In a way, FSD hype is brilliant. Cathie Wood attributes a majority of Tesla's valuation to robotaxi revenue. That means a multi-year zero-revenue business has p

In a way, FSD hype is brilliant. Cathie Wood attributes a majority of Tesla's valuation to robotaxi revenue. That means a multi-year zero-revenue business has pushed down Tesla's cost of capital to a fraction of the incumbents. That, in turn, has made Tesla a segment leader in the game for the long run. It also made SpaceX and X possible. The main problem is lack of restraint: "Give me $15,000 non-refundable and someday I will deliver the means to make a profit on the car you bought. It already has the hardware." is building up a big potential liability. But, even if forced to refund that FSD money, it's still been cheap capital to grow Tesla.