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Tesla (TSLA) will learn" that robotaxis are not a worthwhile business for it to enter, Ross Gerber, the co-founder and CEO of Gerber Kawasaki Wealth & Investment Management recently told Bloomberg TV.
Gerber called Tesla's Q1 financial results "troubling" and suggested that the automaker will not start turning itself around until Elon Musk's public image improves.
Why Gerber Is Bearish on Tesla's Robotaxi Efforts
Robotaxis are "highly competitive, and it's very difficult to get the software and hardware to work (for robotaxis)," Gerber said.
He added that TSLA had not yet been able to develop effective hardware and software for its robotaxis
"In hindsight they might really miss selling EVs to people, since that's a growing market," the veteran investor added.
Gerber's Views on TSLA's Results and Current Status
Tesla's automotive revenue sank 20% last quarter versus the same period a year earlier, Gerber noted.
He believes that only by making consumers less angry at Elon Musk can the firm meaningfully boost its automotive sales going forward.
The Recent Price Action of TSLA Stock
In the last month, the shares have gained 7%, while they have tumbled 30% in the last three months.
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