Tesla to wind down Cybertruck production as Elon Musk focuses on robotics and AI

Tesla plans to wind down Cybertruck production at its Texas factory around the middle of 2027, freeing space to build more Cybercabs and Optimus humanoid robots. Elon Musk has not said whether the pickup will be made elsewhere; relocating production would require substantial investment in specialised equipment. The decision reflects Tesla’s shift away from expanding its conventional vehicle lineup and toward robotics, artificial intelligence and autonomous transport. The company has begun offering paid Cybercab rides in limited parts of Austin, but regulatory scrutiny and uncertainty about how quickly driverless services can expand remain obstacles.

The Cybertruck struggled to become a commercial success after deliveries began in late 2023, delayed by production challenges including its unusual steel body. Musk had targeted annual sales of 200,000, but Tesla’s third-quarter 2026 report counted only 8,300 deliveries across the Cybertruck and other smaller-volume models; the Model 3 and Model Y together sold 478,000. The truck also failed to meet European safety standards, barring sales there. Tesla has already stopped making the ageing Model S and Model X, while it continues developing the electric Semi and plans a Roadster for 2028. Musk’s broader strategy faces questions as the company’s shares fell 11% amid investor concerns about political and regulatory risks to the AI boom.