falling 90%, from Uber style valuations to Ford style valuations.

I doubt shareholders will ever accept that, hence I expect Tesla will just keep “faking until you make it” all they while they get farther an farther away from making it, until eventually they crash far harder (possibly even cease to exist in the next decade or two) than it would happen if they just settled down to be just another auto-maker.

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