Tesla Stock Jumps 5% as Musk Unveils Grok AI for Cars, Robotaxi Plans
Tesla Shares Rise on AI and Autonomous Driving Updates
Tesla's stock climbed 4.73% to close at $309.87 on Thursday following major announcements from CEO Elon Musk regarding the company's artificial intelligence and autonomous vehicle initiatives.
Grok AI Coming to Tesla Vehicles
Musk revealed via social media platform X that Grok AI, developed by his artificial intelligence company xAI, will be integrated into Tesla vehicles "at the latest" next week. The system represents what Musk calls "the most powerful AI model in the world."
While details remain limited, the announcement has generated significant excitement among investors and Tesla owners alike. However, questions remain about:
- Which vehicle models will support Grok AI
- Potential subscription costs for the service
- Specific functionality within Tesla's ecosystem
The standard Grok4 version currently costs $30/month when accessed through xAI's platforms, while the premium Grok4Heavy version runs $300/month - pricing that could influence Tesla's implementation strategy.
Robotaxi Expansion Underway
In parallel developments, Tesla is advancing its autonomous taxi service (Robotaxi) with:
- Active testing applications filed in Phoenix, Arizona
- Plans to expand to the San Francisco Bay Area within 1-2 months
- Subsequent rollout targeting the Austin, Texas region
The moves signal Tesla's commitment to establishing a nationwide autonomous ride-hailing network despite regulatory challenges and public skepticism about self-driving technology.
Upcoming Shareholder Meeting
Investors await Tesla's annual shareholder meeting scheduled for November 6, where they hope to gain clarity on:
- Long-term strategy amid recent sales declines
- Impact of Musk's political activities on company focus
- Financial outlook for AI and autonomous driving divisions
The meeting comes at a pivotal moment as Tesla balances technological innovation with practical business considerations.
Key Points:
- Stock Impact: TSLA up nearly 5% on AI news
- Grok Integration: Coming to vehicles within days
- Pricing Uncertainty: Potential subscription model unclear
- Robotaxi Expansion: Phoenix first, then SF and Austin
- Shareholder Focus: November meeting critical for guidance