Tesla's Dynamic Year: Surging Revenue, Robotaxis, and Ambitious Investments

Tesla reported better-than-expected fourth-quarter revenue at $24.9 billion, despite delivering fewer vehicles. The company is also investing $2 billion in Elon Musk's xAI startup. Tesla's future hinges on self-driving technology and energy storage growth as it navigates competitive pressure and regulatory challenges in autonomous vehicles.

Tesla surpassed Wall Street expectations for fourth-quarter revenue despite delivering fewer vehicles than anticipated during the holiday quarter. The company, led by Elon Musk, reported $24.9 billion in revenue, outdoing the $24.79 billion predicted by analysts according to LSEG.

Among its new ventures, Tesla has committed to investing around $2 billion in Musk's xAI startup. As competition intensifies with newer, often more affordable electric vehicles, Tesla continues to focus on its self-driving technology and robotics, while investing in its energy generation and storage sector.

The company also seeks to expand its fleet of 'Standard' Model 3 and Model Y to boost price-sensitive sales while signaling growth in its energy storage deployments. Meanwhile, investors are keenly observing Tesla's progress on autonomous vehicles, particularly the Cybercab, amid ambitious timelines and challenging regulatory landscapes.

(With inputs from agencies.)