Tesla has recently unveiled its fourth “Master Plan,” which outlines the company’s ambition to spearhead the global adoption of humanoid robots and sustainable energy solutions. However, the announcement has raised eyebrows due to its lack of concrete details.
Even Elon Musk, the CEO, has acknowledged the criticism regarding the plan’s vagueness. In a rare comment following the plan’s release, he conceded that the absence of specifics is a valid concern and promised that more details would be forthcoming.
As of now, this latest plan feels less like a strategic roadmap and more like a collection of lofty ideas. It appears as if someone took Musk’s thoughts and mixed them with generic buzzwords, resulting in a document that lacks the clarity and direction seen in previous plans. The language used is reminiscent of a student attempting to sound sophisticated, with phrases like, “The hallmark of meritocracy is creating opportunities that enable each person to use their skills to accomplish whatever they imagine.”
Why the ambiguity? One possible reason is that Tesla has yet to fulfill many of the objectives outlined in its earlier master plans, particularly those from 2016 and 2023. The second master plan, for instance, was ambitious yet specific, detailing goals such as creating a seamless solar roof product integrated with battery technology. While Tesla has developed a solar roof, it has faced numerous challenges and has not achieved significant market penetration.
In the vehicle sector, Musk’s second plan promised a range of new models, including a compact SUV, a semi-truck, and an electric bus. While the Model Y has been a success, the Tesla Semi is still under development, and the Cybertruck has not met its sales targets. Furthermore, the company has not ventured into the bus market as initially promised.
The second master plan also aimed to achieve full autonomy for Tesla vehicles through software updates and to create a shared network for owners. However, these goals remain unmet, with the company currently testing a limited robotaxi service in Austin, Texas, which still requires safety monitors in the vehicles. Additionally, Musk has admitted that many existing cars lack the necessary technology for full autonomy due to multiple hardware revisions over the years.
Master Plan 3 focused on positioning Tesla as a model for a sustainable economy, supported by a comprehensive 41-page white paper. Yet, the company has not made significant progress on the initiatives outlined in that document. Meanwhile, Musk has invested heavily in political efforts that contradict the push for cleaner energy.
In recent years, Musk has attempted to redefine Tesla’s identity, asserting that it is not merely a car manufacturer but also an AI and robotics company. While there is some validity to this claim, the reality remains that the majority of Tesla’s revenue still stems from the challenging business of producing and selling electric vehicles.
The belief in Tesla’s ability to transition into a broader technology company significantly influences its stock price, making it advantageous for the company to promote this narrative. Consequently, Master Plan 4 is filled with ambitious aspirations.
Historically, Tesla has supported its grand visions with measurable goals and benchmarks. Musk has previously taken the time to elaborate on these plans in detail, engaging with stakeholders and investors. However, this time, the release of the “Master Plan” coincided with a federal holiday, and Musk’s focus seemed to shift towards controversial social issues rather than the company’s strategic direction.